The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1908-06-23
BARTNETT'S PLAN
TO BETRAY GOULD
PROPOSED TO SELL w. p. STOCK
TO HARTMAN is TESTIMONY
OF BROWN.

OF BROWN.
SAN FRANCISCO, June 16.-That
Waiter j. Barnett, accused Of the en-
bezzlement Of the Cotton securities
from the vaults Of the California safe
deposit and trust company, was
traitor to the extent OF plannlng to de
liver partial contro. OF the Western
Pacific railroad into the hands of Il. n.
Hartman to save himself from prose
cution was the sensational testimony
brought out during The progress OF
mis- trial yesterday.
j. Dalzell Brown in closing his direct
testimony declared that his former col
league proposed to him after the fail
ure of the California safe deposit and
trust company to sell 5000 or 5000
shares of Western Pacific stock to
Hartman and through this means to
secure enough money to replace the
Cotton estate securities which had been
stolen before their loss was discovered
Brown was prohibited from testifylng
in detail concerning the progress Of the
pans to dispose of this stock. but
enough was told to make it plain that
such detail probably would have been
consummated but for the sudden ar
rest of the principals.
THINKS OF MANY SCHEMES.
Following the failure of the local
bank Bartnett became frantic in his
anxiety to cover his tracks so that the
misuse of funds and securities could
not be traced, and several plans to ac-
complish this end were proposed
Among them was the scheme to APP
proach Hartman, it being believed
that the Southern Pacific magnate
would be willing to offer large price
to secure enough stock TO give him re-
presentation ON the directory board Of
the rival railroad. Then came the
rapid developments following the dis
covery that the Cotton securities were
missing, the arrest of the bank officials
and the consequent failure of their
plan to materialize. Other plans for
raising money which were suggested
by BARNETT. according to Browns tes-
timony, were to sell lumber belonging
to the EldOrado lumber company and
products Of the Pacific window glass
company and the Carnegie brick ana
pottery company and the collection of
the book accounts of these subsidiary
concerns.
Brown asserted that when Bartnett
! returned from New York in November
of last year, after the bank failure
the missing securities were discussed
( between them and 1t was agreed that
they would say that all missing bonds
or stocks, and particularly the Cotton
securities, were in a safe deposit box
in New York. When the bank com
missiOners demanded the securities in
question it was arranged to send a
special messenger to New York and
Bartnett proposed that Brown should
| go. Brown answered that If any
trouble was coming he would stay and
face it, and told Bartnett to send
Robertson If he wished to send any
| one
POOL TO BALANCE MARKET
Brown explained at considerable
length the use to which was put the
mysterious trustee number account
carried on the banks books. This
was pool of 3,S41 shares of the bank
stock. which was. entered into under a
signed agreement by Bartnett, Brown
James and John Treadwell and b. NJ
Bradford, and was used to manipulate
stock transactions on the market to
| prevent any stock trading that might
reflect on the banks condition.
Strong corroborative testimony was
brought out yesterday morning by the
prosecution during the examination OF
j. Cal Ewing. former secretary of the
bank commission.
A forecast of the nature of the de-
| Tense which Bartnetts attorneys will
attempt to erect in his behalf was
given during the cross examination OF
Brown. Attorney Geary confined
himself entirely to questioning the
witness about the history of the bank
from the time he became connected
with it in 1887, the evident object be.
ing to show that the bank was in bad
condition when Bartnett became inter
ested in it and that his misuse Of funds
was animated by a desire to place tn,
institution again on a sound footing.