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- 1865. N WV I IRvI S. C., rlU ESDAY, MARCH I4, 189. TWICE A WEEKA(, 1Q50 . YI \ leal Admits He Used State Money INTrFNnI) 'Do) ICPLAOC' 1T AN) IIO M ISI TO PAY. stast ot T4,i% Otmistici D)ollirp-Thiat I,n tho Aoaiuvitl. Tbnt Neat asid Vatn ir Joi.tlyMt)e-A )at.v of Mtarting Devolopmntm. [The ,tato, uith.] The facts so far brought out in tho poiiitontiarv investigation show that Col. W. A. Neal, tho rotiring superintondent, is duo the Stato the foliowiig amounts: Ca-h collected from Cooley & Fowler'' )eO. 9, 1895, for con vict hire for which no return wats matde to t.he penitntiary 500.00 Cash collected from W. Q. Haiilonld in the same way on Nov. 27, 1895.................. 500.00 11. L3. Ruagsuale's not, for labor uisd by Col. Neal............... 2,595.99 C. W. 11agsdale's notc for labor used by Col. Neal............... 2,012 A Due for convict labor used by Col. Neal in 1898 .............. 2,800.00 V. W. lRussell's nlote endorsed by Neal as suitmitndeit... 600.00 Hlanctie ofl $,352. 22 collected of '. 3ley & P*owler. and XV. Q Hauonl 'ob. 2-1, 1897, do positm] to 1 is own personial LcOuIt, a td, credited..... 539.95 Received of . J. Frtwell for Oats undl not accoulnted for... 337. 1 Chcs given ) Neal to baltlnce Wattllon's account, for. 18i7 and nlever. paid but, catrricd in pellitnit,iary re0portt as vcash I.. ........ ......... ................. 1742.00 Total .............. ................ 10,0.57.5 6 If the three items for convict hire nsed on Col. Neal's Anderson farim it the years 1890, 1897 and 1898, lud for which J. Belton Watson is nomitinally responsible is dedieted, then Col. Neal has misappropriated funds to his own uso to the amount of $2,040.12 In his testimony yes turdaty, however, Col. Neal virtually udmitted that he was tho beneficiary of the convict labor, though vatson, un11dor his contract with the State, is Tesponsible for their hire. The testimony yesterday clarified many points that had before this been confused. It also served to show that the l)oard of 6irectors Who were charged with a general supor. vision of the entire ponitentiary had been kept woefully in the (lark in regard to imatters which they were supposed to know something aholtt. J. BErox WATsoN. M1[r. J. Bolton Watson was the first witness examined. IHo offored in evidonce two letters from Col. Nnal assuring him that his acountit with itte Uenitentt iary was all right. lIn theo nva.-lopo was founid a note for .$8.s mnade by Mr. Watson and1( en S. C. P." M\Ir. Watson had1( not in :tende I to oiffor thIiis noto ini evidence, but in aniswer to questions of the comm itittee hto stid that it was a per sonal notuo which he had mtade to ~p!y 06T a p)rito debt and1( thait he had gotton Co)l. Neal to omlo1rsoi it for himi. The not' [tad gone to prIo test but wits afterwards paid by M\1r. Wantson, ias it wasH stamtpedl "paid" Cohnntbia, 8. C., Nov. 5, 1890. Dear 11lton : I wanite(d to have had a talk with1 you while up the count ry this wveek, but failed to) soo yon. I find we will make 185 to 1 95 halos of cottont on the two p)lacos this year, which, I am glad to say, will paiy all expenses5C and give you libro' t hon<nnid (8,000) dollars; ,.