New-York tribune., 1908-03-24
MUCK RAKE" SUIT UP.
Z. l.. Phillips Wants $100,000 of
Mcclure Co. for Baker article.

Emmanuel I! Phillips president of the Union
Refrigerator Transit Company. admitted on the
stand yesterday that he allowed to uncontested
than year a charge or REPEATING made
against his company by Governor La Toilette of
Wisconsin. President Phillips said he made no
effort prove the charge false until the publica
ton of the accusation in article by Ray Stan
nard Baker in ''McClure's Magazine for which
Mr. Phillips is now suing the S. S. Mcclure Com
pany for 100000.
Senator La Toilette. who made the charges in a
public address when he Governor. was called
a witness in the suit
Mr. Phillips, under cross xamInation. said he
made denial of the charge in a Milwaukee paper
but took no other action at the time. because he
considered 1t of political nature. He said he
learned November of 1904 that the report OF the
railway commissioners had made charges of re-
batting against his company. but that II was not
till the appearance OF Mr.. Bakers article in No
vember and December of 1906 and January OF 1905
that he sought q retraction of the commissioners
The commissioners then admitted an error ne said
The taking of testimony in the libel suit was
begun yesterday with the examination of Mr.
Phillips. The plaintiff moved to strike part OF
the defendants answer which contended that the
publication privileged because the data OBJ
jected to had been taken from official reports The
motion denied.
Mr. Phillips began his testimony by telling how
he became contracting agent for the Chicago
Alton in Milwaukee in 1889, during which time he
said he made many railroad acQuaintances- He
roads ard other corporations. To each answer in
this direction plaintiffs added. you
made many friends at that time Counsel for
defence contended this line of questioning vas
necessary.
Mr.. Phillips told of organizing the Union Re
frgerator Transit Company of Wisconsin. in 1893.
The company he said. was in 1s. a car-leasnC
company. and had no connection of ownership with
any shipping company. At that time we owned
2,417 refrigerator cars, which We leased to railways
and shippers. receiving d mileage rental. fixed by
agreement
in 1896 President Phillips said. he vce-presi-
dent of the Northern Refrigerator Company. and
owned one share of its stock. This company
cepted commissions. he admitted. but subse-
auent TO January I. 1903. Mr.. Phillips said
west of Chicago the Union company's rental
cent a mile; three-quarters OF cent and
south of Chicago and the Pacific Coast six mills
a mile for loaded and nothing for enptes.
DO You know Ray Stannard Baker, suddenly
asked Mr.. Quarles. of plaintiff 8 counsel.
Yes replied MIR. Phillips
Asked what occurred at "a meeting between Mr..
Baker and himself in Milwaukee TN January. 1885,
Mr.. Phillips replied:
He told me who he was and that he had come
mistake told Mr.. Baker that before we
could talk wished him to make a careful exami-.
our business up to date l told him ii he wasn't
be had completed that examination and determined
Baker that wanted him to 60 with me .'o 10 the the
offices OF the Chicago. Milwaukee & St Paul
gethsr examine the vouchers he had written that nat
he had and had a list Of; that we would then
go Madison, Wis, where In the of th,,
railway commissioners he would be told as we had
been. that they had made a mistake.
When this had been done / told him I would
talk with him. Mr.. Baker said he didn't care 10
examine the books to make the trips I
ed. He said he was sa tsiied with my statements.
and just wanted talk the matter over with me
I declined TO talk with him, Ia tier went
over all the details of business career.
i told him when and how bough. out the Ken
lucky company and organized the Wisconsin com
pany 1 told him the Union company had never
received a dollar of commissions. 1 showed hin,
the retraction signed by Mr.. Thomas. / explained
that the railway commissioners expert exarnsners
had admitted that they had made "A mistake and
got the names of the Union and the Northern
companies mixed.
The trial will be resumed 1890 o'clock this
morning