The Worcester spy. [volume] (Worcester, Mass.) 1898-1904, 1898-10-06
HearingofSen
ator Quay.
THE CHARGES.
Defense Tried to Find Out
Who Inspired Them.

philadelphia, Oct. 5.-The hearing of
United States Senator Quay, his son,
Richard r. Quay, and Charles II. Nc
Kee Of Pittsburg, on the charge Of
using state funds in the Peoples Bank
for specializing purposes for their own
profit, was begun before Magistrate
Jer1non, today.
The hearing room was crowded with
prominent politicians, lawyers and
others Counsel for defendants made
hard fight on the point Of insufficient
evidence to establish a prima facie case
and combatted the prosecution at every
point The defense used every endeayor
to force the prosecution to show VINO
had instigated or inspired the charges.
In furtherance of this object, Rufus p.
Shapley and A. S. Shields, counsel Tor
defendants, endeavored to have called
as a witness Detective Myers, who had
made the affidavit upon which the
warrants of arrest were issued
District Attorney Graham, however,
claimed that he had other evidence to
establish a case and refused TO eau
Myers. He called Receiver Barlow ana
Teller Tabor of the Peoples Bank, who
testified to having found certain letters
and kilograms in the desk of Cashier
Hopkins after the latter's SUICIDE,
which. 1t was claimed, implicated the
defendants in a conspiracy win the
cashier for the use of the funds
Certain memoranda of Cashier Hop
kins were presented, and against the
admission of this evidence defendants
counsel made strong objection. Inc
district attorney finally presented as
evidence the letters and kilograms.
The first letter was from State treas
urer Haywood to President Mechanics
of the Peoples Bank. 1t was dated
July rs, 1895, and informed President
McManes that the states deposit in the
bank would be increased from $500 600
to $780, 900 the following week, provided
Richard r. Quay was permitted to Dor
row $10000 A telegram dated week
later from Haywood to Cashier Hop
kins was next presented, which notlnea
the latter of the letter to the president
of the bank. Evidence was presented
TO show that the loan to Richard Quay
had been made. Cross examination
ELECTED the fact that the loan had been
cancelled since the bank had gone into
Incubation, which was in March last.
Other letters and kilograms were READ,
several of which were from Senator
Quay to Cashier Hopkins, directing him
to buy or sell certain shares OF stock
and giving directions relative to the
transfer Of other stock through the
broker firm of George A. HUM of Phi
ladelphia-
II was shown that the promised de-
posit referred to by State Treasurer
HAYWOOD was made, $4,000 being de-
posted on Aug. /, 1896, ad $lOO,0O0 on
Aug. 81 A telegram was produced from
Haywood to Hopkins dated NOV zO,
1896, requesting him, if possible, TO ouy
100 shares of metropolitan Railway
stock AT 10; 100 shares at 100; 100
shares at / .O8; 100 shares at 10y and
100 shares at LOS
course of some remarks, aTerred that
the evidence produced showed tnat
Senator Quay had the use of $2OO WV
of the states deposit OF over SooVOVO
in the Peoples Bank for stock specula-
ton, and that there was regular as
sienment of interest on state deposits
IN the PEOPLES Bank to certain ac-
counts, one-third of it going to MT.
Mckee. all Of which, he claimed. was
a violation of the state law prohlplt-
ing a bank official from making such
transactions, and that the accused per-
sons were guilty Of conspiracy in JOIN
ing with Hopkins in these transac-
lions. 80
The memoranda in Hopkins mana
writing were in book, referred TO py
Ta,uver Shields as 1.-THE red book
about foot square and containing aoV
nages It was stated that the entries
IN the hook extended from May l, 1884,
+o theN date Of the closing of the bank,
q period Of nearly four years. OIliy
few If the entries were reed. They
showed that from April 30, 1897, 10
June Is. a period of As days, the state
deposit in the bank was S525,OOo from
Tune Is to June 10, 1T was S55o, wv; from
June 10 to Oct 81, it was $5h2,uuv. Iols
this total there was de1uctloh ol
% per cent evidently, as Mr., Graham
axnIained. for the banks use; then an
entry. 'loss 5000, 900, Quay, 49, days
NOR this period the interest was COM
n,,ted in the book as $5944, one-tnlrd
Of which (S19S4.3S) was marked PAID
&c. H. NICK"
In October, 1896, there was a COM
mutation of interest on state deposit,
amounting to $7S53.33, of which Sz45l'I
or one-third was marked handed 10
c. H. Mex.
THE name Of &c. H. Mckee, 11S Dia-
mond street" (Mr. McKee's Pittsburg
address), was entered in anothed part
In referring to the book. Mr.. Graham
said that in all entries Of the amount
of the state deposit there was ue-
duction of the amount Mr. Quay had In
use. and there was never 81 Of inter-
est credited against it. lie SAID there
were frequent entries of due a., due
MS o., and due Quay,
Mr.. Shapley, after the district attor-.
ney had concluded his presentation OF
facts. said: I'm all these transactions
there is not an instance to prove that
either Senator Quay or his son, Rich-
ard. engaged in speculations with the
state money. They bought and ordered
bought shares of stock, which they PAID
for with their individual funds, and
that is proven by the letters read by
the district attorney"
Mr.. Shields referred several times II
the course of the hearing to Mr.. era
hams arguments as Swallow STUMP
speeches" After hearing lasting three
hours, Senator Quay and his son ano
Mr.. Mckee were bound over Tor ap-
pearance at the next term OF court
Bail was fixed at $4,000 in each case
David II. Lane, local political leader
renewing the bond for that amount
which he had entered when the accused
were given a preliminary hearing OF
Monday. The case now goes on the lis
for trial at the term of court beginnint
Nov. 8. All through the ordeal Senate
Quay bore an air of composure. III
took an active part in the case an,
prompted his lawyers frequently. al
the letters and other documents wer