, 1875-04-17
THE COURTS.
Further Testimony in tho State
Insurance Suit.
Libel Gases Against Mr. Storey set for
Monday Week.


STATE INSURANCE COMPANY.
! EXAMINATION or w1THEssEa
WHEATON, April 16.-The State Insurance
Company case Nas rodumo1 this morning, and 4
perseverance, will accomplish ANYTHING 1t must
III tbs courao OF evonts, toacl, It's end. The TO
port OF The Hhsly dawn Of tho millOpu!um hha 81
iaf bad no ef1nct upon tho oratorlcal dBplaTa. o.
tho counsel In tho case, nor upon tho Cpprt, AMI
To-day. 10 yesterday, q great deal Of tlmo hat
boon fEistcre1 awny.
At tls opening OF the Court this morning tht
plaintiffs offered in oyidencp certain
| RECORDS OF onpEns
made In tho bankruptcy proceedings agalnst tlit
State Insurance Company In tho Dlstliot Court
A. Chicago, which led to lengthy discussion ae
to 9th Tho relevancy OF s,,ct, psi.lapco.
The Court faalIy decided 10 admit tho urdors,
! after which
| - \. c. rEnK1Ss
Vas recalled by the plaiuliifa: Ito know tho
ol1&cofn nE tho National Loan and TrEst Cona-
tanY IN 1911, and wha At ono lime etockholdor
| In tho State Insurance Company. lie eold lis
stock to e. ~: Smith. lie fiji knew Of the con.
dition OF tho Company alter ho was appointed
COMPANY TINT It had a319, 200 deposited with tho
National Loan and Trust Conpnuv, aud hubso-
ct s25f. 900.
cro.s-ezamtned: In reply 10 questions, the
Witne6s explained certain memoranda on the
stnbs Of tho dividend warrants. made by hfs
clerk, Which Indicated to whum tho money was
| paid.
oEanaE olLDsEr
WAS called! uo MAI nnetuber OF tho firm of
Gilbert 4 Sampson In 1871. aud had policy for
SouoD in tho 8tato Insurance Company. ffo
snss'ed With tho Compauy directly after tho fro.
1hc Witueas thcn procoedea to an explanation OF
tie dspohltlon Of Aia caltu, and 70 dotat! cou.
hA tSSF n>A Nf4
alullon, Which wns objected to BY tha attorneys
for tho defense on tle ground OF Its irroie-
yaucy.
Pending The objection tue witness was With
tlon should 30 argued to-lnoftow,, and final
rule OF tue Court obtained, which would not
only Battle the point but servo as = limitation
for tho future OF tho case.
. r. n. FORREST
wns next sworn: Ilo was Cashier Of tho No
chanlch' National Bunk, now in liquidation. 1lo
was chief clcrk In 1872. n. G. Perkins, 40 AS
sgneo, mad in July OF that year a1.0H 81 on de-
posle tnero, and 10 August 5!d7,G79.l2. It ap-
pcarod from tho books tint oil the 2O:h OF Sop.
tombor tbero was drawn flom tho bank S3D,-
65s.i6. on various warrants. II Juno, 1873, Mr.
Perktpa had nhly about 9t00 to bis credit, which
wns Increased to ovof $4,000 III = short timc
Tbs wltue.s Was tlon asked as to tho uaturo OF
tho Court.
was sworn. 11o kue5 George @. Smith and G.
IL. smith, and had done business with tloru In
various ways: l1e bal mover brought. = claim
n3asnss tho Statc Insurance Company. Wituoaa
was shown tho dividend warrants, md asked to
500 II tbs signatures 10 come Of them, purport-
iag % DO stGned by hl1,. ~ero actually 80 signed.
ao did sign thom In Mr. Perkins' office, Ie
proved up the ciama IN bankruptcy. bnt did not
remember how the clRIma were identified. He
iott thca, Ut Pctkins' Office. becauso ho had no
intoreas In taking them away. f1o did not know
Wheshor any ono rccoved sho monc5 on tho war
toreat in them. 1fe had noyer proitod by eign-
Ing them.
Cross-erdmined. ne ],ad neyor entered into
any conspiracy with any body to b1y IN ctaims
nothing Of the assets Or liabilities Of tho Com
pany. Was on Intimate termB with Q. II. Smith,
and would hayo consented to tho uso OF his name
as Ata Assignee.
Redirect: lie had:no7es purchased any c'alus
agntnstthe State Insurance Company, or author
lzed anT one to purchase shcm for him.
cuAnLE5 uoYr,
q Oak Fark, An expert Rccountant vas egoYu -:
He Ind examined tho books Of tho National Loan
and Trust Company, mud did not lind any ep-
count there with t6o state Insurance C,mpanr,
but = debit against tho Aas gneo Of $l67, 009. Ho
found Hoyersl accounts With George s. Smith d
Dro: and some crassres aud alterations. In one
Of TIC i, accounts Smith l. Bro. wore credited
d.
OIL motnoranda Htlll 1egible. as followa SHAY
dsrd account book 3. l. Co., account Bank OF
Chicago" The witness then read tho itoma.
and sht3 thc account was 'closed." bat tho
books did not indicate whero tho ronoy had
gone. Flo found debit against j. u. Smith Of
Sll. .339.G6. Tho "billB receivable" wore then |
road by tho witness showing that many of the |
claims were against tho defendants. Ho did not
una any Y account against tho McMui!eus OF IIor-
ind erasures and alterations. but had found mono
except tbose connected with Tho accoupta OF tho |
deteudnhtd. Tho accounts furnished tue platn- |
tits ~ tho otiicors OF tho bank In question. |
pending bankruptcy proceedings. were then |
accounts in tho books ho examined,
Cross~e1amtncd: Iio found nothing In the |
booRs TO show that any due bills had boea |
bought BY tho hank, or that There had boom any
divlsion OF profits among tho defendants.
J. y. REED,
'wosn, 'sEa He lived in chcago and, In August.
1871. WAS CaslMor OF tho Mochaaic*' National |
Bank. Ihe witneas Was then asked "a to tho de-
oosit Of the f163, 00o in thas bank 10 tho credit
II the Assignee Of the State Insurance Com
psny. Tho question vas objected to, and tho
objection sustained. whon tho witness was al
owed to retire.
ogoaaE II. ROGET,
'Nora: Ho know Tue defendants: uaa brother-
n-lAw OF Q. N. Smith, ind had at the time OF !
;ha fro $3.50 tn policies ID tho State INSURANCE
Company. lle adjusted tho claim NTH ths SEQ
Fetery q ths Company by getting due, bill on
ne Slht OF October. by the advice Of J. .. hlc-
Losn and Trust Company to IiquIdeto M ob!ga-
ion held against lin Of e4,73O Tho vilncss
hen detailed hla financial condition ut The time,
tttef q Which his former testimony betose the
Court vas read to him and recognized.
Cro'a,e1am!ned: lie regarded his no.es bed
y tho Trust Company Is worthless. and his pol
ctea were no hotter. Ilo regarded tho trndo made
"a an even ono.