Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1838-03-13


disceunted7
Answer-No.
Question-Did you make the demand for the re-
turn of the exchanged
Answer-No.
ouestion-Was any thing said about it? Why
did you not make the demand!
Answer-Because we did not think there az any
chance Of getting II back
MIR. Charles c. Carlton was the next witness. is
a resident of New York, and dealer IN French
silk goods; belongs TO the firm OF Nelson, Oai'on
Il Co. The firm has been IN business mere p aoou'
eight years and has kept an account win the hsnA
Bank at least three years, up to this nme prooaoy
longer.
Question-Has your firm within the last eighteen
months, had notes discounted at the Phenx BANK
he proceeds you received for which were drafts under
par in this city?
Answer-We have. The first transaction was on
the 18th Nov, 1886, to the best Of my knowledge.
1t was our own note, drawn IN favor OF j. Delanelo,
ESQ Cashier payable in this city, at rs days. for
Sl20OO The interest on this was Sl79 90 100; for
this received Phenix Bank cheque on Bank at
Natchez (Miss) think the Agricultural Bank;
The proceeds we received were Sll 800 $500. lsold
the Phenx cheque the same day at l-2 per cent dis
sold at the best rate could it was sold through
Shipman, Corning q Co., brokers, who disposed OF It
at a less rate of discount than we ourselves could
get for it in the market.
Questionable the Phenix Bank make II condl-
ten of the discount of that note that you should take
cheuue for the proceeds on Natchex
Answer-It did, The Bank offered us the choice
of two or three other cheques southern and south
western places think they were on Louisville and
Vlcksburgh The condition was that should take
draft on one of these places selected Natchez as
being the best of the three
Az this sta ee of the proceedings Colonel William L.
Stone one of the editors OF the Commercial Aarer,
tiser entered their room and after looking round and
espyng the thick mass of manuscript pages contain
ing a faithful transcript of what had hitherto been
elected he began TO be very nervous and hdgety and
moved close to the table occupied by the ComHls-
sloners, where he employed himself in earwigglng
those gentlemen. The result will be seen anon.
The next transaction was on The 2Sh November,
1886 this was discount upon country paper, due
in February, 1897, payable in Florida, Alabama ana
Mississippi amounting to Sl2, lac. The Bank charg-
ed us interest and per cent additional as exchange,
amounting together to SSl2 50-l0G. l received a
cheque on New Orleans it was Phenx Bank
cheque for the full proceeds, being 81 1888 9l-loo
| Question-What, was 1t under par
Answer per cent.
Question-Did you sell II at that rate? ,
Answer-I did. / sold it at the best rate could
Question-When the Phenix Bank charged you 5
per cent exchange in addition to interest what was
the ordinary rate of exchange on Florida, Alabama,
and Mississippi, upon the best paper. -,
| Answer-f think the charge of per cent was the
fair rate of exchange those places upon good pa
| per: do not mean bank cheques. l wish 10 be un-
dersood that 5pcr cent was far rate isr tnat paper
at that time, or on good paper
Question-Was il a condition of that discount, that
you should receive for the proceeds draft on New
| Orleans?
| Answer-Yes.
Question-Dd any of the notes discounted on the
| last occasion come back protested?
Answer estimated that about ten-twelfths OF the
notes discounted for us by the bank came back pro-
tested these were subsequently, paid up to the Ph9'
nix Bank. The bank did not return as the exchange
Of per cent charged the discount, nor any part oil
it, did not ask for II it was not customary ne.
nsta N
| never had il paid back under such circumstances
should not have expected to have received IL had
asked it, Formerly the rates OF discount were very
small on Southern places, about one or one ana mai
per cent and 1t was small that we never thought
of asking il back. As far my experience gees be-
banks. The notes fofneffy tlse6AHtex III this ciij
payable TO the South and West were generally paid
and very few returned protested.
Cross-examined bv Mr.. Jay-Were the notes which
were discounted for you endorsed by your firm
AHswer-Yes. made the arrangement relating
10 the discount of those notes with Mr.. Deafied.-
| made the arrangements personally with Mr.. Della
field, who was then cashier.
The Chairman here observed that he understood
| there was a reporter for the public press taking
notes; he was not aware of this circumstance until
few minutes ago, and now he had to observe that il
was the wish of the committee that no garbled OF
erpdrte reports should be given, and that no commu
ncaiion should be made TO the public of the evidence
uht the Committee had gone through with the in
vesgation, and made its report to the Legislature
i
and the committee had no authority to exclude re-
Porers they had much right 10 be present as any
body bar for the reasons stated he hoped no report
would be made at present
| Colonel w. l.. Stone then addressed the committee
stating he was not aware that any report was to be
made or that the proceedings would be published il
he had, he would have taken that his report
| er should have been in attendance and would have
published the proceedings every day up to o'clock
he could only say that he would abide by the wish OF
the committee, and he hoped every body else would
/ also
| The Reporter of the Herald remarked that he at
tended TO give faithful account Of the evidence and
all that transplred relating the investigations al
so the observations made by the honorable chairman
with regard TO the suppression Of the report. For
himself the reporter had discretion in the matter
his duty was Aimed to reporting, and not TO pub
fishing and to decide npon that was not within his
province. He would relate to his principal what had
been mentioned on this point, and il would be for the
proprietor and editor Of the paper The reporter repre-
sentcd to decide upon the natter the reporter could
make engagement, as he had no power 10 carry it
into effect. He must however, state that he had APP
piled to Mr. Sibley, and that gentleman had assured
him the court was open one and there could be
Directing to reporting the proceedings.
" The Reporter would remark that he was seat
ed for about an hour under the Charmans nose, and
commenced his notes under his immediate ohserva-
ton.
Mr. Sbley confirmed the statement ofthe Reper er
insofar as il related TO him.