The Milan News-Leader
A Heritage Newspaper
Weekly Publication
Culprits released from New York jail, live well
PUBLISHED: May 22, 2008
Editor's Note: This is the last in an eight-part series on the Great Electric Sugar Scandal that rocked Milan in the 1800s.
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Near the end of 1889, the four remaining defendants held at the "Tombs" jail in New York appeared in the courtroom of Recorder Smyth. William E. Howard was already in prison. Professor Henry C. Friend was dead. So the only ones left in jail were the widow, Olive E. Friend, along with her mother, Emily Howard, and the two Halstead brothers, Gus and George.
The last four defendants, all from Milan, were accused of grand larceny. They had been languishing in jail since March 7, nine months so far. It seemed they would never have a trial. So, they decided to plead guilty.
The head prosecutor, Col. John R. Fellows, was sympathetic to the Milan group. He gave an impassioned speech to Smyth, asking him to let the prisoners go free based on time already served. The women, especially, had to be innocent, he argued. They were completely under the direction of their husbands and had no control over their own actions.
The prosecutor also argued for the Halstead brothers' release. He pointed out that they were simply employees, so that couldn't have done much toward the conspiracy. According to the prosecutor, the real culprit was Henry Friend, who had died almost two years before.
Smyth listened to the arguments, but did little to help the Milan group. The four were never tried. They stayed in the "Tombs" jail until April 21, 1890, more than a year after they were placed behind bars. Once released, they quickly traveled back to Milan.
In was April 1890, and they wanted their lives to go back to normal. All of them came home, except William Howard, who had to wait until he was released from Sing Sing prison in New York.
Another one who didn't return to Milan was Henry Friend. At the beginning of 1888, he had asked his wife, Olive, to build a pretty house in Milan. His idea was to live there as a family. Unfortunately, he passed away in March 1888 before she could finish the home on County Road.
Emily Howard lived comfortably in the palace-like home she and her husband had built two years before, on the corner of Arkona and Platt roads. Her house was intended to duplicate the beauty of her daughter Olive's home on County Street, now referred to as the "Hack House." Emily could write letters to her husband at Sing Sing prison.
Gus and George lived in comfortable homes just around the corner from Olive Friend.
Lyman Burnham, Emily's brother, never went to jail. Perhaps his cooperation with the company president left a good impression of Burnham as an honest man, who did not want to further a scam.
Some history lovers may recognize his name as part of Milan's fire department. Burnham had a wagon shop on the Y-shaped piece of land where County Street and East Main come together. On Oct. 15, 1890, he sold it to the village of Milan for use as a fire department. The old wagon shop was moved away, and the village put up the current brick structure.
For the next couple years, Olive Friend and her mother were both involved in lawsuits filed by the Electric Sugar Refining Co., which was trying to make up its losses from the property of the swindlers. There was a big trial in a courtroom in Ann Arbor in 1892 as the company wanted Friend's house and land.
According to the company, Olive and the others in the Milan conspiracy were giving out fake mortgages on their real estate, so the property would appear less valuable. I have seen quite a few mortgage papers at the Recorder of Deeds Office in Ann Arbor, and it does look weird. I wouldn't doubt it if Olive gave a $4,000 mortgage to her "Uncle" Henry Hack, or to the local doctor in town, and all she got for it was a wink and a nod.
At times, the deeds were flying thick and fast between the Milan "gang" members, and it seems likely that this was done on paper only, as they tried to throw off the dogs nipping at their heels. A newspaper article published Feb. 25, 1891, in Illinois, says a judge in Ann Arbor ruled in favor of Olive Friend, removing all the legal attachments that tied up her property. I suspect she celebrated that victory with a bottle of fine wine.
In 1894, Olive was living in her gorgeous home on County Street, along with her son, William. The boy was part way through the school system. George Halstead lived there as a hired hand, or so they told the census taker. Later events would show he was more than a hired hand to her.
Next door, toward town, Olive's mother, Emily Howard, was living alone. She had just sold her home on Platt Road to Andrew J. Sawyer, a wealthy land developer from Ann Arbor. Emily signed the deed June 14, 1894, receiving $1,000 for the gorgeous home and almost all of the farm.
She was waiting for her husband's release from Sing Sing prison. Another neighbor close to Olive Friend happened to be Olive's sister, Nora Van Ness Pinkerton, with her husband, William. They lived in the Oren Halstead home.
