St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1894-09-15
INQUIRY WAS A FARCE
They Claim, Made Solely for
the Purpose Of Clearing
Cakes.
BRAYTON IVES BACK OF 1T,
Findings Of the Master-in-
Chancery Emphatically
Denied.

New YORK, Sept 14.-Ex-President
Henry Willard, of the Northern Pacific
Railroad company, who was charged in
the report of the master.in-chancery,
Carey, in the proceedings against Re-
ceiver Oakes with having made unlaw-
full gain IN his dealings with the North
ern Pacific Railroad company, is in the
Orient. His counsel, Wheeler IL Peck
ham. today made the following state
ment for publication in defense of Mr..
Willard:
Mr.. Peckham said: "lhe statement
in the papers is calculated to do Mr..
Willard great injustice. 1t would be in
ferred that In some legal proceedings
conducted in the ordinary way, to
which Mr.. Willard was party, it had
been adjudged by the master that Mr..
Willard had made illegal gains.
'Nothing could be further from the
fact. In the consolidated suit in the
United States circuit court. Eastern dis
trict of Wisconsin. against the Northern
Pacific Railroad company, Thomas F.
Oakes. its then president, and Messrs.
Rouse and Payne were, by consent of
the railroad company, appointed recelv-
erS.
"This inquiry at Milwaukee was not
made in order to recover anything from
Mr.. Willard. No judgment or decree of
any kind can be rendered affecting him.
The only result that can be effected is
the removal or the retention of Mr..
Oakes as receiver.
Had the inquiry been conducted by
counsel with this view only. the report
would have been that it was not neces.
sary to decide whether there had been
unlawful gains, ETC., by Mr.. Willard or
any other director, inasmuch as it was
clear that Mr.. Oakes neither knew nor
ought to have known of such unlawful
gains.
"The inquiry does not seem to have
been conducted with that view.
"On the contrary, Its one purpose
seems to have been to attack Mr.. Viii
lard. 1t was conducted by the special
antagonist of Mr.. Willard, Mr.. Brayton
Ives. now president OF the Northern Pa
cific.
"Mr. Petit. the petitioners counsel,
put before the master the testimony he
chose. So far as Mr.. Willard was con-
cerned there was no other side. Mr..
Willard had no standing in the proceed
ings and could not be heard. Had he
volunteered as a witness he would have
been subject to examination such as
petitioners counsel chose to give and
without the right to the aid of counsel
and without any control by any court
over the examination.
'"Certainly no counsel would allow his
client 10 be put in such a position. Now
as to the charges made in the report, |
can only say that Mr.. Willard most
emphatically denies any unlawful gains
and any wrong-doing whatever. The
way to try whether Mr.. Willard is
culpable or otherwise is by suit against
him-not to bring in irrelevant matters
on position to remove receivers.
zone such suit was brought about
year ago nominally by one John Swope
really, l understand, by the same
interest which filed the petition to re-
move the receivers. To that suit Mr..
Willard Immediately filed full and
complete answer. The time to take
testimony has long expired and the suit
has been practically abandoned
ssAs to the Charges
reported by Master Carey. Mr.. Willard
is quite as ready to meet them as he was
those of the Swope case, and only after
Judgment in suit brought against
him, and where he has been heard, will
an Intelligent public give the matter any
consideration.
Now. with the testimony taken by
Master Carey | am not familiar. 1t was
presented by Mr.. Petit, Mr. Ives coun-
sci, and, am told, does not warrant the
conclusion. The gist of Mr.. Carey's re-
port seems to be that in regard to the
Northern Pacific d Manitoba rail-
way Mr.. Willard made profit
by reason of reasonable compensa-
tion for his services, and made an un-
reasonable profit. That profit is stated
at 1862. 691.70. The question thus in
the mind of the master seems to have
been one of degree. The master con-
ceded right to Ompensation-but says
Mr.. Willard charged too much. and has
apparently allowed him nothing.
''Clearly that is matter of opinion on
which people will differ and one on
which no one is competent to form an
opinion unless he knows the facts.
meny taken and can form no opinion as
to what conclusion it warrants. l am
told that items of cost amounting to
100000 have been overlooked by the
master. Ii that is so it would reduce
MIR. Wizards compensation or alleged
Illegal gain to Sl62, ,691.60.
But. as l have said, whether the
master has drawn correct conclusions
from the testimony submitted to him
does not seem to me of the least impor-
tance or worthy of the least attention.
"EX.parte proceedings without the
presence of the party charged are too
n0tOriouSly worthless TO attract atten-
ton.
AUDI alteram partem" is so old and
sound rule that even a scandal-loving
public cannot forget it, and until these
mud-throwing enemies of Mr.. Willard
can muster up sufficient courage to
bring and try some suit against him
where he can strike as well as defend.hs
can rely.on an intelligent public rightly
to estimate such proceedings as these"