~ 1I00 for guano, $1 ,800) for convicts' hiei all thle fam is due except l{;gsdale's salary, $400, making $3,00) dii.' You wvillI make $6,300. You will 500 the farmt will be able to pay till demands at 0 1-.2 cents for the cott on. Now, I feel sitre the cotton will bring bet ter price son 'anid woe will paiy the amount due you on or before the I5th D)o comber andiu will bo0 on hand with the money thait (lay. I know you canl give us that much time. Lot e or fromi you. Come to the fair and bring Cousin Mattie with you. All well. Truly, W. A. NmA. TVhe other roads: Coluimbis, H C., March 18, 1898. ILIm. .J. Botltoni Wlatsotn, Atndersoni, H. (. Mv l)ear Sir: Yours of .17th to hand noted. I waited to have seei you while up the co ntry last week at Duo West; had no timo or chance; went to town on two dwyi for a short timo brit. failed to seo you. You say I shouild havo Sold Cot ton; possibly so, but you, J. Bolton Wat Son, said to me lieho last. tilmo I sw you that you believed we would get 7 cents for our (ot.toin and expressl tle holif that it WaS best to wait until April Ist.' You say somethiig about using your credit. I latveu't uis(d your or-dit for somo years. The account of J. B. Witsor., I1s shown iii our books, 1111 booI paiid off long tiie ago, 1111d books bal ancod. I borrowed the money aid had Homo of my friends to endorse me for thel amount'. Will have full receipts muailed you The account wias pid abont J1ntulry 1st to 15th, soiewhero. The report shows t be amoiit duto ol all accouits January hit. I don't intend to do you inly iiijury in this contract buHiniess, but will tako care of your property and improvo the r(aill ostiato a1s host I m)a. This year [ hope to get everythirig fixed up to your '11tire slat isfaction4 and lot, you out of the wviule thilng. I know this i.; what. wil he best for thoso conlcoeried, youl, I ad all 111 our frionds, a well as on1r neighbors. I will bo ip about April Ist, to sell cotton and settle. Yours, W. A. NEAL. 'TIs finished the testimony of Mr. Wiatson and he immediately left to talk his traiin for homle. Coj. W. A. NEAT wIS again recalled to the stand. The questioning began mi regard to the W. W. Russell note of $600, for which the balnk i now dlmlindiig payment. Mr. Stevenson asked: Thore is it note, colonel, eidorsed by you for W. V. Russell for $600; can von toll us how that occurred'?" "Mr. lttissoll hag beon hiring con victs froiu us for som timo and that noto was given for convict hire."' In answer to questions, the wit. nlers said be did1n't know 0'when1 it Was givoli, but m11ust have eein list, yolr, as it matured inl Janu111ary. "I1 wilit to say, Mr. Stovenson," 1he Added, "thalt, thoro will bo 1no troublo about the plyin(nit of that. noto." '"But, colonel, it is ll!ready t.wo monthei past dite, and the baik is dunning the pelliteitiary for it.." "Yes, but there is a lot, of papor over two imonths past duo in this State." The witness15 went oin to say that Mr. Russell I biought lhe (Neal) ought to pa1y the nioto ais he was owing him11. 