Daily press. [volume] (Newport News, Va.) 1896-current, 1908-11-28
CHEF
CLERK, ON STAND
RESUMPTION Of Case Of interstate
Commerce Comm sion Against
Gilbert, Charged With Relating.

for the Chesapeake and Ohio Rall
road was resumed this morning al
10 O'Clock tn the United States DIS
trict Court. Judge Edmund Waddili
Jr, presiding.
". VI Anderson. chief clerk in the
tariff lrr, IA of the Chcs iptaEr and
Ohio Railroad. was tn" tir,t witness
Witness was examined Ly Special
Attorney Marb" with reference 10
freight tariffs covering fr' light ship
! ments through he South over mis-
! road.
Witness testified that local freight
rates from Richmond. Va. to l-unl-
: berton, n c., were 70 cents: that
through rates between thee point"
were 10 cents. THAI the ChrSap ak"
and Ohio tracks did not cn'"" l.um-
brrton. for which reason il billed re
consigned cars to l.umbt rion over
I the lines OF the Atlantic Coast Line.
: Witness was next asked what
switching charges were incurred by
having cars switched from the Rich
mond Ninth Street. chesapeake and
Ohio freight station to the Atlantic
Coast Line tracks in this city.
W illness ltp!itu mat F'' IL ''''>''
ing charges were levied at the rate
of S. per car This was known as
The Richmond switching tariff. And
this tariff was either paid by the road
receiving the car or by the shipper
owning the consignment.
Witness was here rigidly chaAlsed
with regard 10 1aritI rates governing
shipments from what are known as
Valley point, to the city of Richmond
and on through shipments passing
through this city To points i'll caro-
lima.
, In this manner it was BROUGHT out
that special regulations covering Val
lev shipments over the Chesapeake
and Ohio had taken effect and been
published by the Chesapeake and
Ohio on July II. 1907.
! Gates Recalled.
! United States District Attorney
! Lewis asked witness if he. witness,
believed that The Defendant, Al"xan-
der p. Gilbert. was aware that the
papers prepared ~ witness were for
yerieS
i Gates replied that he did.
! Gates went on to give his reasons
for this belief.
! He believed that Gilbert was con-
scious of fraud for the first reason
that the fraud had been rendered
possible by secret agreement enter
cd into between the witness and the
defendant
! For the second Jason that unusual
bills of lading were issued covering
bogus shipments, which bills were
not allowed to enter the Offices OF
William r. Johnston. Tor which Wit
ness was shipping clerk.
! For the third reason that when
, cars consigned from William r. Jonn-
stCn. at Richmond. to William X.
Johnston. in Carolina. were in any
manner lost and damage suits were
threatened thereby Alexander Gil
bert would caution Gates to be very
careful" and not to allow certain pa
pers TO become public
! Witness had personal knowledge
that Gilbert w2S intimately acquaint-
ed with the scheme of fraudulent and
: forged billing
| Gilbert and Gates were both par
ties 70 the fraud. which had on sew
eral occasions i'aen discussed be
tween the two men.
@; Gates said he had, by means of nc
titious bills of lading. shipped grain
South which had never been shipped
over the Chesapeake and Ohio at all
Attorney Marble then introduces
eight bills of lading and asked Gates
what they were for.
| Fictitious Bills.
Gates answered: They are ficti-
t.ous bills Of iading forged by myself.
and the signatures are Gilberts per
missions to reconsign' The bills de-
scribed cars of grain as having come
from the Vallee Of Virginia. when in
reality they originated in Richmond.
thereby getting ADVANTAGE OF the
through rate. Some OF the bills OF
lading were endorsed K. ID. H..
which is the initial signature Of Gen
eral Freight Agent Hotchkiss. bit
Gates explained thar Gilbert wrote
the signature.
| Gates stated that the bills of iadins
were brought to court from his Office
after the court had so ordered. Tic
did not bring them Willingly. because
he had promised Gilteri never TO
allow them to leave his (GatesO or
fee. This seemed 20 Mr.. Marble 6
mind to prove IN great way Gilbert 5
guilty knowledge" Of the transac
lions. and he turned the witness over
to the defense.
How u Was Done.
Gates stated further In explanation
Of the scheme. that he would get a
bill Of Iading from the freight once
shipping a car Of grain from Rich
mond 10 a point South. He would
take that bill Of iaiinS and change
the point or originat'ou of shipment
from Richmond 10 S, asInton tor some
other point in the Valley. He world
then change the rate from the IOca
rate 10 the through rate and pre-