Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1838-03-15

sWeIS bhOuu DC gwen enc way Or tAe OtneT elmer
belief or disbeef-he should not like to stand before
the public permitting questions to be answered in
roundabout way, and when the question ID put in
more explicit way. to override it.
The Chairman stated that he should net permit any
mere belief to be given in answer.
The Commissioners adjourned till 10 o'clock to-
morrow this) morning.
SECOND DAY.
TUESDAY, March 18th, 1888.
The Committee met pursuant to adjournment at 10
o'clock in the room yesterday. The Chair
man expressed his disappointment at the appearance in
this mornings Herald Of the proceedings OF yesterday
Mr.. George b. Deforest sworn. Is resident OF
New. York in the dry good jobbing business, and
member OF the fir n of Downer Co. Our firm has not
kept regular account with the Phenx Bank
Queslon-Has your firm had any discounts within
the last Is months of the Phenix Bank?
Answer-We have.
Questionable you, for the proceeds of those dis
counts, receive drafts payable at distant places
Answer.-For some OF them did.
Queston-State the transactions most unavorable TO
your house with the Bank
ANSWER have not had time to examine all since
received the subpoena. have examined one. 1t
on the End November 1886. We applied at he Bank
for discount, and obtained one, paper PAYABLE ia
Tennessee Louisiana, Alabama, and Kentucky amount
ing TO Sl392Ol4 the discount which, for interest,
was S2ee.s9; the exchange was S70l.9l the average
exchange on all these places per cent--toek
check on Natchez for the whole proceeds which was
sold at the same time within day for 4 l-2
per cent discount Ii purchased by Shipman x
Corning, to whom paid in addition Ia per cent bro.
kerage
Queston-When you applied TO the bank for this dis
count, was it made condition that you should take
cheqae or draft for the proceeds distant place?
Answer.-lt was.
Qnestion.-Wiih whom did you have the negotiation
for the discount
Answer.-Wi,h Mr.. Deafed, at the Phenix Bank
Questionable any of those come back pro.
tested
Answer-Ther did
Question-What proportion so came back
Answer-Ss 462 "a.
Questionable you pay them up to the Bankl
AHswer.-We did.
Questionable pay them, including expenses, for
protest, hostages, &C.?
Answer.-Yes, amounting to about $50
Question-Did the Bank allow ysu on the payment
of the notes, return Of any ofthe exchange?
Answer.-No.
Questionable you apply for it?
Answer--No.
Ques,ion.-Why did you not apply?
Answer.-For variety of reasons.
Question RI al your house other similar transactions
with the Phenix Bank name about The amount and
about the time
Answer--We have had other transactions from Nov
1886. TO May 1887.
Question.-Abost how many?
Answer-Can't tell the gross amount but rising
$40 900 including the first stated
Question.-Was the exchange charged by the Phenx
Bark at the time the discount above mentioned, the
fall and fair between New York and the places
where the no es discounted were payable
Answer considered the a fair rate.
Queston.--Stae the regular and fair rates of
change. between New York and different places the
South and Southwest during the fall Of 1885, and the
winter and spring of 1887?
AnsweI.-I can only The rates paid in Octo-
Der and November for collection, in 1886. through
banks. On Ohio Gath Oct. per cent; Mississippi.
same date, 12 per cent; Alabama, 18th Oct. l2
Virginia. 18th Oct per cent Tennessee. 10th Oct
Missouri, 18th Nov. North Carolina, cath Nov.
I.g per cent Alabama date
per cent
Cross examined by Mr.. Hall-Who composed the
firm Of Downer 4 Gel
Answer.-Silas p. Downer, Charles ID. Hall, and my
SELF have gentleman Interested with u.s. None Of
them members of the Board of Trade, 1 think, Of
this city.
ton you had with the cashier Of the Phenx Bank,
the End Nov, 1886, when you applied for the discount
you alluded to in your direct examination.
Ans~er-I can't answer tn that particular time.
only state that when applied for discounts to the
cashier Of the bank, applied for them accommo-
daton Ia myself my firm stated to the cashier
at the time applied for the discount
Queston.-you have stated that the discount you APP
piled for granted condition that you would take
the proceeds in draft distant place what was the
conversation you then had, in which that condition was
expressed?
Answer.-I could not state positively what the con-
Quesion--Please state the substance Of your appli-
cation to the cashier, the end Nov; and the SUBJ
stance of his reply7
Answer.-I applied for the discount as an accommo-
dalton; and the was that ir l would take
cheque these distant places could have discount
Imay have asked at the time made the application for
a cheqae on Natchez, New Orleans, or Georgia, as I
knew he in the habit Of granting discounts for
cheques on those places.
Question How did you know the Cashier was in
account there7
Answer had been informed by my aequaint
ances.
Questionable the Cashier inform you at the time Of
your application, give you to understand, that the
Bank had no funds in The civ of New York with which
to discount your foreign paper7
Answer really cannot say with regard to this
particular occasion.
Questionable he ever so inform you, ut any time
before?
Answer-I think he did.
Gu, ston-Was IL before that time
Answer can't state; il might be then, before, or
afterwa ards.
Queston-When you made the application of the
I'd November, did you not know that the bank could
not discount your paper except by giving you funds
on other places
Answer do not know what the bank could do.
When applied for the discount, did not expect 10
get the money in New York; expected, Of course,
TO take a checque.
QUESTIONABLE you state to the Cashier the uses or
purposes to which you intended TO apply the checque
received IN DISCOUNT
Answer-l did not.
Question Your firm have had dealings with other
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