Evening Star Newspaper, February 3, 1894, Page 17

SATURDAY QUINTUPLE SHEET STAR $1.00 year; With forelen postage added, $2000, 0100 PF lase mail matter. (Entered at the Post Office at Washington, D. C., #9 second-c] ) (2-411 mai’ subscriptions must be paid in advance. Hates of wivertisine made known on application. WASHINGTON, D. C., SATURDAY, FEBRUARY 3, 1894-TWENTY PAGES. TO ADVERTISERS, ‘Advertisers are urgently re quested to hand in advertisements the day prior to publication, in order that insertion may be as- sured. Want advertisements will be received up to noon of the day of publication, precedence being | given te those first received. them. In a recent letter I told you how Vanderbilt once owned $45,000,000 of these registered bonds. Only the fewest cases are known where such-bonds have been stolen. One of these occurred a few years ago when the Manhattan Savings Institu- tion was burglarized by Jimmy Hope, and over $1,000,000 of these bonds were stolen. In this case Congress authorized duplicate bonds to be issued to the Manhattan In- stitution, and they lost nothing. Hope was finally captured, and the story of his bur- glary and punishment is one of the most interesting chapters in the history of bank detectives. MILLIONS IN PAPER. All AboutUncle Sam’s Fifty-Million- Dollar Loan. ODD THINGS IN SECORITIES. The Coupon Bonds and How They Have Been Counterfeited, GREAT FORTUNES INVESTED. Written for The Evening Star. HE AMOUNT OF bonds sold by the government from the beginning of the Union down to the year 1880 was ten billion, six hundred and ninety million dollars, a sum which makes the mind dizzy and which would buy up a dozen of the small monarchies of Europe. ‘This vast sum includes the bond issues of the United States up to that time. Many of them were made to fund previous logns, but interest was paid on every one of these dollars, and the gold which has been spent in this way by Uncle Sam would gild the great departments of Washing- ton and leave enough to make a solid gold Statue as large as that of the Goddess of Liberty which stands on the Capitol dome. Fifty years ago if a Secretary of the Treas- ury had made the statement that in half @ century the Uflited States would be bor- rewing money at 3 peg cent he would have been looked upon as a fool and a madman, but there is no security in the world better today than that of Uncle Sam, and it is believed here that a 2 per cent bond could be floated. Every one wants these bonds. They feel that their money is safe and that this $50,000,000 in bonds is surer than safe deposits or stockings under the rafters. Thousands of comparatively poor people will invest in these bonds. They will-get them through the bankers and they will pay high prices for them, but thelr money will be safe and the interest will always be paid when it is due. . In the Bond Division. Can bonds be counterfeited? Yes; and there have been many attempts of this kind. The only really successful one, however, was in connection with Jay Cooke & Company. These bunkers once bought $80,000 worth of coupon bonds of the denomination known as seven-thirties. They were pronounced counterfeits by the Treasury Department, and although the banking company sued the government for the value they represented they lost the case. The counterfeit. was made with the aid of a lead impression taken from the genuine plate in the bureau of engraving and printing at Washington by an unfaith- ful employe, which accounted for the won- derful likeness of the spurious article to the genuine. The most extensive attempt at wholesale counterfeiting of government coupon bonds was undertaken in 1880 and nipped in the bud by the secret service officials of the Treasury Department. The officials were on the track of the counterfeiters for a long time, but allowed them to perfect their plans to the point of execution, when they Were stopped. On October 21, 1880, James Doyle was arrested in Chicago as he was alighting from a New York train. He carried in his satchel counterfeit govern- ment bonds to the amount of $204,000. They were of the denomination of 31,000, and were excellent likenesses of genuine goy- ernment obligations of that class. At the same time, other secret service officers raided the house of William E. Brockway in Brooklyn. He was known as a counter- feiter and was suspected of complicity in the deal. He turned state's evidence and confessed to having made them. He guided the officers to a spot in the woods where they dug up twenty-two steel and copper plates, about $50,000 in counterfeit national bank notes and a plate for a $1,000 5 per gent bond which had not yet been used. Two or three years iater he “was again rounded up through the efforts of secret service officers and caught in the act of making plates for counterfeit railway