The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-04-05
HAWLEY HEIRS TO
GET $5s5,5s5 MORE
keappraisal Fixes Net Estate at
S5,828,822 Instead Of
$5.293.287.
STATE NOT SATISFIED YET
Nav Seek Third Examination
Interesting Railroad
Deal Revealed.
STATE NOT SATISFIED YET

The estate of Edwin Hawley. the rail-
road builder. is s1015o,2l7 gross and
e5,s2s,S22 after all deductions have been
made, according to n reappraisal filed
yesterday. The reappraisal was ordered
by Surrogate Fowler after Thomas F.
Rush, attorney for the State Comptroller
complained that the valuation of the es-
tate made by Appraiser Michael J. Gar
van. and approved by Surrogate Cohalan,
was inadequate.
Tax Appraiser John T. Martin took the
case after Appraiser Garvan had re-
signed. Mr. Garvan gave the gross value
a. ss.2s2.s17 and the net value $685.
Ss7.
Mr.. Rush sent n letter yesterday to
Deputy State Comptroller Buckley object
ing to the report of Appraiser Martin.
but neither Mr.. Rush nor the Deputy
Comptroller would make public the let.
ter on the ground that it may be the sub.
tect matter for further hearings in the
case
The expert retained by Mr.. Rush re-
ported that the stocks and bonds owned
BY Mr.. Hawley had been underappraised
more than $1.500.0o0. The original re-
port was filed July 81, 1912.
More for Heirs.
Under the new appraisal the value Of
the shares received by the heirs at large
Of Mr.. Hawley are as follows: Samuel
and Charles Hawley. brothers. and Anna
Hawley Ogden and Nellie Hawley Sey-
mour, eisters. sl.l65.l64 each. The share
Of each under the previous report was
Si0bl657. Walter =. Crandsli and Fred
H Crandali. nephews, and Mary Crandall
Page, niece receive s3ss3ss. against
$352.3lo each in the former report.
The increased values appear chiefly In
tat IF HlWlpN
estate. The chief reason for the change
10 that In the original appraisal the securi-
ties were estimated as Of the date OF Mr..
Hawley'e death, while under the present
rules values are estimated upon the range
Of prices for two months before and two
months after the death OF the decedent.
The new prices are made on calculations
by r. II. Thomas and W Forbes Morgan
Of the New York Stock Exchange.
The new appraisal increases the ex-
penses of the estate from S26a,o64 to
$780, 900. Increased Indebtedness OF the
estate includes s1l7.672 due to Speyer Il
Co. on a transaction in Missouri, Kansas
and Texas stock. and sll31l5 due to
Frank Trumbull on a stock transaction.
MIR. Hawley also owed Solomon & Co.
$2s,s6l. which did not appear In the orig!-
nal report.
Counsel Fees stand.
Appraiser Martin refused to cut the
counsel fees of 100000 allowed to the
law firm of Stanchfeld a Levy. counsel
for the estate. with $50. 600 additional for
disbursements. since surrogate Fowler
held that this allowance was proper
In the original report Mr.. Hawley's
holdings in the NJ. X and r. stock APP
reared az 26,500 shares. hut the amount
Is increased To 33.S00 shares. of which
$500 came TO the estate as the result
of n transaction explained by Walter \.
C'randall one of the eX cutors.
Mr. Crandall said that the decedent
was interested with Speyer Co. in
syndicate operation conducted by Speyer
Co in ia" Missouri. Kansas and Texas
stock, which resulted in the estate being
compelled to admit liability for and take
over certain guarantees aExregatns
s1l7,7s2. AfidaVits to this effect are
also made by Il. F. Yoakum and Hans
Winterfeld
The afiidavlts show that Ia 1909 the
9peyer Arm accumula ted n large amount
or the stock for the purpose of putting the
railroad property In the hands OF an ex-
perienced railroad man. The late Adrian
H Joline. then president OF the road. was
lawyer and was admittedly IMMERSED in
the details Of railroad management.
Mr.. Winterileld says that his firm OF
epeyer a Co. approached Mr.. Joline re-
gardinE change Of management and
Mr.. Joline expressed his willingness to
sell to MT Hawley. asking that Mr.. Haw
ley call and see him. Later MIR. HaNley
saw Mr.. Joline and reported to the Speyor
Arm that they had arrived at com
plete understanding, ana suggested that
II would be n gracious thing N they would
purchase 5000 shares OF common stock
Of the road for the account of Mr.. Joline.
the Speyer firm and Mr.. Hawley to share
the risk equally, and give all the profits
to Mr.. Joline.
Agreement Goes Through.
This agreement went through. and the
stock was bought, the Speyer 1rm fur
nishing the funds Mr.. Hawley told the
firm he thought Il. f Yoakum would Join
in the transaction, but Mr.. Yoakum said
in an affidavit that he declined because
he didn't think himself OF such prominence
IN the road to warrant taking such step,
Mr.. Jolne was notified of the transact
ton, and on October 5, 1909, the Speyer
firm sent a letter to Mr. Iawley notifying
him OF the receipt of his check for $4,000
and telling of the purchase OF the stock.
On January II, 1912. in response 10 state
ments concerning the condition of the ac-
count. Mr. Joline wrote:
II am becoming somewhat discouraged
and II seems to me it would DE a good
time now for me to arrange with Mr.,
Hawey and yourselves to let me out of
this affair
Mr.. Hawley was i'll at this time, and
died before the Speyer firm could take
the matter up with him, After his death
on February l. 1912, the matter was ad-
Justed with his estate