The Providence news. (Providence [R.I.]) 1891-1906, 1897-02-26
WERE INFLATED
Profits of the M. Steinert
4 Sons Company.
Henry O. Steinert Gave Very
Important Testimony.
Said He Did Not Believe That Arm
strong Had Taken any Money.


Of Warren b. Wesley VS.. NJ. Steinert &
Sons Co., to recover money said to be paid
by the late Cyrus Q. Armstrong TO the
steiuert company, was resumed in the
United States District Court before Judge
Aldrich at 10 O'Clock this morning.
Barton A.Ballou, manufacturing jewsler
who had known Armstrong for twenty
years and had talked with Edward Stein
ert about the alleged defalcstion. said that
Edward Steinert did not believe he haJ
taken the money, but could not convince
the other members Of the corporation of
the fact.
In cross ss-exsmination he said that Mr..
Steinert told him there were false entries
in the book, but after examination they
could not hnd that any money had been
taken.
Henry o. Steinsrt, manager Of the piano
store In Philadelphis, was also called for
the rlaintif. He was the frat manager
Of the Providence store and was in this
city ten years. He came here in 1878 and
employed Armstrong shortly after Begin
ming business. During the dull Aesson ne
told Mr.. Armstrong to increase the
amount on the slips. "This was boy
like" said the witness,"snd why we did
it well, that is hard to tell" He had
heard other mem bers of the concern talk
as to the sdvissbility of raising the slips.
This was done az q matter of fact num-
Der of times, ard for a good many years.
Head book keeper Robinson was en-
ployed to change the books from single
to double entry and this was the first
time that witness knew about any defaI-
cation. That was in the summer of 1892
After the examination the expert and
brother Edward Steinert said that "Cy"
had not taken any money. AT a meeting
Of the new corporation held in New
Haven in March 1893, Mr.. nj. Steinert said
be did not. see how the concern was en-
titled to any money from Armstrong.
Brother Alexander said that ne would get
the money out of Armstrong. lie said,
"You leave IL TO me and I'll get 1t out OF
him II i have to put the handouts on
him."
In cross examination Mr.. Steinert said
that he was not q bookkeeper and was
not expert enough to doctor the books
aud requested Armstrong to do 1t. The
effect was TO secure for him as manager
OF the local nou SO larger share OF the
profits. The amounts were raised OF
course when the business was not good.
Alexander Steinert helped the witness to
raise the semi-snnusl statements.
The witness sold his stock in the corpo
ration in 1894. lie said he was on speak
ing terms with his father but his father
was not on speaking terms with him. He
dis not suggest that the apparent embez-
element was que to the practice of inrint-
AIg tho accounts. He had no influen,
ana Whatever ne had to say would be
promptly squelched by the other mem.
hors OF the family. he said he was not
his fathers son after the dark failure in
Cincinnati.
James w. Beach bookkeeper for the
local house from December 1892 to May
1895 testified that be examined Arm
strong's books. Edward otainert said
that everything would bs confidential
when he began to examine Armstrong;
books. He said the concern wanted to
know whether there was a profit and a
loss and wanted to feel sure as to it's
gnowledge. Mr.. Steineft said that he
did not believe that Armstrong hsd
taken penny, and he was fool to
pay any money hack. Edward Steinert
was opposed to taking any of Arm
strong's money from the II rst.
William Eccles of the firm OF Mann q
Eccles, left the Steinert employment in
1895. lie said that on several occasions he
heard Edward Steinert say that Arm
! strong was fool for paying any money
hack snd that attorneys Miller and Brown
had told him so. Witness heard Edward
stcinert tell bookkeeper Beach that II he
ever had anything to say regarding the
Armstrong matter he would have him ar
rested. He had heard Mr.. Robinson and
MIR. Humes the expert pookkeepers say
that they could not see that Armstrong
hao taken any.
DIR. Edmund Abbott testified that he
was Mr.. Armstrong; family physician.
In Septem bsr, 1892, Armstrong had
| rheumatism aud was very i'll while his
m other diod and the household was much
| atiiicted.. Armstrong himself seemed
toTclY lTOuDleu tuO Coulu Uol bletp. fl5
| said that he could not find physical
| trouble TO account for his condition and
continued to rotice loss of vitality up to-
| the time of the suicide.
Wsrren y. Wesley, the administrator
who brings the suit to recover the money
which Armstrong paid to the Steinerts
| and is q brother in-law of the deceased,
said that in 1892 Armstrong began
| TO fail and became forgetful and absent
minded Masking frequent mistakes and
being unable TO sleep 80 that be began to
| fail in health. A continued falling on
wss remsrked up To the time of his death.
He hau made demands Of MIR. Steinert for
the restitution OF the money paid by
| Armstrong.