The San Francisco Call and Post from San Francisco, California • Page 1

PRICE FITE CENTS. SAN FRANCISCO, THURSDAY, DECEMBER 6, 1900. VOLUME NO. 6. accused of having used his own partter, who is a director of Grover as.

in attorney for the bank in a suit instl- Ex-Lieutenant Governor Jeter is charged with having obtained the stock of Grover of placing Into the corporation a majority of dummy directors and of forcing them to sell, transfer, mortgage and dispose of the property of the corporation for the benefit of the bank. As president of the bank Jeter William T. Jeter, ex-Lieutenant Governor of the State and president of the Bank of Santa Cruz County, Is accused of having entered Into a conspiracy with an ex-Superior Judge of this county, with his own legal partner, who is one of the most prominent attorneys of this county, and with a leading real estate agent to obtain the entire property, real and personal, of a powerful corporation by fraud, deception and systematic dishonesty, and all this was to be done that bad investments and losses alleged to have been sustained by the Bank of Santa Cruz County, of which ex-Lieutenant Governor Jeter is president, might be made good and the credit of the bank saved. was made to file a supplemental, complaint In the suit of L. F.

Grover against the Bank of Santa Cruz County, the Santa Cruz Bank of Savings and Loan and J. H. Logan, H. E. Makinney, J.

G. Tanner and J. F. Forgues, directors of the corporation of Grover Co. This suit involves some of the most startling ever made In California against men high In public and professional life.

Special Dispatch to The Call. SANTA Dec One of the greatest legal sensations in the State was sprung to-day upon the people of this city when a motion In this way, Grover asserts. obtained control of the corporation of Grover appointing J. H. Logan, H.

13. Makinney, J. G. Tanner and J. Forgues majority directors.

Logan Is an ex-Superior Judge 'of- Santa Cruz County and one of the most prominent and.repu-^ Accuses Logan of Being a Tool. In this part of his complaint L. F. Grover makes perhaps his most serious allegation. He -declares that the Bank of Santa Cruz County accepted from D.

W. Grover and Hannah F. Grover 1100 shares of the stock of Grover Co. in satisfaction of an indebtedness of $40,000. Grover charges that' when the bank officials, of whom ex-Lieutenant Governor Jeter is president, accepted this stock In satisfaction of an indebtedness of $40,000 they accepted what they knew to be the worthless stock of an Insolvent corporation.

In this complaint Grover was particular to characterize the Individual defendants. He alluded to the fact that H. E. Makinney is the legal partner of William' T. Jeter, and alleged that Makinney had acted not only for the bank but for Grover and had been paid for both services out of the property which should have been credited to Grover Co.

In the Bank of Santa Cruz County. Grover charged further that J. F. Forgues, a real estate dealer, another. of the men who wa3 one of Jhe defendants, was a tool of Jeter, and was made by him one of the directors of Grover Co.

In 1 order that the bank of Santa Cruz County, through Forgues. might learn every particular of the real estate possessions of the lumber firm and secure this property for the batiks at the expense of the lumber people. Ex-Lieutenant Governor Jeter to Have Conspired With His Law Partner, a Real Estate Man and an ex-Judge, to Obtain by Fraud the Property of a Big Lumber Company to Offset the Alleged Losses of His Own Bank. MEN OF HIGH PUBLIC AND SOCIAL STANDING MADE OBJECTS OF SERIOUS ACCUSATION BEFORE SUPERIOR COURT AT SANTA CRUZ SOFIA. Bulgaria, Dec.

The Cabinet has resigned owing to Ministerial differences. Bulgarian Cabinet Resigns. NEW YORK, Dec. A Journal special from London says: The Dowager Empress Frederick of Germany Is ill again. If her condition becomes more serious Queen Victoria may go to Kronberg to see her daughter, about whom she is very anxious.

This is alleged to be the reason the Kaiser snubbed Kruger, to get him out of the country- T3ie Prince of Wales will probably go see his soon. Empress Frederick Very HI. URGES LEGISLATION TO FORBID POLYGAMY Resolutions Adopted at the Women's Council Asking for Constitutional Amendment. NEW YORK. Dec.

