The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1897-02-10
KOONS ON THE STAND.
Prosecutor in the Phoenix Contract Case
Is CrOss.Examined by Mr.. Palmer.
Turner's Important Testimony.

Wilkes Barre, Feb 9.-George w.
koons the prosecutor was on the wit
ness stand at the opening of the Phoe-
nix Contract company case today. Pre-
vious to adjournment he had been
turned over to Attorney Palmer for
cross examination.
In answer to Mr.. Pamer's questions
he said he first saw Mr.. Spencer some
time in May, 1896, at Scranton. Be
fore this time he had made two ship
mentS to the Phoenix company.
Did you ever sell the Phoenix COM
pany anything which was not your
own?"
"As agent for the Sunbury Iron COM
pany l sold them goods of that COM
pany."
Does the Phoenix company owe the
Sunbury Iron company anything?"
mo, sir"
Witness said he didn't take the So
500 note offered him by the Phoenix
Contract company. He received on
account from the company about 81, 800
In all. Witness attorney bought up
the agricultural implements of the
Phoenix company at auction in New
York city. Mr.. Palmer asked witness
whether if he had taken the "hecto-
graph" notes offered him by defend
ants and also the agricultural imple-
ments he wouldn't have less owing to
him now. This question was objected
to by the defense.
Witness said that in conversation
with Spencer at the time he met him
in Scranton, the latter assured witness
that the Phoenix company was "all
right" and that Aubrey was perfect
ly honest" Aubrey was to come to
New York with me, but Spencer and
he went in room and when they came
out Spencer said he didn't see his way
clear to let Aubrey go.
Witness said that at that time Au-
Drey said he was going to leave the
Phoenix company on account of re-
ceiving only a small salary, and enter
the commission business. II told him
that for all the goods he would sell for
me l would give him a commission"
Then you had confidence that Au-
brey was an honest man." asked Pal
mer.
II trusted him partly"
Would you at that time just as soon
have a thief work for you as an hon
est mani" tartly asked Mr. Palmer
Witness did not directly answer this
question.
Mr.. Palmer showed witness a postal
| card sent by Koons to Spencer on Oc-
| tober 90 1896, asking the latter to give
| prices on spikes etc. Witness admit
ted he sent the solicitation to Mr.. Spen-
Ger to quote prices on the goods"
When you solicited Mr.. Spencer's
| trade at this time didn't ecu regard
him as an honest mani"
! mo, sir, l did not"
! "I3ut still Won wapta1 n do b,,e;,o-r
with him?"
Il wanted the goods from him and
intended to pay him for them"
| The witness, in answe? to a question
| of Mr.. Palmer, admitted that the postal
| was written after witness had Spencer
and Aubrey arrested on the charge OF
| conspiracy.
SOLD BELOW MARKET PRICE.
Fred F. Turner of this city, testified
that he knew Spencer for eight or nine
years and knew Aubrey for one year.
| Did business for the Phoenix Contract
company in this city.
| II went to Scranton at the time the
| Phoenix company was organized" said
| Mr.. Turner. In conversation with Mr..
| Spencer he told me that the company
was going to sell goods below their
market value in order to secure money
to pay notes which Spencer had given
in New York. l went to New York and
sold 1000 kegs of nails for the Phoenix
| company to a broker-James A. Far
rell. They We're sold for 50 base. The
| next day | sold two cars of cast iron
water pipe to the Spring Brook Water
| company, Wilkes Barre, at $40 a gross
| ton. AT the same time / sold the Ply
mouth Water company four cars of
| pipe at the same price per ton. The
sales We're below the ruling market
price. | also sold Phelps Straw & Co.,
through George Lewis, 1900 kegs cf
| nails. The next transaction was the
| sale of a carload of cut nails to c.
Morgans Sons for 81 base After that
| sold five cars or siXty-five tons of cast
iron water pipe to Ward Davenport, of
the Plymouth Water company, for $l9
a gross ton. This was below the ruling
market price as was also the sale of the
nails. A carload of soiled pipe was
shipped here by Koons & Co. to the
Phoenix company which turned it over
to me. ] sold it to several firms in this
| city. The aggregate amount was nine
| tons and / sold 1t at fifteen per cent
less than the market price, on the
| average. 4 carload Of 247 kegs Of nails
! which Mr.. Spencer had informed me
was refused by Mr.. Farrell, OF New
| York, were sent to me at this city
within q month after they reached here
] shipped the nails to the Phoenix Con-
tract company, Scranton. All these
sales were for cash under Mr.. Aubrey's
| instructions"
Mr. Turner also testified that Spen-
Ger and Aubrey told him they had put
$4,000 in bank at Scranton in order to
secure rating with the Bradstreet
agency, and that after this had been
accomplished it was to be taken out.
| Witness stated that when ne made the
above named transactions his CONVEX
sations We're with both Spencer and Au-
brey.
Witness testified that when he asked
Aubrey for settlement the latter told
him that he (Aubrey) had to pay a
large debt Of Spencer's and could not
pay Turner all the commission due him.
What did Spencer or Aubrey say
about the true character of the Phoe-
nix Contract company" asked Mr..
Fell.
Aubrey told me at the Jermyn hotel
that Rooms, of Audenried, had put
Pinkerton detectives on the company S
trail. Aubrey told me that in case
of this kind it is everybody for his own
skim" He requested that / say moth
ing about the conversation and 1 did
not. I did not have anything to do
with the concern after that"
"Did you have any other conversation
with Aubrey as to who got the Phoenix
Contract company up?"
"In my first conversation with Spen-
Ger and Aubrey, Spencer stated that he
| AllhDaN "a