The evening world. Newspaper, April 2, 1903, Page 3

. LA KEENE NOT ALLOWED 10 SEE THE U.P. BOOKS. Declares in Answer to His Enemy Har- riman that Obstacles Were Thrown in the Way to Prevent Him from Studying the Finances of the System. ‘By James R. Keene and PB. H. Harriman have come together with a crash. Whe collision may be likened to that of two battle-ships. The resounding Teport fills the entire Wall street district. Little else is talked about there to-day and the comments on tne state- ment counter-statements, affidavits and counter-affidavits of the principals ‘are v' ied and interesting. The unusual effort made by the Union Pacific pubsic y department to give wide currency to the Harriman affidavits at- tacking Keene was especially noticed. Type-written copies of the docu- Ment were handed out to all comers. While there is a difference of opinion as to the merits of the con troversy everybody seems to agree that Messrs. Harriman and Keene are making exceedingly valuable contributions to Wall street literature and satinfying to the fullest extent curiosity as to the true inwardness of one of the most sensational stock and railroad deals ever attempted in the Anancial district, GLOAT OVER WORKING IN LAMAR. The Harriman party takes especial delight in that part of the Harri- man affidavit which connects David Lamar with Mr. Keene's operations. " The crux of that part of the statement is that Lamar and Edward Lauter- bach, the attorney, endeavored to impress the head of the Union Pacific contro] with the belief that they were acting for and in behalf of Mr. Keene nd that they could influence that gentleman to refrain from legal proceed- ings against Union Pacific if they were given certain recognition. Mr. Harriman carfully avoids making the direct charge that Mr. Keene ‘was engineering the hold-up from a safe position in the background, but he skilfully arranges his facts to convey the intimation plainly. There is nothing whatever to show directly that either Lamar or Lau- terbach was acting by the authority of Mr. Keene in their attempts to ar- fange a deal with Mr. Harriman. Mr. Keene is saying nothing for publication on this point, but his con- fidential friends say privately that he ts in a wild rage over the disclosure. His peremptory despatch to Mr. Lauterbach to submit affidavits to the \ Nashville cout in explicit denial conveys a well;defined intimation of his in- tentions and feelings in the matter. The statement given to the newspapers ‘by Mr. Lauterbach in response to Mr. Keene's order does not seem to fully cover the ground, and Wall street awaits with consuming interest further developments. | 9690000000908 2HEHOF HESS EHOHMODIDEHIDADEHEDIDADORODODIDONGD DN IOOH DOHSOODE MR. KEENE AS HARRIMAN SEES HIM. day EVENING, APRIL 2, 1909. TEST NEWS OF THE BUSINESS WORL 2 &. LAUTERBACH IS COUNSEL FOR BOTH. The introduction of Lamar into the case is regarded by Mr. Harriman’s friends as a body blow. The connection of David Lamar with Wall street tization is so well known that reference to his name and identification of his -pertonality in any kind of a deal is not looked upon as a high-clasa indorsement. Mr. Lauterbach is Lamar’s attorney, and he\also acts in the same capacity for Mr. Keene. If there ie any closer relationship between the two men than having the same attorney it has never been proved. Fur @ year or two Lamar has claimed to be on close terms with Mr. Keene. The latter's friends are asserting that Lamar has greatly exaggerated the facts and there has onl; been a casual acquaintance between the two mn. Mr. Keene {s incensed over the statement issued by Mr. Harriman that | he has ever given the pool representatives full access to the Southern Paci- fic books. This statement is denied with great vehemence ahd the attor- neys for Mr. Keene and Talbot J. Taylor & Co, issued a statement this afternoon in which it was denied that Mr. Keene or his representatives had avoess to the books. The stutement tien continued: REFUSED TO LET HIM SFE BOOKS. “On the 2d day of March, 1908, I made application for an inepection of the stock books of the Southern Pacific Company to Mr. Alexander Millar, the Secretary, at No, 120 Broadway, and thereafter almost every day until the 17th day of March, 1903. A similar application was repeatedly made by My representatives, who were also