December 1996 Blazer

Provos's great Gold Brick scam

THE HISTORY BLAZER AIEI1' S OF UTAH'S PAST FROM THE Utah State Historical Societv 300 Rio Grande Salt Lalie City. PT 84101 ( 801) 533- 3500 FAX ( 801) 533- 3503. Provo's Great Gold Brick Scam h THE 1970s AND 80s WHEN UTAH was becoming known as the scam capital of America, Utah County had its share of chain letters, pyramid schemes, and unethical business dealings. " Friends" bought soap, diamonds, etc., from " friends" and hoped to resell them to other " friends" at a profit, only to find that they were stuck with enough high- priced soap to last for years. Sur-prisingly, nobody offered to sell a proverbial " gold" brick. Nearly a hundred years earlier, though, that is exactly what happened. In April 1891 a man calling himself Henry Johnson came to Provo asking the whereabouts of a man named Whitmore. The stranger claimed to have an important message from an old acquaintance. Ex- sheriff J. W. Turner referred him to George C. Whitmore, a Nephi banker, merchant, and sheep man, reputedly worth more than half a million dollars. Johnson traveled to Nephi to meet Whitmore. The visitor apparently claimed that years ago he, a Spaniard named Da Nacha Naha, and a man named Whitmore were partners in a Mexican mine. After many years of hard work it had recently begun to produce large quantities of gold. Johnson and the Spaniard, anxious to find Whitmore and give him his share of the profits, were camped on the river west of Provo and had in their possession five gold ingots. The Spaniard was distrustful of city people, and the gold bars were worth so much that the two men were afraid to stay in a hotel. Whitmore denied that he was the lucky man but showed an interest in the mine and in traveling to Provo to inspect the gold. The wealthy businessman had formulated a plan that he revealed to Johnson. Though he was not their long- lost partner, maybe he could sell the gold to the mint through his bank and also possibly buy into the mine. On the afternoon of April 19 the two men boarded the train in Nephi for Provo. Earlier that day a train had pulled into Provo from the north, and an older, dark, sturdy man with short cropped graying hair had gotten off. The conductor recognized him as a notorious gambler and informed the station agent. The agent then notified the police, and they watched the man's movements. When the 3: 35 train pulled in from Nephi, the dark man was standing nearby. As Johnson and Whitmore walked past him, he and Johnson recognized each other with a brief bow. Whitmore and Johnson left the station and proceeded up present University Avenue to the East Co- op where Johnson bought a brace and bit. At the Excelsior livery stable on First West, whiie Johnson rented a horse and carriage, Whitmore told his friend, Benjamin Bachman, that he was going to look over some land. Whitmore apparently wanted a witness to the meeting with the Spaniard and had arranged with ex- sheriff Turner to accompany him to the camp near the Provo River. Whitmore, Johnson, and Turner traveled to the western edge of town. There, Johnson told the ex- lawman the Spaniard would be suspicious and would perhaps refuse to meet with them if ( more) Turner came into the camp, so Turner hid and watched the proceedings from a distance. At the camp Whitmore was shown two gold bricks about 4 by 4 by 16 inches, one weighing 36 pounds and the other 38. Whitmore calculated their worth at about $ 17,000 and asked for samples. The brace and bit were produced, and the banker began to drill sample filings from the first bar. When the bit broke off in it, Johnson offered to finish the drilling. He spread a newspaper on his lap, set the bar on it, and bored into it and the second bar. He put the filings into an envelope. Whitmore scratched his name into the bottom of each ingot and pocketed the envelope with the filings. He agreed to advance $ 6,000 on the bricks, and when he sold them he would pay Johnson and the Spaniard the balance. The Nephi businessman was to receive a profit on the sale of the bricks and a share in the mine on very reasonable terms. Whitmore took the samples to Mr. Beck, a Provo jeweler, who tested them three times and pronounced them genuine. At 9 the next morning Cashier Dusenberry of the First National Bank had the money waiting for Whitmore. Albert Glazier, the teller, counted out $ 4,000 in gold, $ 500 in silver, and $ 1,500 in currency. The potential partners returned to the riverside camp where Whitmore got the gold bricks with his name scratched in the bottom, and Johnson and his swarthy friend got the money. The agreement was finalized with a drink from a bottle provided by Whitmore, the Spaniard insisting that the banker take the first drink in case the liquor was poisoned. An ecstatic Whitmore was back in town by 10 o'clock. The associates parted, Whitmore going to the office of Colonel Moore, a representative of the Utah, Nevada, and California Railroad, and Johnson leaving for what he hoped were parts unknown. Moore took some scrapings from the bricks and, to the amazement of both men, when these filings were put in acid they caused a reaction. When they were taken to be assayed, the bricks proved to be composed of almost pure copper. Apparently the envelope with the copper filings in it had, by some sleight of hand, been replaced by one that contained filings of real gold. Whitmore sprang into action, offering a sizeable reward and alerting local law officers who in turn spread the word throughout northern Utah. William Leonard, a man answering the description of the Spaniard, was the gambler who got off the train in Provo on April 19. He was arrested and released on bail to await examination before a grand jury. In early October 1891 a grand jury dismissed the case against Leonard for lack of evidence, and he was turned loose. In mid- November officers in California caught Larry King and he was returned to Utah to face charges. It should come as no surprise that, when freed on an $ 800 bond, he jumped bond and did not turn up for his trial in 1892. Law officers believed at least one more man was involved in the swindle. George Lewis, a gambler and general ne'er- do- well, was suspected of masterminding the gold brick scam. He was killed in Ogden in March 1893 before his guilt could be proven. As for Whitmore, he had two copper ingots worth $ 5 or $ 6 and enough experience to last a lifetime. Sources: Rovo Daily Enquirer, April 21, 1891- March 16, 1893; Salt Lake Tribune, April 22- November 20, 1891; and Salt Lake Herald, April 22- November 20, 1891. THE HISTOBRLYAZ ERi s produced by the Utah State Historical Society and funded in part by a grant from the Utah Statehood Centennial Commission. For more information about the Historical Society telephone [phone] ( RC)