The West Virginian. [volume] (Fairmont, W. Va.) 1914-1974, 1916-03-31
GROCER'l.PEOPLE
NEN..RAIC|lEDIjRIENI ]
0N|G0'S.ACGOUNI.
S. E. Miller Gives Important
Testimony in Trial of
L. G. Race.

S. E. Miller occupied the witness
stand in the trial of Less G. Race in
the Circuit Court today. At a late
hour this afternoon his Testimony had
not been completed. Much of the testi'
mony Of Miller, who is the auditor
engaged by the states attorneys to
investigate the affairs of the Smith
Race grocery company and the Citi.
zens Dollar Savings bank, was long
and hard for the spectators to follow
closely. Attorney Morris finished with
his questioning of Miller last night
and today Miller was subjected to the
cross examination for the defense by
Harry Shaw.
Reading the entries in the pass book
of the Smith.Race Groceryg company
at the Citizens Dollar Savings bank
occupied most of the time this after
noon. The introduction OF this book
as evidence by the defense will tend
to show that the officials of the groc-
cry company knew Of the fact that
Race charged his personal checks 10
the account Of the grocery company.
The returned checks which were READ
in court yesterday. are each listed
in the pass book.
On the cross examination OF s. d.
Miller, by Counsel Harry Shaw for the
defendant, Miller admitted that tbs
majority. of the. stockholders Of the
Smith.Race grocery knew. OF the TACT
that L.. q. sR ace,s personal, checks had
:been charged to !Ftlie grocery Scom,
pany's account at, the Citizens DoE
lar. Savings bank and that the 4 stock
holders an directors ;aquiesced in the
matter.
According to Miller's testimony
when cross:examined this had peen
going on on since 1911 and that.the OIL
ficers and directors and some OF the
stockholders knew Of It from that time.
Miller himself admitted to being a
stockholder in the grocery company
and that the majority of the STOCK I!s
was held by +: A. Clark. j. r. Linn,
Harry F. Smith and L. g: Race.
Miller admitted in the examination
that he had been employed by the
smith.Race Grocery company as their
.bookkeeper, afterward having been
also employed as the bookkeeper for
the Buffalo Construction company apd
the Fairmont and Warrington Trae.
tion company. Both OF these conf
uanIes were allied with the Smith
Race Grocery company having much
the same directors and stockholders,
Miller said that the portion OF the
Mannington Traction line between
Downs and Mannington was built BY
the Buffalo Construction company
with funds obtained by Mr.. Race OF
the grocery company and borrowed on
the grocery company's credit. the
extent of this he said was 100000
On cross examination he said that
he had beenl retained by the states
attorney to make a special examination
of the books OF. the Citizens bank and
the Smith-Race Grocery company, and
that his compensation for this work
was to be $40 per day and expenses
maid. He further admitted that ne
was still in the employ Of the .prosecu'
tion and was receiving $40 and ex'
penses per day; during his attendance
at the trial.
Miller stated also that he had lJen
engaged by thestrustees appointed re-
ceiyers OF the grocery company to
make a complete audit OF the accounts
Of that Institution. For this work ne
said that he and his assistants were
each to receive SO and expenses per
day. He said that. the total amount OF
this fee would be between $4,000. and
81, 900.
The testimony OF g. +. !. Morgan who
was one OF the directors, OF the Citi:
zens- Dollar Savings bank, also showed
that the directors and 'stoc ckholders OF
the bank knew OF the. fact that Races
personal checks were charged to the
grocery company's account and that
this was often oyerdrawn.
Mr., Morgan was examined both BY
the states attorneys and cby the de.
fense late yesterday evening and
turned to Charleston today. ~,