The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1872-04-09
THE CASE IN COURT.
Attempt to Exclude the Reporters Of the Press
from the Investigation Before the
Commissioner.

Yesterday morning the Tenth National Bank OF
this city summoned, through its officers, APP
pear before Commissioner Davenport and answer
the charge OF Withholding national bank funds from
circulation, which Is an offence under the first sec
ton OF the National Banking law, punishable by
fine OF 81, 900. The AFFIDAVIT OF A. H. Purdy Assist
ant District Attorney sets forth that, on about
the 4th day OF APRIL 1872 large number Of checks
for the payment OF money, to wit, 1or the payment
OF 81 600 0Oo were received and deposited in
tain national bank association known as the
Tenth National Bank OF the city OF New York,
and that thereafter, on said day and year last
aforesaid, said national bank association did with
hold from use certain large amount Of United
States notes and national Dank notes, the exact
amount to the deponent unknown, In violation Of
the act OF Congress OF the United States, approved
February 10. 1862 Wherefore, by reason OF the
premises, deponenr prays this Court that the books
and accounts, and also the officers and directors OF
said national banking association, may be ex-
amned by this Court, and said bank committed to
await the action OF the Grand Jury OF the said
United States for the Southern district OF New York.
Mr.. A. ii. Purdy appeared for the government,
and MI. David dudley Field and Mr. w. II. Fields
for the bank.
This case and the developments naturally ex-
pected to come light the OF the Investl-
CATION the charges against the bank, which to
some extent has had the character OF a ring bank,
is OF the sensations Of the day. From the report
OF the proceedings In Court esterday 1t Will be seen
that most unprecedented attempt made to
bolster up the long strained explanations or the
bank affairs by the expulsion OF the reporters OF the
press. Commissioner Davenport mas taken time to
consider the application OF counsel for The bank;
but 1t would have been better for him to have re-
fused 1t lnstanter. No Star Chamber business In
the United States Courts
THE TESTIMONY.
Edward K. Willard was sworn. He was examined
by MI. Purdg and testlned as follows:-I am one
ers and brokers'; Mr.. Henry N. smith and
MIR. jay Gould are special partners in
aud do not know that have been DONG anything
for him WITHIN tue past ten days; l am not aware
period; the books or the frm viii show; DO not
know that any money was borrowed for Mr.. Gould;
past ten days; don'i think have had any CONVEX
sation with nin on the subject OF borrowing money
in the last ten days; ne has not directed me TO
that the Twelfth National Bank has anything
to do with Mir. Smiths private affairs.
MIR. Purdy, ut this stage OF the investigation OBJ
served that his object IN putting these questions
20 show that Gould and Smith were engaged In
money ION the Twelfth National Bank, which was
an offence against the laws OF the United States,
and the statements 0f Smith ana Gould were peril
nent TO that issue.
Mr. Field said tnat there was no complaint here
against Mr. Smith or MI. Gould. Ii IL was a ques-
ton OF conspiracy the part OF the bank iliev were
not charged as coconsptrators. III so, the evidence
OF their acts would De Of no value until the con-
me witness, replying to tho question. said:--I
have not; think tnat Mr.. Smith remarked that he
thought II was rather nard that man could not
withdraw his money when he chose; cannQt say
whether Gould and Smith were directors q the
bank, but / tniuk they were; told him 1t was
rather good joke; this occurred on Friday or sat-
urday after this big credit of the bank; had no
special conversation with Mr.. Gould on the subject
bota Gould ana Smith kept accounts III the bank,
but did not Dorrow money Tor that account: l AN
not aware tnat during the last ten DAYS negotiated
the money, but leaving II In the hands oil the ender
J am not aware that Mr.. OSBORN or that any meal
Der oil our firm did so.
g Have you seen any check drawn by your house
IN iavor OF ar, Smiths
the President.
OF Mr. Palmer nad been given
recess was tnea taken until three o'clock.
Some time after three O'Clock, when the clse was
| again called on, Mr. William II. Fields, counsel for
President of that establishments, had been sum,
| moncd To attend as witness before the COM
received notice requiring his presence at the
i Clearing House at two O'Clock. Mr.. Palmer stated
that u he could get . through his business at me
| here. AS Qt was now after that hour, aud as he
counseDdid not wish uriher delay. ne would ask the
three O'Clock tomorrow, when he would be ready
togo on. -, -, or,o.o I'M o,,o,.,,
| bur there were otner witnesses subpened, whose
testimony he could not take in point OF narrative
| until Mr.. Palmer examined. lie mad no desire
Mr.. Fleld-The business hours OF the bank are
such that IL IL announcement fof It's president or
olilcers to be away until after three O'Clock.
| MI. Purdy-Any nOur VIII suit me-
the COMMISSIONED VIII not adjourn the case
| until three O'Clock tomorrow. IL must go on to-
morrow this morning.
After some discussion II was finally agreed that
the ease should on this morning NJ twelve O'CLOCK.
| MOTION 10 EXCLUDE TIE REPORTERS
Mr.. Purdy remarked That nc saw quite y number