Evening star. [volume] (Washington, D.C.) 1854-1972, 1884-05-08
THE SWAIN COURT OF INQUIRY.
MI. BatemAn Under Cross.Examina.
tiOn TODAY.

M. Bateman Under Cross-EXanina.
ton To-day.
fHR STOCK sPKcUIArIoSs OF GENERAL swAn-xu
BUSINESS RELATIONS WITH BATKMAN q 90. Frp-
iHkR kkPLAINkD-A STATEMENT THAT MoRRows
ALLEGED IRREGULARITIES wRRR WE'LL KNOWN AT
THE WAR DEPARTMENT.
After the record of yesterdays proceedings hal
oeen read by the Judge advocate OF the Swain court
OF inquiry this morning, Mr.. A L Bateman took
ene stand for cross-examination.
MI Caikfns requested, for the purpose OF saving
ume, that Mr.. Chandler should state what de-
tense MI. Bateman would have had, according TO
MS view, II the suit OF Bright Humphrey ON the
due bill had been pressed
MI Chandler stated that Mr. Bateman was not
deprived OF any defense he had on this due bill by
lesson OF Its assignment to Bright Humphrey.
Ngnable. A INV
THE MYSTERIES Oh "sHoRr" AND 'LoNG-
MI Caikins then produced a number OF checks
ana other papers that had passed between Gen.
swami ana A. L Bateman & Co. I'm their transac-
uonS Most OF these checks were deposits TO cover
margins In stock transactions and went TO Cen
SWANS credit in his accounts with the bank The
Bateman said did not go TO Gen Swaims credit. AS
as ueuVered TO the bank 10 take up 900 shares
FL %ous See bought ., oy O. Judd Of the White
on morton, Bliss Co. in favor OF A. E. Bateman &
Co. dated May IL. 1882, for 81 100, Mr. Calkns had
TO explain many details concerning the accounts OF
zen. swain In the bank, and TO explain the mys-
ter1es OF short" and 'long." The witness had
never paid TO Gen. Swain any part OF the 500 profits
due to J. Stanley Brown.
sohH CoILATKRAIs OF BROWNS
Tne witness said he had given the due bill before
the money was passed to the credit OF Gen SWAIN
This unusual course was followed because Gen.
swain SAID ne had some collaterals OF Browns
when ne would not surrender until he knew whe-
tner the money was forthcoming. Brown was
then partner In the concern, and said that ne
$1,000 ready TO pass the money TO Swaims credit at
Mr.. Calkins asked If the witness had the power
meanwhile TO prevent Brown from withdrawing
the money II he had chosen to do this
MT. Chandler objected that that was question
~ win state" said the witness, "that may have
oePended on somebody's honor In this matter
he denied that Gen. Swain had left the money
Win the bank as an investment He was Informed
Oy MI Brown that Gen. SWAIN had waived the pay
ment OF the $40 due him ten per cent OF Browns
prOfits.
The witness stated that monthly statements were
Iulnisneu Gen Swain up TO July 1, 1883. He was
croSs-examlned as 70 various debts and credits ap-
pearlng ON the monthly statement OF Gen. Swain's
accounts, showing
ahs STUCK sPEcULATioNs CARRIED on BY GENERAL
through Bateman Co. While these statements
were being furnished Gen. Swain sometimes COM
pialned OF not understanding them, and came 10
the bank to have them explained He once COM
planned that he had given an order to sell his
Omaha preferred at l03k, and instead OF that the
nrm had sold 1t at market rates, making q differ
enee OF s62 50. which the bank thereupon credited
Mr.. Calkins produced a paper purporting TO be a
compilation made by Gen. swain from the various
statements furnished him by the bank. Mr. Bate
shown him by Gen Swain, saying that this was
the first time he had seen it. He denied that Gen
Swain had presented 1t TO him, and said he (Swaim)
could not make out the account TO agree with those
of the bank. He had no doubt Gen. Swain had
brought the statement TO the bank, but IL was In
February last. when the witness was absent I'm
New York. Gen. Swain came into the bank In
November, 1888 and began to complain OF his ac-
counts He said he had mislaid some OF his state
mentS, and could not make them doyetail together
Witness directed the boOkkeeper to give Gen.
swain q complete transcript OF his account
with the bank. After this fnal statement
was made in December, 1888. Gen. Swain ceased
coming to the bank frequently. The witness had
reason to believe that all the statements furnished
Gen. Swain had not been produced. Gen Swain
had authorized witness to purchase a claim before
the french-A American commission for $2.OO0. Gen
SWaims check for s., 900 was deposited In the bank
the claim was purchased. The claim was made
payable TO Bateman Co., IN accordance with
Gen. Swa1m'S Instructions.
