New-York tribune., 1922-05-03
Is5O0,O0ODrawn
OrSpentbyDier
Prior to Crash
u.,d Of Defunc, Brokerage
House Admits s3O2, 600
Vas for Personal Use in
Year. but Forgcts Details
Creditors Remarks Bitter
Rocker Denies Hiding Cash:
Plea for Delay to Sell
Cold Mine Is Rejected

rr,,,;natlon OF /. u. t'ei oe1oie
- Miller. referee in bankruptcy.
ssmss. out yesterday that Der as
.s:den. Of the defunct brokerage
lrn, pf a f. d. Dier 4 TO-. vi WitndreW dnd
H." ,sid out more than sooo'ooo OF
..a -. company's cash assets du!lng tne
vac vac. Immediately preceding IT'S fa'i-
yee' ,ast January. der admitted that
u.s ~ r-;tn6rawal. oy draft on banks OF
sgS saso ofo NJ il was for MS personal use
soo-'VUv '.arssct,ons. He would verify out
snl anu - .be details regarding the DIS,
le" ~ ~ the money. although Saul
pos'W[luar Wuars Of counsel for Manfred
>, 80 ,be receiver, produced, In each
Eh..vn, ."nra cancelled checks signed or
.na.aa, .nar.s,s,cned bv DER, bank records
eoI". aees az the bankrupt firm.
A's a. tines Dier's response to questions
.ta.ionad A' .,,"e3 litter. almost insulting, re
ussr1s'' arEs from certain Of the creditors
',as@nt ns.@ N the referees office. at : Rec
lnr street. Seldom, however, dld the
rnjscent ~, js always forgetful broker
ev;r ev;rce tbe slightest feeling over the
sensational nature Of the evidence Of
ssrsd His attitude was not unlike
,bat shown at the previous hearings,
IN. il supplied climax when near the
elo,e Of the examination he contra
Irted himself SIS 10 the exact location
- his residence First, he said he
gved at $50 Madison Avenue. Then he
hanged the address to $50 Park Ave
,us and finally back to $50 Park Ave
nue. the address he had given at pre-
yious hearing, but which process serv-
srs had found to be incorrect.
AZ the start Of the hearing an effort
WAS made by Nash lockwood, attorney
toy the dentist broker, to have the ex-
animation put off on the ground that
Di.r owned considerable stock in
gold mine at FL Progreso, Mexico. and
fbs. ARRANGEMENTS had been made to
saye the mine examined by an expert
in order to ascertain what possibilities
existed for reopening it and enabling
Disr to make good his obligations.
Both Mr.. Myers and Arthur G. Hays,
counsel for the receivers, opposed
postponemsnt and Mr.. Miller ordered
the bearing to proceed.
Although each Of the checks for the
di,puted S50O000 had been either
signed or countersigned by DER. the
witness couldn't "just remember for
what purposes they were made out.
Some were on the firm of Hughes &
der, the predecessors Of L. D. der e.
Co.. for which der disclaimed re-
sponsibility, and made out TO clerks and
DEPARTMENT heads 1t also developed
that not all Of the firms money was
placed on deposit in Dier's own name,
bat in that of B. F Shrimpton and
others associated with him in the
brokerage business. The witness de-
med that he had turned over any Of the
lrm's securities to these associates.
Mr.. Myers asked der if he pur
chased on his own account 500 shares
Of Mexican Petroleum stock at $40
a share in April, 1921.
81 don't think did don't remem-
Der it." replied the witness, Mr..
Myers then showed the witness a
transcript from the books of Carpen-
der, Cafry & Co, Of ID Broadway, the
brokers', which contained a record of
the deal. A check for $4,000 counter
signed by Mr.. Dier, covered this
transaction.
Mr.. Myers revealed that Orvis Broth
ers < Co, Of so Broadway; Carlisle. |
Nellick & Co., of 43 Exchange Place;
c. H. Van Buren, e. Co., of AZ Broad
way; Arthur Upper & Co.. Of 90 New
Street, and De Haven &; Townsend. of
52 Broadway all members of the Stock
txchange-had each taken 100 shares
OF this stock. Asked If 1t were true
ihat he had sold the shares to these
concerns DER replied; Not 70 my
knowledge"
Dier also houeht 10 onn eh,-. ~
united States Steel stock in 1921, &C.
cordlng TO records Of the transaction
Shlcn' Mr. Myers brought out, was
mace ., through the brokerage house Of
" ". Cohen & Co. Dier again did