The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1903-08-11
.CLEAGE TEST|HES
IN CIVIL SUIT,
Said to Have Declared He Cannot
Remember Any One Who
Executed Orders.
HEARING BEHIND CLOSED DOOR.
Attorney Collet Believes Testi-
mony Given by Head of Con-
Germ Is of Great Benefit
to the Plaintiff.

lions in connection with the suit instituted
against the CleaRe Commission Company by
8. P. Tresslor Of San Francisco was contin-
ued yesterday afternoon in the onices of
Boyle. Priest & Lehman. In the Laclede
building.
Thomas A. Cleage. who admits that he Is
the sole proprietor Of the company. was the
only witness examined. It was owing to q
protest entered by his attorney. Charles A
Houts of the firm Of johnson. Houts. Mar
latt 6 Halves. that reporters were barred
after they had received permission to be
present from the attorneys representing the
plaintiff
]. A. Collet Of the Arm Of Crawley, Jami-
son & Collet conducted the case. owing to
the absence Of Frederick W. Lehman.
whose firm is retained Jointly with that Of
Mr.. Collet.
The latter stated last night that the EVIL
dence secured from Cleage undoubtedly
greatly benefited the plaintiffs case.
"Cleage stated on the stand that he could
not remember the name Of a single man
who executed an order for the Cleage Com
AhoSiOu SOuipduy, sdlu Sohct.
AT former hearing before the Commits
sioner Cleage stated that his books showed
who executed the buying and selling orders
authorized by the Cleage Commission Com
pany for the benefit OF clients.
II examined such books Of the concern as
were placed at my disposal in the interval
since taking the first deposition. but was
unable to find record giving the desired
information.
THE statement made by Cleage is taken
by US to mean that no orders were issued.
consequently none could be executed. In
other words. believe that the firm played
against its customers accounts and that
when the market went the wrong way the
company closed out the investor"
The dispositions will be continued to-mor-
row afternoon. It has not been decided
what witnesses will be summoned. but the
subpoenas will doubtless be served this aft
ernoon
WILL ASK FOR BOOKS.
Mr.. collet said yesterday afternoon that
application would be made to the Cir:uit
Court to-day for an order requiring Ceage
to produce the books Of his concern in
which tho records were kept regarding tho
orders affecting the accounts Of the COM
pany's clients. 80 5....f-,l..i 80
In discussing the testimony given by
Cleage. Mr.. Collet said that Cleage claimed
he could not estimate within 100000 the
amount that chee has paid brokers In COM
missionsla Continuing, Goblet said:
s"C1eaEs also stated that he could not tell
within 500. 900 bow much money he lost in
corn last December. none . E
I'm reply. to questions. Cleage stated that
| II was not the intention to give the investing
public to understand that the Cleage Com
mission Company was a corporation or a
| copartnership, and that every one under
| stood that the company was owned by him.
Letters which we will introduce in evil
dence. however. show that It was customary
to always speak OF the companys dealings
| in the plural. and that in one instance the
following language was used In a letter to
a client: Our Mr.. T. A. Cleage.'"
w. 8. Montgomery. who IL acting in the
| capacity Of agent for ~ California cred
| itors OF the Cleage Commission Company,
was present during the taking Of the deposit
tons He is an attorney. but is not per-
sonally interested in any Of the cases. He
represents interests involving $4,000. Mont
gomery retained Crawley. Jamison 4 Col
let, and Boyle. Priest & Lehman to rep
resent his clients.
There are several different principles in
volved in the cases, and test cases covering
each point have been Instituted. Tho depo-
sitions taken yesterday only apply to one
Of these.
cLEAGE NOT WORRIED.
When asked last night regarding the
truth Of the statements credited to him.
Mr.. Cleage said that he was not trying the
| case in the newspapers. and would neither
| affirm nor deny Mr.. Collects account of his
Testimony.
I'VE will go after those persons at the
proper time" said clease They have made
| a great many foolish statements. which are
laughed at by persons familiar with the
| commission business.
II have not transferred any property and
| we are still doing business at the cid stand.
| Our papers and books are in ne hands Of
| the Federal authorities. who are conduct
| ing one of their periodical examinations.
and we fear neither the outcome Of that In
vestigation, nor the result Of the suits that
have been flied against u.s."
| Mr. Collet intimated last night that one Of
the results Of the suit in which tho deposit
| lions are being taken would he to show that
| the Cleage Commission Company Is using
| the mails too freely.
I'VE have learned that the company'i
weekly stamp bill is $500 The information
conveyed to our clients. and which we be-
lieve to have been false. was sent through
the United States nails" said Collet.
I'm general way VIC. allege that the op-
Grafton of the Cleage Commission Company
Is substantially as follows:
"Clients were induced to invest theil
money in corn. The daily letters were mos
encouraging until a demand for settlement
was made. and then came tho crash, II
which the entire account Of the investor
was wiped out.
"A letter was then sent to those who hat
lost their initial Investment, stating that ,
special pool was about to be formed In or
der to give those persons who had lost II
the regular pool an opportunity to recoup.
THE amount invested in the so-called spe
clal pool. In every case which We have n
opportunity to investigate. followed thu
money that was sunk In the frst deal. TIL,
crash was also superseded by glowing &C
counts Of the transaction.
when the second Investment had beer
wiped OF the map second letter was sen
to the investors, in which - special 'emer
gency fund was described In slowing term
as sure means Of recovering the amount
lost in the crashes Of the common and spe
clss pools.