St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1896-02-19
HE ENDORSED FOR BLETHEN,
AND HAD TO BORROW HEAVILY TO
MEET THE NOTES WHEN
DUIS.
THE CROss-EXAMINATI BEGUN,
Judge Rea Sets a Trap for MIR. Lowry
Which Fails to
Work.

LoWry-Blethen affair yesterday and
Mr.. Lowry was on the spit all day.
His testimony was in nearly all re-
spects a fiat contradiction of that of
Mr.. Blethen. Mr.. Lowry said he didn't
agree to sell the Tribune to Blethen;
didn't agree to recoup him, didn't carry
through the deal with Murphy; didn't
apologize to Blethen, and didn't con-
slider the latter good enough business
man to conduct the Tribune MI
Lowry said he was the indorser for
Blethen to the extent of $161, 900 with
out security, but that Blethen after
ward turned over stock to him. Asked
how he raised the money to pay the
notes, he said he borrowed $50, 900 from
Plat & Woodward, and $4,000 from
the Chase National bank. The rest
was longtime paper.
Mr. Lowry rehearsed the talk about
purchasers, mentioning Murphy,
Pierce, Halford and others. Lowry
had received a letter from William
Henry Smith about March 6, 1891, and
talked to Blethen about it. The lat
ter had said he could not place the
building bonds nor could he sell the
$4,000. Mr.. Lowry said at their first
conference with Murphy Mr.. BIethen
had placed all the liabilities of the
Tribune at $334,500, and wanted to ask
$35O,000. That, he said, would leave
him $4,000. Murphy offered him $685.
600, but that would not cover the liza
bilities. Mr.. Lowry said he urged Mr..
Murphy to buy the Tribune. Later the
three met at the West hotel, and
Blethen said Murphy had agreed to
buy at $S50,00O. Mr.. Lowry said he
had nothing further to do with the
deal.
WAS there any guarantee in this
case"' was asked, but after wrangle
the question was ruled out Mr..
Lowry denied having a dramatic talk
with Mr.. Blethen, in which the latter
demanded an apology
The cross-eXaminatio ton was then COM
menced by Judge Rea The letter of
Lowry's agreement to the contract was
introduced and Lowry stated that it
related to the contract proposed be-
tween William Henry Smith and Bleth-
en- and not that between Blethen.
Haskell and Palmer.
% We're you not interested in the purchase
Il object" said Judge Koon. cts not
proper cross-eXamination.
The objection is sustained said the
SouIl- Ills U ID business ruleQ out.
The court is ruling out a good deal when
he rules out the G OBJ e. said Judge Rea
and the jury. enjoyed laugh at the fun.
AT the afternoon session Mr.. Lowry re-
sumed the stand and very cleverly evaded a
neat trap set for him by Judge Rea, who
misquoted the direct testimony to show that
Lowry had claimed authority from Blethen
to sell the Tribune. very prompt dis
claimer was his retort to Judge Rea. and the
witness continued that he was endeayoring to
help Blethen. He denied that Murphy had
come alone. ostensibly as the representative
of Senator Pierce. Mr.. Lowry thought
Blethen had come in during his first inter-
view and had gone away with Murphy. The
witness specifically denied that he had made
the appointment for the West hotel conference
of the three. They had met in Mr. Murphys
ROOM
what was the size of that room?" asked
Rea io-U' .-pstr s-7ea
Twelve feet one inch by IS feet 9. I could
tell you story about that. thought some
body might ask me. and as the boy said, I
went and measured it,
when did you measure it?"
'After l heard Mr.. Blethen's testimony
wanted to see how far we could get from
him.
Mr.. Lowry characterized the Chicago in
terview as wholly false, the interview on the
train as bad, and the Delevan Smith inter-
view as no better.
Lowry felt called upon to explain to the
press after the hearing was over. He had
very openly asserted that he put s366C0O into
the purchase Of the Tribune. and was not
allowed to go any further with the evidence
In that line as it was not material. This
left the impression that he purchased the
Tribune, which was not the case.
1.-The fact u.s., he said, 81 am very much
out on that deal, much So that IL had
given Mr.. Blethen $1O0, 900 when that sale
was made, and left it, I would have been
ahead, if he had taken those notes off my
hands. l took S166, 900 of preferred stock
which | afterwards 10
Murphy, for which paid s150OOO, making a
loss of $25, 600. I afterwards bought Senator
Pierce's stock, and sold it to Mr.. Murphy at
the same figure I paid for it. l sold bonds
$3O,O00, and also lost two years interest on
Sl5O,OOO, and other interest besides, which
made my loss foot up pretty heavy
w. j. Murphy, president manager of the
Tribune went on the stand, and corroborated
Mr.. Lowry in the West hotel interview. in
which he said Mr.. Blethen had not told the
facts. The witness testimony indicated that
Blethen had not kept books in any kind of
shape; that the Tribune finances were in a
slipshod shape, and could not be ascertained
except by personal canvass among the cred
itors. Mr.. Murphy was asked by Judge Rea
If he was not interested in the case and he
replied that he took the interest any honest
man should take who was in his place and
knew what he did of the way things had
been run.
Mr.. Murphy said Mr. BIethen had mis-
represented matters, and told how his claim
against Blethen for $4,000 had come about.
1t was to the effect that there was just that
amount of Indebtedness above what Mr..
Blethen had represented to him when he
agreed to purchase and the most of it was
upon notes which Blethen had Endorsed with
the name of the Tribune company, and SO
should have been aware of.
Very little cross examination was indulped
In with Mr.. Murphy, and a rest was taken
until today, when the case will probably
be closed.