The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-04-11
How "Gus" Downed Opposition
to the American Sugar Re-
fineries Company.
AGREED TO JOIN THE POOL
But MIR. SearIes Repudiated All His
Fine Promises-Secretar
Uhler's Report.


One of these tribunals will hold court in
the offices of Delmas & Shortridge, with c.
A. Spreckels on the witness stand; the
other will sit in the Office of Rothchild d
Ach, 303 California street, with Claus
Spreckels as the principal witness. There
was disagreement as to the mode OF to-
days procedure between opposing counsel
yesterday afternoon, and Attorney Ach
threatened legal proceedings for contempt
if Claus Spreckels does not appear in re-
spouse to the subpoena served on him by
order of the court.
During yesterdays inquiry the report of
Secretary Uhler of the Philadelphia Sugar
Refinery was held in the hands of Gus
Spreckels, and on this he was questioned
and cross-questioned at great length with
out disclosing anything more lucid or def
mite in the matter at issue, namely, his
account with his father, the defendant,
than was learned during the inquiry on
Tuesday. The witness, after much ques-
tioning admitted that Mr.. Uhler's account
as given and the letter bearing on the sub
ject were both erroneous to some extent.
Considerable time was taken up in dis
cussing the question of adjournment. 1t
had been arranged that the taking of C. A.
Spreckels' deposition should be concluded
yesterday or last night, and that
the taking of Claus Spreckels' deposit
ton should be begun to-day at 10 "A. NJ,
but the witness thus far examined has
declined to answer so many important
questions that the attorneys for Claus
Spreckels find themselves compelled to
submit many of the interrOgatories to the
ruling of the court. This they desire to do
to-day and thereby end the deposition of
c. a. Spreckels. But the attorneys for the
latter would not agree TO this and init
mated that it was merely trick to block
the taking of Claus Spreckels' deposition
to-day or at any time in the future.
Therefore, as the two sides could not agree,
the notary who issued the subpenas for the
inquiry was appealed to. He Immediately
settled the dispute by adiourning the in
quiry and further taking of c. A. Spreck-
els deposition until 10 A. NJ. to-day. That
is also the hour set for taking the deposi-
ton of Claus Spreckels, and Attorney Ach,
with his witness and notary, will start an
opposition inquiry at his own office, with
either himself or his law partner as inter-
locutor.
The inquiry yesterday afternoon began
with certain overtures said to have been
made by the witness in relation to an eff
udQe Dy n1Ll NOO start oil OppOolIlOu
sugar refinery. Mr.. Shortridge said:
believe you stated yesterday that you made
a trip to Europe in 1892. Was that your testi-
mony?
TWAS
Upon your return did you call on J. E.
don't remember that I called on him at
that time. ] did call on him after l made
journey to California and returned. I had
At that time were you a stocKholder in the
American Sugar Refneries Company?
At that time, or during these interviews did
you demand OF Mr.. SearleS that you be taken
care OF by the American Sugar Refneries Com
pany, and as reason for such demand did
you say that you had made nothing out OF the
deal of the Spreckels Sugar Refinery sale in
Philadelphia, and did you say that if you were
not taken care of you would make disclosures
hurtful TO Searles or the corporation which he
at that time represented?
viii state that positively deny any such
demand or request from Mr.. Searles or any one
else.
During these interviews did you demand of
him certain statements OF the American Sugar
Re1neries Company, and did you state that
unless your requests were complied with you
would make an expose OF the sale of the Spreck-
els Sugar Refinery to him or the company he
represented?
don't recall asking him for any statement
and l deny that by any threat or innuendo
sought TO convey 10 Mr.. Searles the effect of
the question put.
brother-in-law, called on Mr.. Searles about
July %, 1898, and made demand on him that
you and he be taken care of by the American
Sugar Refneries Company?
don't know what Mr.. Hoffacker might have
done or might not have done.
During the interviews with Mr. Searles did
you say TO him or make the proposition that
unless you received some compensation, unless
yon were taken care of by him or by the COM
pany which he represented, that you would
organize q sugar company in Philadelphia,
leaning nane-tle
1 did not
Here followed series of questions and
indefinite answers relating to alleged
threats by c. A. Spreckels to organize
sugar-refning company and float the stock
Spreckels attached, right under the noses
of the SearIes and Havemeyers. Mr..
Shortridge said:
So as to end this matter, and to avoid leaving
any part OF it untouched by question, win
ask you if proposition such as have named
was made by you to Mr.. Searles?
The question was objected to by Mr.. Ach.
who instructed the witness that he need not
answer unless he wanted to. Gus, how
ever, replied by making the following
statement:
When was in Europe received letter from
a prominent gentleman in Philadelphia, in
which he asked me whether l would come
DdCk ana 6SLdDllsuJ together. Win 0lmS6l1 and
a number OF friends, a sugar refinery to which
I replied that my health at that particular mo-
ment would not permit me to engage in any
business whatsoever; that l would see him
upon my return from Europe. saw the gen.
tleuan and told him that at the present mo-
ment, with the uncertainty in the tariff and the
possibility of adverse legislation, did not think
1t was proper time to engage in the enterprise;
that later on perhaps may be able TO join him
in such an enterprise. When l went to New
York, and after my return from San Francisco,
during one of my interviews with Mr. Searles.
the question arose as to another refinery. /
informed him that parties were ready to put
up money for q large plant and had offered me
position, or rather, the management OF such
an institution. Mr. Searles begged me to try
and head off the opposition If / could and
stated TO me that If l would do so he would
show me way by which l could make much
more money in the shares of the American SUI
gar Refneries Company than / could possibly
make in engaging in business He stated to me
that they were about to form a pool in the
stock; that is, he, and believe Steve White
and Jim Keene, would be connected with
the pool. By "Steve White" / mean
a prominent broker of New York. Searles
stated that if would do what he requested he
would take care of me, and said TO me further
more that the sum which l might be able to
make would be in the neighboIhood of half
million dollars. told him that did not care
to invest any money, whereupon he said:
"Well, TO insure your good faith in the matter
think you ought to invest, say, at least $780,,