The Detroit times., 1913-03-21
STEVENS FAILS TO THROW
LIGHT ON p. Nj. DEALS
Continued from Page One)

road would have been more success
full IL II had stayed In Michigan
asked Senator Smith.
Il have no opinion on that point"
replied Mr.. Stevens
do you consider the dividends
which were paid by the railroad after
1903 TO have been improperly PAID"
asked the senator
Il do not care TO make a statement.
II Is a question OF the Judgment or
the directors whether dividend
should be paid. even when surplus
has been earned TO pay It. Looking
back. | can say that l think that pay
ment OF the dividend on the common
stock should have been omitted. but
do not say that the directors acted
in bad faith In paying IT.
Isn't Il fact that the books were
altered 10 make the profits appear
larger. after the Prince interests as
sumel CONTROL asked Senator Smith,
for the purpose OF improperly fore
ing up the price,"
If Il Is a fact, | do not know II,
replied Stevens.
Was Pere Marquette common
stock worth SIPS per share when it
was purchased by the c. II. & D.|
asked the senator.
1T was not worth 1925. in my opin-
ion, but | should not know where to
stop If you started down with the
price" was the reply.
Isn't Il a fact that the stock was
not worth dollar?" continued the
senator.
by no means" replied Stevens.
then or at any other time.
Senator Smith then went into the
deal by which $4,000 shares OF G. II.
ID. stock were pooled for control OF
the road. Mr. Stevens stated that
among the subscribers TO the pool
were T.. II. Prince & Co, Newman
Erb. Mark T. Cox, and number OF
others connected with the affairs OF
the Pere Marquette. Mr. Stevens
stated that the pool was formed in
contemplation OF the purchase OF the
Pere Marquette stock owned by the
Prince interests.
Again Senator Smith asked for a
definite and specific answer on the
value Of the stock Of the Pere Mar
Quette railroad at that time.
II have already expressed my views
on that transaction said Mr. Stew
ems. II have no decided Judgment
and will not be forced TO guess. II
might have proven to have been worth
that much in hands other than the G..
H. & D., but in its hands II was not
worth that inieh-Hew- much II Was
worth ! do not know. The value or
railroad stocks depends upon SO many
factors that IL is impossible 10 give
an off-hand opinion, no matter how
familiar you are with the road. The
change In the rate on one commodity
would effect the value Of a stork."
Then Senator Smith attempted to
develop a connection between the
American Car & Foundry Co, the
United States Express Co.. the Toledo
Railway & Terminal Co. and the G. c.
l.. crowd, all OF whom were repre-
scented, 1t Is claimed In the G, n. e
D. pool subscription list and the deals
which followed. He suggested that
.hese- interests entered into the plan
for the purpose OF unloading holdings,
or getting benefits out OF the transac-
lions.
II am not willing to sign any such
Wholesale Indictment" replied Mr..
Stevens. Il am not willing TO draw
conclusions affecting the good faith Of
men when I know little or nothing
about the transactions. II Is all very
we'll to call people thieves on the
street corners, but I think man who
rs under oath should be careful or
what he says. One % the great
troubles with the Pere Marquette has
been that people with little or no
knowledge Of the facts. the financial
situation. and the difficulties OF oper-
ating n railroad, have become ready