The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1898-12-28
ISLAND CITYNEWSI ITEMS
testimony Is Being Taken In the Suit Of
Sullivan VS. Pierce.
12So,eoo the Amount That Is In Litigation.
Proposed Excursion OF oettiemcn "a
cuba Promises TO Re Bis Event.
Jesse Austin Arrested.

galveston, Texas, December 27.--Mr. c.
Dart, as special examiner, today began talk
ing testisony In tho biggest land suit that
mas been on the docket OF the osairts in
many yesrs. The prominence OF the ,sti-
giants, the Cargo amount involved and the
charges m|de make this hessing matter
OF interest throughout South Texas.
Tue suit is that OF Mr.. d. sullivan. a
san Antonio banker, against A. II. pierce
who Us known al one OF the largest cattle-
men IN the State. Sullivan Chains to be a
subject of Great Britain, and nor thai rea
son the suit had to be brought IN the Fed
eral court.
un his original petition Sullivan sets
lortn that up to 1882 and for several years
prtor thereto he lived iln Calhoun ooaniy
''nd had many large business tiWnsasltons
wiun Pierce. In thot year sullivan and
"A. Va. Pierce and J. Il. Pierce formed a
pa4elps SIP ftr iiho c-uduct of the cattle
business IN which 1t was agreeil that A n
Fierce should buy large avnotng OF land
ana should be Entrusted with the mat,age-
Hlsiht OF Inc business. Sullivan put IN que
louiVn pf tie money and the Pierces The
Remainder. About $4,000 acres OF land were
uousht In Wharton and Matagorda cot,n :
yes and large number of cattle was
In 1882 the partnership was dissolved and
Mie lltans made for uho organization of a
Dig stock company. On March 10, 1884, the
chaluew Of the Pierce-Sullivan Land and
ce.sle company was filed at Austin. II
mad Capital stock of 81 ,000, 900.
About THAT time sullivan moved to San
Ahtonio and 1t was asmed that the prin-
cspai oiiice OF the company should be in
u1at cfy. Matters went along smoothly
ehsMsh lor about ten years and then dis
satisiactasn began To crop out. A. H. Pierce
was the general manager of the compa ny
and also treasurer and accountant About
Two years ago an open rupture between the
parties occurred and Sullivan made a prop
oeition to sell his one fourth interest In the
compand 10 Defendant a. II. Pierce After
come negotlsticns he did sch to him for
soo0oo. sullivan Now alleges THAT he was
fnduced TO accept that price on the repre-
sentation Of Pierce to the effect that the
land had decreased In value. that taxes
were high araf cattle low and that on the
whole the business had been decidedly un-
profitable. Sualavan asks the court to set
aside the sale to Pierce and to reinstate 10
him full title 10 the $3.50. 900 shares in the
Pierce Sullivan Land and Cattle company
which he originally owned Sullivan also
alleges that Pierce at THE same time con-
Quoted a private cattle business, at which
he became immensely wealthy.
In the answer to the original petition
the attorneys of Pierce deny that Sullivan
IS subject Of Great Britain and demand
proof OF same. They admit great many
Of Sullivans allegations to be true, but
deny that the partnership was changed to
stock company at the request OF MIR.
Pierce On the contrary, they say that
Sullivan urged this. and it Mas upon his
ai.vlce that tine capital stock was placed
at such an enormous figure.
The answer alleges that Sullivan said he
c-aId dispose of the inflated stock TO I'M
Sophisticated Yankees and Bngieh lords
who were lookng for investment.
The taking OF testimony began before
Clerk Dart OF the Federal court at 10
O'Clock this morning. He .had previously
bern agreed upon as special examiner.
Banker Sullivan, the complainant In the
suit was sworn and put en- the stand. His
testimony followed the lines laid down In
his petition. which are fully set ont above.
THIS ahternccn Captain F. G.. McReyp-
ODDS, formerly manager of the Texas Land
and Cattle companys ranch, went on the
stand MS witness for the complainant. Mr..
Dart. bsfore whom the testimony Is being
tsken. says 1t can not be made public at
this time. The hearing is not behirHi closed
doors but spectators and especially news
paper men are requested to remain away.
The hearing Wal consume several days.
Hon Charles w Ogden of San Antonio
and NJ. e. Kleberg OF this city appeared
for Sullivan and ]. w Terry OF this city
and r. c. Proctor OF Victoria appeared for
Pierce.