The New York herald., 1875-10-21
THE WATSON ESTATE SUIT.

The suit brought in the name Of the people Of the
State against Margaret NJ Watson to recover from the
Of her late husband County Auditor Watson the
of 81, 729 2s2 o. continued yesterday before
the referee, exJudge Murray Hoffman. As already
stated in the HERALD, the money is alleged to have
been stolen from the city under the Ring admins
traton through conspiracy between the late Auditor
william Tweed, and the official distributor OF the
plumber Woodward At the former hearing Of the
II stated by Mr. Charles o'Conor that
although the amount stolen and claimed in the suit
very large yet it not contemplated the part OF
the people to prove frauds beyond amount which may
be satisfied Of watsons estate estimated $500 O00
and all Of which asserted to have been the fruits OF
his frauds on which the suit Is based At the same
session James H. Ingersoil gave his statement as TO
his having solicited from Tweed and Watson the priv
ilege or furnishing the city with labor and supplies
under agreement TO increase the bills which
honest to the extent Of sxtyve per cent and present
others wholly fraudulent and in fictitious names and
TO divide the stolen proceeds among the members or
the Ring He also identified bills TO the extent Of
nearly 81 600 000 which had been presented and paid
under the fraudulent agreement, and the surplus of
which, over the honest claims, had been divided IN
certain proportions between Tweed, Connolly Sweeny,
Watson, Woodward and himself The plaintiffs
were represented by Mr. Wheeler II. Peckham,
and the defendant by Mr. John II. Strahan.
The hrst witness sworn was Andrew H. Garyey He
testified, IN response 10 questions by Mr. Peckham,
that II 1869 and 1870 he did for the
biis Tor winch additions we're made TO be divided be-
tween other parties he received his instructions
Woodward and Ingcrsoll approved BY Watson, to
the bills; got bis warrants from Woodward all county
bills were audited BY Watson and stamped with a seal;
when he got his warrants he went with Ingersol and
Woodward into the Of the Board OF Superyigorg
and Woodward would ask for his check for the surplus
which was sometimes forty, sometimes sixty or sixty
five per cent; when he complained Of tho figures being
large, Woodward would tell HIM to hurry up
that the amount all rght-they were
Jimmy Watson's own figures; he gave his check
uurftuu nr#ot D.
Woodward deposited the check and then drew his own
checks for the division sometimes he twiuess) drew
the money, which was in large bills-rge he could
get them; he sometimes gave money y Watson him
self; he got forty per Of submitted and
the others got sixty per cent ana al the Interests
other warrants also submitted he got sixty i've per
cent but on them there no Interests Of the war
rants to Penchard he paid out sxty-hye per cent; the
warrants TO eastman were similarly divided;
both penchard and eastman In his
fwitnessg employ, but had nothing to do with the
bls; lie used their by direction of
'those people.D on warrant, date August 80
1870 his order he paid out nifty per cent and all
The interest; that warrant was for altering the records
Of other warrants payable himself be identified
having paid sixty per cent retaining forty per cent
Tor the work all the warrants identified by him. and Of
which a division made with the leaders"
amounted to over $780, 0O0 or the retained a
portion went 10 Watson well as TO the others; be
never made proof anywhere or before any one Of the
Arthur Z. smith was the next witness. He testified
that he was engaged with Mr. Tantor in examining city
accounts as 10 the frauds; formerlygengaRed as
bookkeeeper in the Broadway Bank and Kept the ac-
counts Of Garvey Woodward and Others according 10
those accounts the statements Of Ingerso and Garvoy
we're correct The witness then proceeded to explain
the DIVISION made Of the warrants testified TO
by lngerson and Carney, showing BY the
deposits that the division had been accord
ing 70 the proportion testified 70 BY them, and
ranging from forty TO sxty-lye per cent or most Of
these warrants Watsons percentage paid by checks
ofWoodward, which checks we're deposited by Watson
In the Shoe and Leather Bank Inrersolps habit was
IN some instances TO draw bis check on the Broad
way Bank, deposit IL In the B0wery Bank and draw
against the Bowery Bank for the percentage 10 watson
Woodward usually drew portion Of the divided per
centage In bills and gave Watson his share In cheeks
which we're deposited by the latter IN the Shoe and
Leather Bank OF ali the warrants testified to Watson
shown by the witness to have received not ony his
own share but also that Of some Of his associates lie
checks given 70 him and deposited In the Shoe and
Leather Bank averaged from twelve and a half to df
teen per cent At this point the hearing adjourned
10 three P. NJ
Al the hour 10 which adjournment had been taken
the examination Of witnesses again resumed Mr.
Henry Smith further testified that be mad figured up
all the claims paid warrants 70 lngerso testified
TO- and found them 70 amount 10 $500 4s2 so; these
warrants known class "A and Of this sum In
gersoll retained f241 265 32, and paid for division
4225 216 gs the class Of warrants paid 10 Garvey
amounted 10 1923 924 90, Of which sum no retained
8l42 $50 o. and paid for distribution sls6 3e4 92 all
she warrants known class B, paid 10 both Inger-
soil and Garyoy testified 10 by thcm amounted 70