The Portland daily press., 1900-03-05

Mr. Freeman said TO Mr.. Woodbury.,
"Ycu may now ans sr the qusstton."
The rsfesss told Mr.. Woodbury. not 10
answes the question.
Mr.. Freeman sai5 that be promtsed -
connect the affairs Of Woodbury. q Moul-
ton with tbs Omaha Water company and
WAS allowed ~ proceed. Mr.. Woodbury.
then explAind his connection with shis
company. He said he WAS not stock
holder In the company. IL had no out
standing stock and though Mr; sooopuIy
grafton he had NO stock In the ocin-
pany, The s,ook was al held By
trustee. The directors each had share
Of stock made out In their names and
then 1t was transferred BY them back to
the treasury Of this company. He bad no
interest in this company now and held
no shares OF Its stock.
Mr.. Sreeman tnan returned to the pay
ment of MIR. Woodbury. sim onthly salary
as he received IL from the Omaha water
company. This salary came 70 him Oct.
2lst in the shape Of . check on the Bank
of America In New York. 10 had been
endorsed By him and had been colleoesd
BY Mrs. Woodbury. and the amount had
been applied to household expenses. The
November salary of Mr.. Woodbury. ~
president Of the Omaha Water company
had been paid ON November 9TH, and
this had also been turned ever to Mrs.
Woodbury. as the: salary he has since
received as president Of the Omaha Water
company has been given to Mrs. Wood
bury and applied for household expenses.
The amount of tie monthly chsoks, assne
had before statsd, ives SSsS 81.
MIR. Freeman asked Mr.. woodbury. u
this collecting of the check for this salary
oy Mrs. Woodbury. met with his appro-
bation. In reply Mr.. Woodbury. said that
any thing Mrs Woodbury. did met with
his appreciation. Mr. Freeman asked
him II the selling Of his horse 20 Peter 3.
Niokerson for $i94 after the failure met
with his appreciation. Mr.. woodbury.
MIR. Woodbury. said In answer 20 further
questions that previous to the fixture tbs
salary had been turned into the hrm. he
did this because he had been taking the
office time for the Omaha business and
thought 10 but fair compensation. be
had turnsd this money into the firm
until Nov. 9th, whom he had agreed with
MIR. York 10 apply his salary 70 his own
needs and had done so. The referee asked
Mr.. Woodbury. why he did not turn MS
October salary into the firm ~ Mr.. YORK
had done. Mr.. Woodbury. said that MT.
York was willing 70 release him from MS
agreement and he had done SO. This APP
propriating Of the monthly salsfy 10
himself had been done by advice OF ooun-
sell so Mr. Woodbury. said, but NE. Nef-
rill said that he didn's remembe OF Ar.
Woodbury's ever having consulted him
about this matter.
he Was now willing TO turn this SALARY
back into the estate.
MIR. VsrrIll said that he should advise
him regarding that.
Mr.. Freeman called the attention OF
MIR. Coombs, the trustee. 70 this matter,
and Mr.. Coombs said he should LOOK
after 1t.
Mr.. freeman now turned his attention
to an item of 81, 600 shares Of Butte City
Water Co. stock which had been men
toned a. the assets Of the firm In the as
signees' circular 10 the creditors. Ihis
stock Is almost worthless. The nrm
originally had 100. 600 shares OF this stock,
but Mr.. Woodbury. could not remsmber
what had bean done with the other ~, OO0
shares He did not believe the firm had
sold any of IL, though he at last found
one instance where $50 shares had been
sold to IsaAo jackson ~ ~ Q share. In
1898 these shares had been sold ~ " q
share, but now they are appraised by the
appraisers Of the hankrupts ut u snare,
their par value being 500. In the as
singess' circular these shares were ap-
praisd at 90 each.
MIR. Woodbury. was now handed pos.
tai card from the cashier Of Bank OF
America notifying him that $40, 90 had
Omaha Water company on July "a, lsss.
Mr.. Woodbury's counsel objected to these
questions as they did not concern MI.
Woodbury. personally or the firm or Wood-
bury Il Abolition, but concerned solely
the Omaha Water company. Mr.. WOOD
bury said that he had never drawn on
this account.
Mr.. Freeman-Whsn you pledged Crys-
tai Water oompany's second mortgage o's
to parties who accept them as collateral,
what explanation did you give as to the
bondsf
There was no necessity for 1t. NO one
asked what the bonds were. l know the
tonds were worth par. II there was any
question about these ponds told the per-
sons the truth about them. l dont re-
call any instance in which this was done.
l told them that these were mortgage
bonds on a piece Of property on Statsn
island which was supplying about %. OC0
people with water. As far as the ponos
are concerned the name OF them would
imply that 1t was general mortgage ana
that they wers Issued to take up u certain
number OF the first mortgage bondA
MIR. Frseman's questions regarding
these bonds seemed to imply that the
title Of these bonds was calculated to
mislsad purchasers and that they didnt
represent Just what the title indicated.
Mr.. Woodbury. said that he.had nothing
to DO with the liking OF the titles OF the
bonds. The Bath Savings bank had
some OF the Second Mortgage bonds. The
business with this BANK had been done by
letter or 1t might have been arranged by
MIR. BArstow who travelled for the firm.
Mr.. Barstow did not have general In
structions to borrow money for Woodbury.
81 Moultou whsnevsr he could get Ii, but
he had 90 eral times been given specific
d directions to make certain loans. Mr..
Barstow never arranged loans larger than
So COO or $4,000.
MIR. Woodbury. was now asked TO read
letter written by him In May. 1899, TO
Mr.. York, from the Union Lague Club,
New York. In this letter Mr.. Woodbury.
said that he would arrange loan In
New York as Mr.. York had suggested.
before he returned. In the meantime
Mr.. Woodbury. suggested In his letter
that..Nr. York should take any oppor-
tunity he could find to borrow money
on tins Crystal SIS. Mr.. Woodbury. sug-
gested that perhaps Mr.. Goodwin,
cashier OF the Biddeford bank mad the
money. The letter went on to say: II
should also write Barstow and tell him
We can use $40. GOO II any bank has the