Evening journal., 1916-07-25

SdTy 10 secure the loan ana lndl tue
stock OF the company had a market
and a marketable value,
Coming TO the reorganization Of the
company. Mr.. Graham said there was
no opposition 70 the reorganization on
the part Of Alfred l. DUPONT OF any
one else, although II is complained OF
in this bill This, he declared, does
away with the charge that the COM
pany was recognized as part OF a
scheme to pay for the T. c. dupont
stock in dividends He also argued
that there was no evidence 10 sub
stant,ate that the individual defend
ants to this suit we're parties with
P. s. DUPONT in scheme to defraud
the company.
Mr. Graham said the position Of T.
c. DUPONT was a peculiar one 10 this
corporation He called attention to
the fact that he was the largest indi-
vidual stakeholder. and that he had
joined with Alfred I. ard 2. S. du-
Pont to organize the corporation in
1903. For him." he declared, TO have
taken out his money from his com
pany and leave It TO sink OF swim at
such a time would have been a most
dishonorable act, and T. c. DUPONT
would never have done such a thing.
At this point Judge Thompson in.
terrupted Mr.. Graham and asked this
question: Didn't Mr.. p. S. dupont
have information from Mr.. Durham
that the stock was TO be sold to the
men Of the company or whoever want.
ed 10 buy it,"
What he said was or sold on the
market replied Mr.. Graham. The
latter said Mr.. DUPONT would never
have agreed to sell his stock to the
company.
Mr. Graham next took up the New
I Jersey charter under which the old
company was incorporated and de-
clared that under such a broad char
ter the company could have done
anything from operating a wireless
to equipping steamships Such a
broad charter, he declared. is not 9
test by which a court judges the cor
porate purposes of a corporation He
said the recitals in the charter are
/ subject to the common law of the
/ State and that the law of New Jer
! sey declares that no corporation car
4 vote the stock that it. sells. "ThC
charter cannot override the law,
/ stated Mr. Graham. z
In speaking Of Alfred !. DUPONT hein,
ousted from his Offices in the corpora
I ton, Mr.. Graham said il was found b,
the administration in charge that q
! house divided against itself must fell.
The others, he declared, were satishe
I with the excellent management of p
! dupont, and Alfred was "ousted' ''Yo'
can sec outside Of the evidence" sal
Mr. Graham to the court, "the frictio
that existed" He referred 10 the T. {
! dupont letter to p. S. DUPONT, in whic
he said: you know Alfred always doe
all he can 10 iniure me- He was no
called back 10 the stand, stated Nj
Graham TO deny that he had belittle
the officers Of the company in the pres
ence Of employees.
as there any better reason than thi
characterization. outside Of any famil
friction, for removing him from Office
asked the speaker. He told Of Alfre
opposing the increase of salary to III
employees. and said Pierre was THROWN
money away when he raised the en-
ploves salaries.
/ Explains SWOrking Capital"
Mr. Graham spent some time in al
b swering the argument Of Mr. Johr
/ son relative TO the working capt.;
, OF the company, with which the T.
DUPONT stock could have been bough
He said Notwithstanding the argr
ment OF Mr.. Johnson. there was n
= such thing as working capital on III
books Of the company and only SUI
plus at the time the sto1k was bough
of from S5.000000 TO 100000 wit
which TO purchase $14.OOO,OO0 {
stock.
Mr. Graham dwelt on the gres
work OF the corporation and the ind
vidual officers and heads of depart
b ments. in carrying out the immens
b contracts that we're received.
He said because of the unsound con
b ditions prospects were founded o.
81 uncertainty and the outcome file
with doubt
1T was not a time when these me
diverted things to their own use.
, was the supreme ability of the presi
/ dent and his assistants that brough
I out success. II was the foresight j
securing material, in handling tn
[ finances and in erecting new build
, ings, that made this success posi-
! BILE"
Mr.. Graham in speaking of the stoc
bought, asked: did this maj
Pierre DUPONT. keep this stock in b
own name? No he did not; and 40
600 shares of it went TO the men {
, the company. II was distribute
among these men at a time when the
weer sweating blood for the success
Of the company"
Mr. Graham. at this point, made
bitter attack on the motives of A
I fred I. DUPONT in joining in this sui
I He declared that after all risks ha
been taken by these men, (meanin
, the defendants). and there was n
; longer uncertainty, he comes in an
tries to make them give up not onl
; the profits they have made by the
ability and sweating blood to carr
out contracts. but also the stock 4
self.
alfred J. DUPONT has played
I mean and despicable part" declare
Mr.. Graham He said Alfred ha
fought Pierre at every turn.
Mr. Graham argued that the chars
that the credit of the company WI
used by the defendants in securir
the loans had fallen entirely. T
pointed out the testimony of the Ne
{. York bankers. who said II was on II
: collateral offered that they loan'
! the money. ~
! Mr. Graham defended the opiniC
given by Judge Laffey, head of h
legal department of the corporate
. m Pierre dupont and later TO the Z