The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-12-18
DEFENCE WILL ASK
DISMISSAL MONDAY

ties Of New England.
Charles 9. Msilsn, former president Of
the road. was the principal witness for
the Government and Of the forty-thres
days Mr.. Mslen vas on the stand
thirty.ons full court days. For twenty
six Of thsss no VA under direct examin-
saon. three and ons-half days he was
o-gVas-examined by Charles r. Choate
and n and one-half days he was under
Vdiroct examination.
Ths dafencs on MonAay will begin .
Two day argument TO ave the case dis
missed by Judge Hunt. Thomas d.
Tinacher will make the principal argu-
msa3 Tor al the defendants. while nearly
IN o( the cher fourteen lawyers repre-
saakinG the defendants will supplement-
Ids ra0arts. II that effort fails It II
thought mat ths defendants will BEGIN
calling thsir witnesses after the Christ
nAs Adjournment
EaAlsA - ray State Ta1.
NRoets were made to connect Mr.. Rob
bias with the control Of the Billiard
Company. organized by John L. Billiard.
~ 1ertden. Conn. coal dealer. Samuel
Hemingway and Samuel c. Morehouse
tegtA1el that during the four ysas of
NJ existence the Billiard Company had
emitted to pay the State Of Connecticut
0e corporation tax on Its securities.
which tai. II wa estimated, would have
been about $4,000 q year. 1t was for
that reason. Mr.. Morehouse TESTIFIED.
that no organized q Canada corporation
and moved the books and papers OF the
cempany into Quebec Just about the time
the lntsrstats Commerce Commission in
vestigators early In 1914 began to pre-
sent New Haven connections with sub
U0nas for books and persons.
Nj. Aorehouse, admitting that he con-
SANITY advised with Mr.. Robbins, ac-
knoW1edged that he had told Oovern-
mept representatives hat ne would not
bring back the books because Mr. Rob-
bins did not a them brought back.
but no explained that no learned SUBJ
seQuently that he was inaccurate In his
statement. While Mr.. Robbins regret
ted that such q thing had to be done. he
Wa not opposed. The o and papers
came bach about The time the Grand
jury waA getting ready to a down
the second Indictment early this e
Lucius H.. Stewart. employed for many
years by the New Hnven except for a
TINA when he was shifted to the Metro
politan Steamship Company of Maine
(No. -. told of his employment at the
outset Of the morning session. and Madi-
" ~ WV NaS
counsel for the New Haven. told Of act
ia6 ~ counsel for the steamship COM
q They were called to ~substantiate
the Government contention that the New
Haven really had the Billiard Company
and all the subsidiaries.
Herman 8. Koc~herrperger. financial
vice-presideut Of the New Haven. and
Augustus s. May. treasurer. told OF q
1900. 900 loan OF the New England
Ltn--I
Company. Mr.. May said ne made the
loan by orders of Mr.. Kochersperger,
and that gentleman said he got his or
ders from Mr.. Mellen.
Samuel Hemingway, president OF the
Second National Bank Of New Haven.
then returned to the stand. and after
telling that he was succeeded as treas
urer and secretary Of the Billiard Com
pany by Henry B. Whippls. president
OF the Merchants National Bank Of
New Haven. answered an innocent ap-
special Assistant Acknowledgement, by
repiyhng that he had never heard Of the
billiard Company's paying the State any
taIss on its securities and assets.
Billara Shares Are Sold.
Mr.. whipple became treasurer Of the
Billiard Company late In 1919. 10 wind up
ID assets by direction Of Mr.. Billiard.
he testified. A new set Of directors was
chosen and Samuel G. Morehouse was
made counsel. Mr.. Whipple held all the
shares OF stock. which he sold through
Hallgarten 4 Co. Of Now York to parties
unknown to the witness. He got $1,000
for the stock and by direction paid the
expenses Of a witness to Warrington for
the Interstate Commerce Commission in
1914.
Mr.. Morehouse supplied many missing
links and brought Mr.. Robbins to the
fore again. He said that he wal called
70 Mr.. Robbins's Office in 1913 and told
that he was chosen az council to wind
up the Billiard Company. Mr.. Robbins
said he a been acting as such but
thought II time for him to get out. II
wa designed that he should take the
securities Of the Billiard Company and
exchange them for liabilities Of the COM
pany held by New Haven subsidiaries.
In that way the company was to be
wound up n Mr.. Billiard receive the
remaining assets.
He proceeded upon the work and al
most the first thing revealed was that
Alexander Faulkner Of Montreal had
bought. the shares held by Mr. Whipple.
Asked about that. Mr.. Morehouse said
hat suddenly 1t a developed tina the
.sxes upon the $14.440, 900 securities
owned by the Billiard Company were sub
lect to a heavy tax in Connecticut.
'The company WA required to make
an annual report to the Secretary OF
State and tho tax was about 4 mills
on $1,000" said the witness. 1T was
necessary to seek out some place where
the taxes were less and ] finally chose
Quebec. Mr.. Faulkner was retained and
bought tho Whipple stock through brok-
erS with money that Mr.. Morehouse got
from Mr.. Robbins: where 1t came from
do not know"
Before you sent those books over to
Canada didn't you consult with Mr.. Rob-
bins?"
II consulted many people," was the
answer. 'Of COURSE ! saw MI. Robbins
many times"
Now didn't you decline to produce
those books n other things ut Wash
II asked opinions OF about every
body I knew" was the reply.
Didn't you tell me In this building
that the books would not he produced
because Mr.. Robbins would not consent
and that It WAS no use TO see Mr.. Bill
lard about II because he was dominated
by Mr.. Robbins?
Mr. Swacker's question brought on a
long argument over the sanctuy Of Grand
Jury minutes. Finally the answer came.
Yes. ! told you" said the witness.
"bnt you see after I told you that
went to see Mr.. Robbins and he told
me ! was wrong. He regretted TINT the
BOOKS would have to be brought down,
out ne was not opposed"