The witness denied that he advised Gen Swain
10 invest IN awards, but he did advise him that he
might make profitable investment in claims
After he had the claim for some time Gen Swain
returned IL, saying that 1t was not what he wanted
Gen Swain paid 81 900, and to be paid 81 600 IL
an award was made. The witness was questioned
by Bateman Co., for Gen. SWAIN and said
he advised Gen. Swain. He said he told him that
certain gentlemen, including ex-senator Window.
had organized the Columbia copper mine, and had
get their stock on the ''ground-foor" plan having
paid IS and 40 cents for what was then selling on
the market for $3.50; that the company had got
control OF the outlying mining districts in Mime
Sota ana proposed TO organize Columbia No. 9 and
Columbia No: 8; that had been offered chance
to get 1nin fact, that had been offered the presi-
dency OF one OF the companies but temporarily be-
cause certain Senator, who was to be president,
GlH not care 10 ACT untll MS election came on I'm
Wisconsin: Witness suggested to Swain that it
was good investment
MI. Chandler objected to this testimony as
irrelevant.
'sHELL1Na TIE wooDsr
Mr.. Calkins said Mr.. Chandler was simply
"shelling the woods" to find out what he (Mr
Calkins) wanted to prove. He would say that he
proposed to introduce a letter showing that Mr..
Bateman had bought the stock OF one OF the
auxiliary companies instead OF the main company
for Gen: Swain. He produced the letter, dated
September 18th, 1882, In which Bateman said he
sent Herewith a note from Nv. w. Dr. which
would explain itself, and asked Gen. Swain TO
send him his check for 1000 shares OF Columbia,
No. 2, purchased on his account. The witness
ness which particular mine he wished to invest in
Gen Pope inquired what necessity there was
MI. Caikins said he desired to show that the
agent not having carried out his Instructions Gen
Swain sought by the suit which he brought TO OBJ
tain final settlement OF the whole matter He
wanted only to show that there might have been
an honest difference between two honest men
TIE OLD MAN DIDN'T GET LEFT.
The witness said he had never known Col Nor
row or Col McKibbin before Col Morrow presented
the note OF introduction from Gen. Swain: witness
had not aScertalned from any other source other
than Gen. Swain anything about the standing OF
Col. Morrow. The next conversation he remem-
bered having with Swain was when after IL was
discovered that the pay vouchers had been dupli-
Gated and Implicated, Swain remarked in witness
office, 'the old man did not get Left or something
TO that effect.
The statement by Swain that Morrow had prom
1Sed TO take up the other vouchers with the money
obtained from Bateman & Co.. was made after the
witness had expressed wonder that Swain would
not lend brother officer 500 without taking a Dill
OF sale on his piano, but would recommend him 10
Bateman e. Co.
The witness was cross-examined at considerable
length, going over the testimony he gave yeSter-
day as to statements made by Morrow and by
Swain.
CONCERNING MORRows ACCOUNTS.
Morrow said that he did not consider that
he had committed q fraud on witness, as he
had furnished Gen. Swain a schedule OF
his debts, and supposed witness knew his circum-
stances, and that the vouchers were more I'm the
nature OF his personal notes than OF liens pay
He told MOrrOw that he would not have taken the
vouchers II he had known that they were fraud-
lent The witness said that Morrow made an
agreement to assign his pay to any trustee the
bank would name for their benefit. deducting only
such reasonable sum as they would allow him for
witness said was, he thought generally understood
at the War department.
A SENSATION IN COURT
81 understand" said the witness, othe terms OF
the compromise were submitted to the Secretary OF
Tor Hnvyf lnn now nactor