The Portland daily press., 1886-03-23
THE PAN ELECTRIC.

WASHINGTON, March 22.-The examina-
tion of Casey Young was resumed before
the telephone investigating committee this
afternoon. Young said that after the first
meeting of the board of directors of the Pan
Electric Company, when 1t had been agreed
that no stock should be sold on individual
account, Dr. Rogers had transferred $S33.3S0
in stock to Colonel Looney. That gentleman
had come to the witness, and wanted some
thing to show that he held an interest to that
amount. The witness declined at first, but
upon Looney's insisting the witness signed a
paper drawn up by Looney, certifying that
1ooney was entitled to $SS3,330 in stock
when 1t should be issued. A number OF
these papers came to the witness and he had
signed them at first to oblige DR.. Rogers, but
when he learned that the certificates were
being peddled about town he resolved to
resign rather than continue party to the
practice. So he called meetlng OF all the
ington, on January 26, 1885, and it had been
agreed that all outstanding papers that the
witness chad been foolish enough to give"
should be called in and replaced with certiii-
Gates showing that the holders OF the paper
would become entitled to stock when the
validity of the patents had been established.
The witness had suggested that course OF
action, because he believed that the out
standing papers were calculated to deceive
persons as to their real worth. IAere had
been no objection on the part OF any stock
holder to the line of action suggested.
The company never sold dollars worth
of interest in this concern excepting to Sem
ator Vest, Mr.. Howard and those two ladies,
Senator Harris and friends said Mr.. Young
emphatically. With these exceptions nota a
dollar had been received for any interest by
the company. General Johnston's account
showed several assessments in the latter
part of the year 1888 and in the early part of
1884, ranging from 1923 to $40, which witness
were intended to defray the expense OF eX-
periments and tests. Then Gen. Johnston
received three dividends in June and July,
1884, of $298, $7S9 and $500 Gen. John-
Ston's account was counterpart OF the
others. said Mr.. Young. Altogether the
company % received from all sources $S5,Oo2,
and out of that $4,000 was divided among
stockholders, and the balance was expended
as shown in the account books, in the prose-
cution of the enterprise.
Mr.. Millard inquired whether witness had
been opposed to the bringing Of govern
ment suit?
Witness replied he had opposed the man
ner of bringing it. Mr.. Van Benthuysen
told him he was going to make Mr.. Garland
bring the suit, and # Garland would not 90 9.
Witness took Van Benthuysen and his coun-
sci over and introduced them to the Attorney
General One of the counsel stated what
they came for, and Mr.. Garland said he was
interested in telephone company and could
not talk to them about it. Counsel insisted
and Mr.. Cortland said: Gentlemen, | can
not talk ia you on the subject. | am the
attorney of a telephone company and cannot
talk to you Mr.. Van Benthuysen then
said: II have right to have the suit
brought. If the law requires you to bring
suit, will see that it is brought" Mr.. Gar
land said, 81 cannot talk to you" and the
gentlemen then retired. The interview last
ed about five minutes. Mr.. Van Benthnysen
said he would go to the White House about
it, and he did write to the President. He
said he was not going to have his rights
imperled by Mr.. Garland or any one else.
Witness then stated in general terms that
the company could never get Mr.. Garland to
do anything. He attended but two meetings
and never paid any attention to the com
pany. When the company had a suit at st.
Louis it tried to get Mr.. Garland to attend to
it. and Mr.. Garland wrote to lawyer there,
but that was all the action he took.
The committee then adjourned till We'd
nesday noon, in order to afford an opportq-
nifty for the examination of the correspond
ence put in as evidence.