stockholders. Mr, Millar refused to allow me or my clerks, through whom the applications were made, to ex- @mine the books, resorting to one pretext or another, in order to Postpone @ny‘inspection by us, until we found it necessary to apply to the Circuit Court in Kentucky for an order compelling the Southern Pacifid Company to allow the stockholders to inspect the books. “Meanwhile the representatives ofthe Union Pacific Railroad Com- pany, who are alleged to be now in control of the Southern Pacific Com- pany, had sent out all their requests for proxies, after which they had very little motive to prevent inspection by the other Southern Pacific stock- holders; so that when a petition for a mandatory injunction was presented to the court in Kentucky aud an order was granted thereupon enjoining MILLION T0 A STATEN ISLAND Mayor Low’s Plans for City to Advance Cash for Improved Ferry Service and New Ter- minals Likely to Be Adopted. RIVAL COMPANIES ASSENT. Mayor Low's plan to epend one mill- fon or more dollars for the tmprove- ment of the Staten Island ferry service will be favorably reported by Comp- troller Grout and Dock Commissioner Hawkes, to whom the plan was re- ferred by the Sinking Fund Commission yesterday. The Corporation Counsel is already drawing up a legal form of lease on the lines of the Mayor's plan. The plan contemplates the co-opera- tion of the city with the compantes controlling the ferrier. It is proposed to divide the ferry franchise equitably between the Baltimore and Ohio Rall- road, which controls the present ferry system, and the H. H. Rogers trolley company, whose lines reach the in- terior of the island, Other ferry ter- minals whil be established at Stapleton the Southern Pacific Company from refusing to allow the stockholders of nae hea meanted ric Aas ‘the ithern Pacific Company to inspect the books, the Union Pacific in-|sengere, with the other two for freight terests hdd already sent out their demands for proxies, The petition which ‘was presented to Judge Lurton in Kentucky for an order compelling the Southern Pacific Company to allow an inspection of the books shows the Tacts to be very different from what Mr. Harriman states them to be.” This statement {s accompanied by affidavit containing an order from the Circuit Court of the Western District of Kentucky restraining Southern ' Pacific and Union Pacific trom refusing to allow proper ispection of the ‘books of the former by T. J.. Taylor & Co, and their clerks, This affidavit fontains the correspondence that passed between T. J. Taylor & Ca. and OMicials of Southern Pacific relative to the matter, f ie traMc, This arrangement will do away with the carrying of freight and lade: vehicles on the same boats with pas- sengers. Both companies, under the Mayor's plan, will combine their interests in the ferry, @nd at the expiration of ten years, the Mayor says, the ferry will undoubtedly be found to be on a pay~ ing basis, and the companies shall bi gin the payment to the city of accu mulated rentais and franchise charges. Meantime the’ city will make an outlay of $1,000,000 for the proposed terminals and thelr improvement, and charge nothing for the franchise until the com- pany is in @ position to pay. ‘This unusual feature of the propost- tion, the Mayor says, is demanded by SAN FRANCISCO, April 2,—B. H. Harriman is to get a valuable | 1d nd cash concession from President Diaz, of Megico, on condition ite ke build a railroad in Lower California that shall extend its entire distance north and south and have a connection with the main line of the Southern existing conditions, The ferry, oon- ducted on the plan he proposes, would be runvat a loss for several years, In view of the vast amount of money ex- pended by the clty for the benefit of other boroughs, he adds, it is only right that this grant should be made in the interests of Staten Island. The cost of travel to Richmond, he says, should not be greater than the cost of travel to Brooklyn or Queens. ‘The proposed: lease demands that ad- ditional and fast boats capable of main- for the new ferry and that the com- peting Ines of railroads shall be given equal privileges at the terminals. President Cromwell, of Richmond Borough, is authority for the statement that the plan will be accepted by the two companies, DR. H. H. KANE GOES INTO BANKRUPTCY. Well