The New York herald., 1922-11-02
LIAR! RAT! WHALEN
THREATENS SHEARN
Continued from First Page.

NHBiH White save IOT IL pIiei IcSoiu "a
the initial meeting at which the witness.
Borchardt. and Louis Karsch divided
The offices among them and arranged for
the prospective division of the profits.
The witness testified that there had been
only two meetings held and that he had
never read the minute book. but that It
was Just as / got 1t off Mr.. Keating''
t"Tom" O'Neil's lawyer). Frankenberg's
son figured up the profits and there was
a division once mon,n, the witness
then drawing checks for one-third of the
profits ia favor of each of his friends"
Borchardt and Karsch, and retaining
the other third himself.
The stock certificate book was an
equally hollow sham. None of the cer-
tlficates had been removed from the
book. They did not even have attached
to them the requisite revenue stamps
The day book. showing the receipts
and expenditures of the bus corpora
ton, was more illuminating. 1t showed
for the period from May 13 to October
a. of this year. net corporation profits
aggregating s17.1 Divided into thirds
this gave each of the three factors In
the corporation the sum of s5,716 for
the five months. The net profits. .NMr.
A'A'toii SHOWCb, oll a VI
only $4,000, amounted to S5.75 pei
cent. for the period. or at a rate icf
205.S per cent. In n year.
At this point Mr.. Shearn sprang his
surprise on the Disconnected bus cor
poration president. Addressing Frank
enberg in his most serious tone. the
examiner said: "Do you remember my
asking you yesterday whether Thomas
O'Neil was interested in this company
md -at1 Il u
Eyes sir. that is what I said"
And my asking you whether those
Two friends Of yours, Borchardt and
karsch, were not dummies and you said
they were not?"
Il can't tell you anything of that
Kind. have told you they were not"
You understand that you are under
oath, don't you, and that If you testify
falsely you can be convicted of per-
jury?"
"Yes sir. but am not testifying
falsely. / wouldn't tell you anything
else but the truth"
O'Neil and Murphy.
Mr.. Shearn then placed in evidence
his two telltale checks. One of them.
dated October IS, made out 'to cash.
In the sum of $470.95 for one-third of
the profits Of the preceding months
business, borC on its reverse side the
Endorsement OF Thomas Fl. O'Neil The
otner, in like amount. and also drawn
TO the order of 'cash" was indorsed
20 the credit of the ESTATE of Arthur
H. Murphy" and had been collected.
Frankenberg attempted halting ex-
planation. He said it had been his habit
when he did not happen to see "the
boys about (Borchardt and Karsch) to
hand tn Tom" O'NeiI the checks made
put TO cash and intended for them. AS
Tor the checks with which he was con-
fronted, bearing his own signature, he
declared he could not tell where they
might go to after he wrote them out.
1t was at THIS point that Commissioner
Whalen dropped into the proceedings
with all the precfpitancy of the pro-
verbal pan OF milk from the top shelf.
After quiet had been restored Mr.. Shearnl
went on with his witness:
DO you still say after seeing these
checks and hearing them read and hear
ing the Endorsements read, showing who
collected them, that you each month
pay over to your alleged partners,
karsch and Borchardt. third of the
profits of this bus business?"
Yes, SIR"
Under further inqustion. the witness
admitted that he knew Arthur II. MUIR
ply but that neither ONeil nor Murpny
had put anything into the bus project
that regularly month after month";"
Under Sheriff O'Neil and the estate OF
Arthur II. Murphy had been cashing
checks like these for one-third each OF
the profits OF the business, but that he
did not know why.
You have noticed each month that
these checks came back indorsed by the
Murphy estate and O'Neil; didn't that
attract your attention."
1T didn't bother me any" Franken-
berg denied that either Murphy or O'Neil
had advanced to him any or the money
for the purchase of the buses bought
Tor the line.
And you cannot give any reason why
YOU permitted these men 10 take two
thirds OF the profits of your business
month after month";
II cannot give any reason for it,