Chicago Daily Tribune Newspaper, January 30, 1879, Page 9

. y THE CHICAGO "FRIBUNE: 'THUKLIAY, JANUARY 80, I678—TWIiSLVis PaBis, / Dlodgett's answer to the charge and specifiea- tions. Mr. George C. Camphell then read the answer of Judge, Blodzett to the charge presented, which was an followa: The answer of Henry W, Nlodgott fo the charze and rpecifications n the handa of mald Eab-Com- mitte nished by |§ to him Lhis 28th day of 1870 d tfenry W, Blodgett denfed that he, on- “JUDGE BLODGETT. [First Day’s Session of the Congressional Coms mittee. tered Into an Anlawin) rchemo to defenud the creslitars of the Cierman(a fnsnrance Company, or —ee any other bankrnot eatate, which was penel fore him in the Distriet Conre for the Norlhers Dixtrict of $llinals, aud he denfes that he catered any ordera secretly and corruptly fur the purpose of defrauding the creditors of the Uermania In- suranch Company, or any ollier hankrapt est ;‘llaht\’l“d againat him before this honorabie Come« o, And for anawer to the fiest specification he ad- mita that on and prior (o April 7, 1474, the Qer. niania Jasurance Company waa In bankruptcy, am that the cauas was pending beforo hiin asJudge of asid district, and that among the asscts of the Comonny 11 the hands of the Asstgnee were two noten of ono Anton ., lesing,—ona for 310,000 £nd the other for 85,000, —which were secured hy rhares of the stock o1 the [{linnls Staafs-Z¢itung Company of par value of $17,000; but he denlea that prior to the 7th day of April, 1874, or at any other time, he entered Into any arrangement to enable the'suid liening to procure esid notes and stock from sald Assiznee at a suin leas than they were worth, And fur answer to the second specificatlon he ad- mits that.on the Fih day of April, 1874, an order was entered in eaid bankruptey proccedines, cupy of wnich I8 bereto annexed, narked Exhibit A, and made o part of this answers and he denles tint he gavo any verbal dircciions to the Anafgnec to nolicit bids feom any particular persons and cor. porations whom he named to such Assignee, with the expectation and ellef on his pare that they wrould make 10 big for such noics and stuck: ani e denles that the bids of nany peravus within bis knowledue wete to be made soan Lo secaro the kale uf aaiil stock and notes, ot cithee of them, for the benetlt of sald Fesing, And far aumwer to the third epccification he ad- mita that on the 16th and 20th daga of April, 1874, two orders were entered In the safif bunKruptey matter of the sald Germanin Insiraice Company, Take Up the Charge in W Helntion to the Ger- manin Fire, And the Sale of Mr. Hesing’s " S.aats Zoitung " Stock to Henry (reenchaum, Judge Presents a Denial of Each of the Alle- gations. The qestimany of W. II. Bradley Re- garding Certain Orders in the Cnse, And Why They Appeared in a Cer- tain Place on the Min= Fopien of \vhicll, marked Exhibita 1 and Uy Ar ute-Book. Ticroro atiached o4 a part af s answers and he denles that sald urdera were made to carry out any et unlawful or fraudulent schume, or for the purnose of defrauding the creditara of satd estate ont of any s of muncy whateyer. And for answer to the fourth speciiication he do- nica that hie caused to be aupprewsed from the Tee- ords of said District Court, or from any publicity whatever, the onders entered In fand cause, or either of them. he rasno were entered in due courad uf Luslt bout any veroal or other airections of 1 spondent 10 concesi of sup- further nnswering the raid charge and specifications, says tnat hie had ne i formation whatever that the nof A Healng, or the stock Of the Sfaals- Zeilung Company rocur- ing them, were a part of the aracts of the Germa- nin Inanrance Company, nutll lie learned tho ranie from & atatement of the Avsignee, Willam Vocke, Enq.. who, within two or fliree days vrior (o the 7t day of April, 1874, made & verbal stutement 1o the rexpondent as District Judze, in the pre of the sfid A, C, lleainZ, who corroboral statenient of eald Asmymee, showing thy posse: of such notes nnd stoek, and representod thut the said Healug was nrolvent, and tae stock of uncertaln value, together with othier represuntations fouching the vatue of ruch notea and stock to the bankrupt vatato; and afier- wards, on the 7th day of April, 1874, the said As. slgned presented & written statement, containini substantislly tho same represcntations . wnde to this respondent verbally prior to toat ttuie, whicl was verifled by the oath of the said Assipnee, and filed on that day, n certified copy of whten, marked Tenibit. D, I nereto altacheds and at the #amo The Law Reporters Are Also Inter- yiewed upon the Same Sulijects Opintons 03 to the Valua of " Staats-Zei- tang" Btock in 1874 rpondent, TRELIMINARY, The Congresstonal Committee appointed to fovestizate foto the charges ugafost Judge Blod- geit commenced thelr tabora at the Palmer Jouse yesterday morning. Shortly after ¥ pelock preparations for busiaess bewan in the small dfnlvg-toom, Among the frst to put In an appearance was Judga Blodgett himself, who ame acewmnyranied by his counscl, the Hon. Ly- man Trumoull Zand Messrs, W. C. Goudy ana ‘(levrge C, Cawpbell, who occupled the scats to the left of the chairi the promoters of the clarges, Messrs. John 8. Cooper, J. J, Kalcker- | and Tienry L Sheldon, taking thelr iplices on the right. A large numnber of the " pembers of the local Bar wero present during the day,and great interest was manifested in the proceedings. Among the audlence were the Hon. Thomas Tloyne, the Itom. J. D. Uaton, the ton. H. G. Miller, aod Messrs, Evans, Adolph Moses, D. L. Hough, ©. {1, Horton, E. G. Mason, W. R. Paee, O, K. Hutchiuson, A, C, Hesng, 8. W, Packord, E. 8. Chesbrougli, A. C. Stury, John M. Wilson, ete., ete. The members of the Committee, the Hon, J. Proctor Knott, the Hon, D, B, Culberson, und the Hon, E. G. Laphaun, took their seats short- Jy after 10 o'clock, aud Immediately proceeded Ao bustuess. The Chairman, the Hon. J. Proctor Knott, time, 8 draft of an ordur was presented 10 the respondent, o certified copy of which ju_attuched hereto, marked Kxmbit A3 and apon the conalder. atiun of aatd petition the respondent maden minute ut the bottum of eafd deaft, **Knter, 1, W. B, which buid orcel wus filed_onthe kaima day, snd a minute of the entry of such oraer wus made in the Clerk's dnily minuie buok 1n due course of bunl. nuss an that day, and the order ax drafted nnd ap- proved by the respondent wan recorded at lurge in duu conrae Of buninesw, with other orders in tig record of #nid District Conrt, And this respondent furiber anys that on the 16th day of April, I574, the satd Wil ‘ucke, A anee as aforcsald, presented to the respondent, a8 DistrictJudee, a roport, a copy of which is hercto nttached, suarked Exhiolt E, which [s iade a part of thin answer, from which {t anpears that, [n pur- suance of the order entercd on the 7th llll{ of April, tho saia Arsiguce addrensed a letter on the 7eh day of Anrll, 1874, 10 & number uf bankers And capl- talisia fn tho City of Chicago concernlng the notes 5 d securnity held by him nguinst 4, C. foste, and stated thaty in ordor 10 fucilitate as much as | B ASERRN R S RANEEE e O o possible ‘the investigation with which the Come | and it turtheranpens from »ald roport \list answers to such letters wero receved from Lo Jf. Gage, bier First Natlonal Uank; George Se ehder, witlent Natlonal Bank of Iliot: I, K. Good- cll, President Fourth National Banks W. 3 Coot- vangh, Prestdent Unlun Mational Hank: Baird & Brudicy, loan sygencyt .Felsenibal & Kozminwkl, bunkera: A. Loch & Brother, real-estate and loan Jucod Retn, Wihliam 1L Biseon, J, N, i1, Menry Grecncbinm & Co,, bank- cre, and Kimon Fiomhelm, all “of which Jetiera are attactied tosatd yeport, and copies herg- of contatned In Exhibit £, from which it spneats tbat soveral of said bankers and capifatista de- chined 10 nake any bid becarso of the doubifu) value of auch paper and stock, whlle others ofered eume varytng from §i5,760 10 $5,0005 and this ro- spondent further statea thut wihen such report was prescnted to him on the 16th dav of Avril, 1874, afier duo consideration thereal, bo made n minuto on such repoet, ** Enter arder that notes and sucus elttes