Wichita eagle. [volume] (Wichita, Kan.) 1886-1890, 1889-01-27
SOME PAN-ELECTRIC HISTORY

WASHINGTON, Jan. 26.-The examination
going On before an examiner in chancery
is bringing out some queer Pan-Electric
history. DR.. J. Harris Rogers, the in
yentor, was on the stand yesterday and to-
day and told story about the shabby
trick played on Senator Vest and two wild
oWs by the directors. 1t must be remember
ed atthese directors were good Democrats
and at least two of them Were in the senate
with Mr.. Vest. Rogers says that when
large amount of money, about $4,000, was
in the Pan Electric telephone treasury Sen
ator Harris, at meeting of the board, pro-
posed to let Senator Vest, two widows and
a Mr.. Howard into the whole scheme, which
would include the Pan-Electric Telephone
company, with it, $4,000 then on hand
but the directors, wishing to keep the
money among themselves, and to
prevent Mr.. Vest and the others from
acquiring any part of it, divided and peck
eted the $4,000, saying that they would
hold it for developing the patents of the
Pan-electric association, in which all were
Interested. 1t was further asserted that
the money would be rs safe in their pock-
cts as in the bank. 1t was by this pro-
cedure that Mr.. Vest and two widows
were TO be let in on an empty treasury.
Mr.. Rogers testified that he agreed to
this arrangement because Mr.. Vest and
the widows would be holders of shares in
all the patents outside of the telephone.
such as the electric light. He asserted
that the directors, after pocketing the
money, refused TO appropriate and apply it
to the purpose originally intended, and
compelled the complainant to use his own
funds to make Developments, and
when at subsequent meet
ing he proposed to appropriate
promote the electric light project in which
Mr.. Vest and the widows had become in
terested, they refused to disgorge more
than 500 and of this he was to furnish $40.
Mr.. Rogers, continuing, stated that he
WAS so Disguised with this parsimony that
he told them TO drop the whole business,
and went in with his own money to do what
ever he could for himself. Mr.. Vest and the
others, but the interest in the telephone
company sold to Mr. Vest and others was
impaired by the previous sale TO the
amount of their ratio in the SIC, 900, which
would not have been the case if the dlrec-
tors and defendants had cOncurred with
him in disgorging the money that had been
pocketed. MIR. Rogers claims to have the
the money to do it and declared he would
carry on the Pan Electric company as
soon as he could get rid of his associates
now in the concern. He further stated
that the defendants took out 5000 of the
funds on the claim that they had ex-
pended before, not on the telephone but on
the twenty other patents; that in SELL
ing the stated rights they put 1t in the
power of Chicago, st. Louis, Texas, Ala
bama and Tennessee to sell stock TO the
telephone, the only litigated patent Of
the lot; in other words, put in the power
of other people to do what they did not do
themselves.
Mr. Rogers was asked here what was
the difference in morals to sell the stock
themselves or to sell by aeent.
An objection was raised that this was
not a question Of morals they We're con-