1Howev' r, thei not was aVh bon l)i1 hio trsactionr rind t he State would lose niothiing by it. "Wl , one, didnl't. you en.i dorse thaut riote, get thle money anid turn it in as8 enshi, while, as a1 mat11ter I of fact, the note is now outstanding and by you r enidorsemenlit the pem.l i teritiary is niow resons)0ibilel for it?"~ Col. Neal1 repl ied tha lt tIhat 1had been the practice all a long aind this ca~S0 did niot vHry from others. "But," insisted M\r. Stevenson, I ''hadn't the board of dlirectors passed a resol utioni inistruct.inrg you not to Indolrso notes anid by3 ridoirsinig this I 0one (lid youi riot violat.e that reso T1hie witness replied that lio bo lieed such a resol utilon was adopted0(, but, as lhe hrad said before it had al ways boen custoiiary for him to do so. ''On Novemuber 2?. 181)5, you col lected fromn W. Q. H-uiimondo $5(00 in audvanmee for comnvict. hire for I 16. Wh~at didl you do) with that morney ?"' '"1 kept that mlonley: L didn't turn it into the peniiteintiary.'" "Oin December 0, 181 5, you col. lected $500) frori ,J. S. bowler for convict lire ailso. What dlid you (10 with it?" "'I kept it, hut, will iaccounit for it when wo0 halve a settlomnrt."' Mr. Patt.oin-"Do we unde(lrstanid that y'ou used( this. money on y'our personal account ?"' "\Vell, y'es; I used( it peorsonailly for traveling eixpenises, etc., but I propose to. se tte a' 0ill I ta. lBut1 right. along that ino I want. to miay that the stintonmnt. niadie h) Mr. nur. riss inl roferoeco to theso accounts aro substlanitiailly correct. It was a fair, conscientious slatemont oni his pi rt. Defot 1 Wurn over th, oiflico to'( tho e S1uper1intivndvIA I propost. 0io py YI vvry diollar. vervy vo(It. 1 OWO thW instit.Utioi. I don't propose to call on. Ily builIm1ei to raike oi lickel, but proposo to setflo with this committev, tho chairin of tho board or the now supt-rintondeiii Oovry sinigl cont that I 0oo tho institut ion. Of cou rso they will givo mo cei,dit for whatever I havo Lxpended for traveling vxpvnsvs and id] that. Mr. Bturris4' stiatement is substantially corroect, and is vvry fair tind consciontio s oil his pailrt. I ,lon't beliovo lio intenti onailly gave You i singlo figure but what wIs :orrect. 'll State shall bc, pro teoted without. any losq. 1. havo not Lhe mony, but my frionds, I thitok will bo 1111 to got it. I will ho aiblo to get it with their help. Tho Suato ihain't loso a iikol oni that \. W. Russell noto. Russoll is a brot her 11-law of mine, ialnd perhaps wo havo ,lot gor o along oi that line as wil >ight to havo gone, but, ais I say ibout all I owe the institution, that loto sh-.:ll be paid tho sam wiy. Becauso b1 was a kinsman, perhaps vO W0ro 10oro lilient with himl) thai yN ought to havo beon."9 "Wh"lly didn't you turn over tho ;500 you got from Hammond - and Fowler and Cooloy at that timeio?" "Wvll, I don't romombor, but. pvr laps tbo pen iteit ialryv was duu Im, or traveling exp'lnset; at that timlo md I just kopt tho money alld ill en1ded to malc it good at settle. "olit." "Biut hadn't you had a settl-ment vith t1ho board of travoling oxpeises mid all ui. to January 1, 189'7 ?" "vell, I can't retuember." Mr, St(Avelsonl theni hatul'd Col. qeal i roceipt, signed by himself, or $161.30 paid him for traveling -Xpenses from August 1A), 1895, u) o January 1, 18W0. Col. Noal examined be receipt md said it was