The times. [volume] (Washington [D.C.]) 1897-1901, 1900-05-01
NO SUMMONS FOR GATES.
He and Lambert UnmoIested on Re-
turning to New York.


NEW YORK. April 30.-John W. Gates,
Chairman of the board of directors of the
American Steel and Wire Company,
walked into his office, in the Empire Build
ing, at 10 O'Clock this morning. and was
Immediately joined by general. counsel.
Max Pam, and one or two directors of the
company They conferred for some time,
and later a representative of De Lancey
Nicoll's law firm was admitted to the
room. Not one word could be learned re-
garding the conference.
Washington Seligman. of Seligman &
Van Antwerp. when asked about the stu
alton. threw up his hands deprecatingly
and said: Not a word not a word Mr..
Lamb, of Lamb & Voss counsel for com
plainGnt whose name they nave SO far re-
fused TO divulge, and who acted for Mr..
Seligman in his first complaint against
Messrs Gates and Lambert, were not dis
posed to say a word
De Lancey Nicoll who has been retained
as counsel for Messls. Gates and Lambert.
was reported to have said that he would
make it hot for the accusers of the two
wire men. This morning John H. Bennett,
also counsel for Mr.. Gates, said:
Mr.. De Lancey Nicoll has notified
Messrs Lamb & Voss that Mr.. Gates and
Mr. Lambert are here for the purpose Of
accepting personal service of any sum-
mons. and will be al a certain place for a
certain time for service to be made upo
them"
Just where this certain place" is was
not disclosed, but one of the representa-
tives of the firm said that they expected
papers would be served during the day.
Rogers. Brown & Co. say the executive
officials of the Steel and Wire Company
claim in their statements that their dc-
cumulation OF finished products ha, be
come burdensome and that extreme meas
ures were necessary to relieve them of a
surplus stock. They did not confess.
said the firm, to having bulled' prices
to abnormal figures through the period OF
extreme activity of the market during the
winter They were instrumental conspicu
ously in raising prices to plane too far in
excess of raw material. The ordinary
method of reducing surplus stocks. as ia
well known. is quietly disposing Of the
surplus TO large buyers and distributors
for a consideration. and on terms that are
mutually satisfactory. II is somewhat of
a reflection upon the officials of the Amerl-
can Steel and Wire Company that they did
not pursue the usual method. Their mo-
tive continues to the public mystery The
domestic consumption is up 10 the full
Of the week has naturally been less than it
would have been. owing TO the remarkable
agitation in the iron trade, but there is
every reason 10 believe that a fortnight
will find confidence restored and the trade
proceeding upon its normal plane in
healthy condition.
A private despatch from Philadelphia
quotes a director of the Steel and Wire
Company as saying;
N n he
might retire voluntarily. as we were told
he intended to do this month but sub
iected to attack there is no telling what
he may 60. For this reason | have ia
vored holding back and allowing him free
play to carry out his announced purpose
to retire
This afternoon report was current that
no papers would be served. Pressure, it
was said. had been brought to bear upon
the new complainant-the client Of Lamb
& Voss-which had caused him 10 hesitate
before he undertook to confront Mr. Gates
on the witness stand. This pressure, it
was added. came not from Mr.. Gates. but
from principals of firms OF admitted in
luence and prominence in the councils of
the stock exchange.
1t was announced this afternoon that
the Steel and Wire Company had notified
its customers that no further reductions
Will be made ON exported goods until Au-
gust /.
Mr.. Lamb. counsel for Seligman. said
tonight:
Mr. Seligman after making his com
plant. was induced 10 withdraw from the
matter Then fresh summonses were Cd
tanned. the complainant being a member OF
2 big firm of stock brokers in this city
This broker not only lost large sum OF
money himself by the manipulations OF
MIR. Gates, but he had induced his custo-
mers to invest, with the result that
number of them were bitten. This man
was all ready TO go ahead, but in some way
his name became known to those who are
interested in Mr.. Gates and just after the
summonses were issued he was summoned
by his bank he and his partner and in
formed that the bank did not want him to |
appear in the prosecution.
You all know what the hostility of |
hank means to brokerage firm. Well, my |
client withdrew from the case and that |
ends the whole matter. unless some other !
complainant comes forward. The sum !
monses will not be served aud am /
through with the matter. unless. as say, !
some one else comes forward who has TIT /
courage to go ahead