To further the collation for the adoption of an amendment to the Federal constitution fiorbidding polygamy a meeting was held to-day under the auspices of the Interdenominational Council of Women of Christian and Patriotic Service. The meeting was called to order by Mrs. John S. Bussing, who Introduced Darwin R. James as chairman for the occasion.

Mr. James referred to the agitation for the exclusion of Brlgham H. Roberts from Congress. He predicted like success for the' present movement if the women of the country take It up. Mr.

James read a letter from former Senator Edmunds to Mrs. James, expressing his approval of the agitation for a constitutional amendment. Mrs. Vermilye read resolutions which were adopted unanimously. They cited the spread of polygamy in the States bordering on and petitioned Congress Lfi enact blndir.g laws against the practice.

ORJVERED TO INVESTIGATE IMPRISONMENT OF MAY Secretary Hay Cables Instructions to Minister Hunter in Guatemala. WASHINGTON. Dec. Instructions have been cabled to Minister Hunter in Guatemala to investigate the reported imprisonment of R. H.

May, an American citizen, and If the facts warrant it to demand his instant release. Am a result of the efforts of this Government Guatemala agreed some months ago to arbitrate on Mr. May's claim for violation of contract. was awarded fl 41.000 in gold. The attention of Secretary Hay was called to a report published this morning that May had been cast Into prison and Instructions were cabled to Minister Hunter.

PLANS FOR A DIVISION OF WEALTH Affairs of the Pacific Improvement Company. Stockholders' Meeting to Discuss Topics of Liquidation. CROCKER AND STANFORD STOCK Final Adjustment Will Probably Yield Five Million Dollars or More to the Stanford University. Steps for disposing of the stocks, bonds, franchises, townsltes, real estate, hotels, coal mines, railroads and other properties of the Pacific Improvement Company will be pradually taken. The affairs of the corporation will bo closed up by a process of liquidation.

Leland Stanford, Charles Crocker, C. P. Huntlngton and Mark Hopkins each owned one-fourth, or twenty-five thousand shares of the company's stock, and the ownership) now resides in the estates of the founders of the corporation The organization was first known as the Western Development Company. Later on the name was changed to that of Contract and Finance Company. Late in the "seventies" a readjustment took place and the name Pacific Improvement Company was given to the institution.

The Speyers in their recent purchase of the Crocker. Searles and Stanford holdings of Central and Southern Pacific stock did not acquire any interest in the Paciflo Improvement Company. The value of the property belonging to the Pacific Improvement Company is not known and can hardly bo approximately estimated. In fact an estimate must be in the nature of a conjecture. A prolonged era of general prosperity may add largely to the value of some of the properties and Invite purchasers to offer sums far beyond present expectation.

It is taken into account also that events may occur that will cause a depression, but nothing is likely to occur that will compel the present owners to sell at a sacrifice. They can afford to wait until the property can be sold for what It is worth. An estimate of $20,000,000 as the value of the property of the company may not be wide of the true mark, but It would not be surprising if the sum of $30 000,000 was realized. The Stanford University will be enriched by whatever sum is derived from Mre. Stanford's one-fourth Interest.

There was a meeting of the stockholders of the company In this city day before yesterday. The Crocker and Stanford interests were represented. H. E. Huntington would have attended if pressing business affairs in another field had not called him East before the meeting took place.

Tho representatives of the company in New York were communicated with by wire. There was ample exchange of views regarding future policy. No division of sentiment was created. All the parties in Interest acquiesced in the suggestion that a course of gradual liquidation be pursued. There aro no premonitions of Internal strife.

Indications arc that the affairs of the institution will be finally ad- Justed and closed up without factional quarrels or resort to hostile litigation. All parties concerned agreed that it would not be prudent or profitable to restore the tavern at Castle Crag which was recently destroyed by fire. The Southern Pacific Company can do as it pleases in regard to the building of a new hotel, but the Company is not going to take on any further responsibilities in the hotel line. CONVICTS ESCAPE FROM THE TRANSPORT GRANT NEW YORK, Dec. A World special from Hongkong says: Eight desperate convicts who were being taken from Manila to San Francisco escaped last rilght from the United States army transport Grant, which touched here to get the body of Paymaster Barber and' convey it home to America.

