The San Francisco Call. Newspaper, April 19, 1904, Page 16

HYDE-DIMOND LETTERS IN LAND FRAUDS CASE ARE PUT IN EVIDENC ansel, in reverse h the intro- duction of the rrespondence that passed betwe and his co defendant & client, Fred A Hyde Lett er was put in evidence ne ow that when Dimond bec Hyde's attorney he had no knowle Hyde's me s in acquiring the California and Oregon school lands afterward transferred to the Government: that when he found the In Department investigating these methods he sed his cl take the only possible means lishing th legality, and that when this advice was rejected he withdrew from connection with land specu- lator. . This may or may not clear Dimond ADVERTISEMENTS. GUTICURA SOAP The World's Greatest Skin Soap. The WOrid's_ Sweetest Toilet Soap. . Sale Greater than the Worid's Prodact of Other Skin Seaps. Sold Wherever Civilization Has Penetrated. Millions of the world's best people ase Cuticura Soap, assisted by Cuticara Ointment, the great skin cure, for pre- serving, purifying and besutifying the ekin, for cleansing the scalp of crusts, scales and dandruff, and the stopping of falling hair, for softening, whiten- ing and soothing red, rough and sore hands, for baby rashes, itchings sad chafings, for asnoying tirritations, or too free or offensive perspiration, for ulcerstive weaknesses, and many sana- tive, antiseptic purposes which readily suggest themselves to women, espe- clally mothers, as well as for all the purposes of the toilet, bath and pursery. Cuticars Soap combines delicste emollient properties derived from Cati- cura, the great skin cure, with the purest of cleansing ingredients and the most refreshiog of flower odours. No other medicsted soap ever compounded 15 to be compared with it for preserv- ing, purifying snd besutifying the skin, scalp, bair and hands. Noother forelign tollet soap, however M ERDAY E AT HEARING i - - - = ' Commissioner Reverses Himself and Admits Missives Sent to and by Accused Agent. “We object,” McEnerney said, and then Heney continued: The leading Regina vs, O ase is the English decision in in which it is clearly laid down that where a criminal consults his at- torney before the commission of his crime the latter is not bound by the rule of priv- ilege. Otherwise no attorney would be safe in listening to a_client unless he Knew his whole history. The rule, the court holds, is for the protection of the client where he has confided in his attorney, not where he has deceived him, and the opinion adds: “’A com- munication in furtherance of a criminal pu:- pose is not within the rule.”” That is jusl the case here. Dimond was deceived by Hy who concealed from him the true nature of his methods in acquiring school land “bases.” A criminal in consulting his lawyer either confides in him or deceives him. In the former case the attorney becomes & conspirator and party to the crime if he does mot disclose the commmunication; in the latter case he is mis- led. In elther case he is clearly absolved froun the rule where a prima facie case is made to 3+ out. In other words the attorney’s duty 1 | not require original signature, such as notices for posting. letters from Washington urged Hyde to lose no time in straightening out the tangle in which his selections at the Geperal Land Office then were. This, Dimond had written, ~must be done- by’ furnishing absolute evidence in the form of affidavits showing that all the Hyde base lands were free from fraud. Repeated communications in this stfain brought several letters from Hyde. . The Hyde. letters were read. Here are some passages: (Hyde to Dimond, January 15, 1903.) It is a physical impossibiity for me fo comply with your suggestions. 1 do mot know the most of the purchasers in . California or Oregon. 1 took the papers in all cases just as they came (o me. \hen the reservations were proclaimed it was a ecramble between dozens of different curbstone real estate dealers to get in applications to the State to purchase the vacant school sections. It was generally known .that I would buy any such lands and these agents Brought me their titles and I paid for them. It was none of my business, as I thought. to inquire who owned the land. '* * It was absolutely unjust for the department to suspend my business on the unverified state- ment of a blackmailer, and 1 am sure I do not know of any way that I could comply with your ;suggestion. (Hyde to Dimond. January 16, 19803.) I kKgow a good many of the people who took iup school lands, but many have disappeared. For instance, J. Bonacci, a bootblack in the barber shop’ Where would I look for him? What Judge or Congressman could 1 get to certify that he knew Bonacci and knew that he took the land in good faith? He is mone the lees a real individual. Then again. take all the ladies and gentlemen of color, friends of my janitor. Besides. I had three or four people running through these reserves picking | up ttles | It is easy for a man in Washington to say, Prove to me Who it was of whom you bought this property and what kind of a man he was. Ordinarily this would be possible The title to cjty property is held by people who are local reside but when there is a scramble for the purchase of State lands the movement Is engincered by brokers. They do not select the best class of citizens, but they go