The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-01-08

The long agony or suspense concerning
the management OF the affairs OF the New
York Bridge Company Is at an end. Yes,
terday eight solid columns OF printed re-
ports, the result OF the Investigations of the ma
jority and minority OF the special investigating
committees and the reply or the Executive Com
mttee thereto, handed to the press for publ
cation. The work OF the investigating committees
was TO ascertain whether the managers were held
sufficiently accountable to the public under the
charters whether the transactions OF the principal
committee were unknown to some OF the directors;
whether some members of the company were In.
terested In furnishing supplies for the BRIDGE and
the Importance OF an early completion OF the
bridge. The Chairman OF the committee, Mr.. De-
mas Barnes, differed from the other gentlemen OF
the committee, Messrs. Hewett and Schroeder, as to
the manner OF reporting the result OF their labors
He therefore submitted a minority report upon the
subject. His examination Is brought down to
June, 1872. The records Of the company are brief
The company was organized May &c. 1867. The re-
port then proceeds to give brief OF the minutes
OF the subsequent meetings. The expenditures to
the date OF the examination had been Cash dis
bursed, $2,s59,3so; due on land purchased
S2S2, 600: total SAL $3.50. The stock of the Bridge
Company is $4,000, 900, to which New York city sub
scribed $1,5O0OO0, the city OF Brooklyn $4,000 600
The Finance Committee has never held meeting
or made report. The business of the company
was absorbed by the Executive Committee in every
department. For instance Alexander McCue was
appointed counsel to the Executive Committee mot
the Board. The bills against the company
were audited by the Executive Committee.
William G. Kingsley was appointed Gen.
eral Superintendent to act under tho
direction of the Executive Committee. No duties
ar daGna
What there is of the bridge Is largely due to him.
and explanation OF relations with the company is
necessary. Being the largest voting stakeholder,
he can place himself in the direction at his
pleasure and could not be held responsible for any
thing transporting within the Board or committees.
A wide discretion and large responsibility were
thrown upon him. There is no regulation on record
as to how competing interests are secured for the
benefit OF the company In procuring material; of
why two three or five persons only are selected to
price material. When bids are asked for who is to
open them Material has never been advertised
for.
At meeting of the Executive Committee held
July s. 1870, "lve per centum Oh the amount of the
expenditures OF the foundations of the towers of
the bridge up to high water mark, including the
payment for land be paid to W. G. Kingsley for his
services and advances on behalf of the company up
to the completion of such foundations" Some of
the directors did not know Of this arrangement
until the present year. January 8, 1871, the COM
mittee had paid on this account $4,000. The ex-
pendlur1s to date were s1.l7o,52l. On this amount
five per cent would be s5so7e, and not sl76,ooo'
The superintendent therefore received compensa
ton at the rate Of fifteen per cent nstSaa Vi hVe
per cent. The amount paid Kingsley had first been
charged to "cemmissiOn ACCOUNT then erased
on the ledger and charged as especial expense"
tIu
''construction account" November Is, 1871, the
show that the claim OF Kingsley was liuui-
Ing sl25,OOo, in full, until the completion of the
foundation OF the towers to high water mark No
explanation OF the reason for this action is given
November 81, the construction account Is credited
with $4,000 from MIR. Kingsley but without any
explanation or reference on the book OF minutes.
The right to make or extend the profits OF the Su-
perntendent exists in the charter The "ad-
vances" referred to in the resolution had been paid
by the company, down to the matter OF a tele-
gram, long prior to that date. Bills for supplies
are frequently paid upon the certihcaton OF one
name, and among them bills of material, in the
sale OF which the purchasing agent and the mem
bers OF the company are said to be interested.
The sum OF Sl43,4oe has been PAID by the
and Lumber Company. The system of cash and
check books is found faulty by the minority report
changed and the policy OF the managers changed IN
order to hold that confidence which underlies the
coveted success Of the enterprise IT is estimated
bridge VIII be about $10,0O0,O00 aside from the
purchase OF the right on both sides OF the river.
Thus far $4,500,ooO has been subscribed by New
York and Brooklyn; 100000 by individuals, and
the residue Is to be raised in manner not yet de-
cided upon. The stock Of the cities has voice in
the management. Whoever controls One-half of
100000 private stock absolutely controls the di-
rection and the expenditure OF all the money.
The company Is under no financial restriction,
and is accountable to no authority. Mr.. Barnes
concludes his report by stating there are men in
give o hs privilege o the
bridge under the existing charter" A conference
outside as what manner OF changes are desirable
is recommended
The majority report, signed by Messrs. F. A.
Schroeder and Abram s. Hewitt, sets forth that
the Executive Committee have absolutely sole con.
troll OF the management. Whatever ''advances''
in money had been made by Mr.. Kingsley were
fully repaid in money, so that the compensation
drawn by him was for services rendered and not
fox advances. The $4,000 refunded by Mr. Kings
ley was done when 1t was found how large me COM
pensation Of the superintendent would be II fifteen
per cent was allowed. An erasure was MADE In the
minute book to make the original resolution cor
opinion that Mr.. Klngsey's relations to the stock
influence were such as to give him controlling
power In the organization of the board, the full
confidence Of which he appears to have possessed.
The committee recommend amendments to the
charter OF the company whereby at the election OF
York and Brooklyn shall be entitled to representa-
ton In the same manner as other stock. This Is
the only way to take away the expenditure Of the
individual When as appears now to be the case,
nc happens 10 own or represent the private
s Se made 70 the legislature should
Governor and Senate, In the usual way, of three
commissioners to select board Of directors, to be
composed OF stockholders, so as to accord proper
representation to the respective interests A few
apparent Irregularities exist In the records, but
these have been fully and satisfactorily explained,
and the committee feels justified in reporting that
they have not been able to discover any case In
which any misapplicaton of money has been made,
superintendent should be so regarded. The prices
paid Tor materials appear to have been reasonable