Known Among Horsemen and a Vice-President of the Cercle Francal A petition In bankruptcy has been filed by Dr. Henry H. Kane, president of a patent medicine company at No. 138 West Thirty-fourth street. His liabili- tles are quoted at $13,643 and his assets as nominal, He 1s now convalescing from @ severe attack of pneumonia, and his wife says he is unable to discuss his financial troubles. Mr, and Mrs, Kane left their hand- some home at No, 134 West Seventy-sec- ond street yesterday and went to a suit of rooms at the Lakewood Hotel, Lake- wood, N. J. Dr, Kane ts well known among horse- men, He 1s a former President of the Road Drivers’ Association, and has owned some fine animals in the past, notably Dariel, Laura W. and hing e, jr. He | so an author, having written a book of shoft alled “Dreams and Vice- are: President of the Cercle Francais, —————$ LONDON STOCKS DOWN. Liquidation was evident in the London stock market to-day, the Macedonian disturbances having a depressing effect on trading. Americans were heavy and Bouth Africans and Rio Tintos were lower. Discounts were weak with the com- pletion of the settlement and Indications pointed to easier money, Consols and gilt-edged securities displayed firmness, Pacific in California, says the Examiner. A compan; porated In’ Mexico to bulld the Droposed line. aTn Pe hore pear, ‘The portion of the new road in this State will and Imperial Company. The latter is Beach, a station on the Southern Paci 'gouth of the Colorado River a dista: of this line is now completed. 4g surveyed and a preliminary has been made. —_— CURB TRADING QUIET. be known as the Guif already building a road trom Old ic main line in the Colorado desert, nce of forty miles, Twenty-eight miles ‘The remainder of the distance to the river survey through most of Lower California H, H. Rogers, the Standard Ol) magi has been formed to transact general co! cellancous securities and bank and trus who was formerly with Woerishoffer & The Wheat Market, Wheat had a steady o; this morning, and oor anne eusne was mostly for ehort accounts, while offeringy were light. Weather in the A Central @tates is stormy, but mild gen-| ~~ erally in the Western States, New York's opening prices were: May wheat, TI 8-4 to 77 1-8; July, 1 1-4; Bep- tomber, 13 I-4 to 73 7-8; May corn, 61 bid, Btocks « Trifle Outside 4 ‘Trading on the curb was quiet and @ ‘tifie weaker to-day. Northern Secu- Mtles sold at 14 38 and Greene Cop. per at & 1-8. ‘The bid and asked prices of the prin. elpal Outside securities to-day w stock of the National Tube Works, the $650 a share, or four times as much as the trust two years ago, There are ami al the subsidiary companies, think they did well to stay out, B, F, Yoakum, president of the ') dimappointed (hat there could be no regu heat quorum was lacking. WALL STREET PERSONALS AND FINANCIAL NEWS BITS. and will start this month for @ snort trip to Cuba and a cruise in southern waters. = . A new co-partnership under the frm name of Toby, Lamarche & Scoville will be the senior partner of the firm, The offices will be at No| 25 Broad stree. B. F. Griscom, Daniel 6, Lamont, Danie) Gray Reid, D. O. Corbin and George Coper arrived to-day on the steamship Oceanic. The United States Steel Corporation now owns every share of the common - Louls and San Fran pany, was at his office to-day for the first time in several weeks. Tae Board of Governors of the Black. Wavhauee dered today to clove thedy ¥-APd Moly Gaturday, April 1D and 14 : ng Pea nate, had placed his yacht in commission mmission business in bonds, stocks, mis- t company stocks. George Parmly Toby, Co., and later with H, B, Hollins & Co., last 600 shares having been purchased for the stockholders received who went into all blocks of stock outstanding in nearly The holders of the minority fragments begin to © Railroad Com-| He wus much lar session of the board of divcctors, as 4 tie -_. taining a ten-minute schedule be bullt | GOLD PLEALS WITH TRANMEN, DULL MARKET FORALL STOCKS Colorado Fuel Leads a Sharp) Break, and Prominent Issues, | After Losses, Show but Little Trading Life. REPORT OF COMING CRASH. Wall Street Hears that Financial In- stitution Is in Trouble, and Deal- Ings Are Affected—Keene-Ha ‘rl- man Fight Also a Bear Factor. The stock market was sick and dis- consolate throughout almost the entire day, It