Ukiah Daily Journal from Ukiah, California on July 17, 1974 · Page 36
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Ukiah Daily Journal from Ukiah, California · Page 36

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Location:
Ukiah, California
Issue Date:
Wednesday, July 17, 1974
Page:
Page 36
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Page 36 article text (OCR)

Wednesday, July 17, 1974 Uklah Dally Journal—A-13 Sometimes it doesn't pay to advertise SAN JOSE, Calif. (UPI) mil Warren Schmidt, 47, a former stockbroker, has learned that sometimes it does not pay to advertise. Until four years ago Schmidt lived in a plush suburban home, with a swimming pool in nearby Sunnyvale and worked as a broker in Palo Alto. In May, 1970, he disappeared while the Santa Clara County district attorney's office was investigating allegations that he had bilked some of his clients to the tune of "somewhere around $600,000" by getting them to invest in nonexistent businesses, according to Deputy District Attorney Dennis Lempert. Six months later Schmidt and his wife Jean turned up in a liquor advertisement in the Nov. 9, 1970, issue of Time magazine, stating: "How could we refuse an invitation to walk with our Fiji hosts? Especially when the walk was,over white hot rocks!" The advertisement helped put agents of the Federal Bureau of Investigation, Interpol and Lempert's office on Schmidt's trail, which led to Australia, New Zealand and finally Mexico, where Schmidt was taken into custody and put aboard a plane bound for Houston last year. Schmidt was returned here last December, and he has been in the county jail since then, unable to raise 1200,000 bail. He is due to come to trial Sept. 16 on 22 felony counts of grand theft, security fraud, issuing a security without a permit and forgery. If convicted of all 22 counts Schmidt could receive a maximum prison sentence of 168 years. Walter Meumeyer, 53, aq engineer at Hewlett-Packard, said he came to know Schmidt when Schmidt was a stockbroker in the Palo Alto office of Meyerson and Company. .Schmidt gave Neumeyer and other clients an opportunity to "get in on the ground floor" of a new conglomerate and other enterprises, according to Neumeyer.. Lempert said that Schmidt obtained about 1500,000 illegally by selling clients shares in nonexuitant companies or by selling them shares in going businesses, but depositing the money he received in an account in his own name. Neumeyer said he invested more than $50,000 with Schmidt and lost almost all of it. The only money he recovered was part of the $10,000 equity in Schmidt's home, which Neumeyer and another of Schmidt's former clients split after the vacant house was sold. When the Doors tomorrow at MacNABS You'll Be Amazed! THE WHOLE STORE IS STOCKED WITH SUPER VALUES. HURRY TO OUR V Walk iti! MacNABS MENSWEAR 111 N. State St. Downtown Ukiah 3-DAY SALE! THURSDAY, FRIDAY & SATURDAY JULY 18 THRU THE 20th Suits • Shirts • Ties Sports Coats • Slacks • Shoes • Sportswear Come Early!

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