The San Francisco call., 1903-12-24
REFEREE RULES AGAINST
TAKING Up THE SUBJECT
Accountant Who Examined the
Bethlehem Steel Company
Tells Of Alleged Discrepancies
In the Reports of Its Earnings

NEW YORK. Dec 23.-At the open
Ing OF the United States Shipbuilding
hearing to-day. Counsel Untermyer
took UP the subject Of the publication
OF the Alexander correspondence. de-
clsrinE that. so far as he knew. neither
himself. his associate counsel nor any
one connected with his Office had any
thing 70 do with giving the correspon-
donce 10 The press.
However" he continued, I do not
see how the question Of contempt OF
court in the publication Of this report
can be- raised i'm anything but a Pick
uickisn sense"
He said he had learned that no less
than fifteen copies Of the correspond
erce had been made and distributed
broadcast in New York: that he him
SCI had had his copy only during the
cza-iration. He said that copies OF
rhz correspoudence had been offered
fr- sale II newspaper Offices il New
York
Under such circumstances, he con-
tinued. lit is absurd 10 claim that such
Co-resp spouderce Is privileged"
During Cntermyer's remarks on the
subject he referred 10 the alleged
lack Of courtesy shown by opposing
counsel and efforts 10 sidetrack the
real issues in the case
At another time" he added, I'VE
shall Doe very glad to go into this
matter"
REFEREE CALLS HALT.
Guthrie. replying, declared that he
had summoned three witnesses from
The paper Cthe World which pub
Ishad the c0rrespOndence yesterday
ard asked permission 70 go into the
matter. but Counsel Cntermyer OBJ
5ected 10 the. subject being injected into
the hearing. Referee Oliphant sustained
The objection and directed that the
ClmpIains1ts next witness. Alfred
Ross. an accountant who made Su ex-
animation of the Bethlehem steel Com
psuy FOR Receiver Smith. be called
Guthrie entered 2 protest against the
exclusion q his newspaper witnesses
and announced his intention OF bring
ing the matter before the court
Ross testified as 20 the financial
status Of the Bethlehem Company
from July 81. 1899. 70 October. 1903,
his Information prior 10 July 81, 1902,
being derived from reports OF officers
q the firm. Tor the year and three
months since then he had made a
direct personal examination
During q pause in the examination
Guthrie brought I'D another sensational
sxtraneoUs subject by stating that he
had been informed that the process
server who served the subpoena upon
John ". Gates yesterday had used
Cfuthries card 10 gain access TO Gates (
Tureruyer said that the subjena had
been served by an employe OF his Of
fee and that Il he had resorted 70 any
such uuprofessional conduct he would
be Immediately discharged.
DISCREPANCY N REPORTS.
Ross il his testimony spoke Of the
u lscrepancy between the annual reports
~ the Bethlehem company and the
statement submitted 10 the Stock Ex-
change committee at the time the ap-
r-ication 10 list the stocks Of the ship
building company was made, and sur
missed" that the excess in earnings
given in the later statement might have
been due 10 failure to charge off de-
rrecistion allowed for in the annual
reports.
IN the Stock Exchange statement
current assets Of July 81. 1902, were
overstated 70 the extent OF more than