The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1913-08-13
BAD FOR SULlER.
OWED NEARLY $4,000, ACCORD.
ING TO WITNESS.
Sufficient Evidence. I'm View or Chair.
man OF Committee, to Warrant I'm.
peachment Proceedings.

New York, Aug. S.-Gov. William
Sulzer of New York was nearly $50
600 in debt as the result Of stock mar
ket speculations at the time of his
nomination, and used contributions to
his campaign fund to make addition
al purchases of stock while this debt
was hanging over him, according TO
testimony adduced today at the hear
ing Of the Frawley committee of the
legislature.
The evidence brought to light is suf
ficient, according to Senator Frawley,
chairman of the committee, to war
rant proceedings to impeach the gov
ernor for violation of the corrupt
practices act. The committee closed
it's hearings here today to consider
what action should be taken A decis-
ion is expected by Monday.
The governor, according to the evil
dence, had dealings with three diff
ferent stock exchange firms, and was
saved from being sold out by one firm
by L. NJ. Josephthal, a Wall street
banker, and a member Of the COVER
nor's staff as naval reserve aice.
Josephthal, it was brought out, paid
debt balance of $26,739 still stand
ing against the account on July Is.
last. This was after the governor had
received repeated calls for more mar
gins.
The governors transactions with
the other firms were for cash and it
was in connection with these that Gov.
Sulzer, according to the evidence, used
campaign contributions
The testimony appeared to show
that on January l, 1912, there stood
on the books of the stock exchange
firm of Harris & Fuller an indebted
ness of s4S.59S against the purchase
of Gov Sulzer Of 500 shares of big
Four" 200 shares of American
Smelling & Refining company and 100
shares of Southern Pacific. This tes-
timony was given by Melville B. Full
Ter. member of the firm, who on
Wednesday had refused to answer the
questions of the committee. Before
testifying today his counsel announced
that the governor had agreed that
oh 4 l.
ed"
According to the witness, in Decem-
ber 5, 1912. he bought 100 shares OF
Big Four" making 600 in all. On
December IL the firm, according to
letter produced by the witness, made
its first call upon the governor for
more margin. The books showed that
on November IS previous the COVER
nor had paid in $4,000 against the
account and that on December 16. ap-
parently in response to the call for
margin. he paid in $4,000 more.
In October of the same year the
evidence indicated that Frederick Col
well, the governors alleged dummy"
purchased from Boyer, Griswold &;
Co. 200 shares Of Big Four" railroad
stock outright, at GO for s12,O25, the
S25 representing commission. This
was at the height of Mr.. Suffers cam
paign for the governorship. and tran
scripts from the firms books showed
| OF hn,
paid for partly in checks, at least two
of which were identified in the testi-
mony as Sulzer campaign contribu-
tons. There were seven checks in all,
and the others are charged by Eugene
l.. Richards, counsel for the commit
tee. as having been also campaign
checks.
During the same month 200 more
shares Of Big Four were delivered
to Colwell by Fuller & Gray, another
stock exchange firm. This is the firm
which had on its books Account No.
500," the identity of which was solved
today when clerk, Effingham T..
sutton, testified that Mr.. Gray had
told him the account was Gov. Sui
zer's.
The governors next transaction in
Wall street as developed by the evil
dence was on January 16, 1913, when
he deposited a $4,000 check of \. T..
Spriggs against his Indebtedness to
Harris q Fuller. On July /, 1913, he
further reduced his Indebtedness by
selling his 100 shares Of Southern Pa
cific for $9,2Si.
Spriggs is said to have been inter
ested with Gov. Sulzer some 20 years
ago in the exploitation of the Alaska
Industrial company, mining cor
poration.
MEETS MANY OLD FRIENDS.