into the highways and byways and the purchases are made by those who are here to-day and there to-morrow. The sales are none the less legal, but it makes them impossible to trace.. * % * Tell me where the matter is now and how lonz it will stay there and what the next move will be. Try and find some way out of it other than the one vou suggested, and by all means keep_the thing quiet until Commis- sioner Hermann gets out of office, and keep it quiet anyhow. * * I wish you would explain to Mr. Brown the whole ~basis of Schneider's statements. \While here he was ometimes sent to the notary with deeds where did_not appear in person. but it where the signatures and signers n to the notary, and while it m be irregular, it is very customary to say that the person appeared. ~Then, as to his signing papers, there are always some papers which do DIMOND WARNS HYDE. Then came two important letters from Dimond, the first written to his client on January 22, and the second to Hereford & Hazzard, the Tucson at- torneys. To Hyde Dimond had written | from Washington, saying among other | things: | soner declines to discuss it at all. 5 ok + HE PRELIMINARY EXAMINATION OF HENRY P_DIMOND AND F. A. HYDE IS ADMITTEL N EVIDENCE STTERS THAT PASSED BETWEEN THE DE FIRST-NAMED OF CONSPIRACY i B S oL sk AR £ T'ncle Sam is not telling what evidence | the public is paramount and absolves him in ' has @ . o - ch a case from his duty to his client. Such | he has against the att y—but it 18 | ; "y law laid down by the highest English likely to give Hyde a deal of trouble. | court and followed in many American Je- Dimond and Hyde are evidently “out.” | cisions While the former protests that he is| ~Tam indebted to you for citing that not turning State's evidence and has | decision,” said Commissioner Heacock, understanding with the attorneys | “and am glad to admit that I was f the prosecution, the eagerness of ' Heney and Pugh to get this correspond- nce in the record indicates that Hyde and Benson are their real game and | that the Government case will not suf- fer from the admission of the letters. | The entire day was occupied with the | continuance of Dimond's direct testi mony. Among its disclcsures the name ' of Defendant Joost H. Schneider fig- | ured prominently. Schneider ‘was for- | merly clerk in Hyde's office, and testi- | mony already in identifies him as | Hyde's agent in the alleged frauds in | Oregon school lands. He once made | a partial confession, but this did not e him frcm indictment. Dimond’s | t testimony will continue to-day, | n his cou will probably intro- | duce his correspondence with Benson, | a& he did with the Hyde letters yes-'| WHEELER'S DENIAL. | r. Dithond expects the Government court opened yesterday morn- ; arles S. Wheeler of Dimond's | a statement in answer | to newsy s orts that his client was testifying for the Government. | There is not a word of truth in it,” | said he, lookifig mournfully serious. | | | | te do its full duty and no understand- |ing exists between him or his attor- nevs and the Federal representatives.” | egainst Hyde. {land office business he knew nothing | obtained his Absolutely none,” chorused -Heney and Pugh. “There is no foundation whatever for those newspaper re-| ports.” Having made this little demonstra- tion the attorneys for Dimond and | those for Uncle Sam, who had been | fighting bitterly for weeks, spent the | rest of the day in co-operating to bring out evidence moetly directed | After Dimond had repeated in di- vers forms his declaration that when he was retained to look after Hyde's of the methods by which his client had Oregon and California school lands, Wheeler asked him to identify a bundle of letters from John A. Benson relating to the San Francis- «o Mountains reserve, the only mat- ter, as Dimond claims, in which he acted as Benson’s attorney at V\'ash-l ington. - J. C. Campbell, who has charge of Benson's defense in New York, was present and asked that these letters be held back until later in the day to permit him to look over them. Heney took the opportunity to argue the important question of priv- ilege between attorney and client. He said in part: Counsel for the Government have looked up | the law on the right of Dimond to testfy | fully as to the relations between himself and Hyde cr Benson. We find that it absolutely sustains our contention made last week. There i mo’ doubt that Dimond is entitled to this right so far as the other defendants are cun- cerned, the Government having now made out a prima facie case of fraud. But we are also convinced that these communications between Dimond and his clients are inadmissible over the Government's objection that they are full of sell-serving declarations. Hence we shall object to their admission unless we are per- mitted to esamine them in advance. There can be no question that under the established law of thie country and England an attorney ha. fhe right to protect himself from even the susnicion of fraud by revealing the com- munications of his cllent LAWYER AND CLIENT. “In order to raise this gquestion squarely at once,” said Wheeler, “I now offer the petition of Hyde to the Secretary of the Interior, which was given to Dimond as the basis of his instructions when he was sent to Washington® | Elizabeth Dimond. | that wrong last week in excluding this cor- respondence. 