Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1891-06-17
Proceedings Before the Investi-
eating Committee.
THE WITNESSES EXAMINED.
Question as to an Agreement Between the
NJ. Is. & T. and Jay Gould by Which
Gould Was to Have Judgment
Against the i. & G. n.
Special TO the Gazette.

| trust company of New York, consumed the
| ma jor portion of the session by introducing
| in the evidence voluminous petitions, coun-
| ter petitions, pleadings, court records, etc,
| bearing upon the status of the litigation
| instituted by the Missouri, Kansas and
| Texas railway company, the Farmers loan
| and trust company, Jay Gould and others
| affecting the International, and Great
| Northern railway and the receivership.
| The reading of these papers was monoton-
| Gus, and while in progress the committee
room was almost deserted, both by the
| committee and those conducting the case,
| and it was relief when oral testimony was
| introduced.
f. +. Beach was sworn and examined by
| Judge Duncan. Beach testified Re was a
resident of New York city, a lawyer, a
| partner of Simon Sterne and John o. Que
| caly, was counsel for the Missouri, Kansas
| and Texas railway company at Tyler
| there three times in the interest
of this suit, first in March, 1899,
at the September term of the court and in
| February, 1890. when the case came on to
| be heard. The Farmers loan and trust
company resisted intervention on the
ground that the proceedings were irregular
and the cause went over. His recol-
TRANSFERRED. He never heard the
court express impotence, but heard
the court stated he wanted them to be
ready for trial of the case at the September
term. He was not present at the calling of
the case, arrived week after, thought he
asked that the case go off for the term
at the request of the Missouri, Kansas
and Texas railway company. The Farm
ers' loan and trust company were anxious
to try the case. The attorney general, who
was present. was DESTROYS Of having the
case postponed on account Of the
illness of Sterne. The court said
the case had to be set down
for trial in week or two or it would
have to go off for the term. The witness
down for trial in week. Finally the
Farmers loan and trust company withdrew
their bill, thus foreStalling an action of the
court in disposition of the case. We were
not ready. The Farmers loan and trust
company and the state were ready, but the
Missouri, Kansas and Texas had filed
motion for continuance and he had
come to Tyler for that purpose and did not
come to try the case. He introduced 4 mo-
ton for continuance.
In his examination by Judge Clark
the witness stated he represented
the intervenors, and had learned
since coming to Texas that be could not in
and they were not ready for trial. Fore
closure would destroy the stock of the
Missouri, Kansas and Texas in
the International and Great North
ern. 1t may have been at
the instigation of the encouragement
that the case was brought to conclusion
He recollected filing petition to haye the
but appeared in the district court
as an intervenor. The attorney-gen-
eral did move that the case
be continued, but he was and still is of the
impression that the Farmers loan and trust
company made the motion to adjourn fur
Their proceedings.
Duncan, redirect-He believed the Farm
the International and Great North
ern was sham defense and
the Missouri, Kansas and Texas interview
ton was on good grounds and to protect
their stock in the International and Great
Northern.
Mr.. Gresham inquired if the witness
knew of and agreement between the Mis-
souri,, Kansas and Texas and Jay Gould by
which the latter was to have Judgment
against the International and Great
Northern.
The witness refused to answer, as it
would be violating an obligation to his
client to do So He was sustained in his
position by the committee.
The witness was excused.
The motion of the encouragement to
continue the Missouri, Kansas and Texas
intervention was then read and submitted.
Senator johnson was then sworn, and
Intercepted by Alexander. He resided at
Tyler, was lawyer, also a state senator,
was at Austin when the receivers were APP
pointed, went to Tyler shortly
after and before announcement
of the appointment of the receivers He
went because he received telegram from
his partner, asking him to come to Tyler on
important business. He was engaged in
the litigation instituted by the
Missouri, Kansas and Texas railway
and filed the papers in the case.
Gen. Shelly, general counsel of the Mis-
souri,, Kansas and Texas, was there on ap-
pearance day and filed the Intervention of
the Missouri, Kansas and Texas company.
Gen. Shelly subsequently asked to with /
draw the papers on the ground that they
were irregular. Chiffon objected. The
case came on to be heard and the court al
lowed the Missouri, Kansas and Texas to
file demurrer to the answer. After that
his firm was employed by Stern. ]
& Co. to represent the Missouri, Kansas
and Texas in the intervention case When
the case was called Sterne was ILL The
case passed for the day. He appeared the
next day and asked the court to
The Farmers loan and
lFuSG company Vigorously opposed Inc
motion. The Encouragement thought
the case ought to go over another day. The |
third day the case was called and Beach |
another postponement which was |
again opposed. The court ruled he would |
Try the case the last Monday of the term if |
hat was satisfactory. The attorneys APP |
proved this. In the afternoon the case was |
This was at the September |
.erm |
At the February term Mr.. Beach APP |
oeared and finding a defect in the papers |
moved for continuance and after three |
lays of argument all parties, after con-
agreed that the case should |
De continued generally. There were po-
iticA differences some years ago between |
col. Bonner and Acknowledgement Hogg |
There was the Col. Bonner and Herndon /
action and the Chiffon and Finley faction. |
The Encouragement was identified with
he Chilton-Finley faction. These fac |
ions had commended for years for
county, legislative and congressional con-
irol. He had no participation in |
he ''spoils.'' He only made one attempt to
ret into the spoils. That was in connection
With the receivers depository. No pro-
-ision had been made for him or his firm.
lie had signitied that much to Judge Nc
Cord, and he kicked, but his partner kicked |
harder than he did. A month after he got
,ack from Austin McCord came to his Office
md discussed the receivership and said he |!
'ould make $40, 900. He would suggest to
he attorneys of the Farmers
oan and trust company AZ
H~.l- 4