The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-04-24

| ncII. there hau never been any charges made
Mr. Field said he would prove that the injunction
granted by Judge Gilbert was procured In good
statements contained In that complaint were believed
ny an the persons concerned to be well founded and
credible Information and that therefore the parties
had right to rely uponi
9 Was or was not the Injunction granted by Judge
Gilbert drawn in good faith not only by yourself,
put Dy counsel and plaintins
O. Were or were not the charges contained in that
complaint believed by you to be well foundeds
Clark objected. Overruled.
q Was or not the Information upon which the
complaint was founded reliable informations
O. VIM You please to give the circumstances under
winch the complaint was prepared
foundeda
Testimony Of Mr.. David Groesbeck with regard to
the sale and purchase of s5,0oo0OO worth OF bonds
and q, me ne interview at Mr. Fields house.
you know Mr.. Daniel Drew A. Yes; for about thir-
amount Of convertible bonds OF the Erie Railway
Company stOck2 A. Yes.
9. When did you become such purchaser A. Feb
Q. At what price did you purchaser A. 72h; it
wa, was stated by Mr.. Drew that could convert the
O. On whose account and at whose risk did you
purchase these bondss A. On my own and on the
| against all loss In the transaction
Q. II there was q profit in the transaction who
Q: And If there was loss that would also be borne
by Mr. Drew, although the purchase was made by
Q. Were those February bonds issueda A. They
were handed to me.
9. How long had you possession of thems A.
Q. Were they convertible into stocki A. They
Q. From whom did you receive that stocka A.
| From the Secretary Of the Company.
q; What disposition did you make of that stocks
Q. Was 1t sold on the market or delIvereds A.
delivered 1t on the Goth February to various parties
whose e ., & %
by you on their sale to be passedp A. To the credit
OF the Erie Company stock account.
z. Between the Sd and 10th Of March there was IS
sued new batch of the stock, bearing date 9TH Of
March: That stock came on the market the 9th or
| sand shares were sold by Heath & Co. Do you know
anything Of the circumstances connected with that
transactionY A. remember hearing it talked of
O. Do you recoect that on q certain day the stock
q What caused thats a. Well. the general i'm.
preston on the street was, that there was new
Q. Was this new batch of stock which caused the
depression part OF the stock you had received in
your purchase OF the 9th February, was it
additionals A. had delivered my stock pre-
viously
@. DO you know can you state the names of the
parties who became the real pretended purchasers
OF the second batch of five millionsa A. can O. ID.
Ashley was a purchaser.
Q. Come to the transaction on the 9Th February at
Mr.. Fields house and state all that passed there
A. On the 5th February was at Mr.. Drew's mousse
in company with Mr.. Green; met Mr.. Gould there;
remember subsequently going with Drew, Gould
and Green to the house OF Mr.. Field; recOl-
lect seeing there Mr.. Belden; recoect hear.
Of Of that affidavit, but not precisely, that ne
OF convertible bonds Of the Erie Railway Company,
aud that 1t was desirable that they should be con-
was produced did not see it drawn up.
Q. How long had you been in the house when that |
AFFIDAVIT was brought outs A. From quarter to
to Mr.. Fields house l was shown into the |
suggested to Mr.. Field that We had better go into
another room; Mr.. Field then went into another
room and lighted the gas; went there, and there
fore where the anldayt was drawn cannot say.
Green was to dispose Off A. Yes, 1t was embodied
in the bill of sale drawn mp and in my possession,
for Mr.. Drew to sign with an order for me to give
q. You had the alleged bondss A. Yes
Q. TO whom did they belong at that timer A.
They belonged to Mr.. Drew.
Q. The arrangement was-a contract was drawn
up transferring them from Drew to Green, and Drew
was TO give an order upon you FOR themS A. Yes, It
Q. Would you have recognized Drew's order in the
Q. Did all the parties there-that is Drew, Gould,
Green and Field-knOw that you had the bonds9 A. |
Q. Was the agreement completed between Green |
and Drew for the purchase Of the bondss A. 1t |
o. Was it signeda A. can't say
9; How W much I delay interviewed vel. between the com
anidayitY A. Immediately on the reading OF the |
bill! Of sale Mr. Green remarked Now let me see the
that then Mr. Dudley Field walked out to the other
room and brought back the afildavit which he read
To step out into the hall with him.
did so, and said he to me then
don't know anything about; dom know the condi-
ton the Erie Railroads. II had been stated that
houses steel rails, &c. Mr. Green added. 81 Would
rather not go on with the thing" every well" said
,.use your own Judgment In the matter" then
10 20 on and will have to find you another party.n
Q. Did you find him another another party A. did.
q. How soon after thiss A. In q quarter Of an
q; Who was that person. A. Mr.; Ashley; went
Fields, where we found Mr. Drew, Mr.. Gould and
Mr.. Dudley Field Jr
ley nrstY A: simply stated that Mr.. Drew wanted
10 see him; made no communication to him Of any
any kind with regard to the business.
D. What was said In Mr.. Ashleys presencea A. I
said TO Mr.. Drew, "Here is Mr.. Ashley--I have said
nothing to him except that you wanted to see hm'
i've millions OF Erie Railroad convertible bonds''
Every wel" said Mr.. Ashley, ~ will buy them at
Mr.. Ashley said, 'Dont you think that is above
the marketS my impression was that they
about 76--can you put them at IS or
making the sale at 77;'. Mr.. Ashley then said,
Very well. ! will take thcm;" Drew then said
10 Ashley sOf course you understand will guaran-
you against all loss the transacton;" to which
Ashley replied, VERY well, that Will make y per-
iecty safe'' Mr.. Field then produced bill OF sale,
which was about the same thing was read TO
Green with the exception OF substituting Ashley's
name for Greens this bill OF sale embraced an order
upon for the delivery OF the bonds, and stated
that Ashley would pay $4,000 down; Ashley, reading
this bill OF sale, remarked that IL was satisfactory.
| and that he supposed Monday morning would be
| time enough to pay the 5000 down, and MI. Drew
| said Certainly
| q. What were the terms Of payment besides pay
| ing $1,000 DOWN ~ There was nothing said about
| the terms OF payment in the document.
q. Was there any provision stipulated Tor the pay
Il hnln In dncnmnnl-