The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1903-10-16

which indicated hat the earnings Of
the shipbuilding corporation for the
first three months were about $1,000
O0O, about half of which came from the
Bethlehem property. The witness sald
that when he told Mr.. Pam that ne,
Dresser, must make an assignment,
Pam old him he must resign at once
from the s~hipbuilding board Mr.
Pam. he said, seemed to be running
the whole company.
The witness said that he did not
know hat when the constituent COM
panies of the s~hipbuilding combination
had been taken over that all of them
were heavily laden with debt, but
had been told so later on. He had not
known that they We're in debt when
the prospectus was issued. The under
writer's took up the bonds fer which
they had subscribed, paying ninety
for them and getting bonus in stock.
There a been no other assessments.
The bonds had been offered to the
public at n~inety-seven. When the
Bethlehem property was bought, he
knew that il was subject to two mort
cages of about IS, 800, 900.
Mr.. Schwab according to the wit
nesses aid that the Bethlehem had
earned 81. 400 600 which had o been
taken from the business. The witness
said that other than what he a
stated IN the morning lie LdI 4A~dO
no profit from the transaction.
Mr.. Dresser was succeeded on the
stand by George P. Dayley, assistant
treasurer Of the Corporation Trust
Company of New Jersey and n or
the resident directors in New Jersey
of the s~hipbuilding combination. de
testified that his company made q
practice of furnishing resident drec-
tors for corporations organized in New
1000 ,rI +hot he and two of MS
fellow clerks, Messrs. Newman ana
Seward. had been made directors OF
the shipbuilding company. He did not
| know who had asked him to act as a
director, but understood that the
agreement was made by Alexander
| and Green, with the New York branch
Of his company. He said a single
| share of stock had been bought Tor
him in order that he might quallIy'
! but did not know who had paid for
If or how it had been paid for.
After much fencing, he SAID that
he did not have a personal bank &C
! count az the time he acquired the
qualifying share. He remembered at
tending at least two meetings., Dut
kept referring Mr.. Unter1nFer 10 tnt
minutes for information as to Wna'
had been done at the meetings. ft
had not visited any of the plants ano
had not ordered an appralSement Vi
~nronerty and while he admitted tha'
no and his fellow directors IN New
Jersey knew nothing Of the
ING business. except such informatlol
( as reached them in the documents ial(
before him, he would not ADMIT INA
he was merely a dummy director. ~
finally said, however. that he ana th'
others acted on the direction OF IN
attorneys for the company. lie hIeN
of the Union Iron Works through IN
press, but did not know where III
Bath Iron Works IS. -.
Mr. Untermyer produced the meet
ing records showing the lncredSt -
the capital stock from $3,OV 10 S4l,
GOO 600 and the proposal from John w
Young for the sale of the Bethiehei
~property and without them ne cou1
NOT Give details as to the meetlns
Mr. Tntermyer reminded him that n
! .,r1 his fellow directors had voted |
iss1a nearly so. 600, 900 worth OF st
c,ritias and the witness said that n
knew nothing of the plan to buy IN
bethlehem Works until he ZANE 70 III
t meeting He said that the director
t bad exercised no discretion or JUGS
2 ment in the matter, but had 1ollo"e
the direction Of counsel.
= frederick z. Ward. a lawyer and tf
4 second of the New Jersey dlreclo
e was also called as a witness, put u
:. examination had only PROCEEDED
short distance when the hearing W.
S adjourned until tomorrow.