The convicts were destined to prisons in the United States. They got loose somehow, snatched life belts and Jumped Into the sea. After floating about for awhile they were picked up by a steam launch and brought to this city. Among them was a soldier who had deserted from the American army and had joined the Insurgent Filipinos, but had been captured. Three of the party have been found and taken back aboard the transport Grant In irons.

FTJNSTON'S MEN ABE FIGHTING INSURGENTS MANILA, Dec. A dispatch has been received from General Funston giving an account of a two hours' fight In the woods of Santo Domingo between an American force and 300 rebels commanded by Sadlco. The American force, consist- Ing of thirty native scouts; commanded by Lieutenant Jolnlgan, attacked the rebels, who retreated, 'leaving on the field sixteen killed, Including the rebel leader Aguilar and an American negro. It was at first thought the latter was a man named Fagin, a deserter from the Twenty-fourth Infantry, but this turned out to be a mistake. Not one of Joinlgan's men was wounded.

NEW Dec. A special to the Journal from St. Petersburg says: The Russian forces In Manchuria have discovered a hitherto unknown republic called Chapigou, In the upper valley of the river Sungary. It has existed nearly a hundred years, and was first ruled by three chosen elders, but now one chosen man Is, its ruler. Chapigou has courts, a system of taxes.

Industries and an army, all quite European. Its population Is 10,000. In diplomatic circles hero. the agreement reached Is regarded as the result of the keen diplomacy of Secretary Hay, and he Is given the highest praise' for his work. Other powers are expected to Instruct their representatives to sign the agreement, which will then be handed to the Chinese envoys.

Negotiations regard- Ing details will promptly follow. It will be within the power of the allied nations even after acceptance of the demands by the Chinese to Insist upon more severe punishment than she administers In case it should be found that she is not inflicting punishments as severe as ahe can safely do. DISCOVERY OF A REPUBLIC. These demands were very unsatisfactory to the Washington authorities. Fortunately at this moment Japan indicated that she favored moderation.

Backed by Japan, Russia and France, the President and Secretary Hay seized the opportunity to bring about an exchange of views among the powers. Russia suggested that the demand regarding punishment should call for the severest punishment short of death that China, could inflict; and with a slight modification this was adopted. Great Britain fell Into line and finally Germany's assent was obtained. Germany insisted from the outset of the trouble that the execution of the Boxer leaders would only salve her wounded honor, and the Anglo-German agreement caused Great Britain to support the same view. As a result of the vindictlveness cf Germany and of the Ministers who had undergone the siege, terms were drafted requiring the execution of the authors of outrages and the payment of an indemnity to great that It was plain it could never be cpllected.

The terms as finally formulated still include several features not entirely welcome to the American Government, as, for instance, demands for the razing of the Taku forts. Interdiction of importation of arms and the establishment of permanent guards between Peking and the sea. Yet the questions of punishment and indemnity are really the vital ones. As finally adopted by the Ministers, the demands upon China are that she shall impose the severest possible punishment the Chinese Government can Inflict and pay a reasonable indemnity to the powers for the killing of their citizens, damage to their property and expenses Incurred in the dispatch of relief expeditions. CALL BUREAU, 1406 STREET, N.

W. WASHINGTON. Dec. American diplomacy has averted prolonged strife over China, and, barring accidents, has insured the Integrity of the empire through the adoption by the Ministers at Peking yesterday of the amended demands as to punishment and Indemnity, which it was known the Chinese Government would accept. Upon receipt of the news of this satisfactory- conclusion of the negotiations.

