St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1884-04-14
NEARLY THIRTY MILLIONS
Of Hard Cash Said Not to Have Been
Accounted for by the West
Shore Triumvirate.
The New York ''World's" Charges Against
WOerishofier, WinsIow and
Porter,
Especial Telegram to the Globe. |


NEW YORK, April 12.-The World this
morning prints five column history of the
West Shore railroad under the sensational
heading, 'EWas it swindle?' The following
is a brief synopsis: A careful analysis of the
official statements of the managers of the
enterprise issued from time to time will show
that of over $50, 900, 900 in hard cash derived
from the sale of the various securities of the
Ontario & Western, New York, West Shore
& Buffalo, North River Construction
and the consolidated terminal companies only
$34, $780, 900 has been publicly accounted for.
The leading spirits in this combination were
Chas. T. Woerishoffer, Gen. Edward F. Wins
is found behind the scenes from beginning
to end of the enterprise, while upon the
stage variety of characters move about in
obedience to their directions. Woerishoffer
and Porter are too well known here to re-
quire introduction, but Gen. Winslow, being
a comparatively recent arrival from the
great west, may be confounded
with the head Of well
known banking house Of this city,
unless his identity is distinguished at the out
set. His first appearance is recorded at st.
Louis about the beginning of the last decade,
singularly enough in connection with Gen.
Wilson, late president of the New York and
New England Railroad company. They were
associated together under the firm name of
Winslow & Wilson as builders of the st.
Louis & Southeastern railway, which, to-
gether with Winslow & Wilson, went into
bankruptcy in 1878. The first
step was to secure control of
the New York, Ontario & Western
Railroad company, which was organized Jan.
21, 1880, out of the wreck of the old Oswego
Midland. This was rendered comparatively
easy by the fact that the articles of associa-
ton provided that holders of the preferred
should have the right to elect eight of the
thirteen directors constituting the board I'M
til the common stock should earn and pay
dividend. Taking advantage of this con-
venient provision Woerishoffer united with
Kuhn, Loeb & Co. and others, ten days after
the filing of the articles of association to buy
up a majority of the preferred stock to hold
it for the avowed purpose of voting and
thereby controlling the road How speedily
this object was accomplished is indicated by
the fact that on Feb.2 majority Of the
one hundred stockholders signed an agree
ment creating what was called the Ontario
d Western Stock trust, and on Feb 81,
under the assignment, new certificates of
stock were issued to the Central Trust com
pany, of thisacity, as trustee. That company
then issued its certificates to the several
Of tba e+N +bo++
were entitled to respective interest in the
stock. On Nov. Is following, the
holders of Trus companies certificate
agreed to constitute Henry Amy, Jacob H.
Scheff, Charles n Woerishoffer, Horace Por-
ter and Edward F. Winslow the new trustees
to vote the preferred stock. The signers of the
agreement held 10, $50 shares of the total of
90, 900 shares of preferred stock, and it was
provided that other holders who had not
signed might come in before February 1,
1881, until the pool should reach total of
16, 900 shares. Here, then, at the very out
set Woerishoffer, Winslow and Porter come
into view, but with becoming modesty chose
the footights of publicity. The real cost
to the Construction company (S29, 061, 00O)
left a margin Of profit on the bonds alone
N'iO!pVOfOoOJ VI oP"uioo VI clO,OOO,OUO
without taking into consideration the stock.
$3S, 10000 1t is therefore apparent that
the Construction company intended to obtain
$40, 900, 900 of bonds for $50, 900, 900 of ex-
pcnditure, which was seventy-fve cents on
the dollar for bonds, with the stock thrown
in for nothing. 1t seems that Woerishoffer,
Wilson and Porter, together with a
number of their friends, were all
the time specializing in the stock of
the Construction company and contemp plating
speculation in the securities of the Ontario &
Western and West Shore companies. Many
persons who dined with Gen. Porter durin 9
that time recall now with sorrow the quiet
and Confidential suggestion that construction
stock was ''the best thing to go for and that
it was sure eventually to reach rs, and all
this done under the law and seal of the state
in due legal form and by eminent attorneys