The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1897-05-05
D0INGS OF A DAY
In LEGISLATURE
CONCLUDED from Page 81

fled him of it's meeting which he at
tended and demanded the privilege OF
being represented by counsel. Your
committee, was, however of opinion
that from the nature Of the proceed
ings it would be improper to grant this
request, a decision which has so often
been announced by similar committees
as to need no further mention here,
it's reasons, therefore, were filed and
are a part of the record of its proceed
ings, and can be seen by reference
thereto. 1t may be proper, although
not necessary, to note that the same
decision had been rendered by the
committee of councils in investigating
this matter when one Of the witnesses
called before 1t demanded to be repre-
sented by counsel, but was refused per-
mission at the instance of the same
counsel who applied for permission to
appear before your committee.
Upon this occasion Mr.. Martin de-
clined to testify, but was finally sub
poenaed to appear before your COM
mittee, which he then did, and denied
that he had ever had the certificate for
5000 shares, or for any other number
of shares; denied that he had given any
money to George A. Pearsch for his
support while he was kept away from
the city during the councilmanic in
Vestigation or for any other purpose;
denied that Mr.. Gale had handed him
the stock in the rooms of the city COM
mittee, and produced a number of blank
forms to be signed by subscribers for
telephones as being the papers which
Gale had handed him on that occasion,
and explained that these papers had
been handed him with the request that
he would get subscribers for the COM
pany's telephones. Mr.. Martin also de-
MED that he knew that Mr. Pigott or
DR.. White had had any of the stock
and denied that he had any communi-
cation with John =. Pearsch during
the sitting of the councilmanic COM
mittee except that after he had been
| examined and on the same day, an in
terview with John Pearsch had been
arranged by telegraph and he had gone
to Trenton to meet him and had after
| wards met him in Camden for the pur-
| pose of using his influence to get him
to appear and testify before the coun-
| ellis committee.
Mr.. Martin acknowledged that he had
executed the proxies above referred TO-
and stated that he had also executed a
transfer of the stock in his name and
| given it to John =. Pearsch.
The large number of certificates made
out for a small but identical number
| of shares. would seem to indicate that
the stock was intended for distribu,
tion among a class, and the fact that
| Mr.. Porter knew, or supposed he knew
| that one member of councils had suct
certificates, indicates a clue by which
the stock can be followed to its tina
destination.
RESULT OF THE INQUIRY.
1.-THE result of the inquiry made into
| the Mutual Automatic Telephone com
| pany by a large number of witnesse!
| mutually corroborrating each other,
the report finds, lis briefly this: Tha
| the Mutual Automatic Telephone com
pany had only a paper organization anC
an actual capital of but 81 900; that 81
| business was known to and managed
by John p. Pearsch, and that all tha
was done by that company, except Onl!
the issue of the twenty shares for th'
81 900 paid in, was wholly without au
by John p. Pearsch, and that all tina
this mere shell of company obtained
of most valuable franchise in thre
weeks after it's organization, although
the same franchise had been Ion!
sought for and denied TO two compa
nies who had demonstrated the boni
fdes of their organization and thei
capacity to build the lines they aske,
the privilege for, and so confer upol
the public the benefit sought from com
| in ta1 n a
certificates for 5000 shares of stock o
the Mutual Automatic company ha,
been given without any consideratio
that appears or was ever alleged, I
have paid into the company therefor"
Your committee recommends tn
adoption of such legislation as will pre-
vent i'm the future the giving away Q
valuable franchises by cities of the frs
class and that additional powers b
conferred upon the committees of coun
ellis to better enable them TO investi
gate and detect abuses in the admins
tration Of the city government, an
herewith submit bills intended TO effeC
these purposes for your consideration
Mr.. McCarrell then moved that til
report be accepted and printed in tn
Legislative Record. This was agree
to. without a dissenting vote.
Mr.. McCarrell moved that $500 copif
of the report be printed I'm pamphlC
form for the use of the legislature, an
this was unanimously agreed to-
HOUSE PROCEEDINGS.
Mr. Piollet. of Bradford. presented
monster petition in the house frol
. grangers and farmers against the pas
age Of the Hamilton road bill, whlc