Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-09-09
DEFENCE SEEKS TO SHOW
HOUSING CORPORATION HAS
MISSTATED FACTS OF CASE

The second day of the nearing Oh
the Kennebec Housing Corporation W.
Messrs, Barton, Collins Cove, Gronoli'
ana Moves was entirely given over u
an effort by the defense to prove the
amount Of material bought by the cur
marathon. where il was bought "he"
n was bought and the price OF tilH
noodle This testimony is sought to
n-ove the alleged misstatement IN the
advertisements which were inserteo
in the Waterviilc Sentinel or TWO
dates. Very little important lnlorfiid
ZION was given by the main "'tfeSS
of the DAY. =. Everett LIBBY Whoh!
I'll. defense has been assured was the
man who was familiar with az pdF'S
of the business. He told what ne per
sonally had bought but khe" out
little Of what others had purchascd
and had m documents to sho" mat
information. 49,
rhe hearing will be resumed this
morning al . o'clock.
u,i1lis,, 4 knauff was called to the
etapd for continued cross-examlnatioh
Thursday morning IN tn" case OF ti'
Kennehec. Housing Corporations "h'n
ie suing five subscribers. Charles IT.
Darton. Ernest l.. Cove. n. J. CoIihS'
Edward q Crondin and Edmund -
Moves. for tho amount of ther sun
scrlprons. aegregating $2o""- coh'ih-
ned from Wednesday. Mr.. knahH oc-
ruoied the stand for over two hours
and in his CAPACITY as treasurer OF
thu cornoration went over the hiiiS
maid for materials Now and then the
pcancfony of tho proceedings was
p"nctuated ~ Attorney Eaton, who
asked to look Al a bill or by Attorney
Homes. who offered bill now and then
as a defendants exhibit. one OF
thesc was \. hill oi lumber from the
Central Maine Lumber Co. for lum-
Der quoted a. SOS when Attorney Jones
called attention to tire fact That IN"
advertisement in the sentinel staten
that lumber had been bought at $50
q thousand.
N regard to the number N SUP
.scribers before January Is, 1920. AT
terney Eaton submitted and read INST
OF subscribers under date of Novem-
Der Is. 1919.
Attorney Jones called attention To
the fact that many of tho bills were
@ K'd BY e. {. Libby and introduced
the records to show that the auditing
committee consisted of +. e.. Wafdwcll
W L. Brown and r. L. Proctor. At
torney Eaton stared tn the court that
n new board Of directors was elected
B,tf liz
not remember whether tho auditing
committee was changed or not.
Occasionally Attorney Eaton would
ask for a bill To be laid aside. with
the evident intention of using the
Same, IN the case later.
Attention was called by Attorney
Jones t. a bill amounting to $500. Is
for which money was advanced by E
C. Libby. the bill 0 Kd by Mr.. Libby
ana paid ny tho treasurer.
At the close of tho reading of the
bills Mr. Knauf testified that these
comprised all the bills presented ano
paid since the organization of tho cor
poration He testified that unpaid
bills amounted to approximately $3.50
Before the witness left the stand. AT
.orney Ea4f asked what sums have
been paid u officers directors or at
tornevs for salaries, fees or services
and the answer was None"
Attorney Jones asked Mr.. knauff if
he had any record of what II. c. Morse
paid for lumber that he had from The
corporation. and he answered that NJ
record of receiving money from Mr.
Morse had been made.
Reading from the records. ATTORNEY
Jones showed that al u meeting of the
corporation on December e. 1919
Messrs. Morse, Libby and Cary wore
appointed a purchasing committee ano
that on February 3, 1920, Messrs. Lib
by, Morse. Cary Friel and Austin
were appointed a purchasing commit.
tee with Messrs Wardwell Proctor
and Brown an auditing committed or
September ., 1920 Messrs Wardwell
Brown and Annis were appointed Z
special committee to report on the
condition Of the corporation and wha'
IL had accomplished. Attorney Eaton
taking the record book. stated to the
court that the records show that tn,
annual meeting Of the corporation was
held January %, 1920. That Messrs
Barton and Moves were present anc
that at special meeting Of the stock
holders Messrs. Barton and Noye.
were present in person and Fl. J. col
Inns by proxy. Attorney Jones state,
that the records show that those tw,
meetings were tho only ones wher
they were evtr present
The prosecution rested at this poin
and Attorney Jones outlined the dc
fenHe by saying that the Kennebe,
Housing Corporation under the gen
eral laws as business corporation
stated very generally and advertised
through the newspapers that its pur
pose was to facilitate housing condi
lions in Waterville and that the reas
that it could build at the peak of tn
market was that II had gone out an,