The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-07-07
PROMINENT MEN
TESTIFY FOR CIRCUIT
Character witnesses Include
Bishop Hayes. Prcndcrgast
and Judge Cullen.
BANKS COUNSEL HEARD

A lengthy array Of character witnesses
marked the continuation yesterday OF
the trial of ex-City Comptroller Edward
NJ. Grout for perjury. Each witness
swore that the defendants reputation
for truth and honesty had been of the
best prior to the indictment which fol-
lowed the second collapse OF the Union
Bank.
Former Chief Judge Edgar VI. Cullen
Of the Court of Appeals said that he had
known Mr.. Grout for twenty-five or
thirty years. He had never heard his
reputation for truth and honesty at
tackled.
"You passed on hat once" asked
District Attorney James G. Cropsey.
adding. When Edward VI. Grout re-
sisted a subpoena AMI refused to testify
at a hearing tthe Union "a probe).
your court decided that the Banking
Superintendent had no authority to issue
the subpoena"
Judge cullen answered in the affrma-
tive.
Alton Il. Parker. former Judge of the
,OuTl VI hDIttlF, Tdlu Nld nt ~
known Mr.. Grout very well. Comp
troller william A. Prendergast, Andrew
Mclean, former Mayor David A. Body
of Brooklyn and Haley Fiske, vice.
president of the Metropolitan Life In
surance Company. were others who gave
Mr.. Grout a good reputation for truth
and honesty prior to December, 1918.
Patrick Joseph Hayes, auxiliary Bishop
OF the Diocese of New York, testified to
the same thing He had known Mr..
Grout for about thirteen years, he said,
having been chancellor of the diocese
when Grout represented II as counsel.
Regarding CIRCUITS reputation for honesty
and truth Bishop Hayes said he thought
1t was very good"
Almost the entire afternoon session
was taken UP Will the testimony OF
Charles Strauss. formerly counsel to
the Union Bank and to its predecessor,
the old Mechanics and Traders. Strauss.
also a director. shouldered responsibility
FOR the meehods OF many of the dummy
companies which have played such an
important part in the case. He stated
that he had specialized IN realty and
corporate law for twenty-five years and
had given to Nr. Grout the benefit Of
his advice. He had advised Grout that
Bogert-a former director who trans
ferred his property to avoid the pay
ment of debts owed the bank-was
| good. and branded Bogert's action in
transferring his property as the most
barefaced fraud ever perpetrated"
Mr.. strauss described on direct .x-
animation how Grout came to be presi-
dent of the bank when it reopened In
August, 1908.
Circuit Was looked upon as the only
man in sight who We thought would
be acceptable to the state Ranking De-
partment.' the witness testified. zone
man was too small. another not well
enough known. a third lacked financial
experience-the only man who stood out
was Mr.. Grout." Grout had asked his
advice about accepting.
THAT is something YOU will have to
decide for Yourself strauss says that
he replied. 81 told him IL was a public
call-one that involved large RESPONSE
bilities and large sacrifices. | told him
frankly that | couldn't afford to and
wouldn't think Of accepting 1t myself. 80
He added that he was surprised when
Mr.. Grout decided to accept.
MIR. Cropsey had asked Strauss II II
were not true that he. Edward NJ. and
Paul GrOut had been acting as a COM
mittee TO bring about the reOpening of
the bank, The witness denied this
Entries from tho minute book showed
that, whether they constituted a com
mittec or not, they had figured largely
in the reorganization, and one entry
actually showed that such a committe
had been appointed.
The most important point brought out
however. vas the report sent TO Clark
Williams shortly before the bank re-
opened in which conditions and plans
were discussed the report was signed
by Charles strauss, Edward NJ and
Paul circuit. The cross-examination of
MIR. Strauss Will he continued to-day,