corroet. Mr. Stovenson tli said; "The hing I wish to get at. is this: You Imd received the $1,000 which you tated oil vostorday was hold on ae otint, of teraveling expenss duo you. Jolu ro.ivotdI that. inl the 1lattvr part, >f Novminiber atd early part of Do b111ber, 1). Now. in l bruary S 0 you hlul a sett leimnt. with tho ioad41 an'l, instad tf turning ill tho ,1,000 andi revtainling.. Sl (,1.30, yonl y11), notling,. about tho l, d nd oili'et 81 I01 .3t to cover tralingi ex >enses0 from Aulgust, 1895,, to Jani iary 1890,I thle very peidi hc Iil in't you aecont. for this $ I,000 t , iistoad of dIfiraig rnoroL mon0ey'', oul >f thle. treasury 7" "'I hloped hater (in to paiy this nloneiy bac0k, btt wasii not)1 ablo at t hat Mri. Pttton -"Is theare aniy t.i ng mi the b ooks of t ho penxit em iary', to how Ithi rece.i pt of thiis m10 oy ?"' "'No, si r, e'xciept onl muy rivate0 )ooks." "No cred1it 1has over boon gi ven or I hat. money'' )1 on t hooks of I ho "No, sir."' .1 Lav'o t.iose noln ever 110en gi ven "No, sir."' "T..hen if yout 1had114 dii ad your11 -staito had n11iot hoen1 im ol vLSnt, wonhli "Yes', if ii''hiliyii1 bonsme cold nIot mvi~OP1 pid it. t he St at c wvoh h)1 iave ost it of course. "Wl,is it your' ida oII(f rig~ht to ~olleet 1mo010y for the Stato~ anid uise 1 for y'ou pe~rson1al expenses,i.H w ithlout ho1 knowledge of theo directors?'' "'No, I see' now thait I was w''ron g nl dloing ihi . I sho0uldt have tuirned1( thenu dlrawnvi (on t penitnlt.iary for my traiivol inig expenseS." Lateor quolstions11 weVro asked as to whlat was a generiaI aiverago of his traveling sxpenses(', and( the wvitness5 relid t.u ha h44e d id not suipposo t.hi.y ThelP ' reort of th pi0en~ i tent iry for 1 895 w,as roforrod to whlere tmo anount, but. demianded an oflicial re cuipt. Whic' wats signedl by Neal ats suiporintident. Abit tho signa. tro C'ol. Neal said Ie didn't believe it wIIS his. lo Said: 'i don't ro. meluber ailything about. it. Thait wasI at priVIat0 Hettlem114ntC betweenI Wit(sonl ItIld myself that dafy aind I don't. Sco why I Should sign thw ri ceipt ats suiperintendont. Tho cotion wils sol that. (lay and \N Wit-on got his part of it firt. "Did youl recvive the aiimunt, spv cifiml thm for ttj(- penitientiary'e" "No, I did not." "Is tilit your. sigiint u1re l" "No, I donl. behove it iH. " Thw witness then compared Ohe si--il'nature with others and siid h' did not boli-vo it was h,. "Don't y..m consider, t bon, mor0ally, that y.Oul mwv tho statto for tho uIS- of those vonivicts for 1896, '97 and 'Osr ' " 'No, sir, I don't so considor my self responsiblo." "W ho, the1, is rs ponsible y" "Mr. Watson is responsiblo tindor his conltract." "We agree, then, -in tho point. that. had there been any profit in workiig tho cmlvi'ts )Oul would havo gottenl the benolit of it ?" "Yes, and Wiatson, too." "How mutch havo yvou paid \iatson Oil that place?" "Six thoulsiid dollars." "TIhei Irien't, you ".,,000 better oil' nlow 11han1 theln?" "No, I amll) worse oil. If I ludn't touched the placo I would ho botter ofi today." "itoW muc1h1 did 'Ol OWO hi )filmJ. tary I sf, 1801DY" "Folurten t-hotis: nd d"llavs." "Ai(d you Owo himn Low 1mch Ilow ?" "Eight. thouslind dollars." "Then