New-York tribune., 1918-05-28
Pelletier's Former
Manager Got $4,000
Ex-Lawyer for Concern
Says He Warned Direc-
tors Against Fraud

A0iS ga '4HHStAA44t- AuNCSSiVdliOn Int
Tho status OF Emerson Motors stocl
again featured the trial yesterday O
the fourteen individuals and four cor
porations being prosecuted in tn
United States District Court here 70
taeir alleged participation in th
stock selling schemes of the Emerso,
company.
Francis NJ. Carroll, the attorney wh,
acted for Robert P. Matches & Co.
Boston agents for the Emerson stool
during the latter half Of 1916-wa.
the man whose testimony was instru
mentas in confirming the government.
charge that money had been used fo,
the purpose of reaching the Bostor
District Attorneys office when, upor
resumption of the trial before Judge
Martin ]. Manton yesterday, ne tool
tho stand as a government witness.
At the same time Assistant United
States Attorney James W. Osborne, I'd
produced other witnesses who gave
damaging accounts of the manner IL
which shares in the Emerson Motor:
Company were juggled in this city.
Summary of Testimony
Summarized, the chief points sworr
to by government witnesses during the
day were:
That when, as previously testified
70, an investigation into Emerson
Motors was being prepared in Ros-
ton delegation representing the
Emerson interests called upon Dan
lei h. Coakley, prominent Boston at
torney, formerly campaign manager
for District Attorney Pelletier.
That this delegation consisted of
Robert P Matches, Boston agent for
the Emerson stock; Amos Stephens,
OF New York, counsel for the Emer-
son Motors Company. and Francis
NJ Carroll attorney for Mr. Matches
That Daniel H. Coakley told this
delegation he would undertake their
case for a $500 retainer on the un-
derstanding that he was to be paid
$4,000 additional if he succeeded in
having all proceedings against the
Emerson interests or against Matches
"pigeonholed"
That Amos Stephens also inter
viewed District Attorney Pelletier.
j, mat Amos Stephens. following
,hese interviews, returned to New
dn lork and later came back with
$4,000 in bills, which was deposit-
cd to the account of Mr.. Carroll in
Boston. p"' az
That Daniel H. Coakley then in
formed Mr.. Carroll that the investi-
CATION had been ouashed
mat MIR. Carroll verified this
statement IN personal conversation
over the telephone with District At
torney pelletier.
mat Mr. Carroll thereafter paid
panlei rn Il. Coakiey $4,000, retaining
so'ooo OF the sum brought from New
York for himself.
mat Robert P. Matches admitted
70 the District Attorney that the
Emerson car used for demonstration
purposes s and advertised as to be sold
ior so9o was IN fact an assembled car.
with Ford engins, and had been
gotten together at total cost of be-
tween $1,000 and $1,000.
nat the fine waich might have been
innicted upon Robert P.Matches &
70. II the District Attorneys in
Sestigation had gone through would
probably have been much less than
sne Slo'ooo said actually to have been
pa,u IN order to avert investigation.
mat Robert c. Hupp was given
SOCK IN the company valued on the
1ooks at $500, 900 in exchange for
mawlhgs, plans and designs for an
aeronaoplle Tp and Tor his good will.
worth of t.lis stock to Nicbols =
wilson, one of the present defend
ehts, taking In return cash nav
"ent and SIX short-time notes
ihat wilson subsequently became
me cnief stock salesman in this citv
nat postoffice inspector had
haoe cursory investigation ;nto
;ue Emerson company's affairs here
IN New YORK before an inyestipation
was rs talked of in Boston. Wv "''''
na. as early as May, 1916. John
;aiish a;, mn, an attorney, had re-
,ysrn;, v'smed rom the Emerson company.
ceed;n q VIC directors that their pro-
'eeo'nss were fraudulent.
stock certificates of the Emerson
ins.pany, inns minutes of directors meet
chaser1" 1"u correspondence with pur-
has,, hs'is OF the stock and men who had
o,,tnr.A tn ,inunlcated with in regard to
~ 'Aeop'ie parts, all subpenaed by
court. "'So pfoouced In
mr.. Carroll. who occupied the stand
,pF ,'2 the better part Of the day. told
re story with. little prompting from
me prosecuting attorney.
MIR. Stephens" he said "caro "a
noston from New York early in
oesone. and asked what was the mat
ssr in Boston. told him NJ
Matches said he feared an invest;ca.
Won was on, that | personally didn,t
,,hink SO. bus that would see Daniel
II CoaEiey, who would know. and make
sure " '''"e
coakley. the witness swore. con-
armed the rumor Of the Investigation.
and made an appointment to see Mr.
stephens and Mr.. Matches in comnanv
with Mr.. Carroll. This was the or.
casi9n. she witness said, when after
Ioakiey had asked many questions
about the factory, the $4,000 promo
ssiEon was made. II was also THROUGH
.ar' Coakley, Carroll testified, that Mr.
stephers's Interview with District At
'oInay Pelletier was arranged.
\, Nhat were the services for which
Mr. Coakley was to be paid $50 900 ?"
'nserposed the court
Chiefiy for showing what action
':souid De taken,' returned the witness,
Wanted Evidence Of Good Faith
!. MAS there any statement as to how
.nfs Sc $4,000 was to be paid 2" asked
MIR. Osborne.
well, Mr.. Coakley said" returned
'ac wtnesa. "that he would go forward
: na was sure that the money was in
ny hands and that there was evidence
e good faith on the company's part"
!. Alter that Mr. Carroll told how Mr.. /
,ssp1ens departed for New York, re-