1 felt. then that it was | monstrous that the defendant’s mouth should be closed and gladly learn that | be | 1 was in error. admitted.” “We except to your Honor's ruling,” said McEnerney. The petition was then read by Wheeler. This was the document pre- sented to Secretary Hitchcock when, in May, 1901, he visited San Francisco in company with President McKinley. It protested against the order suspending for investigation all forest lieu selec- tions in which Hyde's school lands had been offered as bases of the ap- plications. The document set forth in detail the selections affected by the department’s order. Among its signers appeared the name of the fictitious This brought out the declaration from the witness that when he went to Washington for Hyde in the summer of 1901 he still believed his client’'s assertion that Elizabeth Dimond was an existing person, but that he later discovered that this was false. Then he testified it was not un- til the winter of 1902 that he learned the suspension order had been made final. SCHNEIDER 18 BROUGHT IN. “What did Hvde tell you about this order?” the witness was asked, and he replied: He eald he based upon The petition will was informed the order was me statement Joost H. Schneids had made t3 land office representatives. Up to that time I had no suspicion that there was anything seriously wrong with Hyde's selections. He sald he did not understand what Schneider could have said that would re- sult ir such an order, or why Schneider had id anything, because he had@ treated the n like a brother. He would send Walter Slack down to Tucson to find out what Schnelder had been telling. A week later Hyde told me that all Slack had been able to learn was that Schneider had eaid the names of Flizabeth Dimond and Jennie Blair in the Hyde seloctions were fictitious. Hyde sald he could produce Elizabeth Dimond, though just then he did not know where she was, that he had never used the pame of Jenmie Blair. He wanted me to hurry my. proposed Eastern trip and stop at Tucson to see Schnei- der, as he wished to know more about what Schneider had told the Government, In *December, 1902, T started East via Tuc- son, where T had an interview with Schnelder. He was loth to talk, but finally admitted he had turned nst Hyde because of the latter's “bad treament” of him. He ad- inftted that when he loft Hyde's office he had received $5000 and that his employer had given him $1000 on his marriage, but he be- lieved that he was entitled to more. Schneider told me he had obtalned many bogus titles for Hyde, and that he himself had invented the names Elizabeth Dimond and Jenhie Blair, as well as others he could not recall that were used in Hyde's land transactions. But he told me nothing as to his fraudulent methods of ac- quiring lands in Oregon, beyond saying that he himself put the names in the certificates | of purchase, Schneider seemed so0 anxious for money and 0 ready to promise to stop his revelations if Hyde should pay him enough that I belleved what Hyde himself told me. namely, that the man_ was a blackmailer. This belief 1 com- municated to Hereford & Hazzard, land attor- neys at Tucson. Who were interested in selec- tions based on school lands bought from Hyde, but 1 also told them that 1 should not con- tinue as Hyde's attorney unless he should | clear himself. Then 1 went East and on arriving at Wash- ington 1 found much excitement there over the suspersion order. 1 wrote Hyde several let- ters ou the subject and have his replies. The letters then produced by the wit- ness were the revelation of the day. They were admitted over McEnerney's objection, the Commissioner ruling that they were admissible as to Di- mond and would mnot be considered against Hyde. But they put the Gov- ernment and the public in possession of documentary information not before known to exist. - ADMISSIONS TO DIMOND. The witness asserted that his first 1 am convinced that the situation here is so very serious that I have to move with the greatest caution in order to keep the ‘nature of my investigations to myself. The order of suspension created a great sensation. All the attorneys before the department are excitcd about it, all the land office force wrought up and restless over it and a number of selectors bave inauired what It means. The commus- The order is day by day becoming generally known. The suspension order will temain until one of three things occu Sufficlent affirmative proof, offered to force, or at least justify, the revoking of the order; proof obtained by the special agents that frauds were committed, in which case when the mine is completed it will be exploded without warning and given to the public; or that the special agents fail in their investigations, ln which case the order wiil be revoked quietly. If the facts stated in your own letters were known it must be clear to you that nothing we could do would -call the Government off or prevent a prosecution. T am w ng only in Yyour interest, but we are facing sober conditions and facts and must fece them. You are sitting over a mine that may be set off at any moment. Frankly you were making money too fast and got careless, thereby laying yourself lLable t> such a calamity as has happened, and now i is & question of not what you would like to do. but what you can do. The matter is past | the stage of mere cancellation,. although that would follow if nothing were done by any of the selectors, but it is evident that all these peaple who have paid you thousands of dol- lars for thelr lieu land and the perfecting of their selections are not going to let them go without a big fight, and they would not care much who was hurt if they saved themselves. 