The San Francisco call., 1895-11-19
ernor Budd read the charges against the
directors and then said:

ernor Budd read the charges against the
directors and then said:
Gentlemen, when you were cited to
appear before me, you personally requested
that these charges should he heard IN
private, and 1 replied that l considered
that these charges should be considered in
the presence of members of the press as
they were matters pertaining to the public.
Now l find that, notwithstanding your
plea of non-publicity. you have seen
mt to publish your answer and counter
charges broadcast, and am led to believe
that this has been done with the idea that
the existing public sentiment on behalf OF
your clients would probably tend to In
fiuence my opinion in this matter"
This statement brought John w. Mitch
ell, the attorney for the accused directors,
to his feet, and he announced that the mat
ter had been given to the press because the
Governor had himself suggested 1t.
"This is the first time l ever heard OF
this matter being kept private" he de-
clared. "nor will the stenographic reports
show such to be the case, and nothing
that was contained in that answer was
given out by us until the original was
filed in your Office and became portion of
its archives, and I had forwarded a copy of
it to you at Stockton, as agreed"
'"This is right" retorted the Executive
"but for gentlemen who claim to pos
sess such an excellent defense it seems
strange that you should file such serious
objection to this publication of the COM
plaint before you had chance to prepare
an answer"
II deny having done so," interrupted
Mitchell. Personally l desire full pub
licity."
"We will drop this discussion" re-
turned Governor Budd, land now 1 want
to ask, Mr.. Mitchell, if you can find any
law whereby these directors are authorized
to vote themselves S. per day?"
II know of no law to the contrary, and
they had right to compensation under
the terms of the trust. 1 do not think
tional, nor do I think that the title of the
land is in any way involved"
'Then why did you file those counter
charges 2" sharply demanded the Governor.
Il will answer that question later, when
come to it" replied Mitchell.
can act of the Legislature can never
interfere with trust property, and any
buyer in the State will agree on that
point" said the Governor, ''and I want to
show you, Mr. Mitchell, that when I ap-
point my board-that is, if 1 do remove
these gentlemen-my appointees will be
men of undoubted character, who will not
pay themselves for their services"
There are no men in Los Angeles
County of more undoubted character than
my clients,' said Mr.. Mitchell.
"That may be very true, " rejoined the
Governor. "And now how about those re-
ports made to the Board of Examiners?"
"Well, there were blanks furnished to
those directors, and they understood that
they only had to account for all State
moneys appropriated. The money paid to
the directors was money earned by the
trust
J. G. Newton, the president of the board,
was sworn by the Governor. He said he
had helped pass resolution to pay the
directors $40 a day. The agreement was
made with Mr.. Salisbury, who conducted
the races and the stock parade. If Mr..
Salisbury had not made any profit there
would not have been any payment to the
directors. The agreement was that the
association was to receive 331s per cent
and pay all costs of advertising and other
expenses. They did this because it was
necessary for the success Of the meeting
that they give it their support, and they
could not afford to give the time without
remuneration.
"Did you believe that you were entitled
to this $40 day?" asked the Governor.
HI did ~ was the answer "else would Mt
have taken it."
"You did not make it public?" was the
further question. "You did not have it
placed in the minutes, did your"
mo, it was not placed in the minutes"
the witness answered.
"Now. want to know" questioned the
Governor, "were you advised in regard to
this bill that passed the last Legislature?"
continued on Third Pdge.1