The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-11-15

| out, and the plant not complete Large
repairs and the purchase of timber
| were needed at once and II was tor
the purpose of putting the plant in
profitable operation that the certifi-
Gates We're asked for. After the issue
| of the certificates, the known condi-
| ton of the business and its insolvency
! rendered it so difficult to raise money
| upon them that he was forced to re-
| sort to the plan of securing money
upon his personal obligation with the
certificates as additional security. In
| every instance the certificates were
used for the benefit of the company.
All the certificates so used had been
taken up and were now in the hands
of the receiver.
The answer of Mr. Edwards was
complete, full and specific and is a
lengthy document taking up and dis
posing of the charges of misconduct
preferred against him in the bill CT
complaint. The answer in fine was a
denial of the most serious of the
charges preferred against him. He
admitted with perfect candor and
frankneSS that he had induced cer=
tain friends to invest their money in
the construction of a certain tram
road, but he ayerred that he had never
made a single dollar on the transac-
ton and that his action in the premi-
ses was solely for the benefit of his
trust. He also said that it was true
that he had sold a small quantity Of
material and feed stuff to concerns iii
which his superintendent was inter-
ested but alleged that the same was
sold at market prices and so charged
on the books which had been at ali
times open for the inspection of the
court or any other person Interested
He denied specifically tlat he was per
sonallV interested in the competing
companies as charged in the bill of
complaint. He admitted that he had
placed certain receivers certificates as
collateral, but alleged that the moneys
derived therefrom had been used sole
ly for the benefit of his trust and not
otherwise. He alleged that he had
given his entire time and attention 10
the business of his trust. having ar
ranged his private business to this
end. He said that in every case of the
issuance of receivers certificates the
full facts had been laid before the
court and the certificates ordered 10
be issued and averred that he had nos
the remotest interest in any or saiu
certificates.
+. Edwards called the attention Of
the court to the fact that the com
plainant Forrest did not profess TO
have any personal knowledge or the
matters set up in the bill of complaint,
but alleged them upon information
bill of complaint We're supported Sole
ly by the affidavit of one b. l.. Crump-
Ter, who was discharged employee.
Mr. Edwards offered and read half
dozen affidaVitS from reputable parties,
among them an eX-clerk of the Su-
perior Court of Robson county, to the
effect that Crumpler was utterly with
out character and entirely unreliable.
The affidavits set forth the fact that
Crumpler was AN ex-convict; that he
had been indicted in Robson county
FOX disposing of mortgaged property,
that ne had been indicted at Bel
haven, Va; that he had stolen pock-
ct book in Robson county containing
$4,000 in money and had refunded the
money when charged with the theft
and on this account was not prosecu-
ted; that he had broken into the post
office at Kingsdale; that he had stolen
medicines from a physician in Robe
son county and had offered to pay
therefor; that he had stolen postage
from the most office at Kings |
dale and that the receiver had been
forced to run him off the property
of the mill company at Kingsdale. |
Mr. Edwards said that he should not |
be removed from his receiVership or |
his character besmirched on any SUCH
evidence as this and offered charges
against said Crumpler. Mr.. Edwards
10 have answered the bill as soon as
same was filed but for the fact that
it had taken time to get these afh-
davits regarding Crumpler.
The order of foreclosure and sale
was entered by consent of all parties.
In his affidavit Mr.. Edwards stated
that he had SIX months ago requested
the complainant Forrest to ask a sale
of the property and that the latter
had failed to act
The interrogatOrieS to be PROFOUND
ed to the defendant receiver, notice or
which was given on Saturday were
filed yesterday. They go into details
of the acts which are ALLEGED in the
bill in more general terms. The most
serious of the charges implied by Tie
interrogations are those relating to al
legged sales of timber at less than
market prices to the Builders Lumber
Company and the Marietta Lumber
Company, and the use of the equip
ment of the company of which
he is receiver for the oene-
fit of the rival companies and, also.
whether or not he did not borrow
the sum of $4,000 on an issue in
like sum of said certificates from
Robert r. Sizer of New York, under
contract to ship lumber in payment
therefor, and if he did not upon the
receipts of said sum, deposit the sum
in his own bank at Sanford. n. G..
and later in. the course OF the con-
struction of the Builders Lumber Com
pany, if he did not check on said
sum in payment of bills for machinery
and material of the Builders Lumber
Company.
Other heterogeneous related to the
management of the Carolina North
ern Railroad, of which Mr.. Edwards
is also receiver. but are not @ermain
to the issues of the present SUIT, being
| designed to bring out full details of
his management of the two properties
of which he is receiver.
Further hearing as to the removal
of the Receiver will now be deferred
until after the taking of evidence by
special examiner artin.