bonds. This man Brockway was one of the most noted counterfeiters in the United States and is now alive, and, while in desti- tute circumstances, is said to be leading an honest life. His partners and associates have also been made to suffer for their crimes, and are now aged and broken. An Enormous Sum. There are lots of interesting things about these valuable bits of paper Uncle Sam issues. If any reader of this paper could have the biggest bond given out by the Treasury Department he would be rich be- yond the dreams of avarice. This bond is now in the register’s office of the treasury at Washington. It has been redeemed and canceled by the government. It is the only one of its kind ever issued and it was en- grossed by hand. It represents the enor- mous sum of $15,500,000 and it was given out when the Geneva award compelled Great Britain to pay this country * $15,500,000 on what was known as the Alabama claims the money was paid to Hamilton Fish, then Secretary of State. Congress had made no provision for the disbursement of this sum, and pending legislation upon the subject Secretary Fish invested the money in gov- ernment five per cents. receiving one bond of the face value of his investment. The oldest bond now extant is also in the possession of the treasury. It is a faded document about the size of a $5 bill, dated February 6, 1777. by which the government acknowledges the receipt of $300 from John Bonfield, which it agrees to repay on Feb- ruary 6, 1780, with 4 per cent interest. A cancellation mark on the face shows that Uncle Sam redeemed his promise to Mr. Bonfield. “Buying Bonds. Have you ever seen a government bond? It is only a piece of paper, but it is often Worth its weight in diamonds. The bonds ef the present issue are in denominations of $50, $100, $1,000 and $10,000. The bonds are of the same size and the difference, is stown by the figures on their faces. Four of these would make a good-sized dinner napkin, and I would like to’ have a set of napkins made up of these $10,000 bonds. Each napkin would be worth $40,000, and the twelve would make a nice snug little fortune of $480,000, or nearty haf a million. ‘These bonds run for ten years and they bring in 5 per cent interest. Each of the napkins would pay $214 a year in the way of interest, or $20,000 before they would have to be redeemed for their face value. A Valuabie Commodity. The new bonds are of twd kinds. One class is of registered bonds and the other coupon bonds. The coupon bonds are pay- able to beare> and to them are fastened a number of detachable coupons about the size of an old 10-cent shinplaster. The in- terest is pay»ble quarterly, and every three months you clip off these coupons and cash them at the treasury of the United States or at the banks. Any bank in the country knows just what th are worth and wili bay you the interest on them. You can use the coupons and the bends in business deals and their value is so well fixed that they could almost pass as money. The chief danger connected with them is that any one can use them, and if the holder of a coupon bond loses it the man who finds it tan turn it into money on the next pay day. No identification will be asked at the bank by the man who presents it, and the bur- glar who gets hold of a lot of coupon bonds considers them more valuable than so many greenbacks or $20 gold pieces. t u u i t u was then Secretary of Seerctary Carlisle. As to registered bonds, these are of a somewhat different nature. They have no coupons and are payable to the person whose name is written on the bond. In the Office of the register of the treasury at Washington there is a record kept of the men who hold these bonds, and about a wagon load of ledgers and journals are @evoted to this purpose alone. As soon asa bond is sold an account is opened with the person who buys it bet: nm him and the government, and in this is stated the paid for the bond and the rat t. Every three months the cier! fo through the books and make out a set of accounts. They notify the treasurer of the United States to pay all the interesi due to the persons who hold these bonds, and this money is forwarded to them ir the shape of a treasury draft. As scon as the bond is redeemed the account Is closed If the owner of a r bend desir. to transfer it to another the transfer must be indorsed upea the back of the bond be- fore witnesses by the govern ment and a must be mac at the T: ment. As the the last own transfers ure interest ™ bonds are a! United Sta ns of money i terest £ day. end rich men put larg this government at one time wa when a total of $741,000,000 was issued. Of course the public debt was not in that extent, aga portion of the bonds re- deemed others They had fallen due and Uncle Sam was not prepared to meet the obligation with ready cash, so he