The evening world., 1894-05-10
HAD TOO MUCH STOCK.
Transitional Disclosure in the
Northern Pacific Hearing.
shares for $4,000, 900 Issued on
a Capital Of $4,000.
vice-President searle, OF the Farm
ers, Loan & Trust, q Witness.

,rbe Investigation Into the anairs or
+he chicago and Northern Pacific Rail-
road and the doings of the Willard
cakes management was resumed this
morn,ns at 10 o'clock before Master in
Chancery Cary. In the Mills Building.
Mr.. Boutell, who was examined yes
terday, was not present. having left
on a night train for Chicago.
]. b. Haggin. the millionaire horse
and mine owner, was present In re-
sponse to a summons requesting him to
appear and testify, but after few
minutes delay he was dismissed. to be
Examined at n later day.
L. ID. Searle, Vice-President of the
farmers Loan and Trust Company. was
the first witness called He was asked
to produce certain receipts and vouchers
relating to the issue of the Chicago and
Northern Pacific bonds, and the certifi-
Gates of stock of the three roads which
were consolidated into the q. & n. +.
The orders were to the Trust Company
to deliver the stock.
At this point II was suggested that all
the vouchers, orders. &c, which were in
evidence. should be examined by the
counsel present. and explained and
marked + for identltication Accordingly
pended until the papers could be looked
over
In examining the certificates Of stock.
vouchers, &C., the lawyers came across
certificates of 10000 shares in the Rocky
Fork and Cook City Railroad, which
road was bought by the, Northern Pa
cif1c Company during the Willard re-
Eime; These certificates are now in
the hands of the Farmers Loan 4
Trust Company. under the provisions of
the Northern Pacific consolidated mort
gage.
One of the certificates, No. 6S, repre-
senting 1888 shares of the capital stock
Of the Rocky Fork and Cook City
Thomas F. Oakes. Seven other certifi-
oates for one share each were also
produced, indorsed in blank by, J.. b.
Williams, G. II. Earl George H. Bax-
ter, H., c: Payne and II. G. Rouss in
order that they might sit in the Board
OF Directors.
0fcates. Nice-President Searle, of the
Farmers Loan and Trust, replied that
when was the capital stock of the
Rocky Fork and Cook City Railroad
increased from $4,000 to $1,000, OOO?"
asked Mr.. Petit.
T can give no explanation"
Have you anything to show that the
espitai Ia % was ever actually increased to
mo, I don't think so, but will see."
This practical admission that two
snillions Of stock were issued on capt. Il
kof y74O, 900 created sensation.
Mr.. Petit said he intended to find out
who owned the 1898 shares represented
n certificate No. g. He then produced
Farmers Loan and Trust Company on
July IA. 1890. regarding the Northern
Pacific and Manitoba deal. inclosing the
tors relative to the acquisition Of the
Nanitoba road,
These resolutions were passed on June
ern I p Pacific bonds to pay for the stock
and bonds of the Manitoba. There were
3. 800 600 Of the stock and s5,26OooO of the
bonds to be bought.
ne tell what he knew about this deal
vice-President Searle said that he knew
little or nothing Of IT., Thereupon Mr.
the Northern Pacific and Manitoba
signed by George F. Baxter and made
out to the Farmers Loan and Trust
was ndatsd dated In IN August, August 1893. HIS '"'''''
Before MIR. searie could explain no.
the Trust Company came by this certiT
cate Of st stick afsr the hhearins was ad
After the recess Mr.. Searles testified
that the first certificates of stock of the
Rocky Fork and Cook City Railroad
Loan and Trust Company We're eight In
number, mad were dated June 20, 1890
One certificate was for 1898 shares
pany, mad was transferred to the Farm
ers' Loan and Trust Company against
the consolidated mortgage. The other
certificates were for one share each
made out to Henry Willard, George W
Nichols. Thomas f. Oakes, c. l.. Cobb!
and four others, qualifying them as
directors.
Regarding the $500 shares Of Manitob,
stock. Mr.. Searles said they were date,
July 9. 1890. and made out in the nam
Of the Northern Pacific Company, bu
were subsequently transferred to tn
Farmers Loan and Trust Company a
trustees for the consolidated mortgage
and the bonds issued by the Trust Com
pany to George 8. Baxter, Treasurer o
the Northern Pacific Company. Thi
ended the examination for the day o
Mr.. Searles, and he retired.
The name of c. A. Spofford was thei
called. but met with no response. Mr.
spofford was at one time President o
the Rocky Fort and Cook City Railroad
and also acted as Henry Wizards pri
yate secretary. He is now President o
the Milwaukee Street Railway.
Col. Mcknight asked that as Mr.. Spot
FORD was not represented by counse
that he be given time to appear and no
put In default.
II was explained that he had bee
beard from by telephone and would b
here tomorrow II not to-day.