Lo mold’ for 5,000, unless objections aro Aled by Monday next. Il 'W. B.," nnd a wlnote \var anlercd upon the Cleek's daliy winuto-book 1 tho auviv effect on that duy, and & formal order wan ulwo entered at large on“the record-book In said District Court. And this reapondent further starcs that on the morulug of the 20tk day of Avril, 1871, applica- tion was made to bl by snid Avsignce to order the sulu 10 bo mado (o (fenry Urecnooatn at s bid of 83,000, and this respondent declined to act upon it A that time becauve e Wue not »atled that such order ought 1o be mode, aod postboned the same untll a later hour of tha damo whien, on n turther application of the sald Aslraco, uo vbjecs tions having been fnturposed, aud 1t appearing that $5,000 was {lio lu=zeat sum that cauld oo ob- tained for the notes and sfock, & draft of an onler having heen brescnted to biw by suld Avslgneo, ho directod 3t 1o be en'ered, accenting the bid wado by Heary Greencbaum, and orderfug the Assigneo to sell wnd transfer to the suid tireenebaum tao wald two notes of (he said Hewine und deliver to him the sald anares of tock ow cullatersl thereto upon the paynient by sald tireenebanm of thy sald sum of §5, 000 1n canly, 83 will mure fully appear by tne certillied capy of said ordur lierefo aitached, Exinbit C; und i mingte of xuch order wua cutored by the Cloric 10 Lits daity minnte-Look in duecourss of business, and sald dralt of tha ordor recnrded at of sald District Courtlu doe mittee wus charged, Wicy bad . ggreed upon the onders which wero published fn Tite TRiBUNE of gesterday, the submtance of which he again ro- peated. He also mated to Judge Blodeett and M counsel that it was the golnton of the Com- mittee that it would- tacilitate the examination i, upon thie fdvestiation of uny purticular charze, Judge Hlodyutt would introduee such witnesses louching thut charge as he migat deem necessary, so thatitha case could be clused up a8 they went along, If that should pot be deemed expedient by him, of course he might introduce wituesses after the wemorialists had concluded thelr entlro cases Col. Leake explained that hfs law partuer, Mr. Withtam Vock, who “had been subpanaed, was slek and confined to bed, but hoped to be able to appesr before tho Commmittes in two or three days. Mr. Lywan Trimbo)l seld: T bug leave to suzzest, on belinlf of Jgdge Blodgett, that we thivk it would fucilitad@® the iuvestigation to have all the charges nud spectfications presented at auee, If we take it up in detall, ona chargo uml specllieation At o Wine, thero 18 no telling when the end may come. Of course, not know- lug and not belng nporised what the charges may be, 1o preparation ean be made to meel Shew untll they are presented. If we have ull the cliarges unid svecitleatfons, nud know what they are, (¢ wiil cunblu Judge Blodgett to pre- £ent sch gnswer as ke may think proper to all of them, It secms to me th fatrest way to pre- sent them, oo that we muy.know fully what the chargres nse. 88ld it wasstho intention of the Vhe Chiairany Comniltter, as soon as they could get u copy mepand, to furnish Jidge” Blodgett at once With all the charees hunded fn, They tud 8Dy, le«lgd {for this day’s examfoution & chirge which' they aupposed, from 18 publiviey, the Judge would bo prepured” to mect with hls evidence 1his morn! "F' As soon as coples could be made wuc the additfonal chargs would be handed to bim. 1 was suggested that the tnemorialists nd this respondent says that this cone Ahould pead thair chargon nudspoctfications, und | e & (ol compieler Sn brue watettony the cuungel for Judgo Blodgett would read the aniwer, avers thit hinonly putpoxe in such transaction way to obtaln the largest umount waich cuuld be lusd for thy securiticn of wald baukrupt e, APPENDED TO THE ANSWEI were the soveral exhibits descrived in ft. The tirst wus the urder of the Court, dated Tues- day, April 7, 1874, dirceting the Asslence to the notes and indebtedness of A, C. Hesing, toethier with the stuck ot the Hiinots Stants-Zeituny Compony deposited (o accuve the same “ st private silo to th s denling {n such gecusities Ih the ety of Chicago, sl Lo sell the sume to the person muking the hizhest und biest bid therefor in casn, tirst repurting the amount of the sald bids to this Court,” anid not to deliver suld notes und collaterals until such sale should be coulinined by the Couri, Lxhibit B wos @ copv of an order dated Thursduy, April 10, 1864, s follows: * Upon pending ud (hiug the report of William Vocke, Asshuee, sell the notes and seeurlties held by him againsr A, C. Heslug at privale sale for thee wiitn of 85,0, uuiess objoctious wre flled by Munday morutng next.”? Exhilit C wus u copy of an order dated Mon- day, April 90, 1874, dirceting the Axslgnon to accept the bid’ made by Jieors Ureenchaum, and to sell und trauafer the two notes of Hening to Geeenchaum fur the siem of $5,000, Eanjbit D was the report of Mr. Vocke as znee, Lo the cffect that sincs the ofticlul an- nuunceraent of the devlslon of the Supreme Court of the United States concerning set-olls cladmed by the stockhiolders szuinst the buuk- runt, the Germania Iusurunce Company, lie had diligontly attempted tu collcet the autstanding judebtedness of thie bankrupt, aud that ull of the stockholders who Jolued in the upocal to | the Supreme Coust bud pald thefr debis witn the excentiun of A, U, Heslui, who svowed his inubility to pay, ‘Yhe Assigice held awalost Hesing two uotes, ove $10,000 und the other for 85,000, fur which be bed pledised 170 shinces of 1l stock of the Julinols Stauts-Ze.tuny TIF GERMANIA CITARGE. Mr. John 8. Caoper sald 1m charge which it ¥as broposed tiow to enterrupo® fuquiry con- wrulng was a8 followa: Cilsnur—Thal wuld Menry W. Dlodgett, bein :ffi" Dintrict Judge, euu'ryud into nluu unlawful fiamstadetraud tlio credliers of a Lunkeupt cu- i Ich twas then pendini befors himy i ead remtiet Courl; und, by means-of certuln urders wus nld(‘ aud corruptly ‘entereit by him asJuuge of o, b tho sald iintawrul schienio wau conaim- utied, auid nald eredi = That 6n una_prior to April ‘lfi.\‘l"g,ml"\::l:nl‘:.l:rn!n: t:“l!um mtpnnnun‘dfl ,'l..d ance Company, Was pending lu bankeupicy District Court bufurs wid Heary udgo thercol. That amuvugst Camupany in the hunds of tle bbbkr&luk‘{ Wwore two floles uf Anton n ysiicipal and Intereat Lo o sRuio were sccnred by 170 J ety of gaid ignee I : [ anotber corpurstivu, cajled l.'nl-mt Company, of the par nd which stock was tnen worts Taure thau vuntof_vaid uotes tur whicls it Ainledued as security. That prvr (o sald 7o of bl 87, eald fienty W, Blodgett lent hhaself L ald Judicial capacity 1o & disnonest aud cur- {opt scheie, tho object uud_purpase of whith wus by Uabic said lesing to burchasy veld nolvs sug uek from sald Aveignce for uimsulf at & suts miuch eo than (hioy wero worth, lcguuu.l dpscification ~That in furtherance of sald e o Soe wld [leury W. Hludgett, sa such bis- [ um“ un sald Tih of Apnil, entered un order ol bankiuptey cauwe that said Asagnce seil T uiates 34 slock at peivatu wale ufter Orat solicit- oty from thowe dealing wn such securitics, sud mu‘:jfir‘fl\ directions to safd Assiguce Lo salicit Mo las frum certain persuns snd corporations, o e named 1 such Awignes with the sxpec: 5 “n ud boltet on the par of nim, the aand dien- e Bloagely, tat cortaiu of wald persons and "ug:'“'vm Wwould wake no bid for suid notes und + becauno 1L was contrury to thelr course of (% Company, which was the ouly security the ioitas tu purchaxe or deal 1n uverdve pa d : payment of sufd clal beCatine Lo worm s “mlag crdve paper. aud | Assfgnes had for the payment of sul alin, with the value of | od th v »id atgck, and that ine bids of othere macit iy ap | Hhe Asslencs turther reparted that Heslug bl become greatly fuvolved by the bankruptey of the Garden City Manufacturiug & Bupply Cemypauy, for which he 1 becom Meanzed by uald Ueslug xato ba 8 fous suui than L‘:}. dbe Lidby & frieud of Healng snd for bis ) over Tuird apecification — liable u8 Indorscr for 200,000 Bid s e R T i partber, carrnant | 0® s Uemalutug - stock fu thi ik Judye. on the 10ih and 20ih daysof Apni, | Jilinois Staate-Zeituny Company was pledzed to tbe full value o secure this