Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-03-21
STORY OF THE STOCK BOOK
Records Reveal Relation Between Waters
Pierce and Standard Oil Companies.
H, CLAY PIERCE IS UNABLE TO APPEAR
His Physician Presents sworn
Statement saying He is Threat
ened with Attack of
Pneumonia.

custer case of Missouri against the |
Standard Republic and Waters-Pierce Oil |
companies was marked by the failure Of II. |
Clay Pierce to appear as witness, and
the sworn testimony OF Dr. Bond, his
physician. that Mr.. Pierce was threatened |
with pneumonia and unable to leave his
room, and the severe cross examination of
Charles NJ. Adams. secretary-treasurer Of
the waters-Pierce company, who was
again on the stand and occupied most of the
day with his testimony. Stock certificates
were produced and read to show that the
Standard company held stock in the
waters-Pierce company In 1900, when that
company was reorganized.
Attorney General Hadley today tele-
graphed to Secretary OF State Swanger at
jefferson City, asking him not to permit
the Republic OH company to withdraw
frSn continuing business in Missouri ss
such course, IL permitted, would defeat
the purposes of the investigation, Mr..
Hadley explained that during the taking
Of testimony In Cleveland recently, he
received an intlmation that there might be
a shifting of oil interests in Missouri and
that he had Immediately written Secretary
of State Swanger along that line, request
ing that particular care be taken that
this should not be allowed. Il saw an
hlICle IOuaN lldl lne htpuDllC Ol ChHl-
pany was selling out to the Standard OIL
company in other states and l wired
Secretary Swanger to recall my Cleveland
letter to his mind" said Mr.. Hadley. II
cannot say that my action was prompted
by any new revelations in the testimony
of the past two days"
Vice President a. NJ. Fnlay of ,he
Waters-Pierce Oil company, was called 10
the stand and sworn as a witness just
prior TO adjournment today, and was ex-
cused until tomorrow morning at the open
ing of the days session.
MIR. Adams CFOss-Examined.
Mr.. Adams was questioned closely re-
garding the ownership of Waters-Pierce
stock.
"since you left the stand last night have
you recalled anything. regarding the owner
ship of Waters-Pierce stock prior to May
20, 1900, the date of the reorganization If
the company" asked Attorney General
Hadley.
! II have not" Adams replied.
Are you able to state whether or not
the Standard Oil company of New Jersey
owns majority Of the stock OF the
Waters Pierce company?"
Il am not"
Did you make out or see the dividend
certificates paid to stockholders of the
waters-Pierce company"
'1 cannot remember" -.
'-could you name even one OF the steck-
holders OF the company
II could name myself
You can remember none Of the others?''
| II cannot"
''who held the stock of the waters-Pierce
after the reincorporation?"
III. Clay Pierce"
How much did he hold?"
He owned 1895 shares following the re-
Incorporation,
why can you recall this fact and not
recall who owned the stock on the preced-
ing day?''
II cannot answer that question"
What was the purpose of this disincor-
poratioH and reincorporation on the same
dayf"
Il cannot say"
Wasn't 1t for the purpose of securing a
license I'm Texas when the authorities of
that state had refused your company per-
mission TO do business there?"
II cannot tell you"
Don't you know that of the S9g6 shares
of stock issued to Pierce 2,74s shares were
indorsed in blank by Pierce on September
| 4, 1902"
81 do not know"
Adams signs Checks.
when the disincorporation was effected
were the stockholders paid for their stock?"
II believe the new company bought the
old company"
What officer attended to this transfer2''
Il signed the checks, IL that is what you
mean"
who did you sign the checks for? In
whose favor were they drawn?"
IT cannot recall"
Can you recall having made out any
checks to the Standard Oil company of
New JerseyT"
Il can not"
do you remember one person to whom
you made out checks beside yourself?"
"No."
Can you explain why the internal rev.
enue stamps on the certificates Of stock
were cancelled one day and the assign
ments not made until four years later?"
mo"
Doesn't that suggest anything to your
mo"
do you know w. T. Mckee, the present
secretary Of the Republic oil company and
the man who testified here Monday that
while he was employed by the STANDARD
OIL company he had audited the books OF
the WateTs-Pierce company
Yes, 1 met him in the waters-Pierce
offices"
What was he doing there?"
He was employed by our company"
Isn't II a fact that he was put on tn,
payroll 10 audit the books Of your com
. pany, and that when the auditing had beer
, completed that his name was stricken OF
: the payroll?"
Yes that is right"
! story of the stock Books.
! Attorney General Hadley then asked Mr.
e Adams 10 produce the stock book Of tn,
% disincorporated Waters-Pierce company
D Mr. Hadley also offered a summary show
I ing in abbreviated form the various hold
e ings OF stock, with the transfers, II any, o
y the stock. The summary was accepted b.
opposing counsel and was used by Mr. Had
ley in questioning the witness
Certificate No. Of the old concern wa
= for 1888 shares, made out to the trustees o
5 the Standard OH trust. In June Of 1906 tn
= stock was transferred out and new eertia
y Gates issued, numbered Is and H. II va
d shown by the book that certificate No I
e was made out for 1887 shares TO the trus
tees of the Standard OIL trust, while tn
remaining shares OF the lot were made on