New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-10-21
SISTERS IN DRESSER CASE
NIuES USED, 1T IS SAID.
" ltneSs Says Mrs. Vanderbilt and
Mrs. BrO7cR We're Interested.

Testimony that the names OF Mrs George W
Vanderbilt and Mrs J. Nicholas Brown sisters Of
DANIEL lie Roy Dresser were used for the purpose
OF influencing prospective promoters Of the Rich
mond Real Estate Development Company. the com
pany which was financed for the purpose Of aiding
Mr.. Dresser to meet the obligations imposed by his
creditors. adduced at yesterdays hearing OF
the creditors against the bankrupt firm OF Dresser
& Co.
Martin J. Cohallan. who with his father and
orother was operating the real estate deal in the
Borough Of Richmond testified that he signed a
ceruhcate liking the value OF certain securities m
De used as collateral in obtaining underwriting
because representations had been made to him
that the two prominent sisters of Mr. Dresser were
interested in the affair
timothy Cohallan. the father. testified that he had
been asked to sign two months note for ssoOOo.
and when he said that he was not able to sign a
note Tor that amount. he added that he was told n
get the furISce man" TO sign IL. or anybody else
MI Cohallan said that the request was made by
c. W. Youngman. president Of the Corporation
Finance Company.
The object of the line Of testimony which J.
Aspinwall Hodge and Robert D. Murray. counsel
for the creditors sought TO draw 10 trace
the origin and value Of the securities which the
firm Of Dresser & Co used to obtain the loan OF
$4,000. Mr.. Dresser was present at the hearing.
represented by Herbert T. Mas. Colonel Abe
Gruber was present. counsel for the The I'm
porters and Traders National Bank. Stanley W.
Dexter sat as referee in the case.
Miller c. Quimby. Of the promoters Of the
Richmond Real Estate Development Company. was
put the stand The testimony in part follows;
Q.-Regarding the securities upon which the loan
of $4,000 was sought, did you have any personal
knowledge to the value Of those securities?
knew the securities to be worth par value.
Odd you ever certify that they were worth
$4,000 Ayes, information and belief.
~, ~ ~ yonr ov, knoVrIedge the aiIt Of ne
f- Tha hrHnH 10 2 lcT
Youngman? Al meant TO have so signed with
on informstinn and belief did not know that the
certihcation Of the value of the securities reads
in the way you read it,
Do you mean 10 say that you signed paper
not knowing anything about it? A-That's It.
to the Corporation Finance Company upon which
to underwrite s1.700 600 for the Richmond Real
Odd YOU have anv conversation with Mr..
Dresser on the matter Of securities? A:-Yes.
believe Mr.. Dresser knew where he could get the
second underwriting; if such were necessary: l
had the promise of MI Dresser to secure another 1
Q-Why did you want a second underwriting z
A.-To screen the former underwriting.
Q-Vhat to be Mr.. Dresser's share in the
Al believe he was to get 81 10000 for which he
TO lend his best services to the company and
lQ-what was to be your share? A,-One hun
dred thousand dollars; | belieye ..+ o,.bs- NJ
Alvord or Mr.. CohaIlan not worth the amount
s8a both m S6rd az and Mr coha @
as Mr Whitlock. each worth that amount.
O-Who was Mr. Whitlock? AFR. Whitlock
was the undisclosed person in the land transac-
tons on Staten Island. He president OF the
Whitlock Printing Press Company. at Whitlock,
on Staten Island I sold him real estate worth
$4,000.
Timothy Cohallan then called to the stand.
He told OF Mr.. Quimby's visits him in March.
He said that Quimby told him Mr.. Dresser was
financially embarrassed and that his friends
wished TO help him out. 1t explained that GER
tain real estate Staten Island was to be devel-
oped and sold for the purpose OF raising money 70
aid Mr. Dresser. Then Mr.. Youngman entered the
case and i'm a conversation with the latter Mr..
Cohalan testified that Youngman had said he had
all the securities Re needed make him feel
safe in underwriting the real estate company for
IRE witness then said that Mr.. Youngman had
asked him 20 make two months note for S9oOoo
Tavable to him. but Mr.. Cohalan refused, saying
th5t such a thing impossible Then Mr.. Young
man is alleged have told COhallan get the
-1n+a signed by some one-a furnace man would
40 THE note simply hold for security
-'bfs unsigned shown the witness identf-
red and marked in evidence. Failing to get the
note witness said that effort made TO get
stock take the place OF the note FOR security
when the stock secured, witness did not in
,-estigate the market value Of such stock. relying
an what Messrs. Quimby and YOungman told him
OF its value When pressed TO know why he nae
Gig ned the Certi1catiOn the value OF the STOCK
offered as security. Mr.. Cohallan said he did nor
believe that his signing IL would injuTe any one OF
that At present he had interest in the securlte
Mr.. COhallan's SON. Martin J. COhallan, sald tl.tL
he was Informed by Mr.. .Youngman that ar
Dresser's two sisters. Mrs. Vanderbilt ana MIS-
Brown. behind the company
The next hearing in the was set Tor next
Tuesday at 1870 q. m. Mr.. Dresser viii then De