fudebleaness, and that bis other property was heavly mortgaged to secure money loaned for butldiog und for ihe sald tudebtedncss; that he bad made frequent demunds on Hesiog, but thut Heslng had not paid the sald 1wdebtedness; und that aleer dil- 1gent search the Asolunco was unuble to uscer- taln it lleslug hay other pruperty than the stk piedged to the Germavis [usurincs Con- vauy, out of which 8 judgment wnd sale under execution would reatizs anythiug for the beuetit of the creditors, Mo therefors asked the Court for directions as to what course to tuliv fu the 1uterest uf the creditors. Exhibit E was the report of the Assiguec to the effect that ho had clrculated letters sinong uumber of baukers sug capitalhts v Chleazo congerotni tho uotes wod securities beld by him acainst iesing, settivg out hls lotter lu full, und gIving the sbswers recelved by bini Mr, L. dJ. Gage declioed to mske 8 bld, @ the stock of **cloae corporatious ' wa# geucrslly found to o uusalutle vn the gpen waerket, Mr Georzs 1wo orders In vald buukrupicy matter, of which, mude on Thursday, Apil id, e waw directed to sell aod (ranafer sasd stock 1o ony Henry (iteensoauia for canaify Unless objections sbould bo wade Ly the {oniiliz Mouday wiormng, April 20, oy the 2uig T poBich orders, eniéred on wild April 20, Vingolo was confriued aud ordered o be cous ereited. wnd e creditors of suld eetate wors ooy defrauded out of about $15.000. geut Urih spec leatson—That smd Henry W, Blod- Foolicas »uct Dusinct Judge. Lo turther carty out tod Sunapiracy ) caused to ba suppressed from the rd ofsaid Court, and from auy puslivity what Riil] dhe said Lo orders of April 7 aud tack ag on¢ 43le and delivery of said_poles and on <o = AL bpepcousaianiated, ~15at 1310 way, unl T ) SUDGE BLODUEIT'S ANSWER CagrpTEwbull eald wat Mr. Goudv, Mr. Aupbell, Mr. Dexter, und bimaelt had beca Telalaed as counscl. Mr. Doxter was Dot pre €% Mr, Cawpbell would mow resd Ju A Filed April 16, 1874, at 3 Schnelder considered the niotea as having no sncuint market value, and, being unacquainted with tiie value of 1he collnterals, he declined to purchase them, Mr, R E, Goodell stal had all the paper of Mr. Hesing he a holding, snd declined to purchase at any price, He helleved 80 cents on Il\l‘ stotlar for the face of tlie notes waa the beat offer that could be gotten. M. Cootbaugh declined to make any offer, but was of opinion that if the notes conld bu s01d for %0 centa on the dollar tie sale would be a gond and fudicfons one.* Messra. Raird & Bradley dacllned to buy the notes of Mr. Hesing at any price. Mesara. Felsenthal & Kozminakl ntgn declined to make any offer, heing unahie to Inform themaclves of thie value of the stock of the Staats-Zeitung Company. Mz, Adoinh Loeb. #ald he would aot want to pay more than about 80,000 for the notes with the _security, but dil not wish to be understoud as_muking any oler. Mr. dacob Rehm offerced. 84,500, Mr. W, i, Sts- s0n offered $3,700, Mr. J, N, Wetberell’ offarcd 84,500, and Me. Henry Ureenchaum_ offered £5.000 for the wotes and collaterals, Mr Flor- shelm rald he was not In a condition to purchaso the paper. The report of the Assignee was indorsed, . m, Wilham (1, Bradley, Clerk”'; auml, also, Enter nrder thnt notes and securitics be rold for £5,000 uniess objections are tiled by Mooday morning. M. W. B. Rule made abeolute. 1L W, I, All thege extibitls_have at varlous times been publisted in fufl fo ToE TRIBUSE, WILLIAM Il. BRADLEY. Mr, Knott asked counsel for defense whether they desired any subpienas for witnesses, Judge Trumbull sald they did not at present. Cul. Cooper sald there were a number of wit- nessea whose nanies had been given to the Ser- geant-nt-Arms, but who had not yet been found, and he would Iike to have them brouglt fn as 8oon as possible, 80 a8 not tointerruot the order of his proof. If It were the pleasurc of the Committee, hic would now eall thefr naines, Mr. Knott ordered the Clerk to ree if the wit- nesscs were present, mud, on the roil belng called, Wushington Heslng, W, B. Sulllvay, IT, L. Tolman, and 1. R, Stevens ausiwered to thelr natnes, Mr. W. . Bradley, one of the wit- nesses, wasout for 8 few minutes, looking up a record, und the Committee walted until his re- turn, Col. Cooper having stated that he desired to call Mr. Bradiey fiest. On taking the witneas-chale, Mr. Bradley was swory by Mr, Knott, nud, {n respouse to Col. Cooper’s questlons, sald he was Clerk of the Uultea Stutes District Court for the Northern District of Illinots, residing in Chicagu, He had been such Clerk for something over twenty years, und Clerk of the United States Cireult Court for the same length of time, Col. Cooper nsked Mr. Bradley It he had brought, In obedience to a subpana, all the paners fn the matter of the Germania Insur- anve Company, bankrupt. Mr. Dradley sald ho hiad all that he could lay his iands un, and the papers Were turned over to Col. Coover, who rapllly looked over them. Havlug found the one which be was evidently ofter, hie sald he desired to Introduce a paper in the matter of the Germanin Jusuraucs Com- pany, which he procesded to read. It wasn roport of Willwas Yocke, Asslznee in the cuse of the Uermanfa, duted Aprl 4, 1874, tn whicn the Aselgnee represents that he had called 8 wmeeting of the creditors for the 22 of April for the purpose of declating a final dividend und distributing the assets, and thut there werg still some evidences ol indebtedness in favar of the bankrupt ju his hands, which evidences were efthier desperute or cotirely worthicss, mud which he, the Assignoe, desired to dispose of before sald meeting, ‘These items of indubied- ness wel Flrst, & judgiment, obtafued ut e March teei, 187, of the Court, against Lietch & Townsend, [ favor of the banfkrupt up note unsecared by colluternl for &1,000.11, ‘the Asslgnes furiher represented that he had made inquiries concernine the debturs’ luanelal stuud- ing, unch bad been resably fuloried 1t they naolvent; kevond, o fudgment azaint Heory for $1,80.12, obiatned at the Marely term, 1873, u, the Court, upon o naie secured by® Tiuck?’s Chicugo Browery Com- vany stock, whilch hnd gone out of oxisience o the'time of the its buildings, cte., were destroyed. wriea he cauld get for this slock waa 80 per cent, und be had ge- cordingly sold e Lwenty sharea to John A. Huck for $609, nud the fudgment debtor hind no wroperty to ecttle the balance, Thind, & judy- iment note wude by Edward Haussmana to the termanga, Dee, 11, 1807, for 8375, due threo .mouths atter date. The debtor having gone through bankruptey und been discharged, and ‘the Company havine salled to flle ity clalm ‘against Dt the Assignee regarded the note as uttetly worthless. ¥ Fourth, a judgment sgainst Jeilerson Farmer for §1,40467, recovered at the December term, 1872, upon 8 note secured by forty-five shures of the Counnerclal Insurance Company, Which was glso worthicss, while the debtor fml no other propertyj to satisly the Judgment. The Assignee therefuro asked that an order be Issued, anthorleiug him Lo sctl the atoresnid votes, collaterals, und judements, und dirceting the mooe In which they should bu sold. - In additlon to the above, the Asslenee repre- sented that he lield thres notes forgl00each und one for $30, made by Scherer & Horwltz to the Cermania, Oct, 3, 1871, George Montzel, un 1hat date, then u sollsitor of the Compuny, solit out his custom to Scherer & Horwkz, who muuo the notes in part payment of thy conslder- atton for the purchase. “The Company, unuble to determing whetbiee Mentzel was still llablo tu It for vremiuma collected, had the potes mude ayuble o 1 order, 80 as to have sope seeurity “froan him 1o cass 1t should sppear 1hat ho wus still fndebted to it, bout & weck after the potes were inade the flire broke out, and the Assfunco, on assuming charge of his office, found, on examining the buoks, thut neither of the partics was indebted to the bankrupt. The Istter, therefore, ac- cording to the report, had no clabm against Beherer & Horwitz upon the notes, nnd, having Lt s 1acts to the creditors’ mectlug In Deze! 1872, hie asked that he bo author- Ized to surrcnder the notes to the proper par- tics. “I'he back of the paper bore, in additlon to the usunt® nettery the followlng: “Filed Ao 7‘ 1574, at 4 pom. Walllam 11, Bradley, ” und, ut the hottom of the page: © Euter onder thut Assiguee sell within-namud clalns ut public auction,—uutice ten dl(l in Journal wnd “Inter- Ocewn 3 wnd thut he dedlver Scheror & Horwliz's notes to Mentzel, H. W, 8.9 “'he report was sworh Lo in the usual form by the Asslguee, the oath also oppeariug on the ack. uestiun by Cols Cooper—In whoss hand- writing I 1he wemorundum at the bottom of thutt A.