The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-12-18
GOVERNMENT GETS
DISPUTED STOCK
Benjamin Greene, Charged With
Harbor Fraud, Cannot Use Rail
way Shares as Surety.
Speclal 10 Tho Tincs- Dispatch. ]


Lynchburg. Va. December l7..--Judgc
Henry G. Mcdowell has handed down
a final decree In the United states Dis
irict Court for the Western District of
Virginia, in the famous Greene Gaynor
case. by which the Federal govern
ment comes into possession OF 400
shares Of common stock of tho Nor
folk & Western Railway. together with
$500 Of dividends. which have ac-
cumuiatad since tho question at Issue
hes been Involved In court
From the best Information at hand
II appears That soon after Benjamin -.
Greene WAS arrested in New York on
the charge of fraud IN connection with
the Savannah harbor contracts. he In
duced James D. Leary. a personal friend
residing In New York city. 20 Income
surety upon his bail bond. which was in
PENALTY OF $4,000. conditioned upon his
appearance before Il United state COM
missioner IL! Savannah, Ca. shortly
thereafter Tor preliminary trial In an
"irort to safeguard his friend Greene
placed IA the hands OF his attorney.
Luther hellog, as trustee. 400 shares OF
common stock OF the Norfolk; :: Vest
crn Railway 10 be transferred for tile
benefit OF T.ailn ia case Of Grecnca de-
fault. Shortly after being liberated
under the personal surety furnished by
Lcary. Greene became a fugitive from
Justice In CanadI. where after a long
international tanElc. ho VAS delivered
70 the United states authorities and
taken 20 Savannah. where he was
tried and convicted.
This, however, did not opcratc TO
prevent the forfeiture OF Green's bond.
and Latin, the surety was required
10 mako good under tho bond This
was done, and obout the time he ok
pected TO reimburse himself by apply
ing tho Norfoll, and Western stock TO
hts personal benefit Marion Erwin. the
4rali Il
az tbs ARRANGEMENT by which IL was In
tended to safeguard the surotv. and
litigation wac Immediately begun In
tho Federal court. 10 enable tEe gov
cnrmcnt 70 claim the stock under tho
ulea that II wea purchased out Of
funds stolen from the government at
savannah
This suit was instituted hcrc sep
tenter 10, 1903, and upon AN adverse
decision, an appeal was secured. tho
case finally going TO the Supreme Court.
Here IL was claimed the appeal was
frivolous, and FOR tho purpose Of do
lay ONLY This secured place on tho
COURTS docket which gave # a quick
hearing. and this resulted in a reversal.
the whole matter being referred 20 tho
District Court for nnal decree
Judge Mcdowell holds the 400 shares
VI stocl outstanding Ia the name OF L.
l.. Kellogg 10 be free from claim OF
III other parties thereto, ana orders
ha, the certificates be cancelled ana
that kellogg within twenty days de-
liver the certificates TO Marion Erwin,
The solicitor for the government, 10 be
presented 70 the Norfolk ANA Western
Railway for entry OF cancellation.
The Norfolk ana Western Railway is
ordered TO Issue 400 new certificates Of
stock 20 agent or agents TO be dcsig
mated bl the \ttorncy- Gencral. and
also TO pay $ls,1OO accumulated d.yi-
bends on the stock to the Attorney
General who Is instructed TO receive
them IS agent for the United States
government