did what you would try to do if your. note in bank should fall due and you had no money to take it up—you would give another note in its place. Was a very popular joan, cent interest, and was negotiated without troubles in times past. quite low and just before and during the war the money lenders were not so greedy for the government cribs. The first bonds ditficulty dark. Many of the banks had little faith talists to help them in plac! It was the faith which Jay the government that made his great for- tune. Jay Cooke & Compa: ning of the war did ed the confidence of they made a great « the bonds from blocks and dealing them out in smaiier lots to purchasers. partment may come to the relief of by anticipating the redemption The largest denominations of bonds now | outstanding are those of $50,000. The for- unate possessor of one of these draws $2,500 interest every year and his original investment has increased $7,000. This denomination of bond is held by trust companies and millionaires. are a great many bonds outstanding of the denomination in value about ‘There of $10.00. The holders hese draw $i00 interest every three months | upon each bond. The largest issue of bonds ever made by in 1877 ed to outstanding at the time. This drawing 4 rouble. Uncle Sam has, however, had his money His credit was once hat were sent and out were sold the financial with some skies looked nm the future of the government and reasury had to call upon bankers and ca; % their bond: Cooke had ti at the begin- a great deal for the Snited States Treasury. The firra possess- Imon P. Chase, who the Treasury, and al of money by taking the government in big Salomon P. Chase. At times of gre nroughout the ight sevrcity depres a ru Pe of bond. 1 and the owner right to cal! up yet woukl of the n the like the sury a |avoid biting and wetting the lips,’ particu- ‘ |larly out of doors, as cracked lips are hard market. The alternative of such action 1s Jett largely to the discretion of a secretary of the ‘“reasury, but as cnis official is pre- sumed to be the leading tinancier of the j country and te be in sympathy with the promotion of the financiaa interests of the whole nation his acis are seldom questioned eXcept for mere political effect. The history of the United States bonds is interesting. The first loans ever negotiated by this government were with foreign countries, France, Spain, Belgium and Holland fur- nishing the money in several small sums. The first issue of anything like a bond for home investment occurred in 1775, when the government negotiated what were then called loan office certificates. This scheme Was modeled upon a plan proposed in the Virginia legislature ten years earlier, when the junior branch of the legislative body of that state proposed to borrow £240,000 sterling at 5 per cent interest. The fund for payment of interest and principal was to have been raised by an impost duty on tobacco, That scheme was abandoned by Virginia, but the general government re- modeled it in 1775. Congress believed that if a popular loan were proposed the people would subscribe liberally, and the govern- ment would raise all the funds needed for the exigencies of that occasion. The loan office certificates which were issued in ac- cordance with this plan were of two kinds, one bearing interest in specie, the other in paper money. Unfortunately these cer- tificates’ were immediately thrown into cir- culation, which was contrary to the expec- tations of the promoters in Congress. The fact that these certificates bore interest induced many persons to prefer them to paper money. Contracts were drawn re- quiring payment in loan certificates, and they soon became the preferable medium of exchange, depreciating the value of the Paper currency. Finally the government could no longer pay interest on the loan certificates and the holders of them were in dismay. Many persons during the great popularity of the certificates had sold their worldly possessions to invest in certificates and now found them on a par with the de- preciated currency, Alexander Hamilton. In 179 the first issue of bonds to any ecnsiderable extent was made. It was found then that the indebtedness incurred by the war of the revolution was a matter of grave importance. The jndebtedness was in many forms, and on numerous accounts. Alexander Hamilton came to the front with a plan, which, after a long and heated debate in Congress, was adopted. It was decided to fund the revolutionary debt by means of a bond issue. The bonds ran in three series, the bulk of them drawing 6 per cent interest, the total issue amount- ing to about $64,000,000. The scheme proved to be a success, and Hamilton lived to triumph over those who had opposed it. in 1812 the government was again com- pelled to borrow money. This time a loan of $11,000,000 was negotiated, stock being issued for the amount borrowed, and the revenues of the government pledged for its payment. Other loans followed at intervals between this time and the beginning of the civil war, . It was in 1801 that the government made time. In consideration of the difficulties surrounding the situation and the critical conditions of the times, that negotiation may be classed as one of the signal feats in the financial history of the United States. Uncle Sam borrowed $150,000,000 on this deal. A Memorable Occasion. At that time the credit of the government had become so impaired that a large loan could not be obtained in any ordinary way, nor even a small temporary loan, except for a very short period and at a high rate of interest. Before Congress adjourned in 1861 it conferred upon the Secretary of the Treasury greater power to contract a pub- lie debt than had ever been given to any of his predecessors. Early in August, im- mediately after adjournment, armed with the authority thus conferred upon him, Sec- retary Chase hurried to New York to make Joan. A meeting of New York bankers was called on the evening of August 9, at the residence of John J. Cisco, the assistant United States treasurer. It was a memor- able occasion, and the results of the con- ference then held were all important to the nation. The financial situation was dis- cussed, and various plans suggested for re- lieving the country. Finally, Mr. Coe, | president of the American Exchange Bank, | proposed an association of the banks | throughout the country for the purpose of lending to the government the capital of | the country. This could be accomplished very easily by the banks, and the money distributed in small sums to the people. ‘This plan met with instant favor. Another | meeting was held the following day, and a committee appointed. On August "15 the committee reported that thirty-nine New York banks would agree to the plan. Bos- ton and Philadelphia banks also concurred. ‘The plan adopted was that there should be an immediate issue of $50,000,000 of treasury notes to run three years at 7.30 per cent. The banks were to take this and be allowed to take $50,000,000 more the fol- lo October. The government was to appeal to the people to subscribe to the notes, and the banks to take them in pro- portion to their capital. The plan worked admirably, and three ues of the notes were made. They were posed of to the people through the banks and through agents, 148 of whom were ap- pointed to negotiate the notes and receive a commission therefor. From time to time since the war the guvernment has made ans to recuperate its cash balance or to fund previous loans. The interest-bearing 1 t on January 1, 1805, of the Pacitic railroad debt, was 5. FRANK G. CARPENTER. coe IT IS GRIP WEATHER. is: These Simple Directions Will Help My Lady to Avoid the Plague. From the New York World. This is grip weather, and among the for- midable allies of that plague are pneumonia, catarrh, ‘bronchitis and consumption. it is | very important to health to keep the mouth closed and breathe through the nose. This habit would prevent much of the coughing, sore throats and bronchial troubles so com. mon in winter and so hard to remedy. The air in its passage through the nose is not | only warmed but filtered of the particles of dust and the germs of disease always in | circulation, thus protecting the throat,bron- chial tubes and lungs {rom irritation and exposure. An abundant supply of fresh air at night will do much to keep the respiratory organs in a healthy condition. And if, at the be- ginning of cool weather, before there has | been cause for catching ‘cold, a cold morn- | ing*bath is taken regularly a “good throat” may be kept all winter. This cold dip is a matte™ of a gallon of water or so and hve |minutes’ time. It is a wise plan, too, to to repair. | Not a few colds come from indigestion. | When the tongue is “like a cotton. stick,” jas Kipling puts it, the liver is torpid and a stimulant is needed to throw the pile into the intestines; this causes the natnral action of the bow ang may be produced by vigorous exercise, hot drinks, spoon fo and laxative fruits, such as’ grapes, grape fruit, oranges, apples, &c. If not an- noying, colds and throat diseases are dis- susting, and the woman of social habits owes it to her a lates to be as whole- some and as beautiful as possible. Colds are catching bad manners are corrupting and bad appearances are condemnatory, the largest loan in its history up to that |’ A. M. MOORE, Moore’s Shoe Palace, (Next to King’s Palace,) And will be sold as an Advertisement at We have engaged a large force of experienced shoe Salesmen (not boys) and are now assort- ing and placing this stock upon tables. The Sale Will Begin Monday at 10 A.M. Beyond a shadow