—Judge Bludpett’s. Col, Couper then remd the {ndoreement as nhove given, und usked Mr, Bradley 10 produco the urder of the Court Wthiat was therein entered, Mr, Bradley brought in another bundlu of upers il books, which he turned over to Col, ‘vuper's [nspectlon, Oh, vow, Mr. iradiey, {f you will turn to the order thut was extended at larize vu the rocord booksa of the Court, you witl tnd an order en- tered at large I the Feeord books of the Court of whirh u mumoranilum order waa ude on thiv petition thut 1 huve just read,—the petition of April 7. Ar. Campbell—April 4, L Couper—It wus dled April 7. ‘Lhe wittess found the orderand read as ea- tered on thut petition: *Underdnte of April 7, I5T4, in 1he mutter of the Gerwanls fnsur- ance Company, bankrupt, Upon re and hliur the vo,ort of Willlain Vocke, Assignee, it wus ordered that the Assignee beund ks bereby authorized to sell the claiuis o auid report at bublic uuction alter ten aays’ notlee frat wiven of tiwe uud place by publication o e lider- Ozean und Jowrualy wnd further ordered that W Assignee doliver uotes of Scherer & Hor- WA}:Bt.u GeGrue Mentzel," IL was on page 167, vol, Col. Cooper next uffered Klvfl', o1 document, indarie tates Distrlet Court. Nortuern - D Hilinots, tu the watter of - termunl Cowpany, baukrupt. Report of Assignes tled April 7, 1876, ut 4 p. . Williwm £ Bradiey, Clerk.” Thut was, huscld; the document, of which w copy had been annczed to Judge Bluduett's suaswer in this mutter, which had Loeu read to e Commitiee; the docuent with reference to what should be doue with the Iesing nutcs wid stock, filed oo Lthe sams day a8 the other auplication which he had just read, }e then wiked Mr. Bradley whether, on the spplication of the Asslznve, nade April 7, 1674, there wus uny orcer eutered oa thut applleation with referencs to the sule of the Heaing notes wid stucks. My, Bradley read ss iollows, under dats of April 7, 1574, sawe record, page 8: **Iu the matter of the ieranls lustranve Cowpauy, baukruot, 1be Assigoce bavioy tois duy wade application for fuatructions as to the matter of the clalws of sald Cownpany against A, C llesing, aud whe Court, baviug fully cous sidered the same, does bereby order sud direct thwt the suid Assiguos do oiler the notes und In_evidence this d 1,008, United fudebtedness of “ethe heslng, 1o wit the _ stuck ot the Stass-Zoatung Company, deposited to sccurs the same, st .orivate saly Lo thuse dealing in such sceuritica la the City of Chicugo, sud 1o sell the sawe to person wakivg the bighest und beat vid therefor fn casti, first reporting the amoust'of such bids to this Court} sud he will not deliver such votes and cutlutzrals uutil such saly sball be contismed by this Court.” Tt of April, % Of bis own kuowledge he did not know wh the Court entered the order on the Tth of Aprll 10 acll there vlaims, amounting to somo 34,54, nt publle avetion, wnd to_tell the claims of Me. Hesing st private eale. Being shown n hook he stated it was the minute-hook und memorandaim- bouk Liept for the convenfenee of the clerke, by the bankrupter clerk, and was slwavs upon the table of the princlpal bunkeupt deputy. From that bouk and the dozket the reporters of the press and the managera of the dsily Low Budietin usually, he betieved, eot their informa- tlon as to what proccedings had taken place fn bankruptey of that date, or any glven date, ‘These orders wero almost fovariably catere:d on fhe docketns well a8 the mln‘lt-bouk at the time they were made, or at the Uate they were made. ‘That was the almost uniform custom or practice. That was entered under the date ENTERING AN ORDEIL Q.~That {4 to say, every day on onler was madoe in hankruptey It would be tronscribed upon the record of the Court?t A.—Thernisn Mitle distinction between the docket und the record. Every order niade tvas untered unl- form—that i3, If* §t was otherwise, It was the excention—an tte mloute-book und te dockes, niul transferred to the recard as raphlly as could be, §think there were orderaat different timen that were not actuaily transcribed on the record the very day they were tnade. I know that has been the case. Q.—Isn’t. {t customary in the Court tolelay the entiy of orders, un sccount ot there being 50 1nuch of thet kind of work Lo do at thuee, until aeversl days alter the orders were netushly made! In other words, are vour :lerks right up to the last da) busfoess? A.—Not always, i, »; Q.—Well, wimt is the peneral condition of their work withi referenee to transacting orders n bunkruptes? * A.~At tlat dute they were vretty prompily kept up, elr. 1don’t way thut every order was entered up 1he day kb was made upon the record, but generally the orders wern pretty well kept tg. Q.—~WIit sou tirn to your miunte-baok in whieh the bankruptey orders were first entered and see whether vouesn tiud the entry or the order on the application of the Assliznee,—on the first petition which I read: The sale of the &4,%0_ worth of claimsl A.—~Under aate of April 71 6ind on page 25 of the minute-hovk No. 4 an- order to seil within ten days Scherer & MHorwitz notes. In bankruptey record 8, page 183, 1 find in No. 1,050, in the” matter ot the German Iw Cumpany, rupt, 1o bankruptey, the following: reading sud filing the report ol W Voche, Assigoec of said b-nkm‘Pl. catate, 1t i ordered 1hat suld Assignee be und he s heteby authorized to sell ilw clalme 1 said report wwen- tioned ut public auction after ten da,s’ notice firat given of the thne and place of sald sale by publication in the Chicago Daily Inter-Ucean and the Chieago Jally Krening Journal, yud 1L Is further ordered that suid Assignee deliver notes Bebierer & Horwitz to Georee Mentzel.! . —Uo you tlud any memorandum cutered on the th ol April in the Hesing matter] A.—I o not see ft, [ have not examiued for it before, At Col. Cooper's request, Mr, Bradley bezan tooking for it, uid was usslsted fn his scarch by -Vudze‘iflod et himaclf, wise wallced acroes the floor to the Comimnittec's table for that purpose. He presently nuswerea that he did sce an order und a inlnute. Q.—In" whose handwriting s thut minute? A~That winute I8 in the handwriting of Her- bert Evans, Q.—Who kept the books at that timel A.— Mr. Kopp and Mr. Lvans. Thev were sitting close together. One entered in It quite as fre quiently as thie other, Q.—State the manner io which that appears u this hook. Is it not wut fo to fil out the blank puge,—~a pawe partlally left blank? A.—The proceedivgs of thut date on the minutes are on two pages. - [ should be inclined to think they commenced Ou Page 5. Q.—0n what page do you find the first entry? A—Page24, -~ ¢ - whnt April 7, continued.” Q.—You caunot state, of yourown knowle edire, whether thatwas entered there on that bouk on thut,day, the 7th of Auril, can you? A.—0b, uo, slr.; Frouldn't state vositively, Q.—~The m:vu?l er reportersand M the proprictor of the Law Bulictin, hu that book, hadn't they, at ull timest A.—The public had nceess ta e, Mr, Guudy sugeested thut the order sbout wmfh Inqulrics were bolng made hud not been read, S Col. Cooper naked the witness to read ft, and the witness- read} 1,186, Germunia Ineurance Company; flea Japort of Assignes und entered order wy prepared? (Sea fites,) Q.—1he ol-llcl“fl‘!(lcl is on page 251 A.—Bcemis to Q.—This Is the last order on page 241 A~ The last oue of four orders of that uate. Tu answer to s inquiry from Mr. Lapham the wituess explained thut the other threo orders referred to different cascs, Q. {By Col, Cavper)—Is {t not true that the memurandums I the minute-book were com- menced tor Apeil 7, on page 231 A.—I should fer no, for tuat day, + (J—And the last order entercd on page 25 Is what? A.~The lust minute of an order is the oue I sirat read tn Mhis Germania Insurance Com- pany, for the public sale. Q.