The age-herald., 1901-12-24
PROMINENT MEN TESTIFY IN THE
 DODD HEARING Henry B. Gray and Capt. Reuben F. KoIb on the
 Stand kOLB SAYS HE MADE $500 Sold $2oo Worth of Ills Debenture Stock for $2,ooo-Mr. Gray Vice President and Director
 In Company.
KOLB SAYS HE MADE $500

Le Roy Smith was the only witness yes terday afternoon in the hearing of w. L.. Dodd before United States Commissioner Cornish, charged with fraudulent use of the malls He is at present secretary and treasurer of the Southern Mutual Aid As- sociation.
 | His principal testimony was that the Birmingham Debenture Redemption Com pany had never. in his knowledge raised it's original capital stock or authorized the raising of 1t, and that the original stock was 5000. He also identified cir cular shown in court which claimed that the Birmingham Debenture Redemption Company had a capital stock of $2oOOOo' although, as he stated in court, 1t had only s50O0 actual stock, and only 70 per cent of that was paid in. He also stated that the bond of W. L. Dodd, as secre- tary of the company, was but $500o, where as 1t was stated on the back of the circu- lar introduced in court that the bond was s5o, 900.
 identifies Signature.
 In reply to a question from Commits sioner Cornish he stated that he had never personally known of W. l.. Dodd's sending any of the certificates issued by the company through the mails, but that he had full supervision of the filling in of the certificates shown in court and putting the company's seal to them. He identified the signature of W. L. Dodd as secretary and R. F. Kolb as president on the minutes of the meeting of July IT, 1899
 He further testified that the principal source of revenue of the company was from the lapses of certificates.
 W. D. Lee, he said, had full charge of getting out the monthly circular of the company, a copy of which he identified in court, but that 1t was with the full knowledge and concurrence of w. l.. Dodd, secretary. He then added:
 ''when I say concurrence I mean ap- proval."
 Believed Scheme Feasible.
 At the morning session MT. H. B. Gray was the first witness He said he was asked to go into the company by w. L. Dodd, Captain Kolb and W. D. Lee and that he did so believing the scheme feas- ible. He claimed to know nothing of the actual workings of the business, although he was elected vice-president of the Bir- mingham Debenture Redemption Compa- ny and a director. He said the company had SIS, 909. .45 in bank August Il, 1901, and that the sale was made August A. 1901. paYthan Knlh then took the stand. He said the Birmingham Deben- ture Company was organized with cap ital stock of 5000 of which 20 per cent. was paid in. He testified that the certi- ficates of the company were brought to his office and that he signed them. when they were returned to the office of W. l.. Dodd, who had charge of issuing them stated In reply to question that he thought the plan feasible.
 Got $2,ooo for $2oo. He was then asked about the sale of this stock to G. w. Morgan. He said he sold because he received a good price for his money, getting 5000 for 100 shares | for which he had only paid s2O0. | Altogether he said s12,OOO was paid for the stock. and that there was some thing over s1S.O0o In bank when the com pany was sold He said that MT. Morgan was not required to give bond. He then testified that Mir. Morgan had requested that the checks with which the stockholders were paid be held several days while he could go to Atlanta to ar | range for the money. He stated that he held his check nine days. He was l-then asked if he did not know that MT. | Morgan had in the meantime taken charge of>the company and had paid the stockholders with the s13,OOO in bank. He replied that he did not know that. He was then asked if Dodd did not receive | s7,0o0 for his share of the stock to which he replied that he did not know.