of a doubt this will be ab- solutely the greatest Bargain Sale of Shoes ever inaugurated in America. Moore’s Shoe Palace, (Next to King’s Palace,) 810 7th St. N.W. ' The Moran Shoe Stock, Which was damaged by fire and water December 26, prior to assignment of Geo. T. Parker, Has Been Bought at Auction by No. 810 7th Street N.W., . At 25 Cents on a Dollar, One-fourth Moran’s Prices.. SILI LLP LP PPP ISIS SSSI IIIS: IN THE OLD TIMES. Along the Anacostia From Giesboro’ to Bladensburg. ee a THE EASTERN BRANCH BANKS —<—— Interesting Goings On Before the War. NOTED MEN AND PLACES Written for The Evening Star. The neglected and sluggish waters of the Eastern branch of today present a sad con- trast to the bright and deeper river that ebbed and flowed along its course in the long ago. Picturesque and rich in scenery, it stretched its winding way like a silvery thread through farms, meads and mead- ows from its source above Bladensburg to its confluence with the Potomac. On the south bank and at the mouth of the river was the summer home of Wash- ington Young, a wealthy planter. Gies- boro’, with its wealth of river views and fertile fields, its old white mansion and nu- merous outbuildings, all of the same cheer- ful color, and surrounded by grand old shade trees, was fair to look upon and a conspicuous point on the river. During the late war Giesboro’ was occupied by the government and an immense cavalry depot established. It was the scene of many a wild escapade by the boys in blue. In the old days a large seine was operated here during the fishing season, and a big catch of shad and other fish was an an- nual octurrence. In fact, the river swarmed with the toothsome shad, and seines were hauled at intervening points as far up as Benning. There was quite a large fishing landing at the Anacostia end of the Navy Yard bridge, that supplied many farmers from the back country with fish for winter use. It was a custom—now “more honored’ in the breach than the observance”—with the fishermen te join in a refrain when | landing their nets, and as the seine drew nearer the shore their merry voices rang out with redoubled vigor, and to give zest to the occasion “a jigger of spirits” was given to all hands round. The Old Arsenal. In 170% a military station was established by the government on Greenleaf’s Point, designated on the map of the city as reser- vation No. 5, and the site of the present arsenal, or barracks. Troops were stationed here for a while, but in 1807 large shops were erected and active work commenced on the arsenal. The original area comprised twenty-eight acres, and in 1867 it was ex- tended to its present area by the purchase of the adjoining land. In 1812 it was used for the storage of powder, and when, in 1814, it was destroyed by the British,a num- ber of the latter were killed by an explosion of powder secreted in a well. It was re- built in 1815 under Col. George Bomford. The old United States penitentiary, which stood in the north end of the grounds, was erected in 1826-29 and was nfide memorable > ago an old-fashioned flat-bottom ferry boat did service before the erection of any bridge over the branch. It was here that the Duke de Siancourt, who was president of the French assembly, and visiting for as the scene of the trial and execution of the Lincoln conspirators. One of the saddest accidents that ever oc- curred in this city took place within the walls of the old arsenal and shrouded the city in gloom for many days. A terrible explosion of one of the laboratories occurred | the first time our June 17, 1864, killing twenty-one giris who aver ts uae Git eta coer crossed the river in one of these Primitive were employed there. Their bodies, when ie found, were frightfully mangled and the | PO@ts, of which he says: “I passed in this | Point, then thickly building wrecked. Here were manufactured our Fourth of July fireworks, which the good fathers of the republic—in Congress assembled—annually provided for the enter- tainment of the people of the District, and which were set off on that sulphurous night in a blaze of patriotic glory just outside of the north wail. The bluff just east of the arsenal known as Buzzards’ Point, was for many years the roost of immense numbers of that “black and ominous” bird, from which the point derives its name. It was always a lonely, isolated and barren spot, and there are but few houses there today. A little further on to the right are the beautiful grounds of the insane asylum. This was formerly the extensive farm of Thomas Blagden, who erected a rustic observatory on the crest of the hill, which could be seen for miles and which commanied a magnificent view of the Atty and Alexan- dria. “Blagden’s Observatory” was a prom- inent landmark for years. Almost adjoin- ing these grounds was picturesque Pop!ar