—Whgre were ths ordera for the day cou- tinued to! A.—Contioued on opposite page or preceding page. (Q.—1tdesire to inwoduce thereport of William Voeke, Aesizuce, made to the Court on the 10tn day of April, 1673, with reference to bis doings under the order to sell the clafins ugainst tlesing—the notes und atovk at private sal |8 Lellove Wit was read belore, with tle letters from the various bankers. Now, Mr, DBradley, 1 deslie to ask you In whose handwriting ts the onder uu thet roport! A.—Judge Blodgett's, Col, Couper then proceeded to read an in- dorsement, Aprll 3, by Mr. Dradley, of the Nting of the Assleneo's repurt. Beluw it was the 1ollowing: ** Entered order that notes und and securlties be sold for $3,000 unless abjee- tious are dled by Mouday worniung, H, W, B, ‘The wituess waa then usked to find the urder of the Cours extended fu wccurdancy with this memorandum order, 11¢ aecordiugly read from pure 2 of the record under date ot Aprit 16, 1574, thut, nvon the reading und titing ‘of the Asslgnec's report, the Assiguce was authorlzed to scll the noted und securitica held by hiu auainst A. C. Huslng at private sale for 35,000 unless objections wero fled by the Monday morning 1ollowlog. Cul. Couper asked the Committee to unotice that the dato was Thursaay, April 16, and the next Monduy would be the 20th, He then asked Mr, Bradley o turn to his nlonute-book und ses whether “there was uny report of the fillueg ol this report by the Assiguee of April 16, and of the order of court Uiereon, Mr, Culberson asked the date aud page of thix entry, nnd 1he witness said It was Aprll 16, pugge i of the minute-book, h\ rexpouse to Col. Cooper's queatfons, Mr, Bradiey sald that the outrics of the 16th on the winute-book bewun ou page U7, The order in this case, however, wis oi Dage 86—that of the preceding dav, ‘Uhere were no other notes of st day,~—the 16th—entered on p;;io a. Inresponsc to & question frotn Mr. Culber- son. Witneas expluined that the puge whero the orders of the day commencod wasd tull, and this cutry was carrled to the blauk on the opposits entryt A.—* Tucsday, Sooper asked the witness if he found any other cnses whers thess memorandum orders were varrled trom one buge to the preceding blauk § and the reply of the witness was uticed tho suwe thing In some other acee, 1l thought tho ususl practice of kecplog the miunle baok was, whea tue orders eatered in sy one doy were more than suilicient for u puge, to'put thent on the next suceeediox page. It wih possiblo il the orders of A.mf’: und 18 werv miuuted shosequeat o thoss days and subsequent to the tine woen the succeeding pagy had been commenced with the next day's busioess, Jle bad no wesns of Judgtug, how- ever, 43 to that except by luokiog a8 e entries, "Iy were not wade by bim, He pointed out an Inatauce 10 the minute book under date of Feb, 2, 1875, where ono page was [ull, und an order nade the sume day had becu written on the preveding and ot Wwe succeeding page. It ‘was possible Wist thst order did not cowne Intu the clerk's hands untfl the day after the meins oraudups was tbkde by the Judge. He couly glve hls theory ubout ft. Mr. Knot sald fofercoces and opfafons were not wanted, Witueas continued: The minute of Aprit 16 was lu Copp's Lundwritiug, An order In the Germputa case was minuted Apnl %), on which day more orders wers wade than one page of e book would bold, It was put on the sub- sequeut page. THE FINAL O.Hl)ll- Witness read the mibute as follows; Geruania lusuranco Company. Filed report of Assiguce, aud eutered order as prepared. Bee Blea. Hoalso read the order as extended om tho docket 93 follows: In the watter of tha Germania Iusurance Com- pany, benkrupt, in bsnkraplcy. April 20, 1674, This duy canie the Assignee of the Garmsnla In- surance Company, and made & report that, in com- plisuce with the forncy order of this Court, he bad oftered fur sale the notes of A, C, Udslng, sccured by collateral ledge of 170shares of ilinols Staale- Zsitung Company, with the bide which ho had re- cotved for the ssme, aud the Court, Laving fully coustdercd tuo suwe, does dnd that the said As- wignec bas fo 81l LBingY Rcte the order of this Court, aud that lenry Greene- bauw nas bid $5,000 for the sald notes aud col- lateral securitics, aud that his bla is the best vid mado thercfor. It s Lherefors ordered sud deereed by tho Court that the Assigueo sccent the biu made by Heury dresucbavu. aud that he roll and transter to the mld lenry Greene. nanm eald two notes of the satd llemng, nad ce. Mver to him the rajd eharen of stack aa coilaternl thereto npon the payment by gald (ircenebaum of the rald £5,000 {n cash. In repiy to Mr. Lapham, witness fald he had no doubt that the Assigneo's report of the 16th, and Judge Blodgett's memorandum, filed that iay, were open to the pubife. e hat never heard that questioned until Tuesday evening, But he had no nersonal knowiedze about Fsans aud Copp had the principal charge of bankruptey matters. The orders aimost always in baukruptey for the last five or s years had haen made fn (Chambers by the Judge, the attorneys and Assignecs having free avcess to bl “from 9 to 10 in the morniog, aid, in the absence of the clerk, the Assfgnee or the attorney would take the orders to the bankruptey clerk. ‘The Judge rometimes entered orders late fn the dry, and rometines hunded an order or memorandum to the clerk, It was not the uniform wvractice for the clerk to @0 to the Judee in Chamoers, In the evening, wil get the orders that had been made durinz theday. e was not aware of such a habit or custom, [t had heen done sometimes. He wever feft his olifee untit after fi o'clock. The clerks suspended thelr labars at that hour, Q.—I want to ask you, from what you know of the whole matter, the appearance of the books, the fact that o notice was taken of the mutter by the Law Bu'letin ur sy of the papers of Aprfl” 6, whether it §s not vour judmnent— 13 1t nut your belief from all the circumstances tliat no fvinute of the Hesing transaction was made in the clerl’s docket and the minute-book until after April 71 Tlils was ruicd vut as imbroper, Un cross-exaunination, witness statea that the bankruntey fles were kept In the most accestl- hie room of those ho ocetpled. The papers were In pigron-holes agatnst the wall, and in tempo- rary meeon-holes on the table, The filea in the tiermuala case were kept fu a little box on the table. Copp ieft the oflice in 1576, and Fvans i 1874, He dia uot know where they were ex- uctly, but could get thelr address.” Ho saw nothing on 1he facs of the minute-book which Jed Iim Lo suspeet any frreguiarity, e should #ay there was none, “‘The uslng of a mioute- book Lad grown out of the accumulation of Lusiness; there would be 80 many minutes upon the docket on a particular day that they conld Dot be entered without remsintug nt the ofllee In the evening, When a minute could not be entered the duy It wns made, the practice was to put it fa a plecon-hole, and enter it the next mornlng, umler the proper date. The wintites were not alwaya entered the day they were mude, but 1he practice of the officé was to do (hat KO fur 88 ft conld be done, Sometimes It washupossible to get turough with ail the eo- tries of orders, as 1he clerns qult 23 soon os the clock struck 5, without waltlng a moment. I answer to Mr, Cushorson, witness sald thirteen orders (o bankruntes were made Aprif 7, It would toke a clerk halt sn hour to onter that number, To Mr, GGoudy, be answered that the mluutes alnee 1874 had Deen mude up generalls from the brought” Int the oflive by ced. ‘The morbing hour in xpedited business, Much time used o alich Up ) court with thess matters, Fhee clerks, Copp and Evans, partionlarly the lutter, were frequently called on to perform oth duties than those pertainfng to bank- ruptey matters,—issulng processes, fillng va. pers, ote. Witness then produced the docket st Mr, Cooper's request, and read the followinzorders it thie Germanta case, entered on the duys men- Flled report of Assignee and entered Aprht 7. Hiled remrrzx'n\l Aeelinert and entered order aaprepared. Aprll 10, Filed report of Assignec and enteredorder April 20, Eutered