New-York tribune., 1886-03-18

SORT UORDS FOR WILLIAN s. UARNER
Hamilton Cole, the referee in the suit of Holt
u 1oinst Warner has made report in which he
shows a singular dclicacy in regard to the repu-
tation of William ). Warner He mildly re-
marks that Warmers transactions with Ward
we're "peculia1," ;" but he considers the evidence
"wholly insufficient to support finding OF Dad
faith on the part of Warner or participation
"in the frauds of Ward" With a sweet sim
plicity and an innocent trust in human nature
that the good Vicar of Wakefield never quite
con He'd. Mr.. Cole adds: Warner might have
considered that the profits were enormous, he
"might lave thought that they were not
"carned, but there is nothing in these facts 10
naturally cause the inference that Ward was
"obtaining these moneys through fraud or that
the firm of Grant & Ward was insolvent.'
We fear that Mr.. Cole has mistaken his calling.
His extreme aItlessness is out of place in the
profession of the law. \ position which he
would decorate and do justice to would be that
of chaplain in an asylum for idiots.
The report holds that "nO recovery can be
(" had against Warner for the amount Of certain
checks paid to him, for what purpose does not
appear" "Thcsc transactions" in Alr. Coles
opinion, "must be assumed to be valid in the
absence of proof to the contrary Mr..
Warmers "pool' transactions are also pro-
tccted, it seems, it not sufficiently appearing
to Mr.. Cole" that these were not actual
transactions" The evidence. however, cOmpcls
the referee to state that when Grant Il Ward
suspended on May 6, 1884, Mr.. Warner had
received back all the money he had put in and
"tbe sum of 81 255 361 81 i'm addition there to,
and at the same time had obligations of the
firm of Grant g. Ward to a very large
"amount." Warmers friends have tried hard
to throw dust in the eyes OF the public and to
create the impression that he actually put in
more than he took ont with the exception of the
obligations of the firm which he held at the
time of the crash. But the truth is that he got
away with a million aud a quarter in addition
to the obligations.
As TO the transfer oi property made by Ferdl-
nand Ward at the formers evening interview
at his house in brooklyn, on May :, 1884, in
return for wi ch Warner gave to Ward obliga-
tions which he held calling for $57S,5GO Mr..
Cole can see no element of duress - and he
says: "Nor did Warner employ any save
"Iegitimate means to obtain this transfer if he
w as a valid creditor of Grant & Ward But
Mr. Cole holds that he was not valid creditor.
The transfer wholly without considera-
ton, as the obligations were mere waste paper
and could not be enforced against any one
When Warner took the transfers he knew of
tie insolvency of the firm. Mr.. Cole finds that
the receiver of Grant & Ward is entitled to re-
cover from Mr.. Warner the excess of payments
of money to Warner above what he pur into
the hands of the firm and the property trans
ferred by Ward on March Z, 1884. This is not
because of any moral or legal wrong done by
Warner, but on the ground that during the
whole period Of the transactions Of Warner
with Grant g. Ward the firm was hOpelessly
insolvont. The firm being insOlvent its assets
were impressed with trust in favor Of its
creditors, Mr.. Cole says, and these assets can be
followed into the hands of any one who has not
parted with value on the faith OF them. As to
the excess of money received from the firm
over what he paid in, Warner did not part with
value and CNunOt held that excess as against
the firms creditors. But Mr. Cole kindly favOrs
Mr.. Warner and his counsel with this generous
suggestion: " 1t may be that recovery i'll this
" case would depend upon Warmers continued
= possession Of the moneys paid and property
" transferredn Possibly. And it might depend
also on the diligence and energy with which
Julien T. Davies, receiver OF the firm OF Grant
& Ward should pursue Mr. Warner to recover
the money and the property.
How Warner and Work would rejoice to see
in the judgment seat, if they are ever brought |
to trial, so tender and compassionate a nature !
as that of Mr.. Cole. But fortunately Mr.. Cole |
is neither Judge nor District Attorney, and his !
report in a civil proceeding will have not a
feathers weight of influence on the result of IA |
criminal prosecution.