The Birmingham age-herald., 1903-11-25
TESTIMONY OF HIGHLY
 SENSATIONAL NATURE
(continued from First Pase)

$1,S5O,OOO in cash working capital agreed upon, mot one cent"
 MT. Schwab was the dominant factor in the Bethlehem Steel company, MT. Nixon stated, after long questioning.
 The agreement of July 2 1903, between Nixon, Dresser and schwab, providing that Schwab should loan to Nixon and Dresser $1246,Sn to purchase the Bethle- hem stock from J. F. Morgan and com l pany, as syndicate managers, in return for which Schwab was 10 receive $15,- 00O,OOO in stock and S10OOO,00O in bonds was introduced in evidence at this point. Re- cepts from Schwab and J. P. Morgan and company acknowledging the delivery on August F of 75,0O0 and 2500O shares pre- 1 ferred stock, and the same amount of common respectively, were introduced in 1 evidence, as was the trust company os l the Republics check for $750 900 in favor l of Harris Gates and company, to pro- vide working capital for the company. Af- 1 ter devoting some time to a discussion of l the real value of the constituent plants and the reasonableness of the price paid for them, the hearing was adjourned un- l til Tuesday, Deeeplber s.
 Only as Records.
 Letters between Nixon and Mr. Schwab referred to by Mr Nixon during the day. were not read, but were admitted as part l of the record, and are as follows: September 4, 1903. 1 Charles M. Schwab Esq, T Broadway: Dear MT. Schwab--I beg to enclose herewith a letter received this day from the United States Shipbuilding company | securities manager making another call on the subscribers to this agreement. as l you agreed you would assume this par | ticular subscription. In this particular 1 instance however, l do not ask that you l should assume the $40 GOO already paid, but simply the remaining subscriptions, and then divide the securities which are represented by the total cash paid in pro- portion to the accounts paid.
 "(Signed) Yours truly,
 LEWIS NIXON"
 September 10, 1905 Lewis Nixon, Esq, 43 Cedar Street, New | York City:
 My Dear MT. Nixon-I beg to acknowl- edge the receipt of your letter of Sep l tember 1, 1903. My agreement was that l upon the eonsummation of the proposed plan of reorganization, I would advance 1 the amount of any calls the syndicate | managers might make, and take the pro- l portion of the new securities represented thereby At that time it was contemplat- ed that with the cooperation of all in-
 
 | through. l never intended or agreed to 1 increase my interests in the syndicate, l or in the properties except on the pro- posed plan of reorganization being sue l cessfully consummated
 Tn the meantime and in view of the | opposition now existing, I see no reason why l should modify the agreement made Yours truly.
 CHARLES M. sCHwAB."
 Mr HodIeu'e a+tar
 Mir. Nixon today gave out the following letter:
 international Fewer company, Philadel- phia, November 13, 1903-
 MT. Lewis Nixon. New York-Dear Sir: Regarding my understandings with Mir Charles M. Schwab as to plan of re-organ- ization, proposed for the shipbuilding com- | pany at the time you came to me in dis | tress, I have to say that inasmuch as am at the present time ill, it will be in- possible for me to lend you or MT. Schwab any assistance in untangling this unfor- tunate affair. I have sent out copies of the correspondence had between Mr. Schwab and myself which took place at the time l was endeavoring to arrive at an amicable understanding with him as to whether he would pay his assessment on the controlling exchange of stock he
 
 all of my propositions to MT. Schwab were based on the condition that Mr. 1 Schwab would take charge of the fnan- | cial operation of the deal, and even now if you could disentangle the matter and allow your stockholders a l1gnt to go in 1 on the reorganization by paying a small | assessment l would have my associates join you and furnish $1,000,OO0 in cash l that you would require under your origI- nal plan of reorganization, always assum- | ing of course that Mir Sheldon will stay in the saddle and attend to the financial end of the corporation. You should ar | range to see him or have some one else see him regarding this matter, I wish I to assist you all I possibly can in your | earnest effort to rehabilitate this prop erty at the least loss to the security hold CTS.
 Your criticism of me in influencing you to approve of reorganization is unjust. as 1 I did it for your best interests. and 1t was after MT. Schwab agreed to all he did and with the best favor possible that | I brought you the letter which you signed as requested by me. and which that night sent to Mir. Schwab's house. and as stated, it was after Mir. Schwab had agreed to comply with my request, in order to protect me from loss in the case of advances which had been made and ! which were to be made to you at that time.
 "Under any other consideration I could not. in justice to myself have anything to do with the transaction whatever.