Evening journal., 1916-07-14

Judge thompson was handed the
written statement and after going over
II announced that he sustained the OBJ
lection as to the last three offers.
This means that General DUPONT will
not be allowed to testify as TO the offers
made by Mr. Graham.
Counsel for the defendants noted an
exception TO tho ruling of the court.
At this point Mr. Graham said II
withdraw the witness"
This was the most dramatic moment
of the entire trial TO date. II means
that those who had expected TO hear
General DUPONT tell of the sale of his
stock in his characteristic manner and
then be cross examined by John G. John
son, the noted corporation lawyer. will
probably be disappointed
II is not likely that General dupont
will again take the stand. as there re-
mains nothing for him TO be cross-ex-
amined on
The court took a recess until o'clock.
Yesterday Afternoons Session.
Examination of officials Of New
York banks who participated in the
loan to p S. DUPONT and associates.
for the purchase Of the T. G.. DUPONT
stock was resumed at the opening Of
the afternoon session Of the court
, yesterday
, Seward Prosser. president Of the
p Bankers Trust Company. said his
! company participated in the loan,
acted as trustees for the securities
2 and also cleared the transaction on
r behalf Of the mortgage. lie SAID the
2 loan was split up accordin, to the
< instructions of the Morgan Company.
When asked what number Of shares
of stock we're pledged behind tue loan.
he said something over $4,000 shares
> of common and 1889 shares of pro
! ferred stock. The witness said TAX
ing the stock at S135 a share, they
had the loan secured and a margin Of
so per cent in excess.
l. The witness said he considered the
v loan was all right, because the col
q lateral was adequate the people
II guaranteeing it we're st'll safe and
q they believed in the people back Of It,
He told of a conversation he had with
II P. S. dupont, before the loan was
O made, and that Mr.. DUPONT told him
+ that in his estimation the guarantors
II Of the loan were worth $lo0ooO0O
It His bank. the witness said. took
>, about 81 700, 600 of the loan. He stated
E. the DUPONT Company had a deposit
le with his bank. but that had no influ-
id ence with him in making the loan.
Of The witness was cross examined AS
S. to his knowledge of the DUPONT Sc
m curities Company and the individuall
at making up that company, as to th'
er worth of the latter. etc. when th'
Mt loan was made. The witness knew
little about the individual fnancia
ID standing Of the members Of tn
n dupont Securities Company. He wa
10 also questioned as to the value Of III
es stock that was offered as collatera
he on the loan and said. while II wa
ie not a stock that was quoted on tn
at Exchange, he knew by newspape
u quotations that at that time It wa
so quoted at something less than s20C
We The witness recalled a talk he ha
es with Mr. Porter. of the Morgan Com
e. pany, about the loan and gave MI
as Porter as his opinion that it was
n good loan to make.
sit Albert F. wiggin, president Of tn
d Chase National Bank Of New Yo:h
aa said his bank took 100000 of tn
a. loan.
"On what did you extend that cred
lie or loan" the witness was asked.
m. THE value Of the collateral and th
standing of the guarantors." replie
the witness
he Deposit Didn't Influence.
as He said that nothing else entere
into the deal of them making the loal
as The witness said the DUPONT Compan
no had a deposit with his bank, but thu
NJ did not influence him in making th
"a ~, loan.
re- G. G. Thorne. vice president Of ii
Mt National Park Bank, said throug
of Morgan and Company his bank toe
if 1915, 900 of the loan He said that
lis S. DUPONT and Mr.. Raskob had notl
he ing to do with him making the loa
Ich nor did the fact that his bank was
at depository for the DUPONT Compar
be have anything to do with It.
Hu This witness was cross examined ;
80 to the effect on the company's cred
re should those participating in the 10;
inS have failed to have paid the notes, al
&c. he said he did not see how it would ha'
not affected the companys credit. as
ne was not stock dealing company. b
his a manufacturing company The W
,m- ness, under further examiPation, sa
the 1t was possible that it might ha
affected the credit OF the compar
Mr.. under certain circumstances.
to Vice President Hutchins. of the n
uld tional Bank of Commerce of NJ
cir York, said his bank took $3.50. 900
Iou' the loan through Morgan and Coz
'ow pany, and that the fact of the powd
company being a depository Of I
o. bank, he said. had nothing to do wi
loaning the money.
AS was the case with the 9th
,a bankers, Mr. Hutchins was crosse
he amined by Mr. Johnson, as TO the pt
mt sible injury to the credit Of the DO
ave der company should the notes I
for have been paid. He did not think I
he credit was affected by the loan
the In answer to a question from !
Johnson the witness said that ma
les unlisted stocks were gilt edge coll
no eral.
nay Mr.. Graham. in direct examinati
Is a asked the witness if Standard Oil,
the unlisted stock. and other unlisted
oci- dustrial stocks. were not consider
no gilt edge collateral in the loaning
hat money He said they were
ave Mr.. Johnson then asked the with
the 10 ~ o.va, Gpaxtr Of cVcl Iarrro r,1r