Las Vegas optic. (East Las Vegas, N.M.) 1908-1921, 1913-07-02

ed "paled into insignifaonce compare
with s82.09o0OO forgery which h
alleged was committed on the Uniol
Pacific books in 1901.
+ do not know who did it." salt
Lamar, the chairman Of the board O
the office boy, but do know thi
ss2,0Oo,0OO was the fulcrum which en-
abled Hartman and Kuhn, Loeb anC
Company to gain control Of these cor
porations.9
He described double entry Of $S2,
100000 representing securities the
Union Pacific assumed in taking over
the Oregon Short Line and the Oregon
Railway and Navigation company. The
items, he said. We're carried in the
"oonsolida ed balance sheets Of the
Enicn Pacific June 80, 1909, but be-
| tween that time and June 80, 1901 he
alleged some one had erased the $S2.-
100000 item from the one side Of the
Iledger leaving it as credit balance
on the other side.
They took all the securities Of the
Oregon Short Line and the Oregon
Railway and Navigation company" he
said, and used them as security for
an issue of bonds. They got that
money and used it to finance the deal
for the Northern Pacific and Great
Northern transactions and the flota-
tion Of Great Northern Ore properties
which they sold at an enormous pro
fit
Later Lamar alleged, the principals
in the transaction went to Kuhn, Loeo
and Company and secretly got nearly
Es2OO,oOOOOO which he believed was
for their own use.
Lamar testified he used the name
Of Representative Daniel J Riordan
Of New York telephoning to Chairman
Loyett Of the Pnion Pacific.
On another occasion Lamar testi-
fed, he called up Paul D. Cravath, OF
counsel for the Union Pacific, sup
gesting Lauterbach would be. a valii-
able adviser.
On another occasion he talked over
I
the telephone to Lewis Cass Ledyard.
using Representative Palmers name
and with Maxwell Evarts, using Rer-
resentative Riordan's name IN both
conversations he spoke about Lauter-
Ftaeh's services.
Senator Nelson insisted that Laamr
testify explicitly whether he stated
in those conversation that Lauterbach
had influence in Washington with Of
ficials, senators or representatives.
q am inclined to believe that in my
conversations with Mr.. Ledyard I
ent very far in that direction on the
affirmative side9 returned Lamar
Paul D. Cravath, counsel for the.
Union Pacific in prepared statement
today to the senate lobby committee
declared that David Lamar's charge
of forgery covering sSO,OOa,OOO or
the Union Pacific books was part Of
bear attack on Union Pacific stocks
and that railroad officials had known
Of it for several days.
why did you change to Palmer's
name instead OF sticking to Rior-
dan's?" demanded Senator Nelson.
well, Mr.. Palmer was very much
in the public eye as one would gave
great influence at Washington with
the incoming democratic administra-
ton" replied Palmer He added that
he did not know Palmer and had no
authority to use his name
Lamar said the lare ). >. Morgans
opposition to Lauterbach caused him
to telephone Ledyard, urging the
name Of Representative Palmer to
try and win his confidence and find
out who had ostracised Lauterbach
q found out it was Ledyard him
self, said Lamar He added he
knew Ledyard had a steuographer on
the line making a record Of the talk.
Il read everything INTO 1t | could
said Lamar Il think / offered him
the entire government may have
left the president out
Lamar set the committee into
laughter with his story Of how he
impersonated Palmer; iectured Led
yard because he did not 90 to church
and told what remarkable things
Lauterbach could do at Washington
for the Morgan firm.
4 told him that the defiant atti-
tude Of the Morgan firm toward the
democratic administration in con-
gress had much to do with the de-
cline in the value Of MORAN securi-
ties
r4 II