The New York herald., 1872-12-06
JAW 9 Q Ul D.
Another Strange Chap
ter in Erie.
A Proposed Motion to Vacate
the Order Of Arrest.
COUNCIL BARLOW's STATEMENT.
The "CDrHer i'm Northwest Moth
ing to DO with It.
The Release Of the Old Board
Not Confirmed.
the EX-PRESlDENI'S ANXIETY TO QDIT.
A Million Of Stocks for a Clean Bill
Of Exemption.
The Release Of the Old Board
Net Confirmed.
the EX-PRESlDENI'S ANXIETY TO QDlT
A Million Of Stocks for Clean Bill
Of Exemption.
why J. G. CAN BE HElD ACCOUNTABLE.

q l. N. Barlow a director OF the Erie Railway
Company, having sgnined bls Willingness TO
answer pertinent questions relative 10 hts knowl-
e4ge Of matters coming within the scope OF the
s0it OF the Erie Railway Company against Jay
Gould, Messrs. Field Sbearmap, counsel for the
latter, prepared the questions noted below, TO
which Mr.. Barrow gave the corresponding replies,
which are 10 be used with view TO the making OF
IN AFFIDAVIT in behalf Of the defendant on a notion
TO vacste the order OF arrest.
The main part OF the testimony relates 10 the
terms OF surrender agreed npon March in the
negotiations between General Sickes and Jay
Gould. Mr. Barlow claims That while General
hickles was an authorized agent OF the new Board
s Directors the release given to the retiring Presi
dent was not absolute, but was to he confirmed
by the new Board after the books had been care
fully examined, and Mr. Gouds statement that he
kad not been guilty OF any misaprropriation OF
RtOcks funds had been verified. The suit against
hr. Gould had been in contemplation two weeks
before the corner" IN Chicago and Northwest,
and the object OF Mr. Watson In nstitutlng 1t and
causing the arrest OF the defendant to recover
what belonged to Erie and not 20 benefit any clique
In wail,street Tho bail fixed upon did not appear
excessive and the witness did not suppose that
there would be any delay III procuring 1t. The evi-
aence is published below in full, with the exception
NJ few questions which Mr.. Barlow's ipiorma ton
.Ad not justify his answering
4 Are you an 0tflcer OF the Erie Railway Com
pany, and were you sueh on November r. aud are
you still such onlcerp A. am a director am
counsel OF the company anu was on November y.
2. When were you first appointed djrector9
A. On March II, 1879; was elected director and
appointed counsellor.
q. Are you one Of committee appointed 10
prosecute this action, anu u So who are The other
A.
Q. wien was Il frst determined 10 bring this
suitf A. Many months ago. unless then pending
the accounts by Mr.. watson, to be sufficient 10
cover the claims Of the company against the de-
fcnCRnt
Q. WHO first broached the subject 10 the directors
Of the company A. don't know; at different
times General Dix, Mr.. Homan Mr.. Lansing and
xlr. Watson spoke Of it ~ necessary whenever the
facts could be obtained.
Q. Was there suit already pending for the
same cause OF action, and if SO was there more
than -one giving the titles OF all such suit or suits
and when they were beGun7 A. remember only
one, the main suit, ID which Martin Smith ap.
ueared.
Q. Was q discontinuance OF any existing suit had
with view to the prosecution OF this suit, and il
asked my partners to discontinue the suit then
pending on the morning OF November - 1872 before
Me BEGINNING OF this one, and believe il was SO
TBR ORDER OF ARREST.
e Dld you on that morning expect TO get the
my partners and Judge Porter would obtain the
order at ten O'Clock.
Q. Did you make any, and, il go, what effort TO.
ward II A. had arranged to give them the
papers for that purpose, which were not all ready
unu seven O'Clock A. N. OF that day, and they were
purpose.
