Evening star. [volume] (Washington, D.C.) 1854-1972, 1893-06-28
FIDEDITY METHODS.
Both Sides Take an Innings In the Case
Today.

Upon the resumption of the Fidelity Asso-
citation hearing this morning Mr. Richard R.
Beall, of counsel for the compliments. asked
permission of the court to submit affidavits ex-
planning his connection with the case and deny
ing absolutely the allegation in the affidavits
submitted yesterday afternoon by the de-
PENDANTS, charging him with improper and I'M
professional conduct
Judge Hagner stated that he would take it
for granted that such allegations were untrue.
and therefore did not consider it proper to al
low such affidavits to be submitted. If they
we're admitted, counter ones would probably
follow on the other side and the case would in
that event never end
Mr.. Beall explained that he merely wished to
deny any and all wrong doing on his part. He
had inaugurated the suit at the express request
of Baltimore attorney. Mr.. ]. ]. Wade. and
he was in no manner connected in the suit with
any rival concern of the Fidelity Association,
as alleged in the answer of the defendants.
Judge Hagner said he thought that state
ment all that was necessary. and Mr.. j. Byrd
Lewis began the argument for the complain
ants.
MR.. LEWIS ARGUES.
Mr.. Lewis read the law of Virginia under
which the association was incorporated and
then compared the rules and bylaws Of the as
ISOLATION. contending that the associa-
ton doing business without war
rant of law and against the rights of
its shareholders. The board Of directors,
claimed Mr.. Lewis, absolutely controlled the
affairs of the association quite irrespective of
what the shareholders might or might not de-
sire. There were in the association three
classes of stockholders, and two of them
The scheme Of the association was
necessarily impracticable, and there
fore at all times in state Of
insolvency. "If such fraudulent concern as
this can exist here" remarked Mr.. Lewis,
'.then the pickpocket and the highwayman
OF 102 months. continued Mr.. Lewis,
for 81 paid in monthly, the as
ISOLATION promised 5000. yet the association
deducted so per cent of the amount paid in for
the purposes of an expense fund, SO 1t was that
for ISL the association promised at the end Of
said MIR. Lewis, 'are not only impracticable,
but they are absurd, and If such a scheme is
not fraud then 1 don't know what fraud is. !"
WILLING TO SUBMIT THE CASE
Mr.. ]. ]. Darlington, on behalf OF the asso-
citation, stated that SO far they were con-
cerned they were quite willing to submit the
case without argument. Mr.. Lewis had
avoided every allegation in the bill and charged
matters not mentioned therein. Not one of the
many amu6E1ts submitted on Dehan OF
the complainants, claimed Mr.. OAR
lington. sustained the two allegations in the
bill OF misrepresentation and misappropriation
Of the funds Of the association. The sksocia-
ton had interposed between it and the stock
holders for the protection of the latter, the
American Trust and Security Company of this
city, and surely that was not the practice or
or purpose of dishonest or fraudulent men.
Referring to the alleged insolvency of the as
| ISOLATION, Mr.. Darlington stated that only four
teen compiainants, shareholders, nine Of whom
could not write, and five we're barely able to do
So had, out Of the many thousands in the associa-
ton. made such an allegation. and some of these
compliments had since the fling of the bill stated
that they had acted under Misrepresentation
and the statements Of others Ii did not seem
to him that any of the allegations in the bill
had been sustained. and he felt confident that
the bill would be dismissed.
At the conclusion of Mr.. Darlingtons argu-
ment, 1245, the court took a recess until /
o'clock.
After recess Mr.. L. C. Williamson briefly
followed on behalf of the defendant and was
followed by Mr.. Richard r. Beall on behalf of
the complainant