The Birmingham age-herald., 1903-12-06
Sensational Evidence Introduced in the Preliminary Trial
 of I. B, WeIIOnS
JUDGE FEAG|N FIXES
 HIS BON AT $1O,OOO.
Witness Shows Receipts for Money Paid as Margins After Stock Hao Been Close Out According
 to Books of Company.

The nreliminary hearing of F. B. Wel- ons charged with the embezzlement or $sO0O from the White Commission com panv. was begun before Judge Feagin yesterday afternoon The prosecution was heard. but the defendant was not placed on the stand. The case was con- tinued to Thursday of this week. when the hearing will be resumed.
 Wellons was arrested Friday afternoon l about 6 o'clock by Captain Johnston ana Lieutenant Eagan and a charge of embez- l, element of $7O00 from T. D. Howard was | docketed against him in the city jail Yesterday morning w. F. Howard TOT merly the largest stockholder in the White Commission company made af- fidavit before Clerk McElrath, in Judge .Feagin's court, that Wellons embezzieo or appropriated 5000 from the funds or the company for his own use.
 The case being tried in court is that or l the White Commission company against Wellons. It is stated by William fore that two additional warrants VIII pc sworn out against him, one charging Wellons with obtaining money under false nretenses from J. D. Howard, and the other of embezzlement of funds belong ing to J. D. Howard. These warrants will not be sworn out until the present case is disposed of.
 Sensational Showing. 1 A sensational showing was made while MT. Dawson was on the stand. It was shown that the White Commission com
 fIA all mission company of Cincinnati, and that most of the stock bought by the local company was through that organization. Receipts were shown in court from the l ODell company showing that several blocks of stock in the Brooklyn Rapid Transit company and the Tennessee Coal, | Iron and Railroad company. which were bought through the White Commission company for. Mr.x, Howard, were closed out by the White company on Septem- Der % MT. Howard presented receipts signed by Wellons showing where he had given Wellons additional money after 1 September 29 to cover margins on this stock. The receipts of MT. Howard tend ed to show that he had paid between $l2O0 and s1500 to MT. Wellons to cover mar | E q l gins, on stocks which had already been. closed on the market.
 These receipts were shown in court. and the numbers on them corresponded I to the numbers on the blocks of stock which the O'Dell company had closed out on September 29 The receipts of MT. Howard date as late as the latter part of November, or two months after the stock appears to have been sold on the market. MT. Dawson testified that he was familiar with the workings of the office and that these figures were correct
 Shortage of $900o.
 | Mir Dawsons testimony was that the books of the White Commission com pany showed a shortage of $9000 and that Wellons had charge of the books. He also said that Wellons kept a cash i book showing receipts on one side and l disbursements on the other and also | ledger He states that he and an expert l attempted to compare the footings of the cash book and the ledger. but that they had found it impossible to make it out. I He testified that Wellons was supposed | to deposit all money received in the First National bank and that he was sup I posed to pay out all money by check on 1 this bank, although sometimes money | was paid out in cash He testified that no ledger account with the bank appeared on Wellons' books. MT. Dawson checked up the numbers on the receipts from the | Dell company showing when these par l ticular blocks of stock had been closed out on September 29 and they correspond ed fin number with many of the receipts held by MT. Howard, showing that the latter had paid in margins to protect shares after those shares had been sold. MT. Dawson further stated that lie had spoken to Wellons two or three times about shortage on the cash book, and that the latter had replied that he had paid out the money and guessed he had | failed to charge it.'
 MT. Howard on the Stand. T. D. Howard, who bought the shares partially for himself and partially for his friends. went on the stand and in- troduced the receipts he held, signed by Wellons and showing where he had paid wellons something over s7OOo to purchase stock and to cover 1t with margins. He
 
 | being genuine and as to each one repre- senting money paid to purchase and pro- tect certain numbesed blocks of stock. | The receipts and other papers bearing | on the case, as well as the books of the l Wbite company, were introduced as evil l dence and allowed by Judge Feagin. l After hearing the evidence of the pros- ecution, Judge Feagin set the appearance bond at sfO.OOO. but warned the attorneys for the defendant that only the very best securities in Birmingham would be good and that without them the bond would not be approved
 He continued the case until next Thurs day.
 D. B. Anderson. attorney for Welons. stated that as yet all the testimony had been against his client. but that the de- fense would have a strong showing to make Thursday He said that the casa