had a quiet opening, but after @ few minutes of trading with slight price variations a sharp selling move- ment set in under the lead of Colorado Fuel & Iron, which boke from 61 to 58. This was only one step in the down- ward actton in this stock, It subse- quently broke to 061-4, from which point there was a recovery of 3-4—net loss 4 about one point. There was only feeble recovery from Inside range of quotations. Heaviness was the conspicuous featuré. Amal- gamated Copper slid down the scale to 66, a loss of 11-4 There appeared to be @ renewal of liquidation in Pennsyl- vania and New York Central. The for- mer broke 1 1-2 and the latter 1 point For the lack of something more tangible the professional element singled out the slump in Colorado Fuel & Iron as an excuse for selling the mar- ket down. Operations in this stock were not large, and the cause therefore is strictly local, but that did not make any difference. The quarrel between Keene and Har- riman was a disturbing factor, and tends to keep speculators out of the market until the skies clear. Reports of an impending change in the manage- ment of the Steel Trust was another incident, Sinister rumors were also in circula- tion affecting the solvency of individuals and of one fiscal institution. It seemed unnecessary to name the latter, but all fingers pointed in one direction. It has been much and unpleasantly in the pub- le eye of late in connection with the misfortunes of an underwriting synd!- cate, It became nojsed about that a meeting was to be held late in. the day upon which depends the question of re- celvership or quiet liquidation. Bank~ ‘He Urges Employees of His Wa- bash System Not to Strike Now, but Wait for President Ramsay’s Return. TRAINMEN ALL TO MEET. 8ST. LOWIS, April 2—George Gould's plea for delay in the Wabash strike situation until the return of President D. K. Kamsay from Burope will be ers were to be asked to advance $2,000- 000 on collateral to the value of $3,500,~ 000, If the hetp is refused, then a possible receivership. In the other case liquidation without the assistance of the courts. The troubles of this concern are familiar to Wall street, and when they are settled one way or the other a sigh of relief will be heard. From &t. Louis word comes that the likelihood of a strike among Wabash employees is now silght. George J. Gould fs on the ground, and a settle- ment of differences |s said to be !mmi- nent, This was bullish, as far as it went. Amalgamated Copper sold off on the actod upon by the Wabash trainmen and switchmen at a joint meeting on Sunday. Grand Master Hannahan, of the Fire- men, and Vice-Grand Master Lee, of the Trainmen, have telegraphed ail the! respective lodges and divisions along the , System to hold joint meetings. The pur- pose of the meetings 1s not announced {in the messages which have been ordered posted at all round-houses and train yards. Grand Master Hannahan has wired all members of the Grand Exe tive Board of the Firemen and the four Vice-Grand Masters to report to him at once in this city, The sentiment prevails in some quar- ters that the meetings are for the pur- pose of reaching final decision on the matter of striking, but the sentiment in well-informed circles is that an ami- cable adjustment will be reached. Judge Adams in dissolving his injunction against the labor leaders advised an ad- Justment of existing difficulties by mu- tual concessions and praised the attor- ney of the tralnmen and firemen for decline in Rio Tintos in London and the unsympathetle attitude of the for- eign Copper trade generally. It 1s thought that Amalgamated at the pres- ent low levels has been accumulated by interests which sold a heavy line of stocks between 72 and penking interests very closely affl- jated with the Standard Oi! people have had money to lend throughout the stringency of the past month, and it is said that the Standard OJ] interests have something like $30,000,000 in cash available for market purposes. It is be- Meved that they cannot be carrying much stock, but are anxlols to take in as much aa they can get at their own figures. Western Union. Telegraph was un- usually active and the price steadily re- ceded 2 5-8, although no adverse rumors were current to explain the depression, Sugar Refining was weak in the fur- ther reduction In the price of the re- fined commodity. Government bonds were unchanged and railroad bonds were steady. offering to submit their grievances to use Board of Arbitration ided for in the act of Congress of 1! Counsel for both sides met at the Court's sugges- tion, but did not reach any agreement. SHIPPING NEWS. ALMANAC FOR TO-DAY. Sun rises. 