Secretary Hay cabled Minister Conger instructions to sign the agreement. In the opinion of officials and diplomats here, this result marks the most Important step yet taken toward a peaceful solution. The information which reached here conveyed the idea that If the powers had approved the original demands of the Ministers, contemplating the execution of eleven officials and Princes and an exorbitant indemnity. LI Hung Chang and Prince Ching would immediately have rejected them. In view of the moderation In the amended demands, it is.

that they will be accepted by not only the Chinese envoys, but also the throne. Bpeclal Dispatch to The Call. Conger Promptly Instructed to Sign the Agreement and Other Interested Powers Are Expected to Act Likewise. SECRETARY HAY'S GOOD WORK Ministers at Peking Adopt Amended Demands on the Empire. It Averts Prolonged Strife Regarding China.

AMERICAN DIPLOMACY TRIUMPHS Rev. Mr. Wohl was recognized as one of the most forceful and eloquent of Presbyterian ministers of this State. Mr. Stokes is an ex-Virginia university president and comes from one of the best families of the Old Dominion.

Up to a late hour this evening Mr. Stokes has refused to say anything conffrning the terrible tragedy, and Mrs. Irvine is in too much of a state of exclie- Diest to talk. In the hall of the minister's home, facir.s; the fearful duel to the death, fallen across doorway, was found Mrs. Lerloe.

It was first thought ehe was and probably had been shot, but an investigation showed that 6he had only fainted from fripht. Stokes was picked up by friends attracted by the sound of the shooting and taken to a doctor's office, where his was dressed. He was then surrendered to the officers and immediately released on bail. He alleges self-defense. Suddenly, with the exclamation "You are a liar." Wohl, showing a derringer, rushed upon Stokes, who backed slowly sway.

Wohl kept advancing and when ithln a few paces Cred, the bullet piercing Stokes' side. He reeled and fell, but as he did so he drew a revolver. At this ir.Ftar.t Wohl again fired, and almost at the same time Stokes returned the flre. the bullet striking Wohl in the forehead, causing instant death. This afternoon Stokes, while talking to a friend in front of the house in which WoU lived, was ordered by him to leave.

Stokes refused to comply with the demand and a fierce wordy dispute ensued, Wohl etar.dlng on his porch and Stokes on the gldewalk. WILLIAMSON. W. Dec. As the resuK of a cartoon used In connection a sermon on the evils of dancing delivered two weeks ago Rev.

John H. Vk'ohl, pastor of the First Presbyterian Church, was shot and killed to-day by S. Pavls Stokes, member of an old Virginia family and a well-known lawyer. In the Stokes was seriously wounded. The sermon delivered by Rev.

Mr. Wohl caused much comment In society circles, pedal offense being taken against the cartoon which depicted young people golr.g by slow gradations from the ballroom to Infamy. Prior to this event Wohl and Davis were close friends. A few days after the sermon Stokes told Wohl were It not for his ministerial garb he would Five him a thorough thrashing. Wohl replied that Stokes need not be deterred on that account.

Friends Interfered and a. supposed reconciliation followed. Special to The Call. Threats to Thrash the Sensational Pulpit Orator Culminates in a Contest in Which Both Men Are Victims. RESENTS SLURS ON DANCERS S.

Davis Stokes, Enraged toy Use of a Cartoon, Starts the Fight. Fatal Affray Between Pastor Wolil and a Lawyer. MINISTER IS KILLED IN A DUEL Jn this suit L. F. Grover alleged that none of the four directors whom he has made defendants was a bona fide owner of stock ln'the company.

Grover declares that these men had the stock simply In their names, and I that it was the property of the defendant banks. declares that all of the directors were simply creatures of the dummies employed by William T. Jeter to carry out the unfair, unjust, 2 Iniquitous schemes of the and to, ruin Grover. Co. and secure: its property.

Says Directors Were Dummies. Tho standing of the Bank of Santa Cruz County and of the Santa Cruz Bank of Savings and Loan, and the prominence of the men who have been made defendants, make the case one of exceptional interest. Much testimony has been taken and the very supplemental which was presented to-day Is alleged to be based upon testimony which is already said to have been introduced into the case. Early in the year F. Grover, a son of the" principal owner of the corporation of Grover instituted a suit against both banks and the directors of the corporation of Grover which was one of the most influential lumber firms in the State.