wrder ne prepured. Apel 11, Flled report and order approving, + The orders of the 1th and 20th seemed to be contafued in the gencral record dovket, in which were recorded the orders ot length, tike urders in oiher cases, “The writlng fn the docket was partly Kopp's und purtly Evans’. Thle book was oA accessible as the mlunte-book,~was kept fn the room which the public entered from the hali, ‘Ihe eotries were firet made in the minute buwk, Those In the docket were made the sume duy. The two were supposed to be mude to- gether, The order was on the minate-book 4 momeut or 8o before belng put on the docket. For several years, under the practice of the Bankrupt liw, no witnute-hook was kept. Evervthing was put on the docket the moment it was done. He could not tell whether uuy other orders had been en- tered [n the Germania case except those read, without exatining further, flo eaw 1o others, Mr. Cooper usked blm to hunt for wore dur- Ing the recess. C. A. SNOWDEN, Clinton A. Spowden was 1he next witness, tle was o juurnall ud now ity elitor of the “mes. In April, 1874, he was law reporter for that. paper. fiis duty was to get alt the legal news in the locul courts, including orders o Lunkruptey, . As he remembered, there was o emall *-buuk In the Clerk’a oflice fn which minutes were entered of all orders maode {n bankruptey matters, and also of all new cases, Copy had charce of the room, If there was a minute of a new case he would goto the plreon-hole and get the papers. It thers was une of an arder that shiowed what the order wus, he wouldl take it from the minuto; but if uf un order such as “citered order as pre- paced,” hu would ask Copp und take his wurd, 1 the matter wus of mare than usual Iwpor- tadee be woutd goto the files. Coppalways cuve them to the reporter, The original source of infurmation was the wemoranda in the miouge- pook, lle never exawlned the docket, or the reeord where the orders were entered npcth, A8 witness Aldn't hinve 6 opy of the Tones of April 8, 1874, but had seut Tor one, he was dropped unul the paper arrived, and then the examination was resitmed, Q.—~1 wish you would turn to the Times law repurt of April 8, covering the Court proveed- fng of April 7, und nacertaln whether there fs auy repurt made there of an application of the Asslgues of the Germanla Tusuranee Colnpany to sell certalo gesperate clalme, und the order of Court therean to sell thiew st public salg! A— Yea, uir, there 18 o minute of that kind Rere, he witnoss, huvlug read the paragraph re- ferred to from the ble of the paper, was then asked If his attentlon Lud been cubied to anvther application made by the Asslzuee of the Ger- mania losumnce Company with retcrence ty .certatn notes of A, C, deslog which he held, secured by stock of the Ziinoia Staats-Zetung Caompany, Husald It wag, at some subsequent tine, but not at thut Lthine, Q.~Did you knew oo the 7th of April about this appdication of Mr. Vacke with reference tu the Hesing watter, or the order of the Court thereont A.=l do not thiuk [ did, unless (s is in some other part of the paper, Qu—If that had eumie ta your attention on the Tth of April thut stich au upplication was made, sad such an order e, on the applieation with reference to the Hesing nows und stock, would vou have reported ftf A.—Yes, sir, Q—Will_you please turn to your law report for April 17, coverlnie Apnil 1607 bs there any [u- formutdon given b that report of uny order that was entered fu the matter of the Germania fin- sttrunice Cumpiny on that dav, upon the report ol the Assigitee, which L desire to call your ut- tentlon to 84 Leiug the document now shown yotl, containsg Ha: reports of nds und also the coples of bids from various bankers and hrokers i the city tur the notes and stocki Av—I[ da not se¢ anythiog about It by the law report of that «la{. Q—Why waanot that reported that dayl A.—{ du not know of uby reason except that § id not tind thenl with theese bagers. Bamebody called my attentlon to theso papers, n% 1 reniom- berlt, aml Lremembnr having them quietly ihong of the funer rooms of toe Cierk’s oilics one day aml o through thew, | do oL remeinbee now who catled my attention to it. 1 remewber w1 being very ogreful uboat Keepiug out ol the way white 1 hadihem, becausse | thought nobudy clxu had them, ‘Vlie witnoss went on to state, In answer to Mr. Cooper, thut ho pabiisbed bis revort the day atter he ot bis nfosmation, 1t was publlshed on Aprll 33, uuder Vv headine o Indignuny Creditors—Otherwise Poliey-1iolders of the De- funct Germaulu fusurancs Company—Iroteat Agalust the Actfon of the Cours Disposing of Asscts—They Want to Kuow Why ‘Licy Should Bufler What Heslug Moy Bu Baved.” “The est tuie bie knew of Uie miatter wus wa . the x4 ol April. It wus some trieud of bis tuat called bis attentlon to it 5 Lieid not remember who, He usually t:uv. Lls infurtation from the tiaute- book, ° 1t this order ol April 10, contalned on page 96 of the minute-book, bad been thers on thut dute, he thought he stould have been sury tosee {8, I the order of April 7, on puge 2§, hud been there on that day, he would have sakod Mr. Copp about it. e certsluly should bave sean ft. e could put say posttively whether it wus there OF ol 8t that tuue. Jlé vould ot suy whether these entries sppeared to have becu DUt thers by themselves asa lot of cuses that hud not been eutercd up fo the rogulur order, “Ficre was otie order at jeast—s rule €U show cause—tbat b sbould have wade & mewo- randuin ol be did nut see it, snd wude uo memorandum of 1t at all Ou crose-cxunination tr. Goudy, the wit- nesssald bo fuuud twa orders on page 23 of the witnute-book thut bs Dad vinitted from bis re- port. ‘Fhers were thrve of them scratebed oul. He did*mot kuow why all the rest, with the cx- ception of ooy, were omlited. Oue of those scratehicd out wus put fute his ncwspaber re- port; it bad been erased sluce. Iu the law re- port of the 21yt of Apnl be fvutd ao order ap- proviug the Asslguee’s teport fn Wie watter of the Germanta [usutuuce Company, sud suthor- wiug e sals of A C Heatug's “two Lotes fur $15.000, recured by 170 ahares of stock In the | Saata-Zeitung th‘v!ny to Henry (ireencbaum for £5,000. He collected that fnforination on the 2Ath, Mr. Goudy anked the witness whether his for- mer answer, thnt ke firat got bis information to prepara the artlele ablished on April 23, was not o mistake, and whethier he did not s=tually know af the matter theee daya before. 1ie satd his sttention was called to the matter on the dav previous to the publication, whichever it wag,—whether the 22 or 221 e did oot remeinber. He could mnnt remember whether lie attended the creditors’ mieet- Ing or not. lle used to attend creditors’ meetings In important cases. He suppuscd that he happened into My, Hibbard’s ofitce, wind found the meeting going on_ there; but he did not remember, It was his business to tako ail new tases, and all Important matters. He did Bot make nn nbmluktf full repurt, ‘fhiere were many cages that hie paid very little attention to. It had not been the custom of the Times to pub- lisih complete reports of the legal proceedings since he had been connected with that paper. In unswer to Mr, lehlm' witness sald the pancer went to press about § o'clock. Mo bezan it 1ahors about 10 o'cluck In_the mornlag, and contimted until the clerka’ offices were clognd, and sametimes [ater. [ic had all his copy in by o'dock. Col. Coaper. in re-examination, asked whether, fromn the character of this provecding with raf- ereniee to (he raic of the stock und notés of Mr. Hestng, 1he witness would buve rey had come to hils nttention, ‘Ihe witress sald he supposed kn, * He never saw thic e8Pt Auced untll the day precediog the stulication of the article, on the 2 of April. He conaldereid them [injortant as 8 inatterof news. Someone called his attentfon to the fact that some curi- oun letters lad been filed it this case, und he looked e matter up, 1lis article purported to Eive the letters in full. W. B, SULLIVAN, Williain B. Sullivan, law-reporter of the Iafer- Ocean, was then sworn, 1 report, he rald, wes supposed to contuin every mlnute, overs order, und every new casi. Onders §n baokripiey wers gotten from a minute-book