tudded with tall, grace- ful Lombardy poplars. Here lived a certain recluse, with no one to share his solitude but a faithful slave. He was very hospit- able, however, to those whom he chose to see, and was noted for the preparation of a dish, which was then very popular here, namely, roast “‘shoat,” and when dressed and garnished with herbs by his cunring hand it was a dish fit for epicures. Stand- ing on the bank of the river and directly opposite the navy yard, in a lovely grove of trees. is the old home of the late George W. Talbertt, the friend and companion of John Howard Payne. It was here beneath these oaks that Payne wrote his immortal song of “Home, Sweet Home.” The Tai- bertts owned a great part of the land on which the thriving suburb of Anacostia now stands. At the time referred to Ana- costia had no place on the map, but on its site were sore of the finest truck farms in the south. The entire region from Giesboro’ to Bladensburg was proverbia! for its carly vegetables and luscious melons. In fuct, Eastern branch products are at a premium yet in this and other markets. In the Old Slave Days. In the old slave days the plantations lying cabins and were often the scene of much merrymaking among the blacks. Old resi- dents of that section can reall the plaintive melodies that floated out on the crisp au- tumn nights from the gay corn huskers, far into the night; ard at Christmas times, as a basso profundo, they held high carnival! by the light of the moon “over the branch.” bridge at that time was the Anacostia Tavern; a very wise dispensation, no doubt, as the roads were very dusty and a goodly number of thirsty souls traveled that way, and, besides, the tempting array of old: fashioned round-bellied bottles that adorned the shelves was simply irresistible. The bridge at this point was not a free one at that time and tol! was exacted and paid in more than one sense; for tradition tells us that it was the favorite tr place for ardent swains and susce as well as toll to the bridge tender. It was also a great resort for the disciples of Isaak Walton, who loved to cast their lines in pleasant places, and who presented a for- and angied for hours, regardless of time and tide. Before the Bridge Was Built. On the left crest above the bridge was the old “ferry wharf,” where many years ! | i midable front as they lined up on either ; Who & side of the bridge with military precision | lscene of many along, the river were dotted with negro | y boat with ten horses and a carriage and was uneasy till 1 arrived on the other side."" Some years later it became the fa- mous bathing place for masculine Bast ‘ashington and the summer haven of the irrepressible Navy Yard boy. Just above the “ferry” at low tide can yet be secn the charred piles of the old bridge, which Was burnt by the British in 1814. The ap- Proaches to it on either side are almost obliterated; decay and desolation mark the spot, but the antiquated toll house is still standing on the other side of the river, a solitary relic of the old days. A little fur- ther on the left, where tiny white spires look out from trees that are ever green, is the old Congressional cemetery, where re- pose the remains of so many of our coun- try’s illustrious dead. The first interment in these hallowed grounds was that of Commodore Tingey, who was the first commandant of the Washington navy yard and who died February 2%, 1829. At the bend of the river just beyond stood for many years the old safe keeping was intrusted to a Mrs. Hebb, who fearlessly and faithfully per- formed her duties. Its isolated position ——- it comparatively safe from acci- ents. Benning Bridge. Benning has been made famous in song and story as the Mecca for sportsmen, Ortolan, reed bird and wild ducks were found here in abundance, During the shoot- ing season the sound of the shotgun and rifle could be heard throughout this land of promise from early morn to dewy eve, It was as incessant as the rattle of musketry on the field of battle. The sturdy boatman, with his frail skiff and pole, shoving his light craft stealthily through the tall wild oats of the marshes was a familiar and picturesque scene. The old tavern at the east end of the bridge has been the scene of many a revel; for nearly a century it was the headquarters for rollicking sports- men and jolly watermen. In the oid days of the “cock pit,” when ‘gentlemen of the old school” patronized the sport, it was the a spirited battle, a: the phrase “a dead cock in the pit’ was not only suggestive, but of frequent occurrence, About midway between Benning and Bila- densburg, on the left of the stream, was the well-known “Licking Banks,” noted for fine fishing. The water was very deep and fish of every kind known to these waters who would prolong their merry meetings | were taken here