In re the Application on the Part of the People of New York

58 Misc. 154
CourtNew York Court of General Session of the Peace
DecidedFebruary 15, 1908
StatusPublished

This text of 58 Misc. 154 (In re the Application on the Part of the People of New York) is published on Counsel Stack Legal Research, covering New York Court of General Session of the Peace primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the Application on the Part of the People of New York, 58 Misc. 154 (N.Y. Super. Ct. 1908).

Opinion

Rosalsky, J.

Paul D. Cravath, the respondent, an attorney and counselor-at-law, was subpoenaed as a witness before the grand jury, and, having been duly sworn, was asked by the district attorney to testify as to what Thomas F. Ryan, his client, had told him in regard to the sale to the Metropolitan Securities Company of a certain railway, known as the Wall & Cortlandt Street Ferries Company, regarding which sale the grand jury was conducting an investigation for the purpose of ascertaining whether or not the said Ryan and others in connection with the sale of the said Railway Company had stolen the sum of $111,652.78.”

The said Paul D. Cravath declined to answer the questions propounded by the district attorney, upon the ground that he was counsel for Ryan, and that what Ryan had told him concerning the matter about which Cravath was to be interrogated was in the nature of a communication between attorney and client, and that his client, Ryan, had not instructed him, Cravath, that he had waived the privilege.

The grand jury thereupon, on the 11th day of December, 1907, made the following presentment to the Court of General Sessions:

The Grand Jury of the County of New York duly impaneled in the Court of General Sessions of the Peace, in and for the County of New York, for the November, 1907, Term, respectfully presents to the Court that:

“ It has for some time been conducting an investigation for the purpose of determining whether or no crimes have been committed within the County of New York, especially in connection with the sale of the securities of a certain railway known as the Wall and Cortlandt Street Ferries Company, to a certain corporation known as the Metropolitan Securities Company. That it has taken a considerable amount of testimony relative to this matter, and has sworn and heard the testimony of several witnesses. That, among other witnesses called before the Grand Jury, was one Thomas F. Ryan.

“ That the said Thomas F. Ryan was duly sworn as a witness, and, in the course of his examination, it appeared that [156]*156one Paul D. Cravath, an Attorney-at-Law, practicing in The- City of Hew York, had acted as counsel for the said Thomas F. Ryan.

“ The said Ryan gave testimony at length in regard to his connection with the sale of the securities above mentioned, and being asked if he would waive any privilege of attorney and client which might exist between himself and the said Paul D. Cravath relative to communications made in connection with the aforesaid sale, he, the said Ryan, declined to waive said privilege.

“ That, in the course of the examination of said Ryan, the following questions were asked, and the following answers made:

. “ ‘ Q. How, since the discussion of these matters (that is, matters relative to the purchase aforesaid), have you conferred with Mr. Cravath in regard to the details of transactions whereby the Metropolitan Securities Company acquired title to this Railway? A. I have talked to him generally about it; not in detail.

Q. What did Mr. Cravath say about it ? A. About what ?

Q. About the transaction -—■ the sale of this Railway Company ? A. Why he told me that Mr.-, that he had his transactions with Mr. Whitney.

“ 1 Q. And what transaction did he say he had ? A. That the -that these railroads were to be sold to the Metropolitan Securities Company.

“ ‘ Q. What I want to find out now is this particular railway, because this is the one specially under investigation —'this Wall and Oortlandt Street Ferries Road. What did Mr. Cravath say about that ? A. Well, he said that the road was to be sold to the Metropolitan Securities Company for this amount of money.

“ * Q. Did he say how it came about to be sold for that amount of money ? A.. Ho.

“ ‘ Q. Did you ask him? A. Ho.

“ ‘ Q. Did he say whether or no he knew at the time of the sale the amount of money that was to be paid? A. He did not.

[157]*157“ ‘ Q. Did he state whether or no the check came through his office? A. Ho, he did not.

Q. Did he state whether he knew of or furnished the memorandum to Brady according- to the provision that was made ? A. That came up recently and he said he did not. My recollection is that he said he did not furnish any memorandum.

Q. What did he say was sent from his office to Brady ? A. He did not say.

Q. How did you tell him what your idea of this transaction was — of this purchase or sale? A. After we began to discuss it, I told him just what I told you.

Q. What you have told Mr. Oravath in regard to this transaction is in substance what you have testified to before this Grand Jury? A. Practically, yes.

“ 1 Q. Well, what else of a substantial character have you told him in regard to this transaction; other than what you have testified to? A. I don’t remember anything else.

“ ‘ Q. Have you told him what you thought this $500,000 was for? A. Ho, sir. Well, I told him.

“ * Q. As you have told it here ? A. As I told it here. That is all.

“ ‘ Q. Was there anything more than what you have told here in regard to this transaction—this sale — that you have told Mr. Oravath? A. Ho, sir.’

“ That theretofore the said Ryan had explained at considerable length his connection with the said Wall and Cortlandt Streets Ferries Company, and had testified as to such knowledge as he had in regard to its sale. That one of the questions that the Grand Jury was investigating was whether the said Ryan and others in- connection with the sale aforesaid of said railway company had stolen the sum of $111,652.78.

That thereafter the said Paul D. Oravath was called as a witness before the Grand Jury, and, having been duly sworn, was asked by the Grand Jury to testify as to what the said Thomas F. Ryan had told him, Oravath, in regard to this transaction — the sale to the Metropolitan Securities Company of the railway above mentioned — and he, the said Paul [158]*158D. Cravath, stated in substance that he could not answer such questions because it was a communication between attorney and client and that the client, to-wit: Thomas F. Eyan, had not instructed him that he had waived the privilege.

“ The said Cravath was then in substance informed of the testimony above set forth and his attention was called to the fact that the said Eyan had informed the G-rand Jury that he, Eyan, had in substance told him, Cravath, what he, Eyan, afterward testified to before the Grand J ury, and that there was nothing else in regard to this sale that he, Eyan, had told the said Cravath that he had not told the Grand Jury. Said Cravath still persisted in refusing to answer the questions, stating in substance that he considered it his duty as an attorney not to answer even though his client, the said Eyan, had himself testified in regard to the said transaction and as to Evan’s communications to him, Cravath, in reference to the same.

“All of these matters will appear more fully and at large in the minutes of the proceedings before the Grand Jury, to which the Grand Jury respectfully refers the court, should the questions involved be not sufficiently set forth in this presentment.

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Bluebook (online)
58 Misc. 154, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-application-on-the-part-of-the-people-of-new-york-nygensess-1908.