The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1915-03-04
SYNDICATE PAID
OFF THE DIVIDENDS
Says That When Banks
Earnings Were Not Suffi-
cient to Pay Regular Div
idend It Was Subscribed
by Majority Stockholders.
w. Fl. Milton Resumes
Testimony and Identifies
Documents.

Two witnesses wern heard In tina
United States court yesterday In tho
case against Mesars. Knowles. Hsar
and Keyser. charged with the mis-
application Of funds 81 the defnnct
First National bank Receiver Milton
vas called 10 the stand Immediately
upon tho convening Of court and was
questioned at length ca documentary
evidence by tae government. Drafts
which he did not have IN court were
required by thu government. and no
was asked 70 have them for prescnta-
ton al the afternoon session Then
". y. Forbes. who was cashter ~ tho
bank when Il failed. ami who had been
la such position for sonic tao or t.sres
years previous. WAS called Mr.. Forbes
was later followed by Mr.. Milton. who
produced Tho paper for which he WAS
asked In the forenoon. Upon the COM
pieticn ~ that testimony. rourv wsss
ordered adjourned until s;so o'riock
this morning
Before leaving the court rooHa. low
ever. and before the tribunal WAS adj
journsd tar the day. white man
named Demont. from Calhoun coantv,
who had pleaded 90 he charge II
stf+tfftFA4tttFs
session, and Who Their was senteneed
10 six months al Atlnnta. was pre-
scented before the bar The SENTENCE
WAS suspended. and ths prisoner waa
prefuse IN his thanks u the roast.
Judge Cali reminded min that he had
better not try 10 make rum again for
medicine ur anything elsss. tals remark
hexluN fsnw Erumpteu - fne esaim
- fwmoma that ne bad la,sn sissn@
the concoesion ~ elhnnlnnt
DOCUMENTARY GvlpEncE.
Draft after draft WIS l4,troanepa sna
pinced In evidence during the das. and
during the testimony "a Mr.. farhea.
minutes ~ several meetings ~ tha
banks board II directors ana ofEicei 4
were read. Mr. Forbes readily idcnn-
tled every record from abe hank. AMI
/ after he had thus rnaslss known ths
purpose OF zach va,iame presented. thry
were each recelved properly stamped
and arc new in the records. This WAS
done. 4 II said. Cor tho purpose uf
reading into the record - the case
proceedings 81 more than one &C tWo
meetings Of the hanks directors. al
of which was very interesting 90 the
large number Of spectators Who at
tended the trial Throughout the day.
! When Receiver Milton WAS called ia
lshe morning. the photographic repro.
duction ~ letter signed D. {. Brent,
and addressed 20 bank Examiner Il.
W. ssoodhart, was introduced. bat Il
was objected 30 BY the defense. one 80
tha claims being that there was moth
inG 90 show the gentsInenens ~ the
document. The objection was over
ruled. however. and fha letter was
read. THIS letter told ~ the nrcvionz
agreement which fae hssnk had en-
tered into with the hank examiner
relative 10 reducing Some Of the ohit-
cations, and Il showed that osna OF
the obligations rad bearl charged 90
the profit and ioss account u also
asked that the bank be given until
April re. 1919. 70 Iiauidata soma Of
said losses
1 Upon this letter belnw read. which
seemed to have been n surprise to the
defense. counsel for the latter smked
the court 70 make an order authorislnw
defense 10 secure = copy of papern
used against their clients Judge Calf
had no ohieetion. he ifttfmatsd. 10
copies of any documents being made
50 iopg "a the papers remained m the
custody of the clerk. twho was the
custodian ~ al documents Thus far
used IN the easel. but he would not
permit the documents 70 leave the
building
Copies of papers may be made IN
the once Of the clerk. II sas under
stood.
Mr.. Millions sxaminasi,a therefor.