with the line. There was a farmous echo here that repeated itself with fiddle and the indispensable tambourine | ™&"¥ times; to the superstitious it was an uncanny spot and they declared that “in the dead waste and middle of the flight” ‘The only house at the other end of the| SPirits waiked abroad and goblins reigned supreme. The next point on the river, and then at the head of navigation, was Bia- densburg, the “fairest village of the plain,” but of this more anon. V. PULIZZI. oe Against Making 2 Farce Out of Bal Games. The story that Latham is in Boston try- ing to land Jim Corbett for the Reds is ing | Not believed at Cincinnati, despite the as- tible | sertion that the third baseman is acting country lassies, who paid tribute unto Cupid | for President Brush. Treasurer Lioyd frowns upon the present lunacy and inti- mates that the league will never indorse a $10,000 limit for fighters. Capt. Anson, at Cincinnati to referee the billiard match, denies that Chicago has offered one- eyed Connelly a place in the league. ager Frank Bancroft treats the whole m: ter lightly and says Corbett the Reds will make a big hustle to secure Queen Lil to sell score cards at the main gate.” naval magazine, whose | “If Ned Hanlon gets | NEW CO-OPERATIVE ENTERPRISE. The Undertaking of Which Ex-Come gressman Otis of Kansas is the Head. Special Correspondence of The Evening Star. TOPEKA, Kan., Jan. 30, 1894, Ex-Congressman John G. Otis is at the head of the latest business co-operative en- terprise in Kansas. The name of the or- ganization is the “Exchange Company of Topeka.” The capital stock is $100,000, an@ ¢ objects for which the company 1s forme. as set forth in the charter filed with the Secretary of State, is to “advance the cause of co-operative education among all classes of society, and jo any and all things that may be noeotul to carry these objects into successful operation; to buy and sell produce and merchandise of all kinds, and to receive on deposit farm pro- ducts, manufactured articles and money, for which receipts of ihe company will be given.” The filing of charters of this character in the office of the secretary of state was, three or four years ago, an every—Jay oc- currence. At that time the Farmers’ Al- Nance and Industrial Union had a mem- j bership in Kansas of 130.00, and it was Spreading the doctrine of co-operatica with remarkable success. Exchange stores were established in every cit and cross-roads. Exchauge elevators were constructed and exchange companies form- ed to buy and sell grain. The principle of co-operation among farmers threatened to drive country merchants, °n' dealers into bankrupt the alliance religiously the exchange companies and boycotted the regular merchants. The larmers felt them- selves competent to transact ail their own business and save to themselves all of the Profits of the middle men. They were gomg to do away with merchaats und grain buy- jers. Unfortunately for them they did te | Pealize that a merchant, in order to be suc- | cessful, must Know the secress of | must know when, where and now to buy. ‘The result was that the imexperienced men were placed in charge of exchange stores. The institutions were not managed on business principles, and consequently were not prosperous. Soon exchange com- pany failures were of daily occurrence, un- til now fully % per rent ct the thousands ‘of exchange stores estaclshed in the state are out of existence. They have eltner ve- come bankrupt or were closed out by the stockholders when ey were found to be operating at a loss. Farmers who «ok Stock in them lost heavily, and the prin- ciple of co-operation received a great set- ba bought shares in Then Cyrus Corning starved his labor ex- change, the principles of which have been fuliy discussed by the press generally. It differs from the old alliance exchange tn that it requires little or no capital to con- duct an extensive business. Instead of pay- ing cash to patrons for their products it issued labor excha necks, which were accepted at the store for goods and were | used as a circulating medium in trade and | barter between people who nad confidence in the scheme. This plan is made a part of *he scheme of ex-Congressman tis’ company, which combines the principle of the Tabor ex- change and the old Farmers’ Ajllance. As Mr. Otis and his associates have abundant capital and are si ssful business men, the new company will che’ project a thorough test and determine its practicabil- ity. ee Henry Winthrop Gi has been appointed | receiver by Judge Burret of the supreme court for the Thomson-Houston Electric Company of New York in the suit of the Holland Trust Company. It is semi-officially denied that Timbuctoo, | the capital of the western Soudan, will be j evacuated by the French force which fe cently took possession of the