you aro '-:4,t000 better ofT?" "No." "Well, then, Watson is $,000 bet tor off." "No, ho is responsible for the con viet, biro fir thoto throo years andl(] when ho pays tlit 110 will bo inl about. th Salm fix 1 He was it the beginnuing of 189.." "No, til) Stato is out the rent of those convicts for thl. ve yvars." "'Mr. \Vatson iays he Simply took il I1is mlle, bit you were to look after kiho paying of the( conivict hiren." "That cont ract het weon \Va at un and invhelf oinl tihe olo lot wel-11 Wthm a1nd tim Stat wI;s mado the s(II)O1 day. It, was parl. of til 8111110 tranSHCHiOl." Ani( neither ono would have tee 11l0 une1'te.'hr'a "Niot sir.4 1 The tlw orcs we ('1irigo moiid'e o i'l)e soln fh allYu n "I. didn't know t here wais such1 a stalttt. Never' had anybod01y to call mty at tontiion to it, but. knolw it. woul be0 imprud1 ent. and( k new thle board1( the sub1 jiect. Ne(ve'r heaitrd ian yonul say)." \Vatson's arraniligemen('t had1( worked out as8 you had1( hioped, anld possibly hald reonIO to bel]i eve at thle Ii me it, woldl, and1( thle affanir had comoi out1 pr ospously WautsonI would have re hadl the place and thle Stati wt. iuld have got teni the hire.'' "Yes0, and( (vOr;, thinrg would have been silinig."' Thus concl uded C!ol. N,a antrd his Iast. 11 statment was ilust1rated by at cundi~ features(4. chiiri'ii ni cf the bhoard of pouniten t iry direct01ors, said1 he desired01 to 11p1ext ionis, after wh i he 0woul d he ghale to aniswei' any) tig thait mnighlt be( as ked him i. lIo said:( "Thile fi rst initiimation of t hoe ir'. reglaiti or n)'ot es at thll banrk was on the4 '2al of tJanuary, I1899.1 . earne(ldi hrouIgh MI r. CIlark of the t wo Iu'4sdalih ote an uid lie lUusselI not11. Col. Neal wvas sick at th lt ime. I went up to his 1bo1so andil h11l a Iwow w lust im wis guing to do, but r'ce'ived 14 ,c:,.. ,r. I tholn wroto hhn el in' rai'j t IIhat he( had( a1 propt In uh b hN% wililed to tako to abanl. a aday or, two Col. ! : - d l-. o I liltn, nllin y to "Ma"th-w au!ense n athalt the parties wyoubid 'n 1 i a day-v or t-wo to Fettle 1h0 mIIIAvI.. "*1 W4'1t hno (n Saturday after. 11noln I'-n( vamli back. tawynxt wepik. 1 fooiuol lo)hill" 1II1I bm-en do1e, but that (oh. Ne41 had gone blick to An dorsoit. I ent t le 10okkeeper thorc IIIl bI himl, hv nMst go to Andor son and get allitho iiformition 1h0 '011141. Ile weNt aIn M aemo back. Said h a hifid settled Nith Mr. Hl m men., who had Ia rIecipt from Col. Nid. M1r. Fowlr haI ailto shown him'a receipt. from Col. Neal. Mr. I-twt-11 als..) prodc(.4-d at reeipt for his ill obhtedless. Alr. Wa,-otn aIId 4t)h14i frienids Of Cto]. Neal were at. tvinlldin"-f to raIliso Imlonley to settlo thie mnattvirs. That wats 0) o statum of tile afiri op to I ftw (ays iigo.O (IM1. NIVAL Mxpno.-d at desile to go back on tho witllv"i stand. I to 1Said: "A s "..e.t by tho pliited con .rimc tilit is t, foin thut h ai bumn u1sed for someo timk1o for liliking con ( racts. 