Evening star. [volume] (Washington, D.C.) 1854-1972, 1867-04-01
LOCAL NEW ).


sS5sag Dcrc!orH referred IA >.taf ..,'s
Star 10 an order OF arrest tor Daniel Drew aud
fisk Belden, brokers. which was Issned -
IhuTsoay ~ New York. on the complaint 81
Joseph Is stewart, the assignee Of Leonard
Hnyek, charging hem with wrongful cOnveT-
sion of capital furnished by Hayck for JOint
operation. The affair assumed a new phase
on Friday. being the arrest and imprisonment
Of Leonard Huyck and J. II. Stewart, on the
charge OF conspiring 90 defraud the United
states Government The facts are briefly
these
In the month Of November, 1855, "a arrange
mPnt was effected between Burr. Drew. Ne
Kinley, Wiley. Cohen, Huyck, Baxter, Doruin
aud Bccock, for the formation OF a spool" IA
Erie, and by the terms OF this agreement they
'sgrsen TO speculate jointly IN 10000 shares.
or any part thereof OF the co nmon stock OF
the Erie Railway Company" either 10 buy or
sell. or both, rs the case might be, the loss or
profit TO be divided pro rate upon the amount
OF stock bought and sold. The business 20 be
Gone by Fisk & Belden, as brokers, subject 10
The order OF Z. ID. Burr, was TO furnish, for
Drew and Burr, $500 shares; Huyck, per Fisk
| and Belden, $500 shares; Cohen and Baxter,
l,ICO shares each, and Wiley, DOrnin. Mckm-
| ley and Bocock. $40 shares each, making in
| the aggregate 9OOO shares The stock was fur
nished and IL Is alleged that Huyck, by the
appropriation OF the xSO,0S, was enabled 20
furnish 2.5OO shares " the Erie. The oper-
| auons OF the pool continued for about three
months, and were controlled exclusively by
Drew. though in the name of Burr: on the 29th
| of uary, le66, the stock IN the pool amount
| ed TO 9.3Uu shares, and a further covenant was
| then made IN writing, by which tue parties 20
| the previous agreement consented. ia consid-
eratios OF -, 10 place the Q. 500 shares OF Erie
IN a common operation with Drew. 70 which
he was 10 contribute upwards OF lo.eOO shares
of the same stock.
Huyck became q party 10 all these transac-
tions under the agreements; and 10 is stated
that Fisk and Belden. for the purpose OF com
nltting 10 Drew the control OF Huyck's inter-
ests, concealed from him all knowledge of
secret contracts entered into by Drew and he
others. Burr and Drew nade large sales ana
nnTghASPg NJ he n Of fha Ersa D..n
Company on accounts Of the parties Interested
under the first agreement, their brokers
the result OF which Is not exactly known, but
Stewart charges that these operations were
all profitable and successful, and thai Huyck
on the both of January, 1850, was Justly enti-
tied 10 the moneys which had been advanced
by him, as well as the twenty-five hundred
shares contributed by him and all the profits
accruing therefrom.
In these operations it Is alleged Drew real
lzed profits 10 the amount Of =, ,OOO,OOO and up
wards, all OF which gains, II Is claimed, ought
ts be divided among the parties 70 the two
agreements IN proportion TO the capital in
vested by them m the common enterprise. aud
no portion of which should accrue 70 MN, Tor
the reason thai he failed 10 furnish any pro-
portion of the aggregate stock or 70 allow Fisk
and Belden to keep the accounts OF transac-
tions.
In June, lsG6, Huyck had become insoIvent
ana assigned his interest IN the pool 70 Fisk
AZ Belden. Stewart insists that this assign
ment was, and is IN all respects, fraudulent
and void, for the reasons that Fisk a Belden
were al that time the agents. factors and brO-
kers OF Leonard Huyck, and had withheld
from him all knowledge and Information of
his rights aud interests IN the transactions so
transferred 10 them: that no equivalent was
paid therefor, and that the same was, in law,
fraudulent and void as against the plaintiff.
Stewart. who was then, and still is, a creditor
of Huyck TO the amount OF SI76,OO1.
Stewart, on Thursday, had Drew arrested,
making the above statements n his complalnt
and Drew was held TO bail in the sum of sIJO.-
600. James Fisk, Jr., ana William Belden,
brokers, were also arrested at the same time,
and held IN the sum o; S6p,tsG each. The COM
plant contains also the names Of Emmett ID.
Burr, Leonard Huyck, Andrew Mckinley,
George w. Wiley, II. Henry Baxter. Henry
Cohen, William &. Dornln, and samuel W
Bocock as co-defendants, and sets forth that
on the 9th day OF January, l~67. Joseph r.
Stewart obtained judgment against I.eonara
Huyck for the sum OF ~I7l ,507.Gu, as the amount
OF certain dealings and transactions between
them.
On Friday afternoon another bombsneII was
thrown among the 'sOpeTatoIs' in the shape OF
an order OF arrest issued by the Supreme Court
against Jos. Is. Stewart and Leonard Huyck
fixing bail in each case az S2UO,OOO The gen
tlemen were both quietly appreheDded and es-
corted 10 Ludlow street jaIl.
Saturday bail was offered in the case Of Mr.
Stewart, but be refused unless Huyck could
be released also. An application Will be made
TO-DAY al Supreme Court, Chambers, TO vacate
the order OF arrest when IL is expected thar
some startling revelations Will be made an ref
erence 10 the ''pool operations IN Wall street
/
Merchants National Bank
The case OF Stewart VS.. Drew w. -. de-
veloped the fact that Huyck had assigned %
| Stewart a clam upon what wa. denomlnated
| by ITS managers an ssErie Railway pool. car-
ried on by Drew and associates. Huyck's IN
terest being alleged TO be S3p,OOO
| The government. ascertaInIng these facts
now wishes % make good its loss of about
three Quarters OF a mil lion, sustained in Nav
| lS66, through the failure OF the Merchants
National Bank. in this city. OF which
Huyck was President After IN investigation m
| government claiming a priority OF lien upon
all the assets OF the bank proceedings were IA
| stituted, and Stewart and Huyck Were ar
| rested OF charge Of conspiracy 10 defra.d
| Stewards name appears on the certificate OF
| organization OF the Merchants National Bank
| as a stockholder, having sis hundred shares
| worth S66OOO. Mr.. Stewart denies that be
| was ever connected as an officer or stockhol-
| der Of the bank, his name having been affixed
1 TO the certificate by one Oscar y. Stevens
| during his absence from Washington
| These facts were ELECTED on the Investigation
| before the Committee on Banks and Ban King,
| In July, lSt6.
This action istbrought by the government
| through Jas. &. Kennedy, Receiver of the
| Merchants National Bank, plaintiff, against
| Leonard Huyck and Joseph B. Stewart, de-
| PENDANTS.
| CIRCUIT CoURT-Chief JNstics Cdrtter-To-
day, the case OF Allison Major ast Violet
| Williams, administrator of W. II. Williams
| was concluded. The facts the case are as
| follows: Williams. who was a slaye-deaIer IN
4 $40 nurclaSed the State a VIRGINIA