New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-06-03

a ,eitneo before Lockwood Com
mitee in merger inquiry.
"You knew that that statement was
bunk ?" Mr. Untermyer cried.
Il didn't know anything about tire
piled the witness.
you knew IL did not represent the
real transaction - continued the coun-
sell
Il didn't know anything about H."
drawled Mr. Topping
Mr.. Untermyer then pointed out that
there wss nothing in the newspaper
statement shout raising new capital.
The witness testified that Kuhn,
Loeb & Co. we're 20 pay $50 snare
In cash FOR s2o,c00.oo0 common stock,
less underwriting fees. Nothing was
said about how much bonus stock the
firm would take for the deal. The
syndicate headed by Kuhn. Loeb a Co,
said Mr.. Topping. was 20 raise man
mum OF $s5.ooo,o0o, OF which $4,000
600 was 10 be raised on preferred stock
at seq q share and $40 900 900 on com
mon AZ par. AZ $50, less commissions
and bonuses.
Mr. Untermyer then inquired how
the other $4,000. 900 was to be dis
posed Of Mr. Topping said in any
way the bankers saw AZ.
"InsIders" 10 Hold Stock
Don't YOU know IL Is % be usso
for dealing IN the stock. and make D
market for -" inquired Mr.. Inter
myer.
THAT or other purposes,7 replied the
witness.
The counsel then pointed out that
the arrangements also provide that
the insiders or vendors, VINO acquire
the stock, agree 10 hold It for Ger
tain time
Mr.. Topping, admitted that the
figures IS be produced them in the
form Of n tentative memorandum be
fore the committee, had been decided
upon by his firm two weeks ago and
that he knew them, but that he did
not tell the committee what they were
because "thev were not maj and the
deal had not been consummated.
f. slso developed that al least two
Of the firms. the Midvale and Republic,
had virtually agreed upon the basic for
the settlement on Wednesday and had
signed documents 10 that effect The
Inland company. said Mr. Topping, had
not agreed 70 70 until Thursday eve
ming. The facts OF the consolidation
had been given out 20 the press not
later than o'clock.
Mr. Untermyer then referred 10 Mr..
Topping's declarations on the witness
stand the day before. when he said he
did not know what the basis 81 the ar
rsngements were.
you we're trying, we're you not, 70
suppress the facts queried the sttor-
ney.
II vas not"
Don't you know that Nr. Chad
bourne had asked TO be excused and
that excused him from ttstifying on
understanding that you knew al the
agurss and would bring all the figures
here?"
Il knew nothing about it," replied
the witness.
Mr.. Untermyer then demanded the
agreement with Kuhn, Loeb 4 Co, but
Mr. Topping said he knew OF no such
agreement. and ~ one existed il would
be IN the hands Of Mr. Claiborne
Denies Dseeiving Committee
Mr.. Dinksy's testimony was Substan-
italy 10 the same effect. He also ad-
mitted that his company had decided
upon the figures two weeks ago. and,
although he Was present at the meet
ing, he had testified at the previous
session that be was ignorant o. the
fact that these figures hsd been Al
rived a. and that an announcement
would be made within few hours
after he had left the stand.
And il was done without your
knowledge Haven't you been deeeiv-
ing the committee. NJ Dinkey" ?
asked the counsel.
Il don't think So" replied the Wit
ness
The steel man. however. was evi-
IDENTIFY discounted. and hdgeted and
hemmsd ana hawed all through his eS-
animation. frequently mopoiug his
forehead with q handkerchief. He IN
sisted that the hgufes had rot been
agreed upon before lie appeared on the
stand before the committee although
they were given out 70 the press With
IN two hours after he had testified.
he asserted that William Ellis Corey.
OF his company, had been authorized
10 carry on the negotiations.
Would you like 70 make any fur
Their explanation, because we think you
are trfing with the committee,
asked the examiner.
There u no further explanation
that / can make" concluded the wit
ness.