The Providence news. (Providence [R.I.]) 1891-1906, 1898-10-06
SENATOR QUAY
BOUND OVER
His Son and Mckee Have
Also Been Held.
PROBABLE CAUSE FOUND.
-ifarTEH eslflU a-.IJI - 80. Too
Ev denc. Sh0w:d That States
Money Had Been Drawn On.
CASHIERS MEMORANDUM USED.

SENATOR Quay. his son, Richard r. Quay
and Charles III. Mckee of Pittsburg on
the charge of using state funds i'm the
Peoples bank for speculating purpose,
for their own profit was begun befor,
Magistrate Jermon yesterday. Tht
hearing room was crowded with promi.
nent politicians. lawyers and others
Counsel for defendants made hard figh
on the point OF insufficient evidence t.
establish a prima facie case and com.
batted the prosecution at every point
The defense used every endeavor tc
force the prosecution to show who nae
instigated or inspired the charges.
In furtherance Of this object. counse
for defendants endeavored TO have
called as a witness Detective Meyers
who had made the affidavit upon whict
the warrants of arrest were issued. Dis.
trict Attorney Graham, however
claimed that he had other evidence t.
establish case and refused to call Mey.
ers. He called Receiver Barlow an6
Teller Tabor of the Peoples bank, who
testified TO having found certain letter.
and kilograms in the desk of Cashier
Hopkins. after the latters suicide
which, II was claimed, implicated the
defendants in a conspiracy with the
cashier for the use of the funds. Ger.
tain memoranda OF Cashier Hopkins
were presented, and against the admis.
sion OF this evidence defendants coun.
sci made strong objection. The district
attorney finally presented as evidenc,
the letters and telegrams
rrl.1
urer Haywood to President McManes oi
the Peoples bank. 1t was dated July
20 1896, and Informed McManes that the
states deposit in the bank would be
Increased from $500. 900 to 5000 900 the fol-
lowing week provided Richard X. Quay
was permitted to borrow 100000. \
telegram dated a week later from Hay,
wood TO Cashier Hopkins notified the |
latter OF. the letter 10 the president of |
the bank. Evidence was presented &c |
show that the loan TO Richard Quay had |
been made. Cross-examination eliciteo |
the fact that the loan had been cancelled |
since the bank had gone into liquidation |
which wasin March last.
Other letters and kilograms were read |
several OF which were from Senator |
Quay TO Cashier Hopkins. directing him
giving directions relative to the transfer
OF other stock through the broker firm
OF George a. Huhn OF Philadelphia. 1t
was shown that the promised deposit re-
ferred to by Haywood was made. $780,
600 being being deposited on Aug. /. 1896.
and 100000 on Aug. 3. A telegram was
produced from Haywood To- Hopkins.
dated Nov. 20. 1896. requesting him. IL
possible. TO buy 100 shares of Metropoli-
tan railway stock a l10. 100 shares a l09.
100 shares at loS. 100 shares at 107, and 100
shares at 106
After all the letters had been read they
got down TO the memorandum book. II
was stated that the entries extendedJ
from May /, 1894. to the date OF the clos
ing OF the bank. period Of nearly four
years. Only a few OF the entries were
read. They showed that from April
30, 1897, to June Is. period of 46 days,
the state deposit in the bank was s525.-
600: from June Is to June 10. il was
s555.OO0; from June 10 TO Oct. 81 il was
So65.OOO. From this total there is a |
deduction of 20 percent. evidently. as
Mr.. Graham explained. for the banks
use; then an entry less $500, 900. Quay.
1A days For this period the interest
was computed in the book as S5944. one
third of which. sl9S4.33. was marked
paid &C. H. Mex" In October. 1896,
there was a computation Of interest on
state deposits amounting 10 s., y53. yg. OF
which 2.i5ll1, or one-third was marked
handed 10 c. II. Mex" The name of
c. ii. Mckee. l15 Diamond street CMc-
KEGS Pittsburg address,. was entered
III announcer part or the book. Mr..
Graham said that In all entries of the I
amount OF the state deposit there was
deduction OF the amount Mr.. Quay had {
in use and there was never one dollar OF
interest credited again. He said there !
were frequent entries Of due c." due
NJ. S. O." and due Quay"
Mr.. Shapley after the district attorney !
had concluded his presentation OF facts. ,
said I'm all those transactions there {
is not an instance To prove that either :
Senator Quay or his son. Richard. en- ,
gagged in speculations with the state ;,
money. They bought and ordered |,
bought shares OF stock, which they paid a
Cor with their individual funds and that /,
Is proven by the letters read by the dis +,
Irict attorney
At the close Of the testimony. the mem
,randum book was passed around. SEN
ator Quay looked through Il, with his
son and Mr.. Shapley watching over his r.
shoulder Suddenly Mr.. Shapley t'
stepped up TO the magistrates desk with !
he book and laid IL down. exclaiming: y
The name was written by different u
,erson at different times" Mr. Graham .
Ienied this. and the magistrstr ex- a
pressed the pnfnfa,, that bo ,rftf,, W
Ill done 10y the same person. ~
All through the ordeal Senator Quay
'ore an air or c0mposure. He tookan
ctivo part In the case aud prompted his n,
awycrs frequently. All the letters and IN
ther documents were handed to him az
nd he passed judgment on every poirt 81
nat was raised. The district attorney nr
ad some difficulty In deciphering the X
enator's handwriting occasionally. hut
he latter always came to his aid and