Savannah morning news., 1886-06-17
YERKES' GIGANTIC GAME.
STARTLING DISCLOSURES IN
HE CHICAGO SENSATION.


Important Railway Lines at One
MOuthful lCOntempIated-A Monopoly
OF the Tunnel Also Counted OD-$4,-
! 999, 900 Worth of Stock Taken by a
| SusP ciousIy Obscure Capitalist.
CHICAGO, June 16.-The Daily News
this morning printed a four-column arti-
Gle on the North Side railway matter
under the heading "Y erkes' True
/ Scheme" 1t says:
The fun intention Of Yerkes and the Phila.
delphia syndicate in their pending negOtia-
tIons with the Doodle gang in the City Coun-
cll is at last disclosed. Less than month
ago new company was organized to selze
the LaSalle street tunnel. capture the value
aDle street franchises on the North sac. and
indeed to swallow the Old North Chicago CITY
Railway Company.
DECEPTIVE TITLE.
The new company is called the North
Chicago Street Railroad Company, title SO
like that Of the well known North Side corpO-
ration-North Chicago City Railroad Com
pany-that IT was evidently inserted for the
purpose of deception and was SO far success
full that until yesterday no one save those di-
rectly interested in the scheme dreamt that
an entirely new enterprise was projected.
The organizers of the new company control
the stock OF the old. While the two corpora
tlons arc Ostensibly under separate manage
ments IL IS fair TO presume that the syndicate
In power in each Is the same. After Yerkes
the North Chicago City Railway Company
he secretly organized the North Chicago
Street Railroad Company with s., 100000 capt.
tai.
MAMMOTH SUBSCRIPTION.
When the books were opened for subscrip
tlons one Il. II. Wentworth. Sr., a gentleman
whose name is unfortunately missing from
the Chicago city directory, promptly sub
scribed for 1890 shares, representing par
value of s. 999, 900. The ten remaining shares
n ar n nf ga at n
equally low degree, but who were forum ate
enough to be friends Of Charles T. Yerkes.
The scheme was to absorb the old company.
rms was easily done by the Yerkes people in
the old board of directors leasing the fran
chises of the old company to themselves. The
new company, it IS said, agreed TO guarantee
an annual dividend OF S3) share on the old
companys stock. Inasmuch as each share
now produces dividend of $50 year, this
proposition wiped out oue-half of the value
OF the old stock a one stroke.
MONOPoLIZING THE TUNNEL.
The next move was to secure for the old
corporation right TO adopt a cable, with all
the attendant expense. and finally monopoly
OF the tunnel was to go to the new company
with all the attendant advantages. In the
light of this illumination it doth appear that
the redoubtable Charles T. Yerkes as Presi-
dent OF the younger North Side Railroad Com
pany mas put himself in the way of swallow
ing the older North Side company as Pres-
dent OF the old and decrepit corporation. He
has eased to himself as President of the young
and rapacious concern the right to operate
j 8 franchise, upon guaranteeing 30 per cent.
dividends on stock, where this is reported to
have paid go per cent.
BREEZY DIVIDENDS.
When the horse system is replaced by the
cable he expects the road Will earn what
would be equivalent to 80 per cent. on the
present capital, but as President OF the young
and vigorous North Chicago Street Railroad
Company, holding a pass through which the
whole system can alone be made available, he
can collect tolls oyer all the roads, account to
himself as President of the old company for
30 per cent. on its capital stock and divide the
remaining 60 per cent. and anything left over
among small but select number of Quaker
stockholders in the North Chicago Street
Railroad Company. What the Broadw-y
franchise is to the success of the Philadelphia
syndicate In New York the LaSae street
tunnel is to the same unscrupuous lot of
speculators in Chicago.
THE SUBSCRIBERS.
Andrew Crawford. one Of the subscribers
Tor the stock. Is attorney for the new corpora
ton. Regarding the identity of L. Fl. Went
worth, ST., who has signed the list for 81 999 900
worth of stock, little can be learned.
Ii is stated in the News that Crawford
says he is retired capitalist who resides
in Washington. Furbeck is teller in a
Chicago bank; William ID. Meeker is
president and cashier of the old North
Side Company; Edwin G. Markham is
cashier in local newspaper Office, and
Clifford is described in the directory as a
Grader" No one of the live smaller
stock holders has ever been recognized as
a capitalist. The disclosures have created
great sensation in the Board of Alder
men, but they are loath to express an
opinion.