The New York herald., 1872-12-10
THE PHELPs-D0DGE-NELsoN CASE.


Alleged Burglarious Entry OF Phelps,
Dodge Il Co.'s Ohice by an Iron Mer-
chant-The Business s.Secrets'' OF the
Firm Obtained-The Case To BE Fin
ished To-Day.
Yesterday in the Court OF General Sessions, Re-
corder Hackett presiding, the case OF Abram Mel
son, which was specially set down for trial. was
moved by Assistant District Attorney Stewart. The
charge against the defendant, who Is the junior
partner or the firm OF Nelson h Son, iron mer-
chants. is burglary and larceny, growing out Of an
alleged attempt on their part to obtain the busi-
ness secrets OF Phelps, Dodge Co.'s by
entering their premises in the night time. Judge
Fullerton was associated with Assistant Dis
trict Attorney Stewart In conducting the
prosecution, while the defendant was represented
by ex- Recorder Smith and David Dudley Field, Jr.
full account Of this case, it will be remembered,
appeared In the HERALD during the Summer,
which created more than ordinary interest in busi.
ness circles at the time. The court room was
crowded BY merchants and the friends OF the
respective parties and the utmost interest was
manifested In the proceedings.
On motion OF the District Attorney a noUe
proseQxt was entered in the case OF Erick P. Peter
son, who was jointly indicted with Nelson.
Judge Fullerton opened the case at length detail
ing the manner by which the correspondence and
entries in the books OF Phelps, Dodge h Co. were
obtained by the defendant, which was by the con-
nivance Of man named Peterson, the porter and
janitOr OF the building.
member OF the firm or Phelps, Dodge Co., and
enumerated the names that composed the firm.
ahe next witness examined i9r the ion
employment OF Phelps Dodge h Co. about three
years ago, and renamed with them M to the time
OF his arrest In June ast he lived in the building
with his vile and family; his business was to take
care OF the Office and collect checks and drafts
the irm he became acquainted with Nelson, who
traded with the Messrs. Dodge; on Saturday, the
1st OF June, the witness and Nelson were arrested
as they were leaving the office OF Phelps, Dodge h
Co.; the defendant came there at halfpast seven
O'Clock in the evening and remained till halfpast
the Office door, which stood open; in the
afternoon OF that day Nelson asked the witness
IPeterson) told him that he was opposed to his
coming there any more, that Dodge h Co. mad
suspicion that there was something wrong; Nelson
said he wanted particularly TO get into the office
that night for there was something important that
he wanted to find out; the defendant came out or
the United States Hotel and asked II all the clerks
had left; the witness informed him that they had
all gone; Nelson came at half-past seven O'Clock
and said he wanted to see domestic and foreign
letters and kilograms from st. Petersburg; he
asked the witness to leave out OF the safe In the
afternoon the redcoyered letter book. letters and
the oi Reed Saa
charge OF the key OF the safe; certain square box
was placed near Mr.. W. =. Dodge, Jrs, desk in the
night, the key OF which was carried by Mr.. Porter
the cashier The witness said he knew something
OF false key being made Tor the box, but as 1t was
further, that the Indictment did not aege the
stealing Of any articles in that box. Nothing was
abstracted by the defendant only the Information
he obtained which was not an indictabe offence.
Mr.. Fullerton said he had abundant authorities
guilty Of a Constructive" burglary ''''- ""'
The witness proceeded to testify that in the
month OF April Nelson opened the box, which he
got the letter books containing correspondence
with st. Petersburg
on motion Of counsel this evidence was stricken
out.
Peterson said he was arrested with Nelson and
taken to the Beekman street station house. The
corder Smith. but nothing important was elicted.
He said he was in the Tombs for four months, and
was bailed out by Henry Leske, a friend OF his in
was raining, and before left the Office loaned a
common umbrella to Nelson. A silk umbrella
which was mentioned IN the. indictment, was
shown to Witness who identified it as belonging
to VIM. r. Dodge, Jr.
Officer Mclaughlin testified that he aided in ar
resting Nelson, who, after he was brought to the
station house, searched him and found the silk
umbrella shown to him in the leg OF the defend
ants pantaloOnS, and the witness saw him take
the bundle OF blotting paper exhibited from be-
tween his vest and shirt on the small OF his back
An envelope containing certain papers was also
found in his coat pocket which was excluded from
the testimony. Certain keys shown TO the witness
were also found, he said upon Nelson's person;
he had also common umbrella when he was ar
rested.
recess was taken, after which Mr.. Peterson
was recalled and SAID that he understood the con-
tents OF the waste paper baskets were sold to the
waste paper dealers, and that he sometimes sold
waste paper.
Ofiicer Nicholl. Thomas Fisher and Thomas
Sampson also testified to seeing a common UNI
brella in the hand of the defendant at the time OF
the arrest.
brella in question, and identified it his, stating
that he paid sl2 Tor it about week before 1t was
stolen. The witness was shown the package OF
blotting paper and envelopes which were taken
from Nelson, and said that they were similar in
size and texture to what their firm used.
Cross-examned-Nelson having stolen a large
quantity OF stationery from the firm, and the blot
ting paper having been taken from his pack, Mr..
Dodge took 1t for granted that 1t was their prop
erty He further stated that he recognized his (Mr.
DOdge's) private letters which were found In
the defendants premises; the witness had no
recollection OF saying that he would send Nelson
to the state Prison, but probably said that he de-
served to be sent there; there was q civil order
OF arrest granted upon an affidavit by member Of
the 1rm, and Nelson was held TO bail in the sum Of
100000, which was subsequently reduced to
$4,000; the complaint in the civil suit was that
Nelson had continuously stolen valuable informa-
tion and used It, involving great pecunlary loss to
the firm OF Phelps, Dodge 4 Co. Mr.. Dodge said
Nelson and met him once at the rooms OF the Young
Mems Christian Association, but frequently at
their office, and that the firm Of phelps Dodge &
Co. were large importers OF iron and other metals.
Mr.. Smith now proposed to read to the jury the
affidavit OF a member OF the firm upon which the
civil order OF arrest was granted which set forth
the fact that Nelson surreptitousy obtained valua
BILE information from the firm at great loss to
them His offer was made for the purpose OF
showing the animus OF Mr.. Dodge against the ac-
cused. To save time His Honor the Recorder per-
mitted IL to be read.
Mr.. Dodge, in reply to a question, said that the
cipher kilograms received by their firm were trans
lated and the translati0ns were placed in the box
to which Nelson had access.
Daniel w. James testified that the botting paper
shown was similar to that which they used.
Mr.. Fullerton said he closed the case for the
people.
Mr.. Field briefly opened the case for the defence,
stating that the crime OF which Mr.. Nelson was
guilty was "curioslty;'' that knowing how success
full Dodge 4 Co. were in business he sought in
formation from Peterson In order to be equally
successful, and that the alleged theft Of the um-
brella and botting paper ought not to prejudice
him in the eyes OF the jury.
Ii being past the usual hour OF adjournment the
Court adjourned till Tuesday morning.
The case will be concluded to-day.