Evening star., 1896-08-06
THEY TOOK STOCKS.
Phflndelphfa's COuncilmen Proved to
BE Bribe-Takers.


Be Bribe-Takers.
PHILADELPHIA, Pa, August 6-The
senate committee that is inquiring into the
municipal affairs of Philadelphia, which h
yesterday created sensation by beginning
ar inquiry into the Mutual Automatic Tele-
phone scandal. continued its investigation
today. There was large crowd present in
anticipation of even more sensational de-
velopments today. Yesterday Julian C.
Gale. private secretary Of John P Persch
treasurer Of the Mutual Automatic COM
pany. testified that David Martin the re-
publican leader of this city. and State Sen
ator Charles A. Porter, his associate in
politics. had each received 1,i25 shares OF
The compnny's stock. par value. SIG. $50. and
Mr. Martin also received certificates for
ahout 5000 additional shares, divided into
small lots. Mr.. Gales testimony was cor
roborated by George A. Persch, the treas
urer's brother.
The investigation grew out Of the sus-
picious haste with which councils two
years ago passed the ordinances granting
rights to the Mutual Automatic Telephone
Company In preference to older bills grant
ing similar rights to tv o other compa nies
Newspaper charges were made at the
time that small blocks Of stock were given
number Of councilmen to influence their
action and that Messrs. Martin and Porter
who possessed great political influence
the passage of the ordinances
A joint commiitae of councils made an
IL vestigation socn after. but was unable
to make satisfactory report, as the COM
pany5 books were missing and Treasurer
aid Promoter John P Persch. Secretary
Gale and Persch's brother, a clerk in the
CO mpanys office, who were away from rhe
city. could not be brought within the juris.
Giction of the committee.
Gale and Persch testified Yesterday that
they remained away from Philadelphia
most of the time in New York and Trenton
at the instance of Mr.. Martin, who. they
Swore, paid them small sums at fnterva is
for keeping beyond the reach of the com
mittee.
At the time of the councils investigation
Mr.. Martin appeared before the committee
and explained that although the stock stood
in his name on the book, he had never seen
1t; he had. he said. agreed to buy it for $40
share. but afterward declined to do so.
Gale and George A. Persch both say that
Mr.. Martin received the stock and gave
them receipts for it.
Books shown.
Senator Grady. who vigorously opposed
the opening Of the inquiry into the Mutual
Automatic scandal yesterday. was the on.
ly absentee today. John j. Gilroy, secre.
tary Of the Guarantee, Trust and Safe De-
posit COmpsny, which acted as registrar OF
the Mutual Automatic Telephone Company
was the Inst witness today. He produced
the stock book of the company which
showed 5000 shares had been issued In the
name Of John p. Persch, treasurer of the
telephone company. The book afterward
showed this stock cut into blocks of TWEEN.
ty, and six In the name of Julian A. Gale
secretary Of the telephone company and
1.523 shares each In the names of David
Martin and Senator Charles A. Porter
William Hoppla. a lawyer, testified tc
being handed by Gale two powers of at.
torney for l.325 shares each. He declined
to use them and handed them back. Wit.
ness. being shown Photographic copies OF
two proxies. said they looked like the ones
handed him by Gale. These copies, 1t is
said. hear the alleged signatures Of Messrs
Martin and Porter, and later in the inves.
tgation witnesses are expected to testify
to the genuineness of the signatures.
J. H!bbs Buckman. young lawyer told
the committee he received a share Of stock
as his fee for getting a charter for the
company. He said he was a director OF
the company, but knew nothing about It
On one occasion. subsequent to the airina
Of the company's affairs before councils
committee. he went to attend a meeting OF
the directors in Camden. and was forced tc
leave the DOM.