6.45|Sun sets., 6.24'Moon sete. 11.29 THD TIDES. High Water, Low Waser, AM PM. AM Pot Sandy Hook cee O85 104 4.36 42 Governor od. .610-46 130 6M BO Hell Gate Ferry.......1288 118 0 642 PORT OF NEW YORK, ARRIVED, Sabine + Rio Janeiro eustrie ‘ Naples Liverpoo| Congho Archimeda Citta at Napoli INCOMING STERAMBHIPS, DUE TO-DAY. Dolivia, Noples Sardinian utachland Neustrii Ben Jui OUTGOING STHAMSHIPS. SAILED TO-DAY. ole, Havre Bremen Havana Naw — Of ways that are simple. ‘The loss of $1,055,000 by the local bi to the Sub-Treasury, while less tha has been for several weeks, was disap- pointing, as a gain was confidently ex- pected, The Closing Quotations. lowest and closing closing follows prices prices Net High, Lam. Clos, Ch'gs iGemeretsrein Caray aa (79 Am. Smelt. &@ Ket Gh the am & Am, Sugar 128% N34— 128% = Am. iF pt = 5 At, Top, & 8 F al} At, Top. & 8. F. pf. . fait "a Ole 1 Balt. & Gale gt ” “ rook’ P a ¢ 3 % a 42 ER 8 Col, Fuel @ Iron pt 61 6 ‘4 Rio G, % 1%, SRR ara: BS if ie 8 6% s 53 be 138% b New Lib i) 184 s 135 » SB + pt be » wing im Wy » ovr i i Dourie & Weviera naylvania it Ps i * 1% % 4 4 Of ways that are quick, A World Want's the winner For winning a trick. points, The entire list sympathized, the | average decline in active stocks being | SUPT, FRAN HEDLEY, OF THE “I,” | | "Le GUARDS T CHOOSE RUNS. ‘Seniority of Service Rewarded Under the New Schedule of Service on the Sixth Avenue Elevated Road. Hereafter trainmen employed upon the Manhattan Blevated Railway Division of the Interborough Rapid Transit Com- pany will be permitted to choose their runs, the order of cho'e being regulated by the length of their service in the company. This is a new plan put in operation by General Superintendent rank Hedley, who, under the direction of General Manager Bryan, has assumed Practical management of the entire sys- tem. Irom there are long * said Mr. Hedley to an Evening World reporter to-day. "Em- ployees are frequently discriminated against in the portioning out of these runs, By the plan which is now in oper- ation on the Sixth avenue arm of the ‘L' roads, the selection of the runs {a left to the men making them, “Each month's schedule will be posted several days before the first of the month and the oldest man In the service will have first call. He will write his name opposite the run most pleasing to himself. The next oldest employee will SHIPBUILDING Heavy Shrinkage in Shares of ~ the Trust Not Explained, and © Wall Street Disturbed Over the Matter. UNDERWRITERS FEEL LOSS, Market Value of the Securities Show a Sag of $12,750,000 in Ten Monthe—Little Trading In the Issues. Wall street ts disterbed over the om explained shrinkage in the securities of © the United States 6h'pbullding Company. x This corporation was launched with | braas-band accompaniments less thal ten months ago. Its share and bonded capitalization was $61,000.00—of which $16,000,000 was in the form of Reser 20,000,000 In 6 per cent. preferred stock ‘and $25,000,000 In common stock. Ret: ‘There was heavy trading in the com- mon stock around $20 a share and in | the preferred around #0 a share. Bonds” sold at par. Market Shinknge. A late quotation, established by auction sale, was # a share for the they were first offered to the pabile, ‘This enormous loss is supposed to have fallen almost entirely on om um’ derwriting syndicate composed paily of financiers and others fled more or less with the Trust C {pany of the Republic, Tae stock of inut institution hax ‘undergone a tremendous shrikage, ‘ing sold down from 350 about a year to % yesterday. ‘The organizer of the Ship Bu underwriting syndicate Le Dresser, who was also president trust company. He resigned that about two months ago aid shorty a went into bunkraptey, Other n of the syndicate are known to ha ery dollar they h Underwriters Lose. The corporation itself is a growing stitution. . It does no! to be wi fected by the misfortunes of the ut writers who were benind the flo The owner of the p eres composing tion | ceived in cash and bonds Neved $2. be