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Show IE W W UITHORVHTRESS Minnesota State Senator Testifies in Pan Motor Fraud Trial. CHICAGO. N'ov. 15. The secret-' resolution by which directors of the fan Motor company (rave S. C. Fan-Jclt'o Fan-Jclt'o direction as advertisin; manager over 25 per cent of the paid in capital was perfectly regular. State Senator J. P. Sullivan of St. Cloud. Minn., testified tes-tified today in the fraui trial against thirteen company officials. Mr Sulli -an helpci frame the blue sky laws of Minnesota. "When the state blue skv law made it necessary to get a license," said the witness, ' Pandoifo hired me as his counsel to procure the license. The state securities board demanded that oulv j per cent be spent on promotion, and I so reported to him. lie was displeased dis-pleased with this arrangement. 'Pandoifo. Senator Brewer, who was acting as an attorney for the company, and I went to St. Paul, where we met with Attorney Carl Cummins and framed the contract complying with the law and drew up the resolution giving giv-ing Pandoifo direction of the speudiug of 25 per cent as advertising manager of the company. "There was nothing secret about tho resolution, and it was my understanding understand-ing that it was to be shown to the state commission, as well as the contract. con-tract. ' ' I'nder cross-examination the witness admitted that later the state body complained that it had not beeu fully informed and made the company abolish abol-ish this resolution to keep its license to sell stock. Senator Brewer, attorney for the defendants, de-fendants, made another effort to secure the admission of motion pictures as testimony tes-timony to show that the Pan company has a substantial plant. Through 1j. R. Brown, factory mauager, who had been recalled to the stand, he brought out testimony tending to show that the pictures had been taken of actual con-ditions con-ditions at the plant and are not faked. Mr. Brown also told of the improvement improve-ment the company lias made in efficiency efficien-cy under his management. During the month of October $122,000 worth of work was doue for other companies in the drop forge department, he said. "With the expenditure of $2,170,000 the plant capacity could be brought to 100,000 cars a year,'' he said. |