The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1909-11-25
GUGGENHEIMS AND
alaska LITIGATION
Alleged Relation of Mining Mag.
mates to Coal Land Gases
Disclosed.
SEATTLE BANKER TALKS
FREELY ON THE STAND
Smith Tells What Cunningham
Told Him: Agreement Not
Carried Out.

SEATTLE. Wash, Nov. 24-For The
hr5l tune since the hearing opened the
feiations ot the so-callcd Gucgcnhcim
interests TO the Cunningham claimants
was taken ny by the attorneys for the
claimants in the inquiry into the
Alaska coal land eases todav Attor-
neNs for both sides held conference
this morning. and decided to go ahead
with the case here without waiting
Tor transfer 10 Spokane. taking the ties
llmony of Witnesses who live in Seattle.
Charles j. Smith, tho Seattle banker.
who built the Alaska. Yukon Pacific cx
position. and who is one of thc claim
ANTS interested i'm the Cunningham
group WAS put on the stand by The de
fenSe at the opening of The afternoon
session. Mr.. Smith. who has had scy.
crai wears experience in operating coal
properties IN the Cascades. was inter
estcd in the Alaska claims by Mr..
Cunningham who WIS authorized by
HIM TO file on claim in the katalla
district.
Denies Outside Interest.
Mr. Smith said there never had been
any intention Of holding the claims for
some outside corporation. He said that
he knew that IT would be impossible
for ono man, or three men working TO-
gcthcr, 10 successfully operate q mine
III the katslla district. owing 10 the
Isolation Of The properties and the
great expenditure that would be re.
CURED to get the coal to tidewatcr He
said that IL was his undcrst suding
that they would ioin together for thc
purpose of carrying on only that work
which could not he successfully car
ried out by the claimants acting
separately Mr.. Smith said he had
paid $500 as his share of the expenses
Of making tho filings and carrA ing on
the prospecting work.
Relation TO Guggenbcim
in July. 1907. Mr.. Cunningham in
formed him that The so.calcd Guggcn-
helm interests proposed TO build rail
road from the mines to tidcwatcr at
CordovJ Alaska. Later Cunningham
informed HIM that committee had
been appointed at the Spokane meeting
TO take up the matter with a Tcprcsen-
tative Of the Guggcnhcim interests. rs
result Of the efforts of this commit
tee. an agreement was drawn up
would build line from ihe mines TO
tidewater. in return for which they
we're 10 handle the output Of the mines.
Mr. Smith SAID that he was not party
10 this agreement, which subsequently
fell through Later some of the claim
ants formed a chartered company to
build their own railroad,
Tilt With CLAWS.
Smith then told of little tilt he
had with L. Il. CLAWS, al that time a
special agent for the government.
Cunningham brought CLAWS into
smith S Office after the claims had been
held NJ, Cunningham said that Claws
wanted them TO sign an affidavit
setting forth that they had no intcn
tion Of holding the coal claims for the
w II talked a little short, - said Smith.
On the stand. 'Faud i Told CLAWS that
7 had made all the alfidayits ] was 90
inc TO make i said that ! was willing
| IN lei the matter rest on the statements
that / bad already made. but when
| CLAWS explained that he wanted this
.f;dayit to clear up Il belief prevalent
in the land office that we were working
for the Guggcnheims, | consented -
Il is probable that the government
aftorncvs will take Smith i'll hand the
| FIRST thing Friday morning.