St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1889-11-12
PECULIAR IFENsNCIEgING.
Sensational Expose OF the Meth.
Ods Of Euck eyel Oai EarOns.

Sensational Efxpo5e or the Meth
ods OF Euck eye oai BarOns.
LOGAN, o., Nov. 11.-SOme weeks ago
the Boston Safe Deposit and Trust COM
pany fled suit in the Hooking county
court of pleas to foreclose a mortgage
securing the bonds OF the Ohio & West
ern Coal and Iron company, whose fail
ure is still SO severely felt throughout
the valley. To-day the answer and
cross petition of W. d. Lee was filed by
his attorneys, MeSSrS. Ewing d. South
ard of New York, and Fairbanks, Smith
d Steele. of Columbus, and it bids fair
to make wide sensation and expose to
the public curiosity some of the inter-
esting history of the various coal specu-
iatiOns i'll this part of the country.
The Ohio and Western Coal anI Iron
the Hooking Coal and Iron company,
the Hope Furnace company and the
Standard Coal and Iron company: the
last naued having been the immediate
predecessors of the Ohio and Western.
These companies were owned by var
ious Eastern capitalists, and include
among their projectors a number of
well-knOwn public men, such as Hon,
JAMES G. Blaine. Gen. Thomas Ewing.
James A. Hall, and Oakes Ames, of
Massachusetts; a, we'll as number OF
men who were equally as we'll known
on accounted their b0io speculation in
the mineral resources of this state.
Among I'll latter, and by far the most
prominent, was w. ID. Lee. formerly Of
Newark, o., but now a resident of New
York, whose answer and cross petition,
now OH file. is OF a most in.
tereSting,and almost sensational cflarac-
ter. The answer covers fifty pages of
typewriter matter, and fully sets out
the scheme by which the new company,
which had no existence, history or capi-
tai of its own, obtained the title TO 5000
acres of land in consideration of assum-
ing the liabilities upon it, aud which
were to be paid by bonds. secured in
turn by mortgage on the identical
property transferred from the old COM
panieS to the new. Among the creditors
of the old companies was w. ID. Lee,
who, by the terms of the agreement,
was To receive the enormous sum of
81, l03. .lO2 in bonds of the Ohio d West
ern. These bonds were to be part of
the utiorized issue of 81. 5O0. 900, secured
by mortgages on the Boston Safe De-
pOsit and Trust company. which is
about to be forecloSed. Lee claims,
however, that the bonds were
never issued to him, but put in
soak or sold by j. Nj. Glidden, the
president of the company of Glidden d
Curtis, whose failure year ago pre-
cipitated the ruin OF the Ohio d West.
ern. 1t is also charged that bonds were
fraudulently issued to other parties
without consideration, and accepted by
them in bad faith. The answer insists
on these bonds. and the ones converted
TO the use of Glidden being turned over
to Mr.. Lee, SO that he may pro-rate with
other creditors who hold their bonds in
good faith, out of the proceeds of the
.mortgaged premises, which include
about i, 100 acres Of coal lands in Athens,
Hooking and Perry counties. The
great mineral resources owned by the
Ohio & Western in these three counties
has necessarily been inactive since its
failure, which has, therefore, been most
far-reaching in its extent and character,
and has greatly depressed the industries
and enterprises of the Hooking valley,
and speedy decision of this suit is
anxiously looked forward to by our
people.