.. Were You at the Court House on that day, and,
j So at what time ana what were you there for
Q. Did you send any word or canse auy commun.
cation TO DC sent TO any persons In Wan street or
In Broad street, respecting the order OF arrest n
so, give their name and occupation. A. / did not
save that communicated the fact mat expected to
have the order by halIpast ten A. NJ ana that Gould
would probably be arrested before eleven clock 10
MIR. Travers, when the order did not come from the
Hall by eleven A. M. sent messenger TO inquire
TIE cause OF the delay; learned that my partner
was sti in consultation with or more OF the
Judges, and would soon be down; about twelve
derstand, the order was granted and it was served
NJ once; was obtained at the earliest practicable
moment and served Immediately thereafter.
q. We're you at that time Interested in the CON-
mon stock OF the Chicago and Northwestern Rail
road Company, or IN Erie Railway stock and II so,
to what extent, and how long had ysu been so in
fefested2 A. ] had no interest in any way in
Northwest; was an owner OF both common and
preferred Erie; purchased part six months or more
ago and the remainder about November nv
total interest was 2, 100 shares of Erie.
z. Had you at that time any contracts outstand-
ing ~ respect 70 the sald Stocks and # go, what
q. Were you interested in any contracts not
ma made Win yourself personally, but IN respect to
q. We're your friends interested in the said
stock, or any contracts respecting it, and ii so,
give their namesf A. don't know anything on
the subject.
Q. Did you at any time have any interview with
Henry N. Smith in respect TO the sad order OF
arrest or in respect to the stock or the said com.
pany, or IN respect to any contracts for the said
Stock at any time between the st and the ga OF No
SemDer last: and ii so, when was your first inter-
view with Mr. smith, and how many such inter-
views did you have? A. had repeated interviews
with Smith for nearly two weeks before the suit,
always III relation to the facts connected with
GOnd's accOunts-none as to stocks, though
understood that he was interested as stock
Speculator In various stocks, including Erie and
Northwest.
9, Did you give any Information in respect to
Iour claim against Mr.. Gould A. had no claim;
he gave me information as the counsel OF the com.
pany almost daily for two weeks.
Smith, Gould, Martin n Co., or extracts from them
sDd u 80, when for the first time A. first saw
1be books OF the firm about November l3 or IA; am
moi certain as 10, date
THE EVIDENCE AID The BAIL.
q. What effect did you think the arrest OF Mr..
VI the stock OF the said Chicago and Northwestern
Railroad Company A. had no opinion TO its
erect erect on Northwest; believed mat an earnest
effort to collect the money due TO the company
from the deicndaut would probably enhance the
market value OF Erie stock; but this had nothing
az TO time or otherwise; in fact, Mr.. Watson be-
Deyed tbat the suit could have been begun many
days before, but from day to day postponed Il
solely because he could not finish his accounts and
~ was neary midnight on the 21st that he was Tor
inc rrst time able to swear TO the afiidavit on
whicu the or0er OF arrest was made.
u Did you think that Mr.. Gould was largely in.
terested ia the stock or In contracts IOr It's pur
Ghase a. had heard that Messrs. Gould CLARK.
sc'eil, and others in combination with them,
were the owners OF all the capital Of Northwest
bnt KNOW nothing on the subject.
DN you not suppose that Il would csnse o
great deprec,ation in the price A. | know
0othbf, nao no opinion, ana III not care.
Y. DO you not tilnk 1t would catige hin 10 fan
In the performance Of his contracts A. No as
supposed from what had heard he and MS Iiicpds
hDose named, owned the whole capfal
G. Did you not think that would he fs al or iriu
rous 10 the recovery OF your claim AGAINST him
A. O1 course knew that his failure womb DAMAGE
the Erie, " be tailed honestly but this snrpesii9n
vas never made by any one J had DO IDEA That he
would fail.
y. was any, and " so, what enort made 10 Oh.
tain an order Of arrest aDd holding to bail al up-
HHFuD Oi nine UliiI0EB Of uQJaiB, IL Bo who Ladr