The record-union., 1899-10-12
MRS. Lee TELLS HER STORY.
SAYS SHE WAS PROMISED ALL
OF HER MONEY
Since the Gregorys Were Declared
1nsolvent-A1lowed to Amend
Her Complaint.

+ Inc trial of the case of Mary A. Lee
against Eugene and Frank Gregory
was resumed before Judge Prewett or
Placer County, in Department OF the
Superior Court
l.. c. SCHNEIDER, assignee of the insol-
vent firm of Gregory Bros. Co.. was the
first witness called. He was expected
TO present a statement showing the
financial condition of the firm at the
time the money was borrowed by MIS-
Lee, but the figures he presented were
unsatisfactory to the plaintiff, Judge
HinkSon, one of her attorneys, holding
that they were merely summary con-
cluSions and not a definite statement.
He said that to get the figures required
it would be necessary to go through the
books and that SCHNEIDER had declined
to allow the books to go out of his
possession.
SCHNEIDER said he would not give up
the books unless instructed so to do
by the court, and Judge Prewett or
dered them turned over to the Clerk
until further orders.
Mrs. Lee was called to the stand, and
testified that she first became ac-
quainted with Eugene ]. Gregory in
September, 1892. While she had loaned
him $4,000 altogether, the first loan had
been $4,000. She said that in Decem-
Der, 1892, he had visited her at Red
Bluff and was anxious to borrow the
money from her.
At this point Attorney Bruner said he
was willing to admit that when Eugene
Gregory borrowed the money he repre-
sented that he was solvent
Mrs. Lee said she had first spoken
with Frank Gregory about the money
she had loaned in October, 1894 and he
had told her to wait until Eugene re-
turned for an explanation. She had
consulted Judge j. w. Armstrong about
the matter and he had advised her to
wait until Eugene returned At Arm
slrongs instance she had asked Frank
Gregory for interest on her money to
live on and he had promised to pay it
by January l, 1895. He subsequently
told her he could not pay anything on
the date mentioned, but that he would
do so as soon as he could. He event
ually did pay her some money.
Witness said she had next met Frank
Gregory on or about January Is, 1895,
and that he had informed her that Eu-
gene would return the next month. He
at that time gave her $50, which was
the last payment she had received. She
said that whenever she asked Frank
Tor money, with the exception of. the
time stated, he would tell her to wait
and that everything would be all right.
she could, she said, never get any salts
faction from him, and that he often left
by the back door as she went in at
the front.
Mrs. Lee said that Eugene Gregory
did not return until March IL. 1896.
Frank, she said, told her that the firm
was solvent when the loan was nego-
tiated. She had received altogether
about $500 on the note and after the
insolvency proceedings, in Justice
Henry's court, the Gregorys had
promised that specified payments would
be made to her on certain dates.
Mrs. Lee said that after the story of
the trouble had been published in the
newspapers the first time. there was
some talk about she and Frank Greg
ory signing a statement for the press.
but that she had declined to do SO. act
ing on the advice of Judge Armstrong.
subsequently while at the Gregory res
ldence, Frank Gregory came into the
parIor where she was and held up a
paper which he asked her to sign. She
refused TO do So and he said, Now
you sign it. If you don't you'll wish
you mad" She replied that she only
wanted fair dealing, and would sign
nothing which would be against her
own interests. Frank, she said, again
demanded that she sign it, telling her
II she did not she would be sorry for
it.
At this point Mrs. Lee spoke. of the
treatment she had received at the
hands of Mary E. and Frank Gregory.
and in the recital nearly broke down.
Attorney Hinkson inquired Of Mrs.
Lee as to whether or not a paper had
not been presented to her to sign. in
the shape of a compromise of the debt
Ihe defense objected, contending that
the paper itself would be the best evil
oence, and on the further ground that
the proposed compromise had been
drafted after the firm had gone through
insolvency.
Judge Hinkson produced the paper
which was examined by the attorneys
and passed up to Judge Prewett. The
latter sustained the objection. the
paper being ruled out
AT the afternoon session Judge Hink-
son made motion to amend the orig
inal complaint, alleging as reasons for
the motion that on or about June &.
1870, Eugene J. Gregory and Frank
Gregory were adjudged insolvent debt
ors; that in July, 1896, they were dis
charged from their debts; that in Feb
ruary, 1896, Frank Gregory promised
and agreed to pay Mrs. Lee all of the
Indebtedness then owing by the firm
of Gregory Bros Company; that SUBJ
sequent to the entry of the order dis
charging defendants from their debts,
and before the statute of limitation
could step in, Frank Gregory promised
10 pay the plaintiff all the money owing
her by the Gregorys.
The attorneys for the defense OBJ
5ected TO amending the complaint, con-
tending that according to its allega-
tions, new and subsequent promise
had been made by the defendants to
pay Mrs. Lee.
The court allowed the motion to
amend, and entered an order permit
ting the defense to file a demurrer and
answer thereto