The herald., 1896-09-17
IN ALLEGED BDNCO GAME
The Spilman Water Stock
Sinks From 75c to lOC
4 DRUG IN The BUSINESS MARKET
|. 7. Nichols, the Mississippi
Tourist, Easy Game
EFFlE LUCAS CLAIMS $4,000
Casey Castleman Testifies 10 the Ben
nett Trial
Frank Romer and w. B. Kennett Sentenced
10 Fifteen Years
A Long Deferred Legal Fee-Miss Mes
bitt Claims Commission-The Di-
vorce Mill in Full Blast-Cases
On Appeal
|. T. Nichols, the Mississippi
Tourist, Easy Game
EFFlE LUCAS CLAIMS $4,000
Casey CastIeman Testifles 10 the Ben
nett Trial
Frank Romer and W. B. Kennett Sentenced
10 Fifteen Years

| Ou Appedl
It is supposed to be, to mans credit
to be without guile-that is from high
| moral standpoint, but it is rather a
misfortune than not in the work. a day
| world.
| This was exemplified yesterday dur
| ing the examination of w. 4. Spilman,
who is charged with having buncoed j.
I. Nichols out of certain moneys with
| the aid of DOC" Green and ]. K War
ren.
Mr.. Nichols is doubtless a very esti-
| lnable gentleman and according to his
| own account, has had varied experience
| in business affairs But back in Missis-
sippi business must be transacted in
| an exceptionally honest manner for Mr..
Nichols seems to have swallowed the
stories regarding Los Angeles invest
ments in general and Spilman suburban
water stock in particular with the eager
ness and avidity supposed to be peculiar
to the gudgeon.
II first met Warren" said Mr.. Nichols
yesterday, in beginning his story on
the witness stand, in the township court,
in the chamber of commerce We got
into conversation and then found that
he came from Kentucky and had lived
| in Texas. The day following he came
around to see me and we took stroll
together. He told me he was being treat
ed by DR.. Green and had to CALI at his
office for some medicine. accompanied
him, and having come out here for my
health l was persuaded to permit the
doctor to examine me. He did so and
told me that he understood my case
thoroughly and could soon fix me up,
| and that so soon as I was able to work
he would get me position. He advised
me to get room near by so that he
could treat me more effectively.
Both DR.. Green and Warren learned
that I had money in the bank and was
| looking for an investment. Warren
| told me he thought of investing in some
| country property and asked me to go
! with him to see it, Green told me it
| was worth my going to see as it offered
good opportunity for investment. 1t
turned out to be mining property in the
| Cahuenga valley. After examining it
Green advised me to telegraph to jack
| son, Miss, for what money was neces-
sary to close the deal. I did telegraph
| but then Warren told me he didn't in
| tend to put any money into the property.
| About the same time Green asked me to
| lend him $500 for three months 1 re-
yused because, as told him. I wanted
| to invest my money all at once. He said
| that was all right, that his ncome from
his practice amounted to from $500 to
| 500 a month, and he could repay me at
| any time 1 wanted the money. He gave
| me some shares of Spilman Suburban
| Water stock and said he was putting his
money into that and wanted the $500 for
| that especial purpose. Warren went on
! Green's note and both men told me what
an excellent investment the water stock
was. They told me they would make an
| arrangement so that I could meet Spill
man. and on September "a, 1895, did
meet him in Green's Office He brought
with him typewriter reports, estimates,
| ETC., of the water works. Green spoke
of having $2S00 in the property and of
| paying $500 a month into it. Spilman
| told me that work was in progress and
that as soon as l got strong he would
give me a job; that there was $4,000 in
bank and money enough in stock taken
| up that would suffice to pay for the con-
struction of the tunel, and that though
the engineers, estimate was $150,000, it
would be completed for 100000.
''.Spilman then asked Warren and my
| self how much stock we wanted. War
rem said he'd take $4,000. Spilman said
| he only had limited amount but he'd
| let us have it for rs cents on the dollar.
1 said I'd take $500 worth of stock and
| an option on $4,000 more. Warren drew his
| check on the First National bank. as
understood 1t, for $250O. I asked Spilman
| If he would take Green's note in part
| payment and he said he would, and then
| I offered to go to my room and get my
check book. He said that would not be
| necessary, for we. might just as well
| go to the bank and get the money. We
did so and I drew $500, all the money
had for the full amount I had tee-
graphed for had not arrived. With
| Green's note for $500 ] was left in Spill
mans debt to the amount of 5000. War
| rem said he'd lend it to me and don't
| know whether he included it in his check
or not. Knowing my money was on the
way, I gave Warren my check on the
| California bank for 5000. but hN brought
| it back, saying that the money hadn't
| arrived. Later l went with him and got
| the money and paid the 5000 debt he
| had assumed for me.
Meantime Green advised me to go
and room at Pasadena for a change.
| and that 1 would have the chance there
| of meeting number of people interested
| in the water scheme. did go there and
with Mr.. Spilman met Mr.. Brooks. Mr.
| Green and others. Both Doc" Green
and Spilman had told me before that
| Ex-Governor Markham and Banker
| Green held stock and were backing the
water scheme. 1 remained at Pasadena
| for about two weeks. Spilman spent the
| night there frequently and l then told
| him that I had been little hasty and
| wouldn't he release me from taking
| delivery of the stock, as WANTED to be
at liberty to return home. He replied
that he'd turned the money in to the
| company, but he knew young man
who would take the stock and he would
be responsible for the money. When
| Spilman next came he brought A. r.
| Frazer with him, ard stated the young
man was sick. He said Frazer had
| $4,000 worth of stock and was taking
$4,000. 1 accompanied them to Glendale
| to see the works. and saw the stakes laid
out, and had shown me what was going
to be done in the future. Upon return
| ing Spilman told Frazer he was collect
ing the money on all outstanding stock,
as the company wanted to put the thing
through. Frazer told me privately that
he was pressed for money and would let
me have a block of stock for $685.
The thirty days time allowed me to
take up the $4,000 block of stock expired,
and told Srilman couldn't take it
up. and 80 he had better dispose of it
| and not hold for me- He said he'd
give me more time. but objected, and
said didn't feel justified In carrying SO