The sun. [volume] (New York [N.Y.]) 1833-1916, 1912-05-18
$4,000 FEE IN COAL
DEAL FOR ARCHIBALD
E. q. BOiand Says Judge Was to
Use Influence in Sale
to Railroad.
TELLS ABOUT $500 NOTE
Witness Swears Accused -JuriSt
Advised Him to Settle
Suit Out Of Court.
TELLS ABOUT $500 NOTE

Juuke nODeTV W hTCnt@Iu Ot Jfle NOin-
merce Court, which the House Judiciary
Committee is investigating. was the
principal witness to-day.
lie testified that George " atson. an
attorney of Scranton. informed him that
Judge Archibald was to be compensated
for assistance rendered in aiding Mr..
Watson to negotia the sale of the prop
erty Of the Marion Coal Company to
the Delaware. lackawanna and Western
Railroad According to Boland. Judge
Archbald's share in the transact ion was
TO be between SiO.OOO and $1,000. Boland
added that high officials Of the railroad
were also to I've paid for their influence in
putting the deal through
The witness charged that Judge Arch
ba Id advised him to settle out of court
a damage suit filed against the Marion
Coal Company by John ". Peale its sales
agent. who had claimed breach Of con-
tract Boland also said that Edward J.
Williams. Judge Archbald's business
associate. came to his Office and asked
that a note Of $500 made by John n
Jones Of Scranton and indorsed by Judge
Archibald be discounted. When Bolan d
declined. he added. Williams said it would
he to his interest in the damage suit TO
discount il Williams also said. accord
ing TO Boland. that Judge Archibald knew
that he IWilliamsl intended to ask Boland
TO discount the note.
The Marion Coal Company. Boland
testified. was beset by many legal diff
cultes. aud in addition was not making
any money in spite Of the fact that every
officer served virtually without compen-
sation. Williams. he said. told him
Attorney Watson probably could find Q
purchaser for the company He and his
brother conferred with Watson. who
agreed to sell the property for 5000.
The Bolands declared they would accept
slOO. 900 for their share in the company.
According TO Boland, Watson and Judge
Archibald arranged a conference with the
officials Of the Lackawanna railroad.
Boland said he learned that Watson had
asked the railroad to pay $4,000 or si6c.-
900 for the property.
What was the reason for this increase
in the price," asked Chairman Clayton
MIR. Watson said several persons had
assisted in putting through the deal
and ought to he compensated" replied
Mr. Boland
who were they asked Chairman
Clayton.
Mr. Watson told me that Judge Arch
bald and the officials Of the railroad
| ought to he considered" replied Mr..
| Boland
What did Watson say was 70 be Judge
Archbald's share?- Chairman Clayton
| inquired
| My impression is.- replied Roland.
| tina. Watson said the Judge ought TO re-
ceive between $40. coo and Sl5, 600
What became of the dealt" Mr. Clayton
asked
Il, fell through Boland said. "beca use
President Truesdell declined to pay the
price Watson asked
The immediate cause Of the presen,
! inquiry. Boland continued. was "A letter
written ON December 8. 1911. by j. l..
| Seag"r. assistant counsel of the Delaware.
Iackawanna ard Western Railroad. to the
Interstate Commerce Commission declin-
ing TO furnish certain data
"Becaree of the loss Of the property
of the Marion Coal Company a. a result
of litigation with other parties than the
Delaware. Iackawannd and Western
and because ne O3ollnd) was fairly we'll
"a isfed with the relief already obtained
! in the proceedings before the Interstate
Commerce Commission against the Della
ware. lAckawanna and Western" the
| letter said. Mr. Bolaud did not care
To proceed further therein and had dropped
the case
This letter. coming AT the end of II long
series uf legal troubles. declared the
witness. aroused his suspicion that he
would not he fairly treated in the courts
and he took all the pap.rr to Washington
/ for the purpose OF assuring the Interstate
. Commerce Commission tha, the stat cmert
! If Mr. Se1ger was not true. Ii put my
brother in frame Of mind 10 do almost
anvtning.
MIR, Meyer of the commission told us
! later that the information my brothe
! presented was of such serious nature
! that he and his associates had decided
to lay It before President Taft. who di-
rec;nd Attorney-General Wickeisham to
! in> estigate the charges"
| MIR. boland told Of the presentation of
, the $500 note endorsed 10y Judge Archibald
John W. Pecle had made "A contract
10 act as sales agent for tho Marion Coal
broken because Peele would not account
satisfactori for the coal and suit was
| brought against the company by Pecle
/! in Judge Archbald's court for breach of
contract. This case was pending when
the $500 note endorsed by Judge Archibald
| was pTtN'Ilt'l VI INV. NIlullnS Drought
it TO my Office and asked for the cash
Il said might discount il under other
, circumstances. but wouldn't do so al that
time. ! questioned Mr. Williams about
! bringing tho note to me and he said the
money was TO he used in acquiring a tract
of land in Venezuela in which Mr. Jones.
Judge Archibald and Williams we're in
terested. When questioned tho pro-
priety Of bringing the note he assured me
Judge Archibald knew it was to bc pre-
sented to me and he said that it would
| be OF benefit to me in the matter pending
in the court. told him would not con-
slider it.
Later l was in my brothers Office
| when Williams made the statement that
| ] had made a mistake in not discounting
the note and that we could have saved
ourselves trouble and costs il we had
, discounted it,"
| "Why did Williams make that state
! ment?" asked Chairman Clayton
| The case Of MIR S'eele was then pending"
| replied MIR, Boland, IL do not remember
| the date of the conversation, but it was
| about or before the Injunction was issued
! forbidding the Marion Coal Company
| from selling coal to any one cxceptPeele
Williams again came TO me and told
| me he knew an attorney who could help
us dispose of the Marion Coal COMPANY
| George Watson was the name he gave me
, | went to see MIR. Watson. who told mo he
| thought he could sell tho property and
| We agreed fair price would be siOO. ono
| share in the transaction,
u spn ,.sk