Serious as are these allegations, they are not all in the remarkable Indictment which is now exciting the people of this city. As president of the bank ex-Lleutenant Governor Jeter Is accused of having released indebtedness to the bank amounting to $40,000 for 1100 shares of worthless stock in an insolvent corporation. He is charged with having compelled his legal H.E. Maklnney, to become a director of Grover Co. and to accept fees from the Bank of Santa Cruz County to prosecute a suit against the alleged insolvent corporation.

This suit has dragged a reasonably long course without suspicion until to-day, when the remarkable supplemental complaint was placed before the court and the serious nature pf the charges became known. tuted against the corporation of which his partner was a director. Ex-Lleutenant Governor Jeter is charged, as president of the bank, with having, without order, authority or proper chock, compelled Grover Co. to pay the expenses of the suits Instituted against themselves. table attorneys here, yet in this, complaint he is accused of having acted as the subservient tool of ex-Lieutenant Governor of having permitted the funds of which he was treasurer to be fraudulently expended in, the interest of tho two defendant banks, and of having signed himself as president of Grover.

Co. In order to -carry out the alleged schemes of 'the Having, thus attempted to establish an Intimate connection between the defendant banks and the various Individuals, whom he accuses with Grover the plaintiff makes a Beries of the most serious allegations reflecting upon the Integrity and the character of every man involved, Grover in his complaint declares that the Bank of Santa Cruz County and the Santa Cruz Bank of Savings and Loan, through the agency of William T. Jeter, forced Grover Co. to lease Its mills and its mill sites to other people, the alleged dummy directors doing as Jeter commanded them. Grover alleges that the banks forced the directors of the company to pass whatever resolutions these banks commanded, and through these resolutions to lease, sell, transfer, mortgage and otherwise dispose of the company's property for the sole benefit of the banks, which by their alleged bad investments had placed themselves In Jeopardy.

As a result of these operations by tho alleged' dummy directors, Grover aserts that the banks have now In their possession 1400 acres of land obtained fraudulently from the company; that through the dummy directors the banks have received money, real and personal property belonging to Grover arid- have deliberately and fraudulently refused to credit It to the lumber firm. Jeter Dominated Directors. Grover charges'that at the direction of these dummy directors, who were put Into the corporation of Grover Co. as directors by Jeter, the books of the company have been Improperly and dishonestly kept in order that the fraudulent transfer of property should not be discovered. only this, but Grover claims that William T.

Jeter was present at the meetings of the lumber; company and Influenced, directed and dominated the dummy directors to suit his In the supplemental' complaint, motion to file which was made to-day, to the court and granted even more serious allegations are made and are supported by the assertion that. the charges are based upon testimony. has, 'actually been presented In. the. case.

Grover declares that the officials of the Santa' Cruz' Bank have deliberately taken money which was on deposit by Grover Co. in the bank and paid It out without check, order or authority to satisfy the cost of attachment proceedings which the bank levied upon the property of the company. The plaintiff declares that the Santa Cruz Bank of Savings and Loan began foreclosure proceedings on the mortgage and charged the costs of the same to Grover He asserts that the Farmers' Union was Instigated by the bank officials to attacn property' of the lumber company, and then, through the acquiescence of ex-Superior Judge J. H. Logan, the cost of this suit, an altogether outside affair, was charged to the.

account of Grover Co. Not only this, but Grover complains in his sworn document that the bank paid for the service's of an attorney for the lumber company, charged this expense to Grover Co. and knew that the lumber firm had never employed the man nor authorized, any payment to him. Charge Against McKinney. One of the most remarkable allegations In this supplemental complaint Is that which Is made against H.

Maklnney, the law partner of William T. Jeter. After Grover Co. had become Involved Maklnney became one of the directors, but the plaintiff in. these accounting proceedings charges that while Maklnney was a director In the lumber corporation he became attorney for the Bank of Santa Cruz County, of which William T.

