The record-union., 1893-02-10
HARD ON THE DE LEssEPs.
Father and Son Sentenced to Prison by
q French Court

Father and Son Sentenced to Prison by
French Court.
PARIS, Feb. 9.-EXpectation that the
sentences of prisoners i'll the Panama
trial would be delivered this afternoon
brought eager crowds to the Court of APP
peals building, and five minutes after the
doors were thrown open the room was
packed to suf1ocation. Presiding Judge
Perivier read the decision, after having
/ dismissed the prisoners plea that they
should benefit by the statute of limita-
tions.
The charge of fraudulent proceedings
against Ferdinand de Lesseps, Charles de
Lesseps, Henry Cottu and Marius Fon-
tame were held to be proved. On this
! point the judgment referred to the COM
pany's methods in issuing loans, mem
dacious official bulletins and the persist
ent putting done by the press at the in
stance of the directors.
Ferdinand de Lesseps, aided and
! abeited by his son Charles, NJ. Cottu and
NJ. Fontane, persistently concealed the
operations of the canal company in order
that the quotation of shares might not be
affected uniavorably. The directors dealt
W
far as utility was concerned, were ficti-
tious, and known to be fictitious. The
expenses necessarily attendant upon the
issue of loans weres grossly exaggerated
by the directors, which also constituted a
fraudulent act. The plea of defense, de-
spite the fraudulent acts of the directors,
was not amenable, because the loan es-
! pecially in question had not succeeded.
The decision was pronounced worthless,
in view of the evidence that the directors
scrupled to expose the capital of the COM
pany to risks involved in fresh issue to
aid even the reiterated promises to COM
pIete the canal with the proceeds OF the
loan. Their fraudulent intent was the
same, whether or not the purpose was
carried out The intent was proved by
the fact that the sums paid Baron de
Reinach, Hugo Oberndoerffer ard others
could not be regarded as having been
subscribed for the purpose to which they
were put"
In dealing with Gustave Eif1els' breach
of trust, the decision said Eiffel received
l20,G00.00O francs for the construction of
ten locks, and promised to complete
them by 1890. The evidence had shown
that he had not even purchased the speci-
lied materials necessary III the construc-
ton of the locks. He had pretended,
furthermore, to fulfill the obligation he
had undertaken, while in reality he WAS
simply misappropriating the funds.
In conclusion, Judge Perivier read
! these sentences: Ferdinand de Lessons.
five years. imprisonment and 5000 francs
fine; NJ. Fontaine, two years imprison-
ment and 5000 francs fine; Henry Cottu.
two years Imprisonment and 5000 francs
fine; Gustave Eifel, two years impris-
onment and 10000 francs fine"
Immediately after reading the sentence
Eitiel left the courtroom with counsel,
whom he instructed to appeal to the High
Court of Cessation. Charles de Lesseps
and Marius Fontane remained under ar
rest. Both looked hsggard and disheart-
ened as they departed with Henry Cottu
for the Office of the Public Prosecutor.
The Chamber of Indictments has pub
lshed its reasons for throwing out the
true bill found by NJ. Frangueville
against NJ. Rouvier. While admitting
| that NJ. Rouvier received Il Panama check
for $4,000 francs in 1883 from NJ. Vlasto,
the chamber held that no connection had
been established between the acceptance
OF the money and NJ. Rouvier's vote on
the lottery-loan bill