Evening star., 1899-04-17
HE PAID NOINTEREST
State Funds Set Aside for Mr.. Quay's
Personal Use.
EXPERT G0LDSMITH'S TESTIMONY
He Used the Money to Speculate
in Stocks.
BANK PAID LITTLE INTEREST

gan this morning with the commemorative
expert accountant. Meyer Goldsmith.
the stand. Mr.. Quay. accompanied by his
private secretary. came into the court room
on the stroke of 10 O'Clock.
The first question put to Mr.. Goldsmith
was relative to his identification of paper
showing the results of his examination of
the bank books. These, he said were
correct. District Attorney Rothermel Of
fered the paper in evidence, but was met
by strenuous objections from Mr.. Shields
for the defense. He maintained that the
paper itself was simply an explanation of
the witness theory, or opinion as to what
the books showed District Attorney Roth
ermel replied at length and quoted several
opinions in support of his contention that
where the books in a case are voluminous
ii Is allowable to permit an expert witness
to be examined on the results he has OBJ
tanned from the examination of the books
Court sustains objection.
Judge BiddIe sustained the objection, say
ing that such a paper takes the same posi-
tion as the deposition of a witness and can
not be admitted on the same rule of prOce-
dure that excludes a deposition.
The effect of this decision is to require
the physical examination of all the entries
in every book. 1t Will undoubtedly add
some days To the length Of the trial.
The district attorney asked the witness
how many semi-annuaI settlements for call
loan borrowers the books showed. Objected
to by the defense and objection overruled.
Mr. Goldsmith answered that April 30 and
October 81 were settlement days. The de-
feHsc also objected to the witness disclos-
ing what the books showed with respect to
the commonwealth's deposits for the period
ending October Il, 1897. This was likewise
overruled. The answer was: From May
l to June L.. S125.unD; June Il to June -
S,,iI.tfI. June - to October 2t; &,;J 900: Oc-
4h44r 70 not
What was the amount of the loans to
NJ > Quay during that period?'
'$i>-'.N-,-,- II
How much stock do the books show was
purchased Tor Mr.. Quay during that per
iUL?''
Objected to by the defense on the ground
that the entries in the books are not evi-
druce against Mr. Quay
The court decided that such questions are
admissible as tending to prove a conspiracy
between Hopkins. Quay and Haywood.
2uU'
These purchases were: On October Is and
2l.lSI1.two bio IF United Gas I'm rOvement
We're purchased for S14,N5p: December IL
1>96. 3nu shares Metropolitan. ST. ::.s:i7 81:
December L.. 1896 3UO shares NetropOIitan
$22.'&;t-IG: june II. 1897. 2OU shares Metro
politan. ST SO: June II. 1891, 100 Sugar,
ST.. iN7.;i"; August -. 1897, 800 Metropolitan,
SGl,55g: total, $143,2pO
Quay Paid No Interest
State whether the books show that NJ
S Quay paid any interest on those loans
which You have detailed, said the district
attorney.
Objected to. Objection overruled
None whatever, either on those loans
which were used for the purchase of stocks
or for loans which were not 50 used
What amount Of interest do the books
show was paid out on commonwealth's
funds for that period of six months?"
/.
'Three thousand five hundred dollars and
thirty-tHree cents
What amount was paid to State Treas
urer HAY aywOod?'
"One thousand five hundred and nineteen
dollars"
To whom do the books show the balance
Of the interest on state deposit was paid?"
''C. II. Mckee
AT this juncture Mr. Shields. in an earn
est speech. challenged the commonwealth,
in The interest Of public justice, to prove one
single transaction testified TO by the wit
NESS. This matter. he said, goes to the
public and does immense harm to innocent
nen."
Defense to Have Their Day.
The court: Your time has not come
Make your challenge IN cross-examination
The rule Of the administration of justice
makes il necessary thut one side shall be
heard al u time.
In answer 20 a question the witness stated
that tho books show that of the state de
EosIts ~ per cent was used for the bank
without interest. S2un.'-o was set aside for
3hs uf NJ. :. Quay ana interest on the
Balance was computei and divided between
NJ. ;. Quay Is. J. Haywood and {. II. Nc
Ktc.
Mr.. shields. for the defense, asked that
the answer be stricken from the record on
the ground that entries in the books
warrant such Je=timcuy. Make him pro-
dIer. for instance. the entry showing that
S-f.""o or one penny was set aside for
Senator Quay
Til, judge declined. saying if the state
meuts aye false they can be proven 50 on
cTosS-eN animation or when the defense puts
its witnesses on thc stand.
Tn witness said the books showed the
lOllyw.-G balances due by NJ. ;. Quay at
certain periods during the six months for
which no interest was paid and upon which
calculations of interest were made at the
enIs ot the period:
April ~. 1894. SO 2l1.o2. May To- Sol ~. e.;
June II, Stt. .~Ei, July - S5::.nl2.Jn; August
=, nothing: August -, $Gl.i-5. He said it
renamed at the latter amount until the
emf OF the period, October 81, 1921.
The witness then gave a long list Of call
loan borrowers who paid interest on loans,
and which was appropriated, he said. to
pay interest on STATE funds 20 c. II. Mckee
and l.. J. Haywood These amounts ranged
from $50 TO $2.2J9-Jh the latter amount
being paid the bank by r. X Quay lie
followed with a list of those who the books
showed failed TO pay the interest, but which
was added 70 their indebtedness. and list
Of those the books showed paid their inter
est These amounted, in the first instance,
10 $i,h@'Il. and. in the latter, 10 $13.931 81.
NJ. ). Quay name was not mentioned by
the witness
Another Periods transactions.
The witness then went over the period
from October 81 1896. to April 30. 1897.
The same line of questions was asked by
the district attorney. The state deposits
during that time ranged from $615, 600 on
November l to S525, 900 ON April so.
What amount do the books show for
that period was borrowed by NJ s. Quay?"
Two hundred and forty-seven Thousand
nine hundred and ffty-nine dollars and
sixty cents
AS 70 the defendants stock transactions
the witness said there was an Indebtedness
OF $fp.1SS-st remaining from the years 1884
and 1875, when 800 620 20 worth was sold