Jeter is president, and went to Salinas and instituted suit to foreclose certain property of the corporation of which he was a director. Not only. this, but. Grover charges that the Bank of Santa Cruz County paid the traveling expenses of Makinney and various other costs of the" proceedings. At various other times Grover declares that the defendant banks had paid out sums as high as $500 for many purposes In no way connected with the affairs of.

the lumber company and had charged them against the account of Grover and when this had been done ex-Judge Logan as secretary and treasurer of the lumber company had accepted the receipts as vouchers. Logan Is. also accused of having, signed checks as president of the lumber company when he. knew that he did not occupy the position. f.

In outline, these are; the grave allegations which have given to Santa Cruz County Its most 'sensational suit. Various witnesses have been on the stand, but the sensation was not sprung until to-day when- the complaint made 1U appearance in the easel ONE OF THE BANKS AND SOME OF THE PEOPLE THAT FIGURE IN L. F. GROVER'S SENSATIONAL SUIT ON FILE IN THE SANTA CRUZ COURTHOUSE. COLOGNE.

Dec. Kruger walked to-day In the rain from his hotel to tha cathedral. He cheered enthusiastically by an assemblage of people who long waited to him. He will depart at 10 a. m.

to-morrow on a special train, connecting with the Dutch express at The War Office has received the following from Lord Kitchener, dated December 5: "Generai Knox reengaged Dewet near Bethulle. on Smlthfleld road, yesterday. He drove tha enemy from all their positions" dark, when they retreated northward. Colonel Pitcher assisted by a turning movement on Knox's- left." Lord Kitchener reports also several minor affairs. At the War Office this dispatch is characterized as belated Information regarding events covered In official dHpatches from Lord Kitchener, dated Bloemfonteln.

November 30. although statement that the Boers were surrounde-1 is not supported officially. LONDON. Dec. A London news agency publishes a dispatch from Pretoria saying that fighting haa been going on for four days at east of Pretoria: that Commanders Joeh and Erasmus, with 23)0 Boers.

now surrounded, and that eighty have been killed. Past Four Days East of Pretoria. Fierce Fighting in Progress for tha Mr. and Mri. M.

H. de Young, Mr. and Mrs. Potter Palmer. Mrs.

Daniel Manning, James Allison, Mr. anrt Mrs. William L. Elklns. Mr.

and Mrs. Ocden II. Fethers. Peter. Jensen, Mr.

and Mrs. Calvin Manning, Franklin Murphy, Mr. and Mrs. Henry A. Henry M.

Putney. Miss Putney. Mr. and Mrs. Alvln H.

Sanders. Mr. and Mrs. Louis Stern, William C. Thompson.

Mr. and Mrs. William M. Thornton. Mr.

and Mrs. Arthur E. Valols, Mr. and Mrs. Thomas F.

Walsh. Senator Allison, Senator and Mrs. Cullom, Senator and Mrs. McMlllln, Senator Sewall, Senator and Mrs. Thurston.

Senator Depew. Miss Pauldlngr. Miss Wilson. Mrs. Abner McKlnley, Mrs.

Dawcs. Miss McKenna and Mrs. Rlxey. BOER COMMANDS ARE REPORTED STJRROTTNDED OPENING FUNCTION AT THE WHITE HOUSE President. and Mrs.

McKinley Give a Dinner to tb? Com. missloners. WASHINGTON. Dec. 5.

-The first forma! social, function of the season at White House occurred to-night, when President and Mrs. McKlnley gave a dinner to the Commissioners of the United States to the Paris Exposition and their UkIIps. The table was sot In the state dining room. with the east room and the red. blue and preen parlors, had betn appropriately decorated for the occasion.

The Marine band furnished music. The cuoRts and those invited to meet them Inctudcd the following: An attempt was made to-day to Interview the attorneys for the. plaintiff, but they positively declined to talk In reference to the matter, declaring: that the record would iipeak for Itself. All of the -defendants In the case have filed an an-' ewer. In which specific denial Is made to every allegation made by Grover, beginning with that one upon which he all of charges, the alleged ownership by the banks of 1100 of stock in the corporation of Grovev Co.

The standing of the men who are accused, and the character and integrity of the defendant banks, make it absolutely certain that the contest will be an exceptionally bitter one. The San Francisco Call..