1 am positively informed that what the Sec- retary is after is not the cancellation of the selections only, but proof.sufficient upon which to base a Federal prosecution on the ground of fraud upcn the Government in Knowingly offerinz a fraudulently obtained and worthless title with intent to defraud. The whole thing has now been taken out of the land office | and is with the Secretary. In February, 1903, the witness had re- turned to San Francisco, he said, but obtained so little satisfaction from Hyde that on April 8 he wrote Here- ford & Hazzard a letter from which the following is extracted: 1 have, for satisfactory reasons, severed all connections with Mr. Hyde's legal or any other business. I feel that I am acting within the bounds of personal obligations in saying | for yowr information that the plan advised by Britton & Gray and myself is not being foi- lowed. While a large number of affidavits were obtained the particular persons (Elizabeth Dimond and Jennie Blair) were never found, {and no attempt has been made to find them. 1t is not now proposed to forward any of the affidavits on hand to the various parties in interest so that they may be flled with a petition for the elimination from the sua- pension order of the particular selection in each case, but to send them in one lump to the commissioner in an effort to clear the skirts of Mr, Hyde, At this point court adjourned for the day. During the afternoon Benson's counsel had put on the record a formal objection to the admission of the Ben- son-Dimond correspondence, but doubt- less, according to the Commissioner’s ruling on the Hyde letters, it will be read in evidence to-day. ————————— Lincoln Club Will Hold Fight. The Lincoln Club announces that it will give its exhibition at Mechanics' Pavilion annex to-night, as advertised, despite reports to the contrary The | original programme will be carried out as arranged. ADVERTISEMENTS. we beg to announce that the than marked prices. money, don’t miss Francisco. An Apology... The overwhelming crowds which responded to our great price concession sale yesterday were more than we could handle. many we could not wait upon, we apologize, and that they may be able to take advantage of the price cuts on our beautiful garments, Suit Sale Continues.. Positively the last days of this sale to- day and Wednesday. Suits one-third less To the If you care at all for this opportunity— take advantage of the most stupendous value-giving event ever held in San $25 Suits for $16:6Z $35 Suits for $2334 $50 Suits for $33:32 NOTE—The price tags and tickets on the above garments have not been changed. Make your selec- tion—thén pay the saleslady a third less than the plainly marked price—that’s all- OF THE FUTURE President of the Interna- tional Union Says That He Sees Dark Days Ahead = In the maelstrom of events that have held the United Railroads and the Carmen’s Union, the United States army has appeared. Officials of the union assert that, they have discovered a plot whereby a prominent retired officer has lent his assistance in the hiring of men to take the places of union men, should a strike occur. In order to frustrate this alleged plan, the Carmen’s Union has issued an ap- peal to President Roosevelr, in which it asks that Colonel Charles Austin Coolidge be censured,owing, they claim, to his having been active in assisting the United Railroads. A rather gloomy aspect was placed on the position of the carmen by the declaration made last evening to a Call representative by President Ma- hon of the International Union. Mr. Mahon s‘0.ted that the conference of yesterday had had little cffect on the situation so far as the carmen were concerned. and that he considered that the outlook was much legs favorable than it was Saturday. “After our conference to-day,” said Mr. Mahon, “we were inciinad to the opinion that nothing but some favor- able revelation to the railroad people would bring them to understand the Justice of our claims.” “Then you consider the situatfon as foreboding?” was asked. SITUATION IS BLACK. “I look upon the situation as very black,” replied Mr. Mahon. “In fact it is much worse than it was last Satur- day. While the company has granted us a further conference’ for Tuesday, we have little hope of gaining anything thereby.” : “Then you think there will strike?” was the next question.” “As to that I cannot venture opinion,” replied the national dent. The conference, which had been con- tinued from Saturday, - began shortly after 2 o'clock yesterday afternoon. Representing the union- side were President Mahon of the International Union and President Cornelius and Secretary Bowling of the local organi- zation. For the company President Hol- land, Vice President Holbrook and Di- rector Tobin, with David Young, who appeared in the interests of Brown Bros., were in’attendance. The conference lasted nearly three hours, during