a liberal val properties. In addition to viding sary cash for paying for te p the underwriters supplied the with a ee work ig a thing Ike $5,000,000. Charies a ‘Sch who turned in the Bethlehem Moreton di ne paid” tor the prope tl x e pald for and & handsome bonus in bonds stock. Lewis Nixon, the Scott people, of Francisco, and other owners of ¢o tituont properties, are sald to hat been treated as well as Mr. Schwab, proportion to their interests. ef Little Trading. In consideration of provid have second choice, and eo on down the ine, [feel that the arrangement will ‘be satisfactory to the men. Trainmen have been instructed to report for duty ten minutes before the hours caljed for on the schedule and they will be paid by the company for that ten minutes.” The day's work under the new Sixth avenue sehedule ranges from ight hours and fifty-five minutes, the short- est, to nine hours and twenty-nine min- utes, which {8 the longest. as well as Mr. Bryan, rose from the ranks, and is fully acquainted with all the minor grievances of the subordinate employee. Some years ago Mr, Hedley was connected with the Manhattan ‘‘L” Enllroad and js personally known to the older employees of the road. He comes to New York from Chicago, where he was connected with the management of the 'L" railroads there. COTTON BULLS SEND PRICES UP Sully and His Force Start a Market Boom and Send May Up Eighteen Points. Broker Sully and his bull clique took smash at the cotton market again to- day to counteract the effect of the Goy- ernment census report, issued yesterday, and succeeded in forcing May up elgh- teen points. Better Liverpool quotations and the continuation of unsettled weather in the cotton belt aided the op- eration, May was quoted at 9,85; July, 9.68; Au- gust, 9.25; Septomber, 9.68; Oolober, 8.43; November, §.92, and December, 8.36. Heavy realizing followed the advance, and there wan a consequent drop ali along the line of eight points. Theodore Price said that the produc- would not be less than the Government experts in bis opinion it would A that and reach between 11,250,000 11,200,000 bales, ‘Ked for the trouble at Lowell to and while he counted on tem: Iles he believed that the ten the market would continue downward —— The Cotton Market, mulated by cables the loca! cotton arket opened firm this morning, with ints higher, May was mand, it showing ¢ tat the samy ci ng Heavy sel Ore & ah month M. iralle July was lo reali ers on ‘1 é ay »pod 3 poliia we er the Mr, Hedley, f in cash necessary to the flota' di titers 2 FU 00, Of the United States Bhip pany. There has of late been very ing In the securities of the ‘There be writers was one of the Ce weakness in the stock et to-day, WIRELESS IN BUSINESS. — the wireless telegraph recently put operation by Armour & Co., © ing the stock yards pled the city at! 1s teed, sae offices in same » ‘The © which has statement last night: be sendil tht Di points on ti sixty days. ernating current ts su! ross the ocean, Dut we, mest cc t intend to proceed that , Rave three stations in New Tork’ ow DROPPED THES. en and Got Well ow pe-Nuts, Made over on a change of food t# rather a fascinating experience. Sounds like fiction, but an employee — of the Anaconda Copper Co, of Ata- conda, Mont., had just that experle ence, being cured on Grape-Nuts, “For several years I was so rum down from indigestion and improper. foods that I had to resign a $125.00 & month position in Chicago,” he says, “I was in such a bad copdtion that if I stooped over the sour food came boiling up into my throat and out of my mouth. “T lost nine months’ valuable time, and three of Chicas best physi- clans said I must die. | weighed about 140 pounds, which |s skeleton= weight for me, So I resigned myself to my fate and went home to country to die, It was there a cousin introduced me to Grape-Nuts and new life, I threw all my medicines away, and at the end of two weeks’ use of Grape-Nuts had to admit that. I had gained 4 pounds. In the next few weeks I ate absolutely nothing” but Grape-Nuts and pure rich creamy and gained 18 pounds, é "I hegan to take interest tn events of the world again. From. point my recovery has been and to-day I am physteally best condition I ever was th 1 bad no trouble to get a with the Anaconda Co ta better salary ‘Pain is what Graped for me. It saved f food.” Name. ae iss