Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-07-02
Senate Subcommittee Begins
Investigation Into Use of
official Stationery.
OVERMAN AND Chiffon
OISCLAIM RESPONSIBILITY
Letters Written at Direction of Wal
ter George Newman, Both Senators
Declare-Miss Moore Testifes,

| The investigation of the use of Senate
committee stationery in copying a lette,
boosting a gold mine at Gold Hill. N c.
began today before subcommittee OF
the Senate privileges and elections com.
mittee. with statements by Senators
Overman of North Carolina and Chiltor
of West Virginia. chairmen of the COM
mittees the stationery of which had beer
| used.
The statements of the senators were
taken under oath. as directed in the reso-
luton adopted by the Senate calling for
| the investigation.
| Senator Overman disclaimed any re-
sponsibility for the use of his committee
stationery, and said that the letter ir
question had been copied by Miss Heller
B. Moore employed temporarily in his
Office, at the request of Walter George
Newman the promoter of the gold mine
| Il have never done anything to boost
this property, and | don't propose to dc
, so now" said Senator Overman, who also
said that he did not ask the Treasury
Department officials to re-establish tn.
assay Office at Charlotte n. c. He said
! that John Shelton Williams, controller
of the currency. had been requested by
some one in North Carolina to send a
government expert there to pass upon
the advisability Of re-establishing the old
| assay office:
Property Worth $50, 100000.
Senator Overman told the committee
! that he had read the report of j. c. Will
liams, a mining expert, who declared that
the mining property was worth S60,0OO,-
900; that he had talked with the govern
ment expert who was sent to look over
the mine by the department officials and
who was enthusiastic in his opinion of
the mine. This government expert. Sem
ator Overman said, was named Dewey.
Senator Oyerman also was told by his
son-in-law. E. c. Gregory, employed as
attorney for the mining company, that
| the property was valuable.
Il bought 5000 worth of the stock,
said Senator Overman, lat % cents a
share. The par value is So None OF
| the stock was ever given me. l bought
| some of it because | had known of the
property for long time. and because
the North Carolina gold field was once
one OF the richest in the country and
between S5.ODO,to0 and SI,O00O0O has been
| taken out of it in the past
Senator Overman said that the mines
there had shut down during the civil
war He admitted that since that time
| this property has been used by stock
gamblers.
Walter G. Newman, the promoter of
| the mine. came to North Carolina about
| fifteen years ago, said Senator Overman.
| He said that he had never had any bust
ness dealings with Newman except to
/ defend a negro accused of murder at
! Newman's request and to Hook into some
| title deeds for him.
Senator Overman said that he bought
| his stock several months ago. paving
Sl.Jo0 down. Newman. he said did not
| know until later that he had bought it.
| Senator Kenyon of the committee ask
ed what the stock was selling for now.
Shares Way Below Par.
| From IS to 30 cents a share, / be.
| lieve," was Senator Overman's reply
He said that he understood that it had
! sold as high as 81 last year. The capi-
tai stock of the mining company. he
! said, was $4,000 900. He said that hs
| did not understand that Newman was
| trying to sell stock. but was trying te
| buy it in.
| How many senators have bought thi.
stock?' asked Senator Kenyon.
The only ones ] know Of" replied
erepe. Chiffon and Swanson" He addet
that he had never advised airy one tc
buy the stock.
I'm fact" said Senator Overman, "wher
a MEMBER OF the House from my state
came and asked my advice as to buyins
stock l told him | would never advis,
any one to put his money into a mine
did advise my clerk not to buy tn,
stock
Senator Kenyon asked what Newman
had desired to do with the copies O.
the letter under investigation.
Newman said later that he wanted
to send the letters to stockholders 1,
show what a fine property they had,
said Senator Overman.
a call for quorum in the Senat
brought the sergeant-at-arms to the com
mittee room with request for the at
tendance of the senators in the chamber
and recess was taken.
Knows Nothing Of Use of Stationery
Senator Chiffon said he knew nothing
!, of the use of the census committee sta
tionery for writing reports on the mine
He said that when he found that letter
on the committee paper relating to tn
! mine were circulated in New York h
asked Newman if he had used the sta
tionery. Newman admitted that he had
Il told him that some muckrake
would find out about it. and insist on a
investigation hid Senator Chiffon.
Senator Chiffon said he bought 500
shares of stock in the mine at 80 cents
| share. twice that Senator Overman pal
, for his.
Miss Moore told of writing the letter
) for Newman. and Charles West, col
:, hoA civ Men