Savannah morning news. [volume] (Savannah) 1868-1887, 1885-10-23
GEN. GRANTS GIFT FUND.
THE STEWA l4Ds ASK TO BE RE
LEVIED or THEIR TRUST.

Gov VI QFt an : ~ u At tuNHG the Outg ONh
ditiou on Which the Other Trustee'
would Cousent to the wabash Invest
nnent-Ss 900 of the Subscri ptiOT
Never Paid-To he sim Held in trust
NEW YORK, Oct. GA meeting of The
subscribers TO the fund OF $25o,0oo which
was raised in lSSO-Sl for the benefit o.
Gen. Grant was held in the office o
Oliver HOyt this afternoon. Early IN Inc
present month circular was issued by
George Jones, editor OF the Times, as
treasurer OF tie fund, asking each one OF
the subscribers to attend this meeting and
determine what future disposition should
be made OF the upd MIR Hoyt and Mr..
Jones. the two surviving trustees, desired
h submit 4 report Of their stewardship
and be relieved OF further responsibility.
There "a ere about $50 subscribers 10 the
fund. and all but 10 or y of them were
represented at to-day's meeting.
THOSE PRESENT.
Those who were pre- ent were Judge
Noah Davis. G. u. Huntington, oliver
Hoyt. George Jones, JAY Gould, Russell
SAGE. Sidney Dillon, John h. Sherwood.
salem II. Wales and John T. Terry. and
Henry Day. executor OF the estate of the
late f. ID. Nor an. Mark HOyt, William
A. Wheelock. r. NJ. Hoe, Jr., represent
ing David Bows, Howard Carroll and
Gen. Arson McCoOk.
EX-Park Commissioner Wales presided
and briefly explained the object Of the
meeting. s. l.. Scodeld acted as Secre-
rotary.
MR.. JONES STATEMENT
Mr.. Jones said the proper time bad
come for the subscribers to make some
IL farf a hon
eft OF the W " and children OF Gen
Grant. II had been suggested that the
fund be handed over to Mrs. Grant. Both
Mr.. Hovt aud himself were anxious to be
relieved OF their trust. Mr.. Jones said he
had deferred calling the meeting until the
summer vacation season was over in or
der that there might be as large an At
tendance a : possible. He had made no
effort 10 see any OF the subscribers, but "A
large number Of proxies had been sent
him. representing almost + Of the amount
subscribed He read Of the letters
and kilograms and submitted them all
for the inspection # re subscribers who
were present. After M Jones had con-
cluded his preliminary statement, Henry
Day asked 10 see tbs original suDscrip-
tion book, which was handed to him. Mr..
Day was under the impression that the
conditions of the subscriptions had pro-
yided for an ultimate disposition Of the
fund.
JAY GOULD's UNDERSTANDING.
Jay Gould said that when he subscribed
sos $3.50 to the fund it was with the under
standing that he fund was to be deposited
with the United States Trust Company,
and that meeting Of the subscribers was
to be called 10 determine how the money
should be invested.
Mr.. Jones said that he had no recollec-
ton of any such understanding. He said
this meeting had been called for the pur-
pose of enabling the sub cribers TO say
what they wanted done with the fund.
There had been a good deal of talk about
the fund in the new spapers lately and
some criticism Of the trustees. Both of
the trustees desired that the exact con-
dition # the fund should be clearly I'M
derstOod, and then they wanted to be re-
lieYcd of their responsibility.
THE INTEREST ALWAYS PROMPTLY PAID.
Al time since the fund WAS invested
had Gen. Grants siamily failed 10 receive
the interest promptly on the day il was
due. il mattered not whether the interest
was or was not paid TO the trustees every
time 10 fell tue, TIE trustees saw that Gen.
Grants family got their money without
any delays. The bonds of the Wabash
railroad, in which the greater part of the
AuHI W d. AuNttNNtAs UDGE Il ~ year = guar
antee Of the late eX-G0v. Morgan, and the
trustees considered that investment per-
fectly good. Mr.. Gould remarked that the
fund ought TO have been invested in gov
eminent bonds.
ON GoULD's RECOMMENDATION.
Mr.. Jones said: well, it was M.
Gould who told me that those Wabash
bonds were as good as governments"
Mr.. Gould could not remember that he
had ever given any such assurance.
sob, yes you did" said MIR. Jones. Il
dislike to contradict you, but that is just
what you told me-"
Mr.. Sage and Mr.. Gould desired TO know
whether statement could not be sub
been invested.
"Certainly," said Mr.. Jones.
''Permit me 10 explain the matter in de-
tai, +" said Mr.. Oliver HOyt. in the first
place, the entire subscription Of $3.50, goo
was not paid in"
$1,000 NOT PAID IN.
"There was about $1,000 lacking. One
subscription for $1,000 was not paid
When little more than 100000 had been
collected a committee OF three, the late
eX-t4ov. Morgan, Mr.. Jones and myself,
concluded to invest that so that it would
be Welding an income while we were
teohihE dtbuHu iuI a kOOu secure invest
ment. Gov. Morgan suggested that we
take some consolidated mortgage bonds
Of the Wabash railroad that be had. Both
Dir. Jones and myself declined TO take
those securities. Then Gov. Morgan sug-
gested that the fund be invested in Der
cent. convertible first mortgage bonds Of
toe Wabash company. Neither MIR.
Jones nor myself was satisfied 10 put the
money in such securities. and we told
Gov. Morgan so. He then offered 10
guarantee the bonds, principal and inter-
SSH for 10 years.
S2S,000 IN PREMIUMS.
ellis guarantee made the investment a
perfectly safe one, and SlSS,00 of the con-
yertible bonds were bought for $2l6,OO0
the difference OF SIS. 600 included the pre-
MUM al which the bonds were then sell
ing. and ~ per cent. which was paid 10
Gov. Morgan for his guarantee. Tue
trustees believed then, and they still be-
lieve, that they were justified In paying
this premium because by so doing they
obtained a secure investment Welding
per cent. per annnum for ten wears sure.
Had they invested the money in govern.
ment or municipal bonds they could moi
have obtained higher rate OF interest
than or per cent. The trustees cai-
culated that difference in the amount of
interest received by Gen. Grants family
would in ten years more than make IN
the amount paid for the premium and
guarantee"
THE BALANCE OF THE FUND.
Glow is the remaining portion OF the