1. want it, under-stood that I 111ve o t. goneo back onl t(S stand to C0t rlilet 111' StLItIIieet of the 1n - hors of th( hloitid. Thoir statoieet are*( COIrrecOt." lie went, o) to (-Xla)lkinl about the hirinlg of c'uon'viets inl Andorionl Couin ty. lit) said ho had pr0tvesvd inl thn board mIne ings Igainst the hir-ing of so many c-nvicts up there. Ap plicitionls cllio fro) tha. County antld nol. flol othlier prlti of th State. The fi-s conttract for conivictm waH wats mado in Aiierson counly and it ptn-ad tiheir where the nsult 4culd bo set I. Ho had protwstvd against it, for hie knew it. would c.)lto anll 11n1favoralibhi. imliprossionl. The cu-tom1 of the boarud had boui to give thold ool1t r:Wtors who had gte to the ex poenso of bulilillg stokalOs, eC., tho p-roeico, anlid 10 iost, of th con victs wer lev COce ited in this way ill Anlde: oil cou1ty. About. thw ii.ont.bly payient for 4the Jidr Of COInViet,4, Col. Neal said 041rO W11- I'lt mle contli-rator wh1Io paid p111 111m I.;tly every Ilnontll. The rece!(ip)tS for; v-ttb mW)IIIItH as RrIalI t 1 3- 11 IWS, 441o00 4)f th1w fact. t hat Ilts iolt rlnxis were ot. eig car.. rd out as 1 m hly p 4' In t- I-. I as4t yearP the4 hoani( 14assed4 a1 reso1u moi'st olvantingous,~44 contI racts8 he could( 1.4h ((I coniets. A law1 1'1 was1 pa(1sed pnt Iung th4e 111 wo yar teIrm) conv'it on Ite ('haiigziigs .iud hater hmad passed( a1 law'X (xtemling I iha limit to livo-ear'(1 by' thie ( orii). 111is dl'esi and the4 boa)1rd1 's esr4 inl maikinig theso tlv'-yeari1 leases'.- of c'onlvicIs was1 to 41so it. as8 a14 ar1g11nout t.o th1o4g(eneraIl assMembly 1.hat11 it 1was not. w1ellI to put -4uc(1 long-ten111ed8 conict onC 8 t)1Ihe Mr. I 1vigstonl asked if all th1( it.m ' app1earm4'l 1 g Iulerl(1 tho hond1( of C1o1l(M. Neal anwreOhau nm. of thern11 we4r(e on the( books14 hefore lhe 01a114 InI 11s supe8riIltenIdeIt. This complet44ed the4 te.stmony for 11uihe da and4) the( (c4on.it too(411 adjournedO ht' eiCro lnat National book. Stait ( T'reasu41rer W\. II. TIinniiaer too4 14o give( inlformatlion1))1~) abu the 1b1)441 ot Col). W. A. N4al as8 Msuper)in bonid was8 givenl A pril (, 1897, iln tho 81111 of $20 ,(0001. \V iin . 0ones, W. S. bonldmxen. Ani i nogularit,y existed1 in the bond1( in4 that,1 the4. names10 of the obligation w014 1or( left out im the body of the b)on11. TVhe bond1( was approvedl by3 W. 1I. E4~lerbo4, (Governor, and by3 n) jC4nt4 ei on .44 th1 1 algej iteis of $100 eaehl for traveling ex pvinses wits drawn foir uso that yoar, not withlstandt(]ing thalt hto had ro fainled $1,000 which lie had collet ed and i-vid, ats he s.iiii, for travel. ilig expinses. "Colonii, on Fvbruary 24, 1897, it app-lar in vvidee. that youl col VOlhi--etv(d froml Coolm. & Powlmr '4",-00 tnd turned into th1 ponitentIary "Yes, sir." ie Oher :24t, what becamo of "Yoll ""'t that" "Yes, r "ell :heoil oil tho slum) dato vo0i1 co Iveted Ir 1in Mr. it] i ond $856 1. Ianld tilr-i in s$5" .G, is that cor rect, Y" "Yes, eit'stcorrect. ' "The olt her $300 ylou ept "Yos, sir." "WhatI havoitav n Io Itdo oft "Will,t' I sed it for my own pri vato purl-osvs." The otl of in-ld o o by J. l . Wattson amd endorsedI by) W. A. Neal is superin'tentti , of theo South Caro lintm penitetiary for \\ atson to got Inonmy to pay at privato dvbt wasI handod tim witnevss. lio said: "I don't Iomlibir 1nhiYOling about 11uro onl tho back of it. and it, looks likw WvatFon's onilm waiuo of it.", "Did you)I kverI ('mlorso notes alm Hilperinitcod.