In the Clerk’s room, Ie read from bis report published Aoptit %, 1574,—what wan done April 7,—an tem about the Germanla case, in which mention was made of the tiling of the Assizuce’s report, and of an order for the Assignes to sell certain desperate clabns at public auction, nud ro ddeliver the Sherer & ITorwitz notea to Menzel, as never be- longing to the Company. Witness thought this haed” been taken from the minute-book, but bad wo recollectlon sbout it. There was _nothing In tie Juter-Ocean of April K, 1874, ntout the application of Yocke to sefl the flesiog notes sceured by ala-Zeiluny stock, or of the order with refercace tiwretu, He did not mention that, because he \d not know woything about jt. " He presuined thut was the case. If lie had known of fs he certain- 1y would bave publtahed R Hedld not remern- lier eceing the order {n the winute-book Avril 7o und could not say whether It was there or not. There wus nothing fu the Iuter-Ocean of Aprif 17 sbout what occurred fn the Hesing matter on the 10th, He doubted Uf the order of sale came to his notice, It was oue of those thinga thit would have been poneinto und writ- ten up at more or less length, If he had known of the vrder he would bave put it Into his repart. Hle ald not eec the order In the minute-book. Ile was very curefu! in luoking up orders, ete, I bankruptey, keeping the run of the cases trom the cu menceiient. He slways luoked at the mivute- buuk, and gave an abstract of all the orders he foutud there, I the order of sale was on that bouk Al\rll 7, b couldn't see how he cou'd have missed it. Inthe Inter-Oceaun of Avnil 21, 1874, he published the order of sale. ‘The first be knew of it, he thought, was A’ N AMr. Goudy stuted 1hat he would be able to show that st acreditors® meetingoccurrinie *in- mediately afterwards’ the motion was made by one of the creditors 10 have 1he safe set seide, but this was braten, all the credliors except Lo belng fu tavor of Jetting the sale stand, On’ eross-cxanination by Mr. Goudy, witness stated thut hcse thlngs Lappened a lone time ago, and, from what he heard outside “uml whiat bie heard there,” he was o mixed up in s mind thut be was unable to disuogeulsh fact from tiction, or to telt his svtirces ot {nforma- tion, Heremembered hearinkz some public dis- cuasion ubout the sale of (he notes. —An [ater- view between a reporter und Mr, Hesing wos pablished in ‘Tue Trisuxe, in which the whoie watter was discussed. That was after the sale find been mudle. Tois discussion caused au fm- preasfon o bLls mind as to what he did remember. He wes o the habit of gunte to the United States Courts fn e mornfne, ot noom, and in the alternoan, ulways leaving thers at 5 o'clock or after, IFan eniry wete made after 5 o'clock he resumed e wou'd not et i, He was fu the Rnbuor Tnoking buck the next day to the pro- veediugs of the duy before tosee whether he hud omitted unything, ‘That was a regnlar proes tice. Noone ever solfcited hiw to suppress the wrders In guestion. e knew nothune abour them autil the 0th of Aprll. When e beard Ue talk about thie wraer of sale he went to thy minute-bouk and exusmined it. The Zimes b publisued the petition of the Assiznee and the tettera 1 full,~—* maile o coread,”"—and ho was “paturally enouzh ™ unvoyed® at not having heard anything about the matter, und he piched into the elerks, Witness nas about (o stute what the clerks faid, but Mr, Knott stupped ., Continufng, witness safd the petition und fet- ters wero theve all the thoe “somewhere,” but he yuestivoed whether he luoked for theim, be- catise he knew they were there, Witness became very much confused, und could uot apparently understaul a question put to lifm by Mr. Knott as to whetlier the entries of April 7 und 16 were on the winute-book when he went to look up the matter when he beand of it fur the first thme, 1lis wind, hie said, was ‘*equally alvided” as 1o whether they were or not. s recollection wag thut they were not there *at the minedtaty time," and that led to his not telug fnformed sbout them. - 'The publication fu the T0mes wus the duy after the consmnmation of the sale. “The Commitiee, at 1+80 o'cfock, touk a recess for half an nour. Mr. Sullivan was subsequently recalleg aml his attentiou direeted by Col. Cooper Lo page 2 of the minute-book, wnd to 1he four enirics made thereon. After having rewd these to the witness, Col, Cooper nasked him to turn to the Inter-Ocsan of Aprit 9 to scee i ho had the items which appeared to be entered oo the minute- beook on April 7. ‘Ilie wituess went at his fllo again and sald ho found fn the law report of Apeil U the order numbered 24%), relating ta the Rock - Island & Moline Maunfacturing Compuny; the order 4473, reluttug to Jumes 1. Siith ez al, Col. Cooper askd him if he did not some- times Hud that e had omitted in the prog ugs of ‘ertein duy certuln orders or nthe Court properly belonging (o that day, uml {f, on _diseoverinie the vinfsston, ke did not puc thent In oo a snbse: Mr. Sullivay cus- tomary on his to look back and seq if all thy orders of the day befole, ub entered up,were publisiicd, utsd, Tt case they weee not, to put them o with the proceedings of e next day. My, Luphute asked Mo Sullivan a1 ho 11111 afterwards published these particular urders as orders made ou the Tt The witoess pephied thut fie had pot, but bd published thew s onders ade ou the 8th, e cxptained that he Wain't 80 very barticular about the day as be way about 1he fact that the onder had mgtualy Dres wide, *When you turned back vn the 8th," asked Col. Looper, **und got 1he repert fur the Bth, und ot the anlers i the first two causes, why dldu' 30u alvo gt the last twal” *Idou't know but vue way of answerlvg thiat," suld the uewspaper-man, 41 guesy ey weren't there!? MR. BRADLEY RECALLED, At the afternven sessl the uttendunce of lawyers nud others Witerested In the fnquiry was lareely Increased, und fu addition to those men- tioned as present durlng the morntug were the Hon. 0. W, King, W, M. Buraum, H. N, fHib- bard, Gieorge W, Stanford, J, [f. Thompson, Kirk Hawes, tiiran Barber, C. 11, Lawreocy, D, L, dhorey, und others, Judge Dummond was ulso preseut durlug the latter pars of the after- ook Mr. W. Il Hradley, Clesk of the Uuited Htates Court, was recalled by Col. Coojper, and testiticd that the record-buok of bankruptey procecdings purported to contain all the mate- rial orders entered fn the Ditrice Court In bankruptey. ‘The case numbered 2,639, which was entered on page 24 of the minute-buok, did not appear among the orders entered on the Tth ot April, 1874, but he Lad no doubt thut the rute waa made, and that the tiles would show it but ho did not o it entered, 'The cuscs entered on page 24 wers Nos. 2,430, 3,273, 2,639, und 1,080, — the last nuwed belug the Germanls fusurauco Company casu, fu which the Assiguec Gled his veport, and an onler was eoterel a8 orepared. ‘Tho HBret twoof these orders iu the mivute- bouk sppeared entered st lurge oo the record. The Chafriman—The third ong does not sp- pear to be entered on the record-book ! Witueas—1 douot seu it. slr. Insome of the Qistricts thesw orders are ot entered of record at all, as a watter of pracilee, Qu cxusa-exaumation by Mr. Goudy, thu wit- e o it e S ness said the minute-hook was not r:q\liu? ‘ty " be kept by statute; there was no rnle of ré- aufrement making it neceesary, It was merely for the conventetico ol the Clerk. Judee Blod- Rett had no control of the minute-book {n auy way whatever; he did not know that Judgo Blodeett ever saw ft. 1c was never, to wite neas’ knowledee, (n the nabit of fnspecting it or lookinz at it, The docket was required to bo kept by law, That was the oply oue thal was required, so far as he underatood the practice and the law. 2 Mr. Bradley further stated that he was now prepared to answer & question asked by the Committee In the morning which b was thea unable ta answer. He found eleven instances in which the dag’s pr. along to blankdon _the oppositc page. ‘Thosn wereon Aptil 7rod 10 and Aug. 8, on page 15 on Aug. 11 there wers four cases carricd back, in which the entries wete made on tha opposite paze in the same wer precisely, on . page 14 of the minute-book; aiid also on” pazt 170 1t was