The New Orleans Democrat., 1876-05-04
THE PIcAYUNE CONTROVERSY.


4
How warHeth swears, and How hs
striveY 10 steal an Organ.
| Yesterday morning Judge Alexander
Walker filed a counter affidavit, in
answer to Warmoth's, in the case in
volving the ownership of the New Or.
leans Picnyuae, now pending before the
United States Circuit Court. The affl-
davit is very long. The following ex-
tracts ars taken from it:
Affiant begins by denying that
at the time of the purchase OF the
Picagune1 by the Herald Company
that the said company was insolvent,
and, Ii 1t became embarrassed, it
was caused blythe acts of said Warmoth,
who appropriated to himself the most
valuable assets OF the company; that 1t
OF two notes OF A. M. Holbrook for $25OO
each, as the consideration for sixty-fiv
shares Of the Herald Company, which
Wartnotb assumed frauJulentiy 60 sell
to said Holbrook; that he had these
notes discounted and appropriated the
proceeds 10 his own use, on the alleged
pretext that the Herald Company was
indebted to him in the sum OF $4,000
Affiant then goes on to say that the
company was not indebted to Warmoth
and the stock belonged to Alex. Walker
and f. G. Hancock, and had been de-
posted with Warmoth on contract.
Then after meeting the various phases
OF the extraordinary transactions
through which the ownership OF the
Picay,n,e has become mystery, and re-
citing that at the time the Herald Com
pany did not owe more than 5000, and
that the good claims due it exceeded
$4,000 !; af1iant says that Warinoth owned
only two shares i'm his name and two
others in the name of Geo. A. Sheridan
that Warmoth owned no shares in the
Picayune Company, having transferred
them to Jos. Hernandez. Other mat
ters are then related concerning the
Picagtne transfers, all Of which have
already been made public. AfI1ant
further states that A.. M. Holbrook,
whilst In charge OF the property of the
Picayune Company, borrowed money
froa Warmoth without the consent or
knowledge of affiant;i that he
further borrowed $500 from the Deputy
Collector Of this port. which debt Is now
due by his succession; that he solicited
the Endorsement and pecuniary aid OF
w. P. Kellogg, Governor, and
other prominent officials and poll
ticians, with the express or i'm
piled agreement that no edi-
torial references should appear in
the columns OF the PicdV'tne unfavor-
able to the public officials and poll
ticians; that he excluded therefrom dis
cussions and criticisms of their acts or
characters. which was right and duty
OF an honest journal; that he further
objected to the discussion of judgments
and opinions in cases Of public interest
rendered by judges, for the reason that
he had personal suits pending before
said Judges, and that he SO circum-
scribed and restricted affiant in the ex-
ercise Of his functions as the chief edi
torials5vFiteEafDrsth paper, as 10 sseri.
ously damage and impair its value and
usefulness as a public journal. That
Chas. i. Howard was participant and
actor in the conspiracy and fraud by
which said establishment was trans
ferred by Hernandez to Holbrook. Affiant
then relates how an attempt was made
to dispossess him of ten shares of the
stock. saying that Howard, had no title.
ownership or even any lien or right of
pledge in SAID stock. That the motive
of said fraud on the part of said How
ard was he refusal of affiant, as editor
of the PlcdVpe, to approve or justify
an editorial in defense of himself in q
private suit, and bitter aud defamatory
criticism of an honorable Judge of one
of the State courts, which editorial was
published with the sanction and by au-
thority Of said Holbrook. That How
ard has, through his pretended pledge
of the stock OF affiant and the purchase
IF the fraudulent notes, (notwithstand-
ing the advice Of q legal friend that
they were. iNegal,) exercised an i'm
proper and eorrnpting influence over
said newspaper, and that he seeks
to continnas the same with the
connivance and consent of the
proprietor Of said paper, and has en-
deavored to Influence the appointment
Of receiver, should the court decide to
appoint one. 6.,, d.. ~rE +.el
Affiant further states that Warmoth
declared In his hearing, and In the pres
ence of a solicitor of this court. that he
or some one in his interest would be APP
pointed as receiver, and in a short
time thereafter his name would appear
at the head ofthe paper as a candidate
for Governor .atthe next election. /
Lying In Walt. .i,r. Il
Last evening, about eight o'clock,