-nt for oilhor purpo:!os thaln to raisu m1on1'y fur the polituln Liarv " "Not that I kiow of. It was Il way" to bentefit thn polnitontiatry." "I'heii are you Prepared to say that Mr. Iatsol's lititlieint was false ?" "No, unle1os I canl illIngiat, thet banl1k and find out what the noto was given for." About the use of coivicts for the Swita hospital for the insaniv, Col. Neal said Ihat ulder it resolution of the general aissembly a certitin nium bor of conviets woro required to bo fuirtnished the institution. Instead of furnisling them the convicts lie aittde IIrIgeImItS wit i tio asylum author01itivs uwreby, tho convicts wero to be let to Lipscolib to work inl his bricikyarud, atid inl retutin th e asyluii wil.. given a mi!lionl or I tmil lion and i a half brick aiinlly. TPho agnI. "mivnt wais t';Ial. Lipscomlb wVIs to fotrihi thei p0lnI)It, til mate rial, the State tht lbor aid the brick to ho divi.A'd. The SAtet was to give the asNi its m1illion of brick fromt i's hai . TheO re'lnunderIi wetn sold111( a 1R 'it' J.roeeels wet"' givet Cred'(it InI to' ]1eniitetittry i&eport. Th'Iiis I rido last ed 180l0' an 18l 9 57. The Iirs,t yeartt good mioniey wats utulde Takulinug upl Ithe penlitetir report' 1 i for 1897t, ?b ir. Steven'mson r'ead fr'o-' it. tin itemtt: "'i. 1. I agsdlalo $500 fot' "htus4e haid the jioiiteinttiary for cows, and1( intit tha. a raither' *igh prsice to pay'?" asked Mr\ i. St 'etnson. '"Cot. Neal replie'd I hat. the cow.~s wvere nleeded lor' miilkinig punirposes. H-e (1 il not lthinik t ho prtico very hiigh, c'i(ondoingt the cows w'ero ini tmilk, anld furithle rmorte te it..mi hadl beent approved by lie board of dliret.tors."' 13. 13. I tgi4dalhe; wvasni't he ini yourt emidohy at. that time; did hie have anty cow:4, or' hiiw tdid lhe got themn '(" iigatini asked Mr'. St. eensonm. "C(ol. N eal iex phlained that lie had allo wed( lingsdIleto bu Ily up the cows thbroughout thle cotunty andi( ship th.emt down here. Proted. still fur Ilt' a long thiis linie thle wv itess salid lherie wias ai p rofit. oin thle cows of abiout $2 por't hiead." "D1id lZngsdrJ get the~ profit or Ne.l. lTh 0te(s4 tootny of It'. W at son on lhe precodintg day mtoe CAol. Netal do ntied as ntru e I'i thle sLtteii.nt of Mr'. Walsomn that the 81,'105).5 w1as giveni htimi (Nol) int 197 f'or hire for cont viets for INSD)t, for which t hero waus ai for & I,7d' . WVaIs,n had( furtthe'r ste he1 sdto ,.i.t .e. e pt a per. sona ul recint front ~N en for Ii,i onferenlce with him inl roference to tihe matter. Theso were note.4 ei ther 1 !or flho bioard know nothill" tf andl I Ntilt s 'm11o inft-rn1111uion. I to:,aIid h wass sick, bst hs oon as h coult get up Ie wonlil exph1iini. ",I vniirediic of tim, kkee in, retferenlc to the(Stl notos 11nd( ho Floi; Ihe know Itiing of themll. The bvet iiformlit-iIn I c'uld get, foredti ml to Correct hell uIatier with th le Wallson iontrcie. N l r. Tiltt a f,, N I r. Garris fin(d Mr. 1iackwvel weri Ere a IId wo hal fill inlfornitid muetiig. Mr. (iar ris ld Illym-If wvro lls!id to go (o Col. Nel'Iandm ah, iniu11irh, s about Illese llotvs. Wt. sillitc(I aildt 111vt .r.J. Iholt on Wa t son. I tohd Mr. Vatson whit we hd dii b kiicovered. T'hat t hsese Ragsdah. nlutl S wen, Iee. v rt'.Wo promeille(I tliv we.rv li1. lor Lis contract and lislit-d if it wIs. o. I didn't lili-w L.uw thm notvs mimumlimip. "Mr. \WIt.