The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-06-05
ROCK ISLAND DIRECTORS
DENY G MARKET

continued from First Page.
-
had sold $50 shares of Rock Island s,oc,
while the high price nrevaiiod ha,u,o.r
March 20 and April 20 the latter h.in,
the date when the petition for a rece,vs'
was filed at Chicago.
Mr.. tntermyer plainly disclosed TIM
he was seeking to show tina, wbiie ~
Amster of Boston and other. NJ IN nau
directors we're busy trying 10 rails. m,
necessary funds to NEE, n. oh,iaa,,on'
of the Rock Island company' due u,
May 1 and aggregating about ss 600 ono
the bill for the ~receivership was pre
pared and filed without their nrevio,,
knowledge tHht pending the fling of IN,
bill the stock was manipulated and tina,
those on the inside unloaded al the higf
prices.
Several questions nut by Mr.. r-n,sr.
myer to Mr.. Walker indicated the Ia w.
yer's theory that insiders had inflated
Rock Island stock on the eve Of IN,
u You a everything to do with
launching this thunderbolt and when II
sht u'd fall. and your clients were pretty
well Informed Of Il? A. Whom do YOU
mean?
q. Reid and Moore. for example,
A. Moore knew, but. az I recall IL,
Reid was out Of town.
" can You tell why $4,000, 900 OF
out of the Rock Island treasury 10.
setner WIN tther bond securities and
u-Pos''eu WIN tne BANKERS trust COM
pans a. co'iaterai LOT the loan OF
,ruVo,VVV Ia'seu 70 pay QUOTATIONS
aprh 4, wneh you knew a receivership
vas cunning a. ~ was necessary 20
.'vet '"ose oohea'ions ana tnere was
" nope 'ha' we recei'ersnip might De
AVOIDED.
was " not Tor the express pur.
pose o. rissihg tne STOCK market ana
mtN'hs ,.ocN isiahd jump rom ~ 10
~ - ,
pvn. u k"ow Una, tne to'a,
W. ls'amu issue VI s.o.k was solu
cn ~. o.'"nu 'uncs os'"ee" Safeu
ara u reee''ersh'p! a NO. 1
W 49, -
1.sn.rat. r,r,,n. 80 ,ha go. s.rns,,
NJ e"e "' SWIM ""'Ne''
% yo,, ,a,. ,,a nj.
o., .,,.r In ,o,r re- &C.. arrr.hins ~.
cu,ts souai,ed tha, rivgina or,h. m.,hs,
nh.n a. rs ,nown ,ha,. ran.,,"rshtn
ras ,orIn., W.asr., ,ha, ~ ,aw.a,
Zeal Won .vsr MAJ ~ 90, A paw IN on.
rssumnt,on
O. Raw ON snv a..umnt,on that n. no.
d,sh,nest ana ouvht n not ,o ~. crim.
lnal7 Nh No
Knew Of No Inside Game.
A.. u-.,,., .., - .o.s,n.
~.
III. ....,. :. ~. ..,n.,s.n"." w.
TSi Wy. IT, ~ =,
ias. -. ~. AZ
~ W.. ~ - anf az A..
1880. ~ ~ n.,.,, .i.,,.s a..
-ac,ors .xnressed con aderce in his per-
.onou ohbi,p',, ~ raia. ,hs r.cs..arv
s,nds 20 avoia n receiyershin
E,,r,hsrmora !, u.s contend.d nv Mr.
,-n,nru,uar .he, Ia. 80 Anil 20 IN.
A. $3.50 ,ha racoiyer.h,r n~eti,,on wa.
az, NJ An,s,or assnred nns or more
-, ~. ai-.c,nrs ,,a, ". had n,edpe. ~
tho necessary funds Al that time he
nau ~ 1870 ~. az .h. -,oi,nu,,n.
day.
]. Horace Harding OF the Arm OF
Charles d. Barney & Co.. brokers, testi-
fed that he conceived the idea of organ
izing the sheldon Company" which Is
sued a circular to the shareholders ask
ing for proxies and support in the cleo
ton of four new directors.
The witness said that neither Daniel
G. Reid nor william II. Moore suggested
the idea to him. He admitted that his
OIId tCISs vi ttto ~ cs"hs ~
fairs was only ten shares in fact and
that he sold these while the stock was
soaring in the early part Of April.
Mr.. Harding explained that he was
moved to organize the Sheldon Company
because he thought that IL four new
directors of the highest integrity could
he obtained II would be possible to
finance the road and avert a receiver
shIp
Mr. Jrntermver oui.zed this witness
narticularly as TO sales OF Rock Island
stock through the firm of Charles d.
Darnev G. 60 Mr.. Harding denied abso-
inteIv that there had been any consid-
arahio sailing or buying OF Rock Island
stock nv either Daniel q. Reid or WILL
Ian II Moore
D..,,... nv R.,d and More.
.r ,oorod m the accounts before I left
o,a 7 do NO, helieve tina, either of these
ma hos hougbt or sold 100 shares OF
DooL I.iand since the 6rst Of last Janu-
as, :, rani,ad tho witness
O." Irn,armyer asked ~ II wa. not a
.hinn Co., parney G. 20 IN carry
- nooo,r,s ~ ,heir customers nv mum
~ Sa,Snn ,ha, hv rome. T,hs witness
90 -. 90. .uch cases b,t ina,
a"nn'...u 49,, rorn,on
'"es -, r.f.rr,,v ,o tbsso
:. . .oonoaaaiad, or "d,.yu,sed.
a.ouu's TN n,itr.ss ohiected to
,ansaet,ons r;nau, h. r.fused 10
s"ns a..,,,s ~ the accounts
DISCUSS I.S M >,oor. Nth
20. 60
III. - -, MY nr,v,,.1. and reruse 10