The New York herald., 1870-03-11

versatons were IN Fullerton's ofce they proposed
that should furnish testimony upon which proceed
tngs might be commenced against revenue 0mcers
and distllefs; II was remarked that at that time
great number Of frauds were being committed, and
ing these people to justice: that to furnish this
testimony and my mills would be released and
would be paid Tor my services The conversation VAS
subsequently renewed between Fullerton Beknap
and myself; then agreed 10 furnish the testimony.
| y being agreed tnat Thomas i. smith should
| be irst proceeded against; tney said ne
hs orce and that ie should be compelled 70 pay It
back, and they thought he would pay largely 70 cs-
cape pnDlc prosecution; 1t was mentioned that they
| were TO get warrants nom Mr. Osborn and keep
| them from the knowledge or the authorities TIL
they would and have the cases settled Mr.. Full
| lerton said he had seen Mr.. Osborn, and that he
would issue warrants on proper afidaylts ana not
l time was given 10 make settlements: Mr.. Fuller
ton informed MIN that smith had been arrested by
TO be dspeased with the manner Of the arrest, VIM
| dust, who made the arrest, not being regularly
deDu'lzed by the United states Marshal.
@ Was there any conversation between yourself,
Beknap and Fullerton as to how the receipts were
TO be divided that might arise from these suits? A.
Yes; after te settlement OF the various suits thnt
might arise, and after the payment or the expenses
my understanding was that was to receive one
fourth part Of the net proceeds; II was spoken OF US
moieties.
by Judge woodrun-Do you mean the moiety
which under the law goes TO the iniormer should ne
divided INTO four parts? A. Yes. tAppiause Iol-
lowed the answer)
Witness explained his meaning; that after the
settlement OF the suits and after paying all expenses
the net proceeds To be divided INTO Tour parts
and he was 10 oneourth and also one-loufth
from all moeties arising from proceedings III open
court.
q. Was anything said about cases not to be prose-
ued in open court. A. Yes.
q. what was thatg A. That any benefits thar
might arise from them should be equally divided
after the payment of expenses the $1,000 spoken OF
was my snare OF the iunds in BlrdsalI's hands, and
which claimed for my sefvIces Mr.. Fullerton said
l had a right 10 IL, and got 1t.
CROSS EXAMINATION.
Mr.. Jencks handed The witness TWO letters, which
he ideDtled:-
LETTER FROM FULLERTON TO BIRDsALL.
No. II PINE STREET, August Q, 1868
DEAR srR-My wife is sick at Long Branch, and
i Will be impossible for me 60 be either Mt Albany
deferred. Dr. Bla!sdell complaining most Bit
tery because have failed to make loan of $780,
which he says you promised him. and he says he Is
likely be put out of doors, hepessy ruined for of
formed him that made arrangement with Knox
me to let him have the money. / never heard
the matter mentioned by Mr. Knox. l feel great
sympathy with him, and write to know whether
you wish to make him the loan II you do wish
10 advance the money the Mott mortgage write
telegraph, and will do The last check you 1t
had hoped to meet yobefore you left and exchange for
the correct amount hand him that check OF
the amount and the balance. Shall Write
or telegraph the man In great trouble and u brought
Applause from the crowded audience followed the
reading OF the letter.
This closed the examination OF the witness.
Albert +. Dawson exammed-In June 1868, was
employed in Mr. Fullerton ONCE; was copying CLERK;
the Gropp affidavit (prOduced) was written by him.
This closed the proceedings for the day. and the
court adjourned TIL eleven O'Clock this morning.