which time Mr. Mahon argued the case of the carmen, stating also that their greatest desire was to avert any overt action on either side. Mr. Mahon also called attention to the petition sent to President Roosevelt, in be a an presi- ADVERTISEMENTS. EVEQY one of the terested in seeing the Catalogues Furnished. v _f___# four hundred vehicles in our store’is new since January Ist. The fire last July took all the old ones. You will be in- finest assortment of Car- riages ever shown west of New York City. STUDEBAKER BROS. COMPANY ' OF CALIFORNIA. Carriage RepairingProperly Done. Market and Tenth Sts. which the carmen asked that Colonel Coolidge be reprimanded. PETITION OF CARME The petition is as follows: SAN FRANCISCO, April 12, 1904 Theodore Roosevelt, President of the United States, the White House, Washington, D. C.— Dear Sir: Division No. 205, Amalgamated Association of Strest and Electric Raflway Employes - of ‘America, - desire to direct your personal attention to the following facts: The United Raflroads of San Francisco is a corporation (capitalized and bonded for over $40,000,000) which operates. the strectcar sys- tem of this city, excepting three smaller lines The relations between. that corporation and Division No. 205, A. A. §. and E. R. E. of A (the Street Carmen's Union) at the present time are somewhat . strained for the reason that the union and the United Rallroads Have thus far failed to arrange a working agree- ment for the year commencing May 1. 1904, although negotiations and conferences on this question have been in progress during the last two week: Althoug! that it desires to avoid an open rupture in its relations with the United Railroads, the latter has for some time been engaging men in this and other cities under contract operate its cars in the event of a strike being declared by this union. In carrying out this policy the company has taken a step which, we belleve, is unprecedented and, we respect- tully suggest, merits your disapproval. We refer to the fact that the United Rail- roads has an arrangement with Colonel Charles Austin_Coolidge, U. S. A. (retired), formerly of the Seventh Infantry. under which this offi- cer of the Government is recrujting prospective “strike-breakers'’ among discharged soldlers of the regular army at.the. Presidio in this city This fact is well known at the Presidio and we have thoroughly satisfied ourselves that we are not in error in asserting it to be a fact. We do not believe that such conduct is in harmony with the principles. that are supposed to govern the actions ofi an officer of the United States army. and your attention is in this manner directed to the conduct of Colonel Coolidge in the belief that you will not suffer it to continue. Very respectfully yours, AMALGAMATED ASSOCIATION OF STREET AND ELECTRIC RAILWAY EMPLOYES OF AMERICA, DIVISION NO. 205, By R. CORNELIUS. President. Attest: J. H. BOWLING, Secretary. The officials of the United Railroads last night refused to discuss the situ- ation, except to state that the company had not altered its stand. and that there was no chance of its doing so. g iy HACKMEN'S FIGHT STILL ON. Both Sides See Victory in Sight and Refuse to Yield. There were no new developments in the hackmen’s strike yesterday. Both sides claim they can see victory in sight and déclare they are in the fight to stay and will not give in. The hackmen declare that no matter how long the strike may hold out they will always be ready to accommodate funeral parties. The Bookbinders’ Union has present- ed to th® bosses a new schedule, in which is embodied a . condition that a cut of half an hour a day shall be al- lowed members, the rule to take effect on July 15 next. Three photograph galleries have made application to joim the central body, and it is said that the galleries of Alameda County are being unionized rapidly. S The Elevator - Operators’ Union will entertain its numercus friends in a dance and social entertainment next Saturday evening in Golden Gate Hall. The union appointed the following com- mittee to take charge of the event: ‘D. Richardson, A. E. Fields, J. A. Fon- tanel, E. B. Ring and H. Dibben. The Car and Furniture Workers' Union has decided to affiliate with.the Amalgamated Woodworkers’ Union. ke gl Weak Eyes cured by Murine Eye .tem- edy. Cures pink eye and all inflamed conditions. L4 ———— Foresters Change Date. The date for the theater party to be given by the members of the Ancient Order of Foresters at Fischer’s Theater has been changed to Thursday night, | April 28. Tickets dated May 5 will be good for the above night and can be cxchanged for reserved seats on Mon- day morning, April 25, at the box of- fice. —_—————————— Children take Piso’'s Cure readily. sovereign remedy for little folks' colds. —————————— Issues License for New Bank. The Board of Bank Commissioners issued a license yesterday for the es- tablishment of the Bank of Willits at the town of that name. The new institution is capitalized at $50.000 and will transact a commercial busi- It s a . | the union has repeatedly declared | to | LAUNDRY GIRLS IN A MIX-UP.—Bertha Korhensen and Hilda Danielson are employed at the San Francisco Laundry, and yesterday Hilda secured a warrant for Bertha's arrest for battery. 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