Things changed for Olive Oct. 3, 1895. She sold her farm, more than 30 acres, and her beautiful house, for $3,000. The buyers were her aunt and uncle, Mary and Henry Hack, the same people who sold her the land and the same people who came to New York to visit Olive during the Sugar Scandal days. See today's photo for portraits taken of Mary and Henry Hack in New York, just around the corner from where Olive was living.
The home Olive sold became home to her aunt Mary and uncle Henry Hack. Then it was home to their son, Jim Hack, and wife, Daisy. Today it's known as the "Hack House." The twin sister of the "Hack House" stands at the northeast corner of Platt and Arkona roads. Both of those houses were built with sugar money.
Howard came home to Milan in 1895, released from Sing Sing prison. By that time, his wonderful house north of Milan was sold. He had only a few years to spend with his wife, Emily. She died Oct. 12, 1898, and was buried in Judd cemetery near her father, Allen Burnham.
The next year, Howard married his third wife, the former Alice Longworthy. She was the recent widow of Andrew Leonard. Alice had a young boy, Willis A. Leonard, 12.
The couple stayed together and lived somewhere in the village of Milan. They lived close to the Hack House, since Emily had owned some lots there for homes. Occasionally, they sold small pieces of real estate so they could live comfortably.
Milan's Great Sugar Scandal was mentioned one last time in the New York Times Dec. 8, 1896, as part of the obituary for prosecutor John R. Fellows. In a lengthy tribute to Fellows, the newspaper pointed out that he once handled some notorious trials, including the electric sugar refining case.
"Uncle" Henry Hack and his wife, Mary, lived at the Hack House after Olive left town. He died in 1907. Mary continued living in the Hack House with her son, Jim, and her daughter-in-law, Daisy Hack.
Meanwhile, the names Olive E. Friend and George M. Halstead appeared together in the marriage license office in Essex County, Ontario. They were married May 14, 1899. The marriage records show he was 38, and his parents were Oran Halstead and Martha Hughes. This was the groom's first marriage. He gave his occupation as "saloon keeper." The bride was 47.
The next year, they made another official record, this time in Detroit answering the 1900 U.S. Census. Halstead was 36, born in August 1863, still working as a saloon keeper. His wife was 47, born in December 1852. Her son, William, was mentioned along with the age 15. Another person living in the home was Amanda Mousseau, 19, listed as "servant."
I believe the Halsteads had some money if they could afford a live-in servant.
Three years later, George Halstead was getting married to his second wife, Ada Valuet, 18. Their young girl, Arvilla, was born in Detroit in about 1905. George quit his job as a saloon keeper and went to work for Ford.
So, what finally became of Olive? Did she leave George to go to Canada with her son, William? Did she die in Detroit right after the 1900 census? If I find out, I'll let you know.
Olive's uncle, Lyman Burnham, married his fourth wife, Delia Pratt Hardy, in Sandwich, Ontario June 2, 1903. He was 70 on his wedding day and his bride was 56. He lived until Sept. 11, 1915, and was buried in Marble Park cemetery.
Lyman's daughter, Emma, died Sept. 13, 1911. She had been married to Oren "Gus" Halstead for 35 years, sticking with him through the Sugar Scandal. Two years after her death, Oren married his second wife, Ella F. VanGeison. Oren enjoyed eight more years of wedded bliss before he was laid to rest in London cemetery.
Howard made it to a fine old age. He stayed above ground until April 13, 1917. He was almost 84 when he stopped spending his electric sugar money. He was buried at Marble Park. I believe his three children from Rhode Island never learned of his death, and didn't care.
In 1991, the Hack House was listed in the National Register of Historic Places. Visit sometime for a tour. It's as beautiful now as it ever was.
Thanks to Ron Morey for the many facts he uncovered while researching census records, old newspaper stories and other sources. Thanks to the Washtenaw Register of Deeds Office for the real estate information. Thanks to the New York Times for having free archives on the Internet. Thanks to the Milan Area Public Library and Linda Squires for information about her parents' house. Also, thanks to Karen Wheaton of Ann Arbor for her research, New York Times, Dec. 6 and 12, 1889, New York Times, May 27, 1892, and New York Times, Dec. 8, 1896.
Martha Churchill is a member of the Milan Area Historical Society. She can be reached at milanhistory@yahoo.com.
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