-;s,n aevwd if we w;hli't ik a colitiraet with him for tli, kvrfor hands; that CoL. NiaI id agre'd to do I-). I tol him we .oul)d not unt1(il the.ie Illatters in tilt )Ifico wvrv striaightt-'Ileed up. 1 t propo.'wd tO givk i 11 ot for. t hw It. IB. ntgde noto. Pinillg udcr lIwe itm) p)rvssion that. tIt' I6gstbile note cov r0d1 the ist!i h rv-, I said: "WIH, if otn givo mse thl. elick for tilat 11otti, tho years 1,M01 alo INO4 fil. pearing settmled o thi oLS, I said, IWO will approve your eo 't rict.' W pirltid with that udlidrshtilding"'. "Mr. Oiaris ItAl I wvtnt up1) to 4 C(l. Nvid's Iin d round him very ik 1ieoro wo broached th mllattir to him ir. Watson cample in with Ihe ontrIACt. fol' this 'eaiir 1tin.1 Sahi he wnlited us to 1tpprovo it. "I askod him wlier as It e Owdifift. tind I said, 'hcro it is.' Tie drft. wits linided Col. Neal. I It."ked him to eidorso it Iaid give it to ilw. lIo Aiid tio. Wilhout tiaying anlything furth1er to Col. Nval, Mr. (Cr-ris id I left in(] went to the banik, where wo told Mr. Clark that wo haiid a tiraft to take up the 11. B1. INg.sale nIot o. Mr. Clark said it wa-4 irre"Iu hat. I suiggest Il that, as 11r. W it ionl wasH ill townt 1w coil-I Straligiltvil it out. I founl him aind hI gave it atisfactory dafift. It I e (ook Ilp iHe lagsdI,lale Iot with tho e dirlft. Wl dild not St.( Mlr. Wat.sonl Itny mo1r0e siater IbAt. "\'se V.et 11ch vi lid i conivvr ct ion wi ~ ithI th bookkieepet' ir, ma.lit, to y stouis ut, hs tohl me i wals st ) llot4e fi.r tlie I M. ir. Ti Il. Ip. Ibgdal nl was for t lhi IWi hsire'. I ti)hl thii bcookkeiepeir to com5 micainsto wc~ith Mr~I . Waitw.i oota ti'll hims hsow I le mastte'r isoo. 'e lur. their ancthsorizedc thae bookkeepesr to csomtiuiniucain with aisll thsie parties0 andu till thseui thsey 111ust1 settlec for con)itviet. ire. Most051 of t hms were lIth sIiueriintcendent, for thIis yiear. T'shiiboardi <h'elinedc to approsivie hthsm unis asll paust isihd.tedneis~s wasl 5-et Itil. \lri. laiininornii utad l''owler toll thmli w'e P4onh1( not approv con Itr:.(ties unt il thec~;'secounits weire sit bi-dl. They tidc t hey liad si tIled wvith Isol'. Nea'il. I suggsiedcc to themi t liat wc g;c 10 1. NealN's5 ' bornci acnd seco Iiim ~in il ritei*' t this miatter. 1Ic thl him cci I theIi hear. I hads rec ur sd .. a pi os' P heis . conitra5cts'- uin. t i ltir' nutteriisc woro'esettIled up. i Io clay andsc seit Itle usp. lit' dlii not cany iso i) oiany wi otl, butii. I inifierred thaut they3 did holis ret i;i I. "We\1 then lift scisl I sahcil to NIir. (lnuo)mlrFowler~vcce iJjif the wouhlI chacirnin, to prod)tc(ed to ii mak ths cot,li c1lins. I t hen' wro'ste to .\lr. Wasst.cii, sitteid t hih fuet to h; . sand 1)1n t a t11 o n e s s st isS. I w r t t M . el i s sill sand Mrt i. ii''r w. nil nch<l th< boockkcscper to) write allii othe part jit ie "'I wenrt home anc sit in a we~ek so fr'om, ansy of thces partN iesc. C ol. Nonm lad gonoc It) AndersJoni with theso-ct par tic's (lLaunIoind andc F"owler). "I wviredi ' Mr wVatsms to L.'t mi