, 1874-07-23
Els Adventures with Messrs, Ohilde
and Murray.
The Improvement Company and flAo
Gas and Water Company,
And Then the Railroad Which Was to
Pull Them all Through.
Badgers Bill.


pneos was fled ycsto1day afternoon At + o'clock
/ In tho Circuit Court, by David a. Gage, against
tho llivorsido Improvement Company, tile River
Bido Wator and Gas Works Company, tho Riyor-
side Hotol Company, tho Chicago " Great
Western Railroad Land Company, tho Chicago
d Groat Western Railroad Company, Emery
E. Childs, Loyoret. W. Murray, D. 8. Duucomb
J. L. Drownell, Auatin Stevens, J. N. Jawott, J.s
y. saundors, II. Z. soelyo, Carroll Gaytos, II. A,
uurlbut, ". II. Park, ". 8. pcck,
Il. l.. Peck, I. ", Peck, O. J. Peck,
tho Third National Bank, A. @. Badger,
dwynn aarnott, Hourly Groonebaum, r. Water
man, r. HI. Whtpplo, II. F. Eames, Richard
Edwards, the Commercial National Bank, ". T.
Allen. ]. A. Sleeper, II. Il. Wilton, q, a. Gscg-
ory. 8. B. Qookins, tho Crane Manufacturing
Company, J. ". D. Kolly, tho Mcchauics Ma
tional Bank, 8. Whittier, D. F. Chaso, H. r.
IomLnsoni j. Jaogor, T. Jaeger, O. III. Smith,
". ". Hilton, Martin O'Brien, ". p. Harris, s.
D. hlnbark. tho Bank OF Chicago, - Yoor-
hoos, - Krick, the unknown holdera Of tho
bonds Of tho Chicago Il Great WoBtorn Railroad
Company. J. Dotlo, George q. Smith, F. s.
oHborno' d. Y. Pago, Welton Marka, L. G. Iall,
J. Miller, A. Moses, s. II. Dayis, j. N. Barker,
Franklin Poole, mud George Taylor.
GAGE SAYS
that in tho spring Of 1868 lo waB tho owner OF
about logo acres OF lnud on tho east and north
side of tho Desplaincs River, at tho junction OF
tue Chicago, Burlington d Quincy Railroad and
tho Barry Point plank-road and tharoabouts,
being part OF Riverside. Ths land was beau-
tifully located On high ground, and very va!u~
able FOR roH'donce purposes, being only 10
m'leH from Chicago and oasilY accessible, and, a.
Gago thinks ct tho value Of $500. 900. In 1868
lie caused to DO surveyed = part Of the prom
taes, for tho purpose Of subdivision into sub
Urban lots, and was about projecting a Beries Of
improvements when ho beca,ne acquainted with
Emory Z. Chiida, 10 whom ho mado
known hfs projects. OhiIds thought
1t would be necessary to spend at lcaat $500, 1000
on the property, aud advised Gage to macad-
amizo the roada and build water and gas works
and lay out parks Ho also represented that ho
would sell tho land to him. After some disous-
sion
GAGE AGREED TO BELL
the lind for $500, 900 on certain conditions, and
All agreement waH made July rs, 18G3 Guilds
was to pay 520,0u0 cash, S20.000 Oct. 2t, 1868.
and the balance ~ sales Of tho property should
DO paid by Jan. /, 1878. Chilua was also
1ea1ized on tic aslo of the ' premises. pss
moreover, to increase tile security. he was to
" oa ~ a. .eask thirsy III 1 15"ostory houses at cost
was alao to be allowed to sell land after tho first
s2U,uuo was pald, aud Gage was to make con-
!esancos as inst az sold, ou receiving payment
IN snms OF NOT leas than $4,000 ut time. Time
vas 10 DO aa eloment Of the contract. md Gage
WIS empowered 70 sell, detault was made IN
tho contract for six months. Childs was also
forbidden to sell or assign tho contract without
oagg sEt,,, wf1Iten coosent yer oo
t,,e us pua sio S1o'oog as agreed and received
tne contract OF sale: n august. 18G9. Ohilds
also purchased from Elt >. Prescott about 900
aeFes - ot land west or tho Deapainos River for
*4u,uou. aau III February, !S69, Ae bought soven
to hs VI ,r3ae frN M'e ~ OF wnSh he ocd aded
a Special charter,
TIE RIVERSIDE IMPROVEMENT COMPANY
WIZ VIZ torm9u WIN oapata! o. 600.0o0: and
Cnllds as Presldont. anu L. ". Murray as Socro-
ttary "a 1pons n TWO weeks aitar tho riverside Va
!Gr anu 1as HorIs were Incorporated, and
,.!.l Hllaa also mado President OF that. With
4i.n ~ ,r nla scnema were associated
Aoverett W: Murray, OF Chicago, and D. S. Dun
comp: At1stln Stevens, and J. L. Brownoll. OF
N9W fosK.
IN April, 1860, ChildH executed to the COM
Pany
.u:., AN ASSIGNMENT @ or MS CONTRACTS
with Gage, Prescott, and White. Childs and bis
noea5es a,ae os Mota te holders Of tho bulk Of tho
ssock III botA THO 1ttVersltlo aud Gas aud Watur
20 sm1nt!mpaales, anu controlled their management.
This stock Gage says was never paid ii, or, ii
any was paid, only = nominal amount, although
tno combined capital stock Of tho two Companies
amounted TO $l,Go0.09o. a few Hharos
wore Issued to prominent citizanH Of Chicago
60 aa TO mako them eligible az Directors, but not
snlneent TO give a.lch parties any influence in
TIC management OF tho companies.
THE IMPROVEMENT COMPANY
from time tn time snbllyidcd tho promises and
recorded t1om III four divisions. Tho Company
began to mako improvements on a
sealo Of great magniiicanco, and expended large
amount OF money, but Gage claims it was not
mado WieA funds derived from tho aalo Of stock
or or pohda. but from tho procaeda OF sales Of
auo ~ PROMISES, anu ny loans negotiated thereon.
= 1hose improvements woro continued until
Tue spring OF lS1l, when 5000 Ind boen laid
oAt, and about 2o0 lots sold to various parties.
Gage, at Chlds' request,
-, nErEATEpLY MADE coNvEYANCEs
without insisting on tue payment Of O propor- ]
tlonnte amount OF the purchaso-money, mud also |
gave tho Company deeds for about 800 lots in |
The Bauao wnY, for tho purpose Of enabling the |
Company to mortgage them to ra!so mouoy to |
moot Its indebtedness.
dago was also the moro willing to allow thu |
payments to GO by, rs ho Thought this socurity
Mas constantly Increasing in value, since thu iot
:oso to be worth "a. 600 apiece, and oompla,nant