New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-05-17
DENIES HE GOT REBATES.
tDR. WOODEND ON STAND.
ReceiUer Intimates Stock Exchange
Firms Violated Rules.

The examination Of DR.. W E woodend in the
Bankruptcy proceedings against his firm yesterday
was along lines that seemed TO show that the re-
Iceiver thinks certain Stock Exchange firms had
been doing business with Woodend and giving him
a rebate deals thus violating a Stock Exchange
rule.
Judge Holt, in the United States District Court.
signed an order prohibiting the Of DR. Wood
lend any civil process except in cases specified
an the bankruptcy laws OF 1898 until the petition
against Woodend IS dismissed. until twelve
months after he is adjudicated bankrupt or until
G. discharge IN bankruptcy. Charles Z. lie Bar
bier, attorney for DR.. Woodend. alleged his client
had reason TO believe that attempt would be
made to arrest him civil process.
Colonel Gruber the receiver, failed TO get an
order 10 compel City Chamberlain keenan, 10 hand
over 10 the receiver the s4.70O deposited with him
as cash bail by Mrs. woodend when her husband
was arrested on May 5. Mr.. lie Barber contending
that the money was Mrs. Woodend's. and could not
be attached by the receiver and Justice Holt agree
.ng with him
Mr.. Gruber. who examined the witnesses at the
bankruptcy hearing, first asked President Ran
dolph OF the Consolidated Stock Exchange II he
had examined the books Of the Woodend company
within the last year. Mr.. Randolph said that eH-
merit accountants examined the books and reported
sn March that they could not he certain what 'he
assets and liabilities were
DR.. Woodend identified bill of sale of his stable
70 J. De Cordova, who, he said, was formerly an
employe Of his.
rtable was the security. had the use OF 1t. De
Cordova received SIS a week. He did general work.
He received money from customers
Mr. Cruber produced receipt signed by j. De
Cordova for W. E Woodend & Co" for 500 received
IS margin on stock which DR.. Woodend identified
He said he paid De Cordova s. 600 out Of the money
received from the sale Of his horses and $500 be
fore He admitted that he told Rumley 10 telegraph
70 banks throughout the country 10 send all moneys
standing the firms account and pay IT to De
t'0rdoEa
This was after witness had given a chattel mort
gage his furniture. The mortgage was not 10
be recorded.
sums of $4,000 and $4,000 deposited in 1903 in the
Central Trust Company by Mrs. Woodend, the wit
ness said. money that she had lent to him to
start him in business. DR.. Woodend said he eX-
change, but refused TO name the firms, saying that
him that he should not disclose their identity.
his dealings with Stock Exchange firms was in part
as follows
o.-what did you charge your customers? A
One-eighth one-sixteenth.
Q.-What were you charging Mr.. Bremmer Of Jer-
sey city? This slip shows one-sixteenth A.-That
oSIsn't It a fact that you we're charging ,Brem-
Irscts9 af rt rs IS T he e&eeu5eq the CON
certain losses in this way TO meet competition in
Q.-You got back rebate in currency the first
or anything Of value back from any Stock Ex-
,9awhst ,, other brokers on the NewYork Stock
4<ACudl4Se OlQ you 90 business with besides Hunter
d Schumacher and Stewart Brown & Co? Al
refuse 70 say; that would be violating confidence.
Q--You were doing the same sort OF business as
other dealers on the Consolidated; that is you were
getting rebates? Al did not receive anything
from any Stock Exchange house I do not know
how the business was being done.
know? Al do not know.
Al this point the hearing adjourned until to-
day. Mr.. Gruber intmated that he would have
something in the nature Of startling evidence to
produce but would not say what IT was. II was
nnumated that II had to do with the connection Of
Dr. Woodend with the Heddon-R odee Comnan nv
which Mr.. Gruber has declared is Indebted 10 Wood
end 10 the extent Of sees 600