Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1904-04-01
Object Is to Find Out Who We're
The Cotton Kings Co.
Workers
HAWLEY AND RAY CHIEF ONES.
Ex.Secretary Of War Root Retained
To Question President Of Iowa
Central Railway.

New York, April 1.-The examlna-
ton In which Edwin Hawley, president
Of the Iowa Central railroad and the
Minneapolis & st. Louis railroad, and
Frank Ray head OF several large to-
bacco companies. the alleged partners
of Daniel j, Sully IN his cotton oper-
atlons, are to be questioned began to-
day before United States Commissioner
Alexander TO ascertain fully wheth-
er or not Hawley and Ray were person.
ally Sully's partners is the object of the
examination and Commissioners Alex
ander w?s appointed by Judge Holt to
act as a special examiner In the case,
Receiver Henry w. Taft and David
+, Miller procured the order from
Judge Holt OF the United States dis
trict court requiring Hawley and Ray
not only to appear today before the
special examiner but to take TO the ex-
animation room all their books and pa
pers that would disclose exactly what
were their relations to MIR. Sully.
Former Secretary OF War Elihu Root
was retained TO question Mr.. Hayley
and Mr.. Ray, At the opening OF the
examination Commissioner Alexander
ruled that the examination would not
partake Of obligated proceeding
Mr.. Hawlcy was then called and his
examination was begun by Mr.. Root.
Just at this time Mr., Suly entered the
room and took seat near the lawyers
table
Mr., Hawley testifes that his bust
ness relations with Sully & Co. began
In December last and ended on March
Is, Mr. Hawley said he kept no special
record OF his cotton operations relying
chiefly ON the statements he received
from Sully & Co. following purchase
or sale.
AT the request Of Mr., Root Hawley's
lawyers produced issued batch OF
these statements,
They showed that on Dec 4, 1903
10000 bales Of cotton were sold for the
account of u. Hawley and d. J. Sully
Jointly and on Dec. %. 10, 100 bales were
bought and sold for the same account
There were also similar transactions
on q smaller scale for Dec. "a and q.
and then came a number OF statements
OF various dates In January, all repre-
sentng heavy transactions In cotton
for Hawey's account Mr.. Root read
from statement showing that In one
particular transaction Messrs. Hawley
and Sully had divided a profit OF $50
400
Mr.. Root next read from other sta,e-
ments bearing February dates, Mr.
Root next read statement OF cotton
tpanuaatknnu no al ka
Hawley, Sully and Ray.
Mr., Sully It was brought out used to
take his own share OF the profits be-
fore sending Mr. Hawley his share. A
number OF "1oint three accounts
(Hawley Sully and Ray for the latter
part OF February. nearly all represent
ing heavy sales, were next read of by
Mr.. Root.
Hr Hawley said there were other
transactions for "iolnt three" &C.
counts dated Feb. "a and 81, something
over 10000 bales, which netted a profit
Of $4,000. Mr.. Hawley said that he
did not take his profit IN these trans.
actions, They were credited to his
account"
II developed during the examination
that the first transaction Mr.. Hawley
had with Mr. Sully was IN SEPTEMBER,
1903 when he loaned Suly individual.
~ 100000 on securities.
A letter from Hawley to Suly, dated
March rs, was read by Mr., Root II
read In part;
u enclose herewith statement Of nc.
count, showing, so far as my individual
interest is concerned balance due
YOU OF fS2,420, for which l enclose my
| check.-E. Hawley."
Hr. Hawey said that his check for
amount named was sent to d. j. Sully
| & Co.
Mr.. Hawley here made n brief state.
ment. denying any partnership with
Mr. sully That phase OF the examlna.
ton Mr. Root replied, had not yet been
| reached
The examination Of Edwin Hawley
IN connection with the Sully receiver.
shin has been adjourned until Thurs.
day, April I.