The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1876-04-01

cred ne had suffered large pccuniary loss; the con-
tract he made with Park for the purchase OF 500
shares executed and delivered to Park on the day
IL purported TO have been made he was aware that the
English laws required stamp 10 DO placed on all
such papers, but he did not know whether or not the
absence OF . stamp invalidatci the contract Tho
question asked whether Park in making the con-
tract. not solicitous Of having the name OF the
American Minister TO England among those OF d.
rcctors. Mr.. Schenck replied that very possibly such
a desire existed in Parks mind but what Park may
have desired had nothing to do with his reasons Tor
entering into the contract with Park; he thought he
was making bargain for himself; he felt
CONFIDENCE IN TUE PROPERTY
all the time and Invested his money as permanent
investments he considered the subscription TO the
stock as bona fde he regretted only that he permitted
came satisfied il, was improper he resigned; he re-
peated that he was convinced he made mistake; he
neither concealed nor proclaimed TO the world his
conduct with Park, being OF private naturc-a pri
vatc transaction.
Mr.. Schenck was Intercepted at length about his
transactions, his testimony being mainly explanatory
OF previous statements. The question was asked Mr.
Schcnck whether the Board OF Directors would hayo
treated him they did in the allotment Of 800 shares
II they had known that he had made private arrange
ment with Park for 500.
Mr. Schenck replied that this arrangement was OF no
concern TO tho drectors Park wanted TO do liberal
thing for him. and BIO lSchenck) wanted to secure
good bargain.
Mr. Faulkner asked whether good faith did not
quire that every coming into the company should
stand on equality.
Mr.. Scncnck answered in the Affirmative; but so far
as Park and himself were concerned Park guaranteed
q dividend OF two per cent month inducement
for him TO take the 500 shares ofstock.
In reply to tho question whether his resignation
director did not the iall in STOCK
Mr. Schenck said II his serious belief that those
who invested in the stock placed less reliance on tho
fact that ho director than the communications
OF Engshmen and others from Salt Lake. representing
the richness OF the mine shares continued TO be bought
and sold after his previous connection with the COM
pany had been pretty much forgotten he was dircc
tor only four weeks; IL the stock fell on its becoming
known that he had ceased to be director II was be-
those bearing down the stock made false repre-
sensations that the Emma mine stock was worth
nothing, as Schenck had abandoned It.
JoHxSoN's CHARACTER.
Mr.. Schcnck asked whether he knew, of his
personal knowledge that tie character OF IL. A. John
son. infamous that he not worthy OF belief,
no had asserted before. Mr.. Schcnck said proofs
would DO furnished this effect; his impress
sion to Johnson's character Tor truth
unfavorablc, because he had u state
ment intimating great deal that was false;
this far his personal knowledge
extended but his information from various quarters
regarding Mr. Johnsons character was not TO tho same
extent as it was IN relation TO Lyon. He was amazed
two thngsfrst, the genaral statement, attrbuting
to him fraudulent connection with the Emma mine
transactions, ana then amazed ut the character Of
the evidence OF Lyon and Johnson mainly on bearsay
or differences which seemed TO imply the truth of all
that alleged. All the mischief intended and false
impressions made were by cunningly contrived nara
tives.
The questions asked by Mr. Faulkner were furnished
by Mr. II. A. johnson, Lyons counsel
The committee adjourned till to morrow.