New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-01-06
WANTS SCHWAB ON STAND
GUTHRIE WON'T HAVE 1T.
Promises Untermyer Client Will
Testify TO-mOrrO1c.

oondholders OF the United States Shipbuilding
Company tried in vain yesterday the con-
tinuation OF the hearing TO have Charles NJ
sohwab put on the witness stand in the rooms
Of the Board OF Trade and Transportation be-
fore Special Examiner OHphant. AS the exam
ination Of Alfred Rose. the expert accountant
was ABOUT 20 be resumed by Mr.. Guthrie Mr.
Unterrnyer said he had heard that Mr.. Schwab
had announced his intention of going abroad
Counsel said he would be only too willing 20
suspend the examination OF Mr.. Rose and take
Up that OF Mr.. Schwab.
I'VE shall finish with Mr.. Rose first" said
MI. Guthrie and then examine Mr.. Schwab."
II took all day to finish" with Mr.. Rose
he was called to the stand al 10 O'Clock. the
hearing having been delayed by the non-arrivaI
Of Examiner Oliphant Mr.. Guthrie had refused
70 consider Mr.. Unte-myer's proposal 10 pro-
coed in the absence Of Mr.. Oliphant.
Mr.. schwab was not present at the hearing
Mr.. Cntermyer made another offer 10 postpone
MI Roses examination IN favor Of MI Schwah
The examiner agreed that Mr.. Schwab should
take the witness chair Immediately al the end
OF Mr.. Roses testimony.
Mr.. Guthrie's examination Of the witness was
in part as follows:
o.-What information had you as 10 the real ex-
istence or the estimated profits on July g. 1872 az
the Bath Iron Works other than statements Flr-
hooks Of the company and thcn nad Ibe educ 1''
non Some Of the estimated profits had become
Are you prepared 10 state that the Bath Iron
,ious 70 the aopontment Of The receiver A-No-
We did not examine the books Of the companies To-
9 49, . The audit company prepare statement
As readiusted for the receiver? Al may say that
we sent 70 the receiver a copy Of statement 81
cepting the Union Iron Works. The surplus given
Of s294.7l9 e,
After recess Mr.. Rose testified that the sum-
mary 81 assets and liabilities Of the constituent
concerns in excess OF cash received had been re-
duced by the audit company from 81 $50, 49, o.
10 ST.. J02 20
The resumption Of Mr.. Guthrie's examination
continued, as follows:
.o-Did you or aid YOU not examine the books Of
earnings from the business for the year beginning
Q-AlthouFh YOU made no examination Of the
abe to make statement giving the aarnings? A|
We merely prepared a statement from those fur
nisheo to US
Mr.. Rose stated that OF the S2500O0 credited
on the inventory of the Bethlehem Steel Com
pany S2l0o0O was for unfinished product and
$4,000 for finished products Of date April 80
1902. This marked hack November 30
1902. being part Of the reduction made OF more
than S600000 The Bethlehem company had
stock Of the British American Manufacturing
Company. but witness had no knowledge Of the
earning capacity Of that company after SIG 600
OF its stock had been written off. IT was a had
debt carried over n good one and written off
subsequent to July 81. 1902. It was not written
of, however. previous to the requirement of the
Bethlehem company by the shipbuiIding com
pany.
Have YOU anything to show what was the
cash on hand by the Bethlehem company on
July 81. 1902 the witness WAS asked.
1t was $206.1l45 &c on July 81. 1902 and S164-
74l "A July 81. 1893
How was it," asked Mr. T-ntermver. that
with the large earnings Of the bethlehem COM
pany, the cash on hand did not increase"
Il have already testified that accommodating
profits were disposed Of in improvements. pur-
\ chase Of new material-in other words decreas
NJ ing their liabilities and increasing their as
sets"
Mr.. Unterrnyer offered the receivers entire
report in evidence on the ground that MIR
Guthrie had used part of it in questioning the
witness. and despite the latter's protest il was
accepted.
Mr., Untermyer examined the witness as fol-
lows:
cogay With the ra9 ,ates sn so Re1hlees@
ofs iha s aI bleba % per cor,, cent
United States Steel Corporation? A-By exarnina
with the United States steei corpofefEio6 transaction
WAS the United States Shipbuding Company
customer OF the United Stated Steel Corporation?
A-Ees There was business transacted hetU,aar
1903. 49, 1'-' august
Q.-Dld you In your Investigations find records
OF oeallngs between the shpbullding companies
not investigate that. ~
Adjournment was taken until tomorrow,
when Mr.. Schwab VIII be called
We would Ike to have Mr.. Schwab" said
Mr.. Cntermyer 10 Mr.. Guthrie The latter
smiled and nodded