New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-01-03
ASKS FOR RESTITUTION.
HIT At ASPHALT TRUST.
Wants Matos Money
-ReceiUer Asks Instructions.
rBy Telegraph to The Tribune

Trenton. N J., Jan 1.-The fast move by a
stakeholder of the Asphalt Trust for the restitu-
ton of $4,000 said TO have been given by mat
corporation in various payments, to General Man
uel A Matos, the Venezuelan rebel leader, q Few
wears ago, was made here to-day when John NJ
Wright. of Detroit through his counsel asked
Judge tanning of the United States Circuit
Court to designate the proper person TO bring
the action for recovery Of the funds said TO have
been illegally expended. Decision was reserved
At the same time Henry TatnaIl. who with
John NJ. Mack, of Philadelphia, was a receiver Of
the Asphalt Company of America (the trust),
through his counsel A. H. Wintersteen filed
report Of the transactions of the company with
General AIatos and a petition asking instruc-
lions in the premises. Mr. TatnalL VINO Is fifth
ce-president and treasurer Of the Pennsyl-
vania Railroad, ends his petition as follows:
The receiver respectfully submits the forego-
ing facts and pray5 that he be given such 1nstruc-
tions In the premises touching the ABOVE claim
as the court may deem 1t proper TO have carried
ont In this connection it is submitted that IN
less the receivership is to be continued with a
1-iev to the assertion of the above claim, there
is in his opinion, no further necessity for its
continuance-au the assets Of the estate having
been distributed, as above set forth
John NJ. Mack, who is president Of the General
Asphalt Company. the name which the trust
now bears, was discharged as receiver some time
ago.
John NJ Wright whose petition is realIy CO
incident with that of Mr.. Tatnall told the court
that he is a holder Of preferred stock Of the
General Asphalt Company to the amount of fifty
shares Of the par value Of $4,000. He declares
that Investigation of the Asphalt Trust and It's
srbsidiarv companies shows conclusively that
the combination was substantially one corpora
tion dominated and controlled by one sInaH
group of men
He relates that in the testimony given under
letters rogatory witnesses in this country III
the case of the Venezuelan government against
the New-Yorb and Bermudez Company OF th7
trust for damages resulting from the latter's
alleged aid to the insurrection, that at least
S145 600. and probably twice that sum- Illegally
vas expended Part Of this money was paid
o,,t nrior TO the receivership and part IN the
course of its existence. Mr.. Wright says further;
rrtora has never been a question in the minds
NJ those acquainted with the business OF tho
AsnhaIt Trust that honest and Dus1nessllhe
administration OF its affairs would not oIlIy e
-rayar+ad its insolvency, with the consequent
ggraat loss to hundreds of investors, bus wouIQ
have resulted in the payment OF suostahIa1
dividends
Further on Mr.. Wright pays this tribute to
General Francis Vinton Greene. who first told OF
the payments to General Matos;
1t is significant that the fact Of these pay
~rnen+s TO Matos was not only never made pup
Ito Init
,+r+f af+ar General Francis V. Greene, ex-presl-
dent Of the National Asphalt Company had
given his testimony in the venezuelan case, d
snDears from the testimony Of General andrews
in the same case. In fact. the entire conducI oI
the Venezuelan case on the part OF the deIeho-
ant's officers and counsel, both in the exam
1a+fon NJ their own and the cross examination
oF nIafntiffs witnesses, up TO the time wnen Cen
eral Csreene's honesty compelled this admission
reveals their determination TO conceal the real
facts
II is also significant, he declares. that while
General Avery D. Andrews able TO state
that 100000 was given to Matos. the receiver,
in his petition 10 the court, has been able to find
IN detail an expenditure for this purpose Of
S145.OOO.
Henry TatnaiI. in his petition. said that there
were no funds with which the prosecution OF |
such suit as Mr.. Wright wishes begun might |
ne instituted and carried on. He says that the /
naynents were authorized by directors of the |
company. so far he had been informed, to |
protect the property Of the trust from the in !
surrectionists. Evidence adduced in New-York, |
however. showed the uprising Of General Matos |
did not occur until several months after the |
money had been paid TO him by the asphalt /
company.
As to the claim OF wrongful diversion Of the |
pavnnents of $4,000. Mr. Tatnal says in his |
petition:
Inasmuch as the payments were all made out |
of the treasures of corporations whose shares /
of stock were sold by him in 1908. the present /
through their respective corporations. the own I
ers OF whatever claims there may be against |
tho boards of directors Of the respective COM |
NAMES at the time for diversion of the above |
funds from their treasures
After argument before Judge Lanning. in
which a representative of the Asphalt Trust took
mart asking the dismissal of the petitions. which
the court refused to do, decision was reserved.