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Was Keely Imprisoned for stock fraud

Many have falsely accused Keely of being imprisoned for stock fraud. This never happened. While he was abused and stolen from by The Keely Motor Company (KMC) and its principles Keely had no hand in committing stock fraud or defrauded KMC or any of its principles of which he was one.

A careful reading of the historical documents reveals KMC and several of its principles were constantly booming its stock[1] (increasing its price) so they could make lots of money selling the stock. Keely's only role in this was to make many public demonstrations at the request of the KMC before the public and news media of his machines and processes. It is reported in some of the literature that Keely did not receive any of the money from these stock sales to use in his perfecting of the Keely Motor which was the purpose KMC was created in the first place. It is evident then the stock fraud was being committed by KMC and its principles and it was Keely who was the victim. It was during this sad state of affairs that Clara Jessup Bloomfield-Moore stepped in and rescued Keely and his work for posterity:

Moore's commitment to support Keely

"The suggestion that Keely could be sent to prison was welcomed by those who eventually acted upon it, with the result that Judge Finletter committed Keely to Moyamensing Prison, for contempt of court, but not for fraud."

"The Supreme Court reversed and set aside the order of the court committing Keely for contempt, and released him from custody, upon the writ of habeas corpus taken out on his behalf, within three days of his commitment.

The Chief Justice, in delivering his opinion, made some remarks which fully vindicated Mr. Keely's character. After alluding to the proper procedure which ought to have been taken in the court below, the Judge continued:-

"Instead of so proceeding, a commission of experts was appointed to examine the defendant's machine, and the order of April 7th was made, by which the defendant, in advance of any issue, was not only required to exhibit his machine, but also to operate it and explain the mode of its construction and operation, although it clearly appeared that it would require considerable expense to clean the machine, put it together and operate it. The defendant appears to have been willing to exhibit it, and in point of fact did so. That he might have been compelled to do so at a proper stage of the case is conceded. But to make an order not only to exhibit it but to operate it, the practical effect of which was to wring from him his defence in advance of any issue jointed, was an improvident and excessive exercise of Chancery powers. We are of opinion that the order was improvidently made. If follows that the learned court had no power to enforce it by attachment. The relator is discharged." [Helpers on the Road and Hinderers]

[1] Some Truths about Keely

See Also

Clara Bloomfield-Moore
Keely - The New York Times
Keelys Accomplishments
Law Suit
Letter from Charles Collier to Ricarde-Seaver
The Connecting Link Between Mind and Matter - Keelys Progress - Part 2
Keely Harassed by Keely Motor Company
Was Keely a fraud?
Page last modified on Tuesday 14 of March, 2017 04:57:30 MDT

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