carried back from the pave on whicls the eutrice commeuced ta the upposiis blaok page, uuder dute of Sept, I On pore” 953 the proceedings of Dee. 10 were carried to the Ulank on” the previons page. It was possible thut cnfries were made fn the minute-book In caxes whera the ordees came to the Cierk at a date xubscquent to the day on which the onlers were made, so that whena page had been filled up-and the next page commenced. the clerks would rransfer them to the blank page preceding. Attorneys had somtimes ket orders for a day or tivo bid- fore they would bring thewmn fn, after metting thee feom the Court, He had known them to take orders with the {ndosscaients of the Judits upom them, nid not return them 1o hisofllee* for aday or two. Ii wasquite possthie that when that was dane, uud the orders did nut come to the elerk 111 the day on which the or- dors swere made was past, awd the puge wos fiiled up, the orders woult be nput oo the cres vioua nuge, where a margin had begn left for it. Ie coutd not speak ot thet irom persondl Kamsyledae, fo woswer to Mr Goudy, the witness said that when papers were brought to his oflice by fltorneys fn the manner he lisg siated, they were murked tiled ' the moment the clerkis Rot then, ‘The practice was to Oie them wien they were dellvered, On turther examination by Mr. Cooper, the wituess suld that i an order came i from Jnlgs Bladgett 1hat was made on the Tth of April, und was recelved on the 2052 by the Clerk, be koew ol uo practice except to file the paper when it was recelved. [t was a conclusion that ho was hardly prepared to subscrie to, that an vrder was considered as of the date when the Judzo pussed Cnless thero was sume speclal direc- tun toflle it ns of thut daw, they would Hie it when they recelved ity 11 the record was open, it would be entered {n the arder in'whi made, 3f It wos _perfeetly clear, disth deflnite. If the Judgre tixed the date upon wh he made the order, {t would bo entered that date. If the 1econl was not open, might ask fustruetions of the Court, of 1t o very material order,_ By the record belng open he micant whers these” orders were spresd i extenso upon the record in distinetion from the docket and the minute-bouk, Somctimes blanks were Jeft 0 the record-hook te enter vre ders, when the Clerk vould not write up the ree- ond; but It was dope very seldon in bank- ruptey. It had sometimes Leen done distributions fn admiralty, where it was ym- possible to gat a lome urder of distribution per- Jeet or com, e, and a hlank page was leit on that distribution, Where orders W could not be eutered up ut [ ru left fur the eatry ol place on ine record, but ie; It sometimes was douo vurd. Cnalrmun, Mr. Bradley sald ) Bad coma by wh e time, o blan nler 1 fs it wus the practice in lus offles to notea ual::cr (a tiled on the duy on which it wus delivered, resurt of an Assignes fn buukruptey was on a wiven doy, and banded 1o e Judue, e Judize maile a memorsudum on that revort, * Enter order,” and su forth, sl i was not hawmled to the Clerk or a day ur Ltwo afterwards, tiw note would be made of i€ until they ot the order from the Court, When the order was ex- tended upon the jouraal, {t would be put under e data on which the Court wade the order, 1f there was uuything to determmo the date, 12 there was nothing st all o determine i, exeeps Asimole memoradam, they would put icva. recurd wirey the order wus brouzht o, Both Jurdze Deammond wid Judee Blodgett Irequeaddy refused to ook at u paper, or openit, e it had ben tited wiets the” Cleris, mid they had tre- quentiy remtted pacties to the Clerg's otlice to fite a paver before they would ook ot it. Wiacte u petition or upplication was filed by an Ass aheneg i of g eertain date, wud the Judge ud thy Gt Lot petition made un Indorsemient, Y Eoter onder,"" ete, when that order came to b entered on ihe recard-hook, unless there was u duy desiguated b the order 8 would be cn- tered on tue day it was reecived. That would not he on absolute and mperative role. Soine wrders required to be entered of record that re- ferred 10 u dayy o rule to shiow cause, or i ors der of thut claracter, must’ be enteved o certaln unmber of days betors the expiration of the rule; but usually, where there was nothing spe- clul to destguate it onders would be entered whe aay they were handed n. e record-jourpal in ilw hundwriting of Mr. Coppi the docket wus partly i the nandwriting of Mr. Copp sud partly thus of Mr. s, iy unswer to Mr, Lapham, the witness stated r. Lvaus were ctiployed by hy tne Juadge, e Jus trusted themn to nmke enteles fn e minute book without directions from him. Coustrust- fvely they would be ander the direstlon of tha Jud £ the Judge had any directlons to w [ was I bankruptey, be” would sead 18 to the deputy i charge oi the bankruptey mate tors, more frequently, probably, than e would to the witnexs himsélt personlly, I L. TOLMAN HNenry L. Tolmay, lawsreporter for Tua Cicano Tuisuse, wus the vext witness ex- anuned. [lo sl , 0 reply to Col. Couper, thut be bad been enguged as u law-reporter siuea Beptember, 15T His duty was totake s synop- shi ol all thut oceurred o the courts; not i voms plete record, bug everythiog of genersl mpors taoee, In April, 1574, he got the orders mada tn baukruptey cas from the minute book. 1T the entries did not whow what the chwacter of the onder was, he would also make quiries of the clerks, ur go to the papers. Tk TisuNg of April, 1874, coutained’an item about the sale of some disperats ucconuts umd Judgiments by William Vocke, s Adalzoce of the tiecmanks lusuraucs Company, Witness did not sepore tie appilestion made oo the Sth ot April 1o the Disiriet Judue reiative to the di- position made by the Anshirnes of bwva shares of . U Heslug, sccurad by 170 poics o) thy Staats-Zeduny Conpuuy 3 he did not Ruow why, but presunmed becsuse he did vot know of 1t 1t wus u watter which be would have Judged of, nufllclent gmportunce to pudllsh, ~ e was fumitiar with the order-book whivh was kept. 1 he s secn 1he memonndum on p the misute-book With reterence to the Insursuee Cumpany, it would bave b fugquiry, He Lad nut the sllgntest rec waether it was Were at the ume be purt, but be would have un e watter up it Lo bad on the Look ot the §thof Apnl by woald bave secuft, Modid not find In Tis, Twiaeng of Apell 13, 1574 any meaton of u report made by Willimm Yoke, Asdlgues of the Germants Jusurance Compuny, weeompaued with bids fur the Jlcain sotes bud stock from vurtous bunkers wmd brokess. 18 by had soen, that report on the 1ath of April e would ave reporied ft, but be did sot recollect ever deeluy it Ou tiie 2lst e ed un ftem fu relation tu the watwes uf wunta Invurancs Com- puny, Lo the etle t e Asslzuce dled o re- port statinz that Le bad odered Yor salo twa nutes of A, L. es Iu supposed the 20 of Aprid was the tirst thug ho uver saw Lt re- port; hils judgmeut was Uit tlist was the tirgy t. . Cooper's request, the witness looked patientdy, bt 1y valn, 1or 1w seport of the As- m:ulcu 'm regard 10 Uhe sale 08 those potes of Healug's, On thie cross-exawination by Mr, Goudy, wit- ness sand there wus i publicatiou in Tus Trw- uNes Aprll 24 1o relation to the proveediugs o thy crediors’ meeting Apnl 22, —3 pablication which contaiued jnutters Fegard ™y the sale uf Heslug's wotes apd the stovi oF the Slealss Zeitung Compuuy, A i STEVENS, Alr. A. R. Bieveus, at prosent & Deputy Clerk o the Circult Court, wid former publisuer the Duaily Law Hulletin, was the pext witooia His paper coutaluch fu brief the records of the cuurts sud e travsactious of thy Hecorded's ollice, und e fnteuded to give all the court pro< ceediogs, Ho obtaimed aceess Lo the papers Gled fu new sults, and got the Judguments frow thy clerke! wluute-books, altbuugh, wheu he wauted he naaes WOrs owbiete, ba would reler tg thy docket, He got the onders fu baukruptey whivt were entered auy given aay frop a misuic-bogls keptfor that purposs by thie clerk, Asa rule,by stteuded persobally to the eutrics on this buak, Rt cunug tu publial the records we fully s tue daily papers. He exuaiucd this book curctully, waklug a check-nark whery be lelt oif ut dit- fereut burts of Whe day, sud takiog the Teet, wow ek polly B MG N Mwe e A ’