Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1899-04-20

NJ. S. Quay's name was not mentioned.
The witness went over the period from
October 31st 1896, to April 30th, 1897.
The same line of questions were asked
by the district attorney. The State
deposits, during that time, varied from
s615, 600, on November 1st, to 1925, 600,
on April Both.
"What amount do the books show,
for that period, was borrowed by M. S.
Quay?"
''s247, 95s. 60"
As to tho defendants stock traps-
actions, the witness said there was an
Indebtedness of $40, 1888. So remaining
from the years 1894 and 1895, when
$500, 800 20 worth was sold out of $500,
sos. 06. From October 18th to 21st, 1895,
1000 shares of United Gas Improve
ment were bought for $50, 100. go /;
August 18th, 1896, 200 shares of United
Gas Improvement, for S12, 425; Septem-
Der 1lth, 1896, 300 shares of United
Gas improvement, for $40, 1852. so. A
dividend of $500 was collected, leaving
the balance $40, 262. so. On December
18th, 1896, 200 shares of "Met" were
bought, for S32, 337. 80, making the
total S164, 404. 4S. Mr.. Goldsmith testi-
fled that, during. the period ended
April Both, 1897, the interest on Mr..
Quay's loans amounted to 81, a92. 9S,
but he paid only 1926. 20.
Objection was made to the witness
stating such deductions, but the court
ruled the answer as admissible, because
it is merely statement of what the
books show.
Recess until p. m.
Philadelphia, Pa, April IS. When
court opened today, in the trial of ex-
Senator Quay, it was evident from the
brief examination of Meyer Goldsmith,
an expert accountant, by District At
torney Rothermel that Judge Biddle's
decision. yesterday, ruling out testi-
mony relating to other than the alleged
specific conspiracy prevents the revela-
tion of many alleged manipulations by
State treasurers and Others Of the State
funds on deposit in tho Peoples Bank.
Mr.. Goldsmith was on the stand for
less than five minutes this morning
before being turned over to the defence
for cross examination. In that time.
Mr.. Rotherme brought out the fact
that, ON August 3d, 1896, 500, 600
were deposited in the bank by State
deposit aggregate 5000, 600. Two days
later, loan Of slO0, 1000 was made to
Richard r. Quay, ON note endorsed
by Senator Quay. The witness said the
books did not show whether the loan
of 100000 was paid off or not 1t has
been stated, however, that the loan
was repaid, after the bank closed on
March oath, 1893.
To whom was interest paid, if any,
on this 100000 of State money de-
posited?" asked the district attorney.
To the State treasurer. -
Mr.. Shields conducted tine cross
examination. The witness was ques-
toned about his experience as an
expert. He said his calculations were
based upon suggestions from the "red
book, followed by an examination of
the other books. A long line OF ques-
tions upon what the witness based his
calculations of interest were asked.
The replies generally were involved, but
the witness Indicated that he obtained
the rate of interest from. the current
prices in the money market, and not
the result of guess. The witness at
tention was directed to his testimony
that the books showed Mr.. Quay owed
S1S5, 155. 12 at the end of October 31st,
1897. He was told to show where such
evidence appeared in the books. This
necessitated the witness going over
each book bearing on the account, and
consumed much time.
The defence confined the witness to
the regular books of the bank, and
without reference to the red, !"
''black' or "blue books In pursu-
ance of this, he said S57, 500. IL was the
total loan charged against Mr.. Quay.
There were also numerous credits, but
balancing the figures left the indebted
ness as above. This left difference of
S12S,350 in the amount of S1S5, S55. IL
testified to by the witness, yesterday,
as having been loaned to Mr.. Quay
during the six months ended October
3lst, 1897. The discrepancy was ac-
counted for, however, by the production
from the ''black book" of entries show
ing purchases of Metropolitan and
Sugar stocks to the value of S12S, $50.
Mr.. Shields claimed that the witness
had no right to charge against
Mr.. Quay these purchases of stock,
since they were bought through a
local stock brokerage firm, and
carried by them on margin, and
that not a dollar was loaned by the
bank on the transactions. The witness
was compelled to admit the truth of
this. The "hlack book' is the volume
in which Cashier Hopkins kept his en-
tries of stock transactions. Mr.. Shields
brought from the witness the admis-
sion that the apparent loan of S57, sos. II
should be reduced s14,s received
through the closing of deal in United
Gas stock; that the books that show a
further loan of $1,000, charged to Mr..
Quay, was paid by man named An
drews; that loan of SIS, 955 charged
to Mr.. Quay was apparently loan to
Gov. Hastings; that an item of SIS, 200,
in Mr.. Quay's loan account, was an
obligation of man named Ahern; that
other items aggregating SIS, 800, charged
to Mr.. Quay, we're obligations of other
people. These successive admissions of
the witness, Mr.. Shields argued, showed
that, of the apparent loans to Mr.. Quay
of SlS5, S55. 12, during the six months
under discussion, all or nearly all con
stituted the obligations of other peo-
pie; in other words that Mr.. Quay was
an endorser and, therefore, only a ten
tative debtor of the bank.
Recess until o'clock.
- -