The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1898-01-11

cried Judge Belden. making affidavits,
than you will interrupting me-"
The court held to the same opinion,
however, and the books were sent for.
The witness was shown the bank
book for the Nicollet National bank,
and asked If there were not deposits
in the book aside from the moneys de-
rived from the collateral trust. He said
that this was correct, and he was
asked to compute the amount. While
he did SO, II. F. Brown was called to
the stand on behalf of the defense.
Tell us what you know" said Mr..
Jackson.
The witness, while not a member of
the committee, was one of those who
had gone to examine West Pullman.
1t was a dead town, filed with facto-
ries. He knew before going the amount
of Indebtedness, which was about $780,
900, prior to the second mortgage bonds
He also learned that the first mort
gage was about to be foreclosed and
there was no money to take care of the
first mortgage, although the trust COM
pany had tried TO do so. Some of them
had been to some Chicago company
and they had ridiculed the idea offend
Ing any. A meeting was held there
after, at which it was thought proper
to sell the bonds. He could not recol-
lect everything that was done at that
Did you realize that the question
involved was the disposition of $500 600
of property of the trust?" asked Mr..
Jackson.
Yes, sir. L think so. After examin-
ing the property down there, and the
debts against it, I didn't think it was
very important"
The witness did not examine Mr.
Hampton's plan of reorganization very
closely. He did not have a very clear
remembrance of what was done, it was
so long ago.
Did you understand the plan at the
time?"
Il think did, very clearly, at the
time"
The witness could not remember
whether he had approved of the plan
or not. He presumed he did, because
of the action of the committee.
Did you know at that time that the
company had $4,000 on hand belonging
to that trust?''
II knew they had quite a sum- I
think about that amount. I remember
il was suggested that we use that fund
and 1t was decided that we could not
use it, because it belonged to the cred
itors of that particular fund. I think
that question was submitted to the
court"
But did you suggest to the court
that you had $4,000 on hand?"
Il don't know"
Didn't you carefully conceal 1t from
the court?"
No, sir. When the proposition was
made, it was understood that creditors
were to have notice.
Witness could not state the exact
date when the proposition was made TO
sell the bonds. 1t was too long ago for
him to remember. He did not know
that there was ever any offer but the
one accepted for the bonds The wit
ness was shown the certificate which
he and other members had signed. rel
atiVe to the security of West Pullman
lands. He believed it to be true when
he signed 1t. That completed his eX-
animation
Judge 81 lden came in with a half bushel
OF Cancelled checks and some more hooFs and
Mr. Hamblin again took the stand with his
figures showing that in 1894 there was $261-
1861 deposited from trust collections OF
this S222 cS6S was money for sources other
than the collateral trust. At time the
was but $4,000 deposit in the Nicol!et
National bank. On Feb. !. 1896 there was
HS57S.2S. and March /, 1885. s7.9lO91. There
was a receivership account opened with the
Northwestern National in December 1896
Mr. Jackson wanted TO know 20 what use the
money had been put to deplete the account.
There was no separate collateral trust
fund account" said Mr.. F.annery. There
was a receivers account"
The trust funds were mixed with the re-
cei7 er's fund and they were used from time
to tine to protect the estate of the North
western Guaranty Loan company" said the
witness
How long has this shortage existed?'
asked Mr.. Jackson.
You mean how long had this bank ac-
count been less than this fund? l don't
krow.'
Witness that the ter was all
ia ked ever by the committee ct the time the
bond deal was on. That was not the reason,
however, why the mortgage was not paid.
II was shown that the parties had sll desired
to carry out the rebonding plan for the pu-
chase of the first mortgage, If the trust c M
pany would perform its share and raise
$4,000. Mr.. Jackson showed that some of The
Eastern banks had agreed to take more than
their share of the new bonds. The witness
however, warned Mr. Jackson that he was
fguring on wrong prem Sc.
Il did not figure that they would want the
bonds at par said he. TT would be alb
surd.''
Witness testified that the rebonding pan
was abandoned so far as the Minneapolis
Trust company putting up sSS,0OO shortly
after the committee had visited West Pull
man.
Court adjourned until 10 o'clock this morn
ing.