The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-11-06
accuses Mr.. uthr of Attempting to
Diseredft Witness and Place Him
I'm n False Position.
DEFENDANTS CHANGE FRONT
40 LONGER UPHOLD APPRAIsEMENT
OF sHIPBUILDING PLANTS.
Mr. Untermycr Calls Attention TO the
: Absence of Competition I'm Build
ing for Armor Plate.

NEW YORK, Nov. 5.-The features Of to-
lays session of the hearing in the United
States shipbuilding case were the bitter at
tack made by Lewis Nixon on William ID.
Guthrie, counsel for the defendants, and
representative OF the interests Of Charles
N. Schwab, for his methods Of cross-exam-
nation, leading questions by Mr.. Inter
myer. counsel for the compliments. as TO
the absence OF competition between the
SBethlehem Steel Company and the Carne-
2gie plant Of the United States Steel Corpo-
ration in government contracts :or armOr
plate. and the entire change of front OF
Mr.. Guthrie, who heretofore had aimed to
bring out the fact that the value Of the
constituent plants OF the United States
;Shipbuisding Company was not overesti-
mated.
To-day Mr.. Guthrie adopted a line OF
questioning designed to show that the estl-
: mates of the value were made by the pro-
moter, the vendors and other interested or
inexpert appraisers, and were practically
without weight in determining the exact
value of the PLANTS and the assets Of the
consolidation.
Mr.. Nixon was on the stand all day. His
!. cross-examination was finished and the re-
/. direct examination partly completed. At
the opening OF the afternoon session he
presented a personal protest, in which he
declared that Mr.. Guthrie, in consultation
with Mar Pam. had adopted a line of
equestioning designed to place him i'm a false
Sand discreditable position regarding the
ssale of his plant to the shipbuiiding consol-
idation. The protest was angry and bitter
in tone, and minated that Mr.. Guthrie had
been unfair in asking him to answer from
memory questions about the finances OF
his company without opportunity to look
up the details. while Mr.. Guthrie had had
the benefit OF a full investigation of the
figures.
BY agreement Of the counsel the protest
was stricken from the record, but Mr..
Nixon thereafter during the hearing in
SISTED that IL he were to answer questions
Ihe should be allowed TO make necessary ex-
PLANTATION.
Besides asking Mr.. Nixon about the or
.ganizatiOn OF the shipbilding company, the
VALUATIONS put on the constituent companies
5and the methods by which they were
preached. Mr.. Guthrie took up the alleged
Withholding of dividends by the Bethlehem
Company, an action which, according to
the charges of Receiver Smith, contem-
%plated the wrecking OF the company. Mr..
fGuthrie placed I'm contrast Nixon's attitude
in demanding, by letter to President Nc
sIfvsln, OF the Bethlehem Company, that
the Bethlehem directors declare a dividend
20 save the shipbuilding company and later,
sat two subsequent meetings of the Bethle-
hem directors acquiescing in a resolution.
declaring IL inexpedient to declare such a
: dividend. He also brought out that Nixon
had voted for the resolution for the ex-
penditures for betterments. This was the
means. so Receiver Smith charges, by which
earnings were diverted from dividends to
needless improvements.
Mr.. Guthrie took up figures from the finan-
cial reports OF the Bethlehem Company to
show its inability to pay dividends.
Mr.. Untermyer, from the same reports.
m to show that expenditures for
betterments and new material were Excess
sive and that the company might well have
declared a dividend had it been so desired.
/ He was questioning Mr.. Nixon about the
= trip OF examination made by Bethlehem and
Carnegie officials to determine means OF
: improving the Bethlehem plans when the
& hearing closed for the day.
The redirect examination of Mr.. Nixon
: will be resumed Tomorrow morning and
: Chas. NJ. Schwab may be placed on the
stand later In the day.