The enterprise. [volume] (Wellington, Ohio) 188?-1899, 1891-04-22
CHAPTER TX,
TIE MANHATTAN ELECTRO MOTOR COMPANY.

w sucau anu OrRaulZe your COn-
pany," said Gilbert Ray, II haven't
time to attend to 1t just now"
He and Russell had been discussing
Deering's model. Ray was sure there
was money to be got out Of the machine,
and Russell was sure that there was
money to be got out of Ray, and both
we're satisfied
"0f course 1t isn't worth while for me
to spend much time on this thing at
first" said Ray. after you get 1t 60.
ing 30 that we can work deals with 1t
I'll step in, but the previous develop
ment I'll leave in your hands"
"But | can't organize a company all
alone" Russell objected; there are
some sort Of laws governing the pro.
cess, suppose"
Sure" replied Ray, you'll need a
lawyer, and, Of course, I'll put up for
his fee. Then all you'll need will be
three or four friends, and few bottles
Of champagne. I'll stand the cham
pagne. Il won't appear in the company
at the start. You and your friends Will
unite in signing an application for
charter"
"But we don't want to give away the
nature OF this machine Just yot."
There ism! any need Of 1t. Tell your
friends it's oontrivance for making
doughnuts. They won't inquire into IL.
They'll be only dummies anyway. After
your company's formed they'll nominal
ly hold share Of stock each, par value
ten dollars, but they won't put up any
money. Just get some men who will be
handy when you want to hold meetings.
At the start they'll vote to transfer to
you in consideration Of the patent, ETC.,
half the capital stock. I'll buy tho
other half, minus the three shares your
friends hold. You and your friends can
hold meetings without my being present.
I'll tell you what to vote and you can
tell the dummies"
1t was on this plan that the Manhat-
tan Electro-Motor Company was organ
lied with capital stock OF ono hundred
thousand dollars, which Ray said would
be increased soon. Russell had no diff
Guilty in finding three men who would
lend him their names for this purpose.
He was TO have an office in roam which
was already the headquarters Of several
enterprises, and he chose his incorpora-
tors from among the men who had desks
there. Having no interest in the COM
pany, thoy would always vote right as q
matter Of accommodation.
The Arst stockholders meeting was
held in a comfortable beer saloon across
the way. Thsus sf tho stockholders
shook dice for the drinks while Russell
outlined the nature OF various PROPOSE
tons which were favorably received,
and recorded by the secretary, young
man who had beon engaged to do clori-
cal work, and who held share OF stock
Ray had advised postponing any
active operations till fall. This plan
had not struck 1sasell faSorably for he
TO get hold OF some money as
quickly as possiAss.
Borrow sosps - your stock,' sug-
rested Ray, wntA Ne young man vent
nred TO hiRt that ho was in need.
"But 1t isn't xvEth any thing yet.
Nobody knows whether this machine
will amouatts ~ bhtng.p
slst nnss - men know quietly
shaf I'm behind 4, said Ray. "Let
hem hear that there's going TO be big
boom on 1t, and that it's to be worked
ip in hurry. Then go to those fellows
md offer your stock as collateral for
oan."
but don't want TO lose the stock"
"You don't have to lose II. After
1ou've made the loan let the fellow hear
hat I've stepped out and that the whole
hing has fallen into nothing. Let him
rot It quietly, like straight tip. Then
iavo friend Of yours 60 round to him
md pick up your paper at about FIVE
,er cont. on the dollar. You pay your
riend small commission and you'll be
way ahead on the transaction"
To do Russell justice he was shocked
" this proposition, and he continued TO
egard II as temptation Of Satan till
bout tho middle Of August, when ho
,ot very hard up, and worked the
cheme on. D conAding gentleman named
lanes Remington. That is 70 say, he
Negotiated the loan with the knowl-
dge that probably no other way out Of