The Washington times., 1904-02-04

George f. Lorenz went on the stand
for the defense today in the Postoffice
conspiracy trial.
1t was Lorenz whom the prosecution
charged with having made deal with
Machen whereby the fasteners were to
be purchased. and Afachen was TO get
one-half the Lorenz commission. which
was to be half the profit on the fasten-
ers. Lorenz admitted that he had a
long talk with Machen in 1895, while
they We're members of a party that
made trip on Lake Huron.
Waste Of Time and Money.
This conversation had an important
bearing on the whole case. and is ex-
pected to be the source of a prolonged
cross-examination. Witness said the
trip was made after he had entered
into an agreement with the Groffs. by
which he was to get half the profits
for promoting the sale of the fasteners.
Machen told him it was a waste of
time and money 10 travel around the
country trying to interest postmasters
and others in the sale OF the device 20
tle DEPARTMENT. 1t had already been
adopted as a standard article. and
would be installed just as fast as the
appropriations would permit. This de-
cision to use all available money for tho
purpose made unnecessary efforts 10 sell
10 the Government an article which it
had decided To buy.
A Surprising Admission.
Lorenz said that he accepted Machen's
word and ceased his work as a pro-
moter
1t was then that Lorenz made his
most surprising statement. He said he
told Diller 3. Grom that the fasten-
ers were being sent out by the depart
ment proper. were not being installed as
the result OF requests from postmast-
ers. and that they had better let things
drift along In that way.
Despite the fact that Lorenz was not
in position. by his own admission
10 G~off, TO further the sales, the Groffs
continued TO regularly pay him half the
profits OF their business. and. so far as
has been developed in the trial. never
made any protest or tried to get out
OF their contract with a partner who
could be Of no service to them.
This phase of the question was
strengthened by the fact that there was
no written contract. but merely a verbal
sgreement abstwes1. thas Darties. and the
$500 which Lorenz was 10 pay in cash
as part OF his purchase of a share in
the business was not paid down. but
was taken pTDpOEliOn ol the
money paid the partners by the Govern
ment
"a Personal Affront"
An interesting and somewhat surpris-
Ing set-to came just as court adjourned
for luncheon. Mr.. Conrad. for the Gov
ernment. asked that Lorenz. who was on
the stand. be warned by the court TO
talk TO no one. not even his counsel,
about the evidence he would give after
dinner Mr. Douglass. for the defense,
hotly addressed the court. saying that
the request was a reflection on counsel
for the defense. He said that in the
hundred yes the District Of Columbia
had oeen in existence. such a request
had never been made. and each attorney
had right to take the request as a
personal affront
Mr.. Conrad earnestly disavowed any
intention whatever OF reflection on the
attorneys. but merely wanted the court
20 warn the witness that even attorneys
must not be consulted while he was on
the stand. Mr.. Douglass reiterated his
statement that the request was a slur,
and Mr.. Kumler broke in with the re-
mark that II was an imputation against
the bar Of the District. which Mr.. Con-
rad again denied.
FIlICNd1Q OeQieS Request
Justice Pritchard said he had always
been under the impression that a man
accused of a crime could consult with
his attorneys at any time. and he would
not grant the request OF Mr. Conrad
that Lorenz not be allowed to talk with
his counsel during recess. He did warn
the witness not 20 talk with any Of the
other witnesses.
Torenz I'm the course Of the morning
gave complete history OF the transac-
tions in oil which he and his brothers
and the two Machen brothers had IN
Ohio. The substance OF the matter was
that when Machen came 10 Washing
ton in 1893 he transferred his oil inter
ests TO LOrenz, and after a balance OF
obligations was struck. Machen received
Ine note OF George f. LOrenz for $4,000.
That note was deposited IN bank, and
ran along continuously with payments
at various times until December l6, 1909.
when the last installment OF more than
5000 was paid. six months after the
two had been arrested.
"A Running Account"
I.orenz said he and Machen had a run
ming account OF business transactions
between each other and when at the
end OF the year Machen owed him any
thing. II was credited on the note. From
january. 1897. 70 January. 1901. the
amounts balanced and there were no
payments on the note.
S. D. Carr. president OF the National
Bank Of Commerce OF Toledo. was the
only other witness on the stand. He pre-
WEATHER REPORT.