New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-06-30
COL. WILLIAMS EXAMINED
T,r-ENsE N B. r T CASE TRIES TO SHOW
r FINANCIAL CONDITION OF THE
COMPANY WAS BAD.

trial Of \. P Goslin. Eugene L Packer.
sa1.es T. Davis and Henry Bogert, once OF the
se-arity Investment Company, accused OF con-
spracy 10 depress the price Of Brooklyn Rapid
Transit Company stock. resumed yesterday in
The Criminal Branch Of the Supreme Court before
Justice Fursman and 8 jury. Timothy Williams
secretary-treasurer Of the Rapid Transit Company
vas cross-exaruined by Frederick D. Bard for the
offence He asked about the holdings of the com
pany. what paid for those holdings and the
expenses and receipts.
John Proctor Clarke. who as Special DEPUTY
Attoruey-General is conducting the prosecution
objected 70 the line OF examination. but Justice
Fursmar allowed it,
ar Williams said the only source OF income Of
The Brooklyn Heights Company was Its receinrs
from the operations Of the constituent roads The
Rapid Transit Company derived its income from
stocks and bonds, money loaned out and interes,
or mortgages Justice FUrsman asked the witness
u1o owned the stock OF the Brooklyn Heights Com
GaHE- ana he replied that the Brooklyn Rapid
transit Company controlled it, Mr. Bard tried n
gst u evidence the statement Of the earnings and
expenses Of the Brooklyn Heights system and ina
amount Of money expended for reconstruction dur
irE -s@-- ar Clarke objected and the Court sus-
taineo him The Court declined TO permit counsel
10 question M Williams as 20 the present earnings
OF me Brooklyn Rapid Transit COMPANY Mr.
Clarke said that the question issue did not con-
oern me constituent companies Of the Brooklyn
E-eiE1ts system, but was simply If the Brook
I'm Rapid Transit Company was or was not earn
ing a deficit IN December 1883. The Court r7,Ied
win Mr.. Clarke and counsel took an exception
Ex-Governor Black, Of counsel for the defence ap-
pealed against the ruling.
May I explain 10 Your Honor" he said the
point Of this examination Mr.. Williams says the
books Of ais company show a surplus more assets
than Liabilities We desire 10 show that many of
those assets are paper. bad assets and that the
sccounts properly computed show deficit"
Justice Fursman would not reverse mis- ruling
sI T 1Tq 9qesu91 as 70 the value Of certain
$3.50 5- - "a me oo9Ees oI the Brooklyn Rapid
mere were 70 further questions and Nj Williams
Mr. Clarke put in evidence g Stock Exchange
s5a-eInent showing the fluctuations in Brooklyn
ANNOUNCED The case for the prosecution closed
1t NJ b.ack asked tnat the Indictment be dis
.S 5 o4 re ground Iaat me prosecution had not
testimony given did not prove any crime His
sIlsl 90]eeuon was against the legality Of the
Special Grand Jury which found the Indictment
against me defendants
Justice Fursman refused the request to dismiss
ana Nj biack made a brief address to the jury.
5le sS SAD ne aefend2nts had committed no crime,
one LhaI t1ey mad acted perfectly openly and
Transit Company was not solvent in December
Peter DIeeyo from the ONCE Of the Tax Commis-
Ford Tan Tax law the I br0Der t Of GI the come 1ne
paIy IS assessed $4,000, 600. Justice FursInan
es taxed are the propefJ Of t c6 5hs T5en
companies, and not OF the Brooklyn Rapid Transit
Robert Cutbbert. an expert accountant. said he
Ial examined ana summarized the OCclal reports
made BY the Brooklyn Heights railroad system to
the STATE Railroad Commission He said the
Brooklyn Heights railroad and its subsidiary com
pGLies as q system had been operated at a loss
curing the last nine months Of the last fiscal year.
Without waiting for Mr.. Clarke's objection TO the
question the answer was stricken out at the
couuseIs request.
Charles = Meneely produced the ledger Of the
Brooklyn Rapid Transit Company. Mr.. Bard
turned 10 the investment account and asked how
q total Of $1.s4s.sll g. was made up. Mr. Clarkes
objection was sustained despite the counsel's con-
Ienu0n that the defence should be permitted TO
show that the assets OF the company had been in
1ated by credring them with bonds par when
the market value Of the bonds was much less.
Counsel's desire TO get IN evidence the voucher
books and rolling stock books OF the Brooklyn
Heights system denied by the Court on the
objection by counsel for the prosecution. Nj. Ne
neely still under examination when Justice
FursInan ordered adjournment until Monday at
u O'Clock