The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1896-04-25
THE CARLISLE-GRAvES SUIT.
Secretary'S Answer to WOuld-be Bond
Purchasers Charges.
ALLEGED DISCRIMINATION DENIED
The Guardian of the National Treasury
Declares That the Bids of Mr.. Graves
Were Treated in a Regular Manner,
and Denies Graves Statements.

WASHINGTON, April 25.- In the suit
brought by William Graves, of New York,
in the supreme court of the District Of Co
lumbia against the secretary of the
treasury in which he claims that he was,
through the unlawful and hostile action
of the treasury department officials, pre-
vented from securing S4, 100000 of the re
cent issue of per cent bonds, Mr.. Carlisle
yesterday filed an affidavit showing his
side of the case
The affidavit charges Graves with with
holding from the court full recital of the
facts, and with making wrong impress
sions by false recitals, and by garbling
correspondence.
The main ground of Graves complaint,
it is stated, is that he did not promptly re-
ceive notice of the acceptance of his bid,
because it was simply directed to him at
New York, and that by reason of this, and
the refusal of the secretary to extend the
time for depositing the first instalment
of gold, or send the bonds to New York so
that they could be delivered simultane-
ously with the deposit he was wrong
fully deprived of the benefits of his con-
tract. This contention is denied by the
secretary, who recites in detail all of the
facts in connection with Graves bid.
What is regarded as a very significant
fact set out in the affidavit is that Graves,
after hefailed to get an extension of the
time for payment and to get the bonds
sent to New York before payment, made
a second bid, on Feb 10, of 11319 for all
bonds that the secretary might consider
in default on that date, including those
awarded him on his first bid. No refer
ence to this new bid is made in his petit
tion. The most striking feature of the af-
fldavit is the charge that Graves files as an
exhibit to his petition what purports to be
copy of letter written by him Feb. 10
to the secretary, but which contains state
ments which it is said were not in the
original letter and omits statements which
were.
The affidavit states that ON Feb. II
Graves was insisting on his second bid,
having abandoned his first bid and that
the facts in regard to his second bid were
suppressed In his petition.
The affidavit denies the statements in
the petition that Graves made tender at
the New York sub treasury on account of
his allotment, and says that never at any
! time was any tender made by or for him.
1t also denies the averments that Graves
was at all times after he was notified of his
allotment of bonds ready, willing and able
| to pay for them, according to the terms
and conditions of his bid.
! All of the charges in the petition that
! Graves was treated in any wise differently
from other bidders are denied, as is the
statement that bonds were sent to the
sub-treasury at New York for other per
sons before their deposits were made.
The affidavit closes as follows:
''It was necessary that the loan should
be successfully carried through, and in
such away as to prevent gold already in
the treasury from being drawn out of it..
1t was desirable that the loan should be
as widely distributed as possible and
among bona fide bidders.
'None of these ends could have been ac-
complished if irresponsible persons could
have bid, with no limitations as to time,
thus being enabled to keep the govern
ment from realizing on the loan except at
their pleasure, and turning the whole
scheme into mere speculation.
'"The statement that there are still in
the treasury department of the said issue
of bonds undelivered and undisposed of an
amount of bonds exceeding S5,0OO,0OO is
untrue. All the bonds of said 500, OOO,O 900
issue have been sold to bona tide purchas-
ers, in accordance with the terms Of the
circulars Offering the bonds to the public.
Some bonds have not been delivered, but
all of them were disposed of before this
! Detition was Aled "