New Britain herald. [microfilm reel] (New Britain, Conn.) 1890-1976, 1918-10-08
MORRIS c. WEBSTER
IN CHECK TANGLE
Figures as Witness in Louis Block
Bankruptcy Case

Connecticut was the only witness ex-
amined at yesterdays session, in the
bankruptcy court, of the now IA
nous Louis Block bankruptcy case.
Mr.. Webster, for whom Attorney
Bernard F. Gaffney, of New Britain
appeared as counsel was on the
stand for over an hour at the fore
noon session and was called back for
examination in the afternoon. The
afternoon examination was cut short,
however, by Referee Carleton E.
Hoadley who called for a statement,
on paper, showing the transactions
between the comptroller and the Ply
mouth cattle dealer, Block.
II want to kCow just where this
check king as it is called, began
Mr.. Webster" said Referee Hoadley,
land I want to see it on paper. You
have counsel now and Judge Gaffney
knows what the court wants in the
line of proof so I am going to post
pone further hearing on the case I'M
til next week, when you will have
some sort of staten ent to show me
of your dealings with Louis Block"
Previous to this closing statement
of the referee. Attorney H. J. Weis-
man, appearing for creditors, asked
the state comptroller if he did not
know that in his financial dealings
with Block he was aiding the latter
in his "kitings."
Mr.. Webster merely nodded in the
affirmative.
The afternoons session began with
Mr. Webster trying to explain to At
torney Weisman and the court the
nature of his check dealings with
Block. The witness stated that Block
gave him signed blank checks and
that he used these blank checks to
balance up his and Blocks accounts.
He said he gave Block his checks and
took Blocks in exchange. eff I
needed money I would fill out Blocks
blank checks for the money needed.
That was the agreement between u.s.
said Mr.. Webster
did Block agree to borrow money
to finance your bank account?" asked
Attorney Weisman.
mot exactly replied Mr.. Webster.
but if I was short and needed money
I could use Blocks to pay up with
That was agreed"
With regard to notes Mr.. Webster
said he exchanged notes with Block.
HE could give me his note and I
would discount it and cash it, and,
Block did the same thing with mine,
said Mr.. Webster. He began his eX-
PLANTATION of his note dealings with
Block by taking the month of June
this year as an example. He said on
the first day Of June the exchange of
notes resulted in Block owing him
money, for the sum of the exchanges
was not the same. The difference in
the notes was carried over to the next
day, when Block paid up, and at the
end of the day Webster owed Block
money and SO on up to the fourth
day of the month. On that day Block
owed Webster sos.
did Block owe you any money at
the beginning of the month? asked
the referee. II want to find out
where we stand. We might ask ques-
tons here all winter and not get any
where at ALL He then instructed Mr..
Webster, as above related, to get
figures down on paper, so the court
would know how to go about taking
up the examination.
At the morning session of the court
Attorney Weisman began by asking G
the state comptroller how long he had
known Block.
The reply was Since 1903" A later
reply indicated that Webster had been
doing business with Block since that
time. Business of any great fnan-
cial account, however, did not begin
until 1911 according to the testjm o0y.
At that time and from then on Mr..
Webster said he bought a consider
able number of cattle from Mr..
Block. How did you pay for the
cattle, Mr. Webster" asked Attorney
Weisman. "By note" was the reply
WAS the note for just the amount
you were to pay for the cattle ?"
mo, I gave him note for the price
of the cattle plus whatever money he
asked for. Sometimes he said he
needed money and I gave it to him.
He always paid up, though, and was
very anxious to do So.
When asked as to Blocks educa-
ton, the witness replied: Cali he
can write is his name and that is
purely mechanical with him" In re-
Spouse to another question Mr. Web
ster said he believed Block to be
"competent and honest, as other wit
nesses who have already testified in
the case have said
When asked why he gave money to
Block when the latter wanted it, Mr..
Webster replied, II always liked
Block and had an interest in him.
gave him the money for his accom-
modation.'
Attorney Weisman brought out
from the witness that Block owed
him a great deal more for money
coming under the head of accommo-
dation than money coming under the
head of selling price of cattle.
Tn Iaj
with Block Mr. Webster said: II
would meet him before 9 o'clock in
the morning. He would tell me the
amount of money he needed to
make good at the Thomaston bank
cri.-n hi1,, what O. d o