Evening star., 1926-09-13


attention from giving other details of
ownership.
Merton had been regarded as the
chief Government witness. but when
Federal court recessed Friday TIL
today defense attorneys seemed more
pleased than perturbed by his ac-
count Of the payment of s7,000,000 to
German claimants from the Ameri-
can Treasury.
Under cross-examination Friday,
Merton said that documents which led
to the payment were perfectly truth
eul. and that American officials had not
been informed that Germans owned
ma iority of stock in the neutral Swiss
corporation through which the claim
was filed.
In direct examination Merton told
of paying SAL 900 to the late John T.
King former Republican national
committeeman for Connecticut. but
this has not been connected in testi-
mony with the defendant. King was
indicted with them in May, but died
week later. Merton contends that he
shared the money with them
A letter from Government files tend
ing to show that the Societie Suisse
Pour Valeurs de NatauX was not Ger
man-owned was read into the testI-
mony today William s. Rand. coun
sci Tor Miller offered the lengthy docu-
ment
The government has claimed that
the Swiss orga niZation was a holding
company for the two German organic
atiuns. the Metallbank and the Metall-
geselschaft. The assets Of the Ameri-
man Metals Co. owned by the German
companies. were seized during the war
and sold for $1,000. 900. which later
was turned over TO the allegedly neu-
trail Swiss organization.
~. Clashes With Judge.
Sharp clashes between counsel for
the defense, Mr.. Buckner, and Judge
Julian w Mack. precipitated by in
sistent questions from two Of the
Jurors. INTERRUPTED the Cross-examina-
tiOn.
The trouble centered about the
question Of the exact date of the ac-
tual transfer of the stock of the
American Metals Co. to the Soclete
Suisse.
, sfpcuments contained in the So
( 'cfetvs claim. filed with the allen
rroperty custodian, had been read to
the. jury. but il was apparent that
This point had not been made clear
to the entire panel. when two jurors
Interrupted with questions.
Merton the Government s star Wit
ness. who was on the stand last week,
had been expected 10 undergo further
cross examination at the resumption
Of the trial today. There was an ap-
parent discrepancy in his testimony
regarding the Swiss organization. He
swore last Wednesday that the society
vhs owned by his family On Friday
E,l< ,s,1 i@ of nd
been an enemy corporation.
Cites Swiss Judges Opinion.
Mr.. Rand also read to the jury
conv Of an opinion of a Swiss judge
unfolding the legality OF the claim OF
sfile Swiss society TO the assets OF the
American Metals Co.
Several passages from papers filed
In connection with the SoCiete Suisse
claim. calculated apparently to uphold
the contention of the defense that the
claim was perfectly legal were read
TO the jury Merton has already tes-
tified that the assets in question were
transferred to the Swiss comIany oral
lv before the United States entered
the World Court. but that no written
confirmation of the transfer was made
until more than two years later.
After the documents had been read.
Merton was recalled to the stand and
his cross-exam.nation resumed.
Juror Asks Question.
Howard l.. Tiger. juror No. 10,
asked Mr.. Rand: will you please
make II clear to me- by reading from
one of those papers you have already
read. Just when that American Metals
stock was actually transferred TO the
Societe Suisse
Col Rand's son, who rs assisting
in the trial, then reread a portion 4
an AFFIDAVIT by Leopold du Bois, pres