New Britain herald., 1928-10-15
ANDERSON DENIES
STOCK DEAL STORY
Cond,dick Tlumbul and Pal
: lotti on n. 4. |. Transaction

Hartford. Oct. 15.-Explanations
by Gov. John H. Trumbull and
Secretary of State Francis A. Pal
lott of their possession OF stock in
the National Associated Investors.
Inc. are contradicted by ]. Werner
Anderson. who sold them the stock.
The National Associated Investors.
Inc. was formed by Roger w. Wat
kins. who will appear in superior
court tomorrow to be senteced on z
conspiracy charge to defraud the
public and the state bank commits
sioner to which he has pleaded
guilty.
It was brought out recently that
Gov. Trumbull and Secretary Pal
lott each bought 100 shares of the
stock at SIS per share although the
market was far ahead of that figure.
They later seld 1t at a profit. Ander-
son. who was office manager for
Watkins. eUld them the stock. Gov.
Trumbull and Secretary Pallotti ex-
planned that he permitted them to
buy the stock at less than its market
value because he was indebted to
them as the result of previous
stock deal. This Anderson fatty
denies, saying that the Indebtedness
referred to had been cleased up.
Says lie Has Documentary Evidence
Anderson's statement follows:
Il am much surprised to read In
today's papers statements OF both
my friends, Governor Trumbull and
Secretary Pallotti. which tend to dis
credit my testimony under oath ut
the Watkins trial. Being over 81
years of age, and realizing the I'M
state that my testimony as given at
that trial stands exactly MS given.
while value very highly the
| friendship of these men, the truth
means more than that friendship. If
! it is to be a choice between the two.
and propose to produce document
airy evidence to support the correct
ness of the statements ] make below.
I'm the fall of 1891 / went to the
office of these men and made a
proposition to them to accept from
ME 10 shares of Winthrop Gregory
& Co, Inc. common stock in full
settlement of whatever obligations
then might have to them as result
OF having sold them stock in COM
pany some five years ago which was
not successful. They agreed to this
and the stock was duly delivered to
them. In short while they re-
ceived from the company each q
check in the amount Of $3.50 for the
10 shares of Winthrop Gregory stock
which stock they surrendered for the
$3.50. This completed the transac ton
of wiping out my obligations to
them in every respect, the original
debt to Governor Trumbull being
s125 and to Secretary Pallotti an
item of S125 and another of 5000
Stressed Value OF Their Names
"In the winter Of 1927 approach
ed them about the 100 shares OF
stock in the National Associated In
vestors. Inc, at the suggestion OF
Mr.. Watkins. and offered them each
100 shares of that stock at SIS a
share or a total cost to each Of them
of $1,000. The market at that time
was $25 to $26 share. At that
time l told them Of the value their
names would be to this company in
its development and sale of its stock
with which they could not but agree
Later they sold their stock in the
market and records are available in
New York to show that Kearns &
Williams, New York brokerage
firm, were paid 1850 for 100 shares
certificate number A 4S7 registered
in the name of John H. Trumbuli or
January 4, 1928, and the same brok-
erage firm received $3.50 for Zoe
shares certificate number A 564 reg
istered in the name Of Francis A
Pallotti on January 5, 1928.
while it is possible that Kearn'
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