The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-04-14
MUST DEFEND STOCK SALE
ENGLISH COUPLE TELL or $4,000
VENTURE IN CANNING.

Magistrate Decidc s That william II. Geer
Must Explain Representations on which
Deal Was Made-COubys Say They
Trusted Hlm--LauEh went Wrong.
The charge Of selling her 5000 worth of
stock by misrepresentation a by Mrs
Charles B. Coulby of s22 st. Nicholas avenue
against William Fl. Geer, president OF a
canning concern at 1 Hudson street, came
up for hearing before Magistrate Whitman
in the Tombs police court yesterday. Frank
r. Coulby, a lace importer at 1853 Broadway,
accompanied his wife TO court. The couple
are English.
Mrs. Coulby first told her story. She
said the stock she bought was in the William
H. Geer Company. Geer told her, she said,
that the dividends would be enormous"
and that the stock would double its value
within a year. She received no dividends,
she said, and could not get her money back
according to her alleged agreement with
Geer.
Mrs. Coulby's husband then testified
He said he met Geer at Far R~ookaway last
July and that they became warm friends.
"Mr. Geer told me, said he, "that he was
president of the Geer company and told
me what an enormously profitable business
1t was. He very soon. learned that my wife
had a little money and our friendship grew
stronger. He began telling me the public
had no idea how prosperous his company
was and how valuable its stock. l told
him l didn't require the money my wife
had for my business and that she wanted
to invest 1t in something good. Geer then
told me that by buying stock in his COM
pany my wife would be making the finest
investment she ever heard Of, better than
Government bonds. He said his company
was capitalized at O,oco and that there
was only 8 5000 worth of stock that could
possibly be obtained. There was a Mr..
Allen, a director in the company, who
wanted the stock, but as there was a great
friendship between us he would let my wife
have it. He said his company had big
holdings of Fredonia Preserving Company
and Springfield Canning Company stock,
and that this alone would make the profits
big enough to enable the Geer company
to build factories.
an january, upon the receipt Of a state
ment from Geer showing that the company
6idn't hold any of the stock referred TO, |
met him by appointment in the Cosmopoll,
tan Hotel. l showed him the statement and
asked, Where is the Fredonia and Spring
vile stock?'
why he said, we haven't any FREE
donia n S~pringvile stock
What I said. Why, you told me you
had
mo, I didn't, he replied. personally
had some
You will at least give me back my
money I said. 1t was a minute before he
answered me. He couldn't look at me.
Then he said he never agreed to any such
thing"
Lawyer Klein, who represented Geer,
asked IL he had made an investigation of
Geer's representation, and he said he had
not until after the stock was purchased by
his wife. beoause he thought Geer a fine
type of a truthful and honest nan"
"He said his word was his bond, said
Coulby, but it wasn't, He imposed on my
poor little chicken Of a wife; he tucked her
under his arm-the dear little chicken who
laid the golden eggs"
Coulby turned round and looked at Geer
angrily. Geer and his counsel laughed at
him, Lawyer Epstein, the Coulbys' counsel,
rema rked that it wouldn't be a laughing
matter.
Ma gistrate Whitman said at the conclu-
sion Of the testimony that he thought a
prima facie case had beer made out and
that a defence would have to be put in at
the next hearing.