The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-09-23
GREAT LAND BUBBLE.
,,1zsroRs ANXIOUS ABOUT TIE
~ prTuRN OF GHEI2 MON-Y.

80 the Use of Their Names and
,ne,ence, and the Upwary, Were
Trapped
Wv YORK. Sept. 20.-The World to-
..rrox will print special from its cor
a,ndsnt in Arkansas Harbor, Tex, in the
curse of which he says:
~Tbis u ace is soon to become the center
,;ntere,t in the United States because Of
fort to indict Russell B. Harrison, son
SI,b, President. He is at the head Of the
..,n.as Harbor and Land Improvement
C,orsnv which sold many hundred thou
..d dollars worth of land here on the
-.,rise that within one year they would
stain deep water in Arkansas Pass, aud SO
,n.sa harbor rivaling any on the Gulf
coast.
.On Saturday, Sept. 70, about 800, 900 in
,,o,,s given for the purchase CT these lots
bv heal and state settlers, fell due and were
not paid.
"Tn the meantime. the year within which
tbe company promised to have deep water
in the pass, has about elapsed, aud nothing
has been done. AS the company has failed
n keep It's promises the purchasers Of lots
have refused to meet their notes. They iu-
Vested here because of the distinguished
names associated with the project.
"Ex.Lieut. Gov. Wheeler and Russell
r. Harrison stand at the head. Mr..
Wbeele- says the people must pay. He has
heen in communication with Mr.. Harrison
and Others within few days and has re-
csiyed orders to push the payments. A
food of suits will be brought by Harrison
and Wheeler, and probably a thousand
Texans will be made defendants.
PREPARING TO INDICT THE PRINCIPALS.
ION the other hand, sturdy Texas set
Tiers claim that they have been swindled.
They say the company has thrived by
ystem of Misrepresentation, and P.
Il. Tansey of Arkansas Harbor is preparing
case for the grand jury wit a view to in>
dieting all the principals.
Not content with inducing Texans to in
vest in his enterprise, the son of the Presi>
dent organized special expedition into the
state from New York and visited Arkansas
Harbor with full retinue of artists and
wIitels for FrdnE Leslie's Illustrated
Newspaper and other publications. Then
was issued the speci Il Texas edition of Octo-
ber 1890, with illuminated cover in which
two pages were devoted exclusively to the
wonders of Arkansas Pass. So people in the
8 east were induced to invest on the strength
Of the fine promises held out, and it is sup
posed the company took in several hundred
/ thousand dollars at the headquarters on
Fifth avenue, New York.
1T was scrub oak and bay shruboery
land, never before occupied except by
cattle and hogs, that was made the basis OF
high-sounding corporation, advertising
Itself as having a paid up capital Of
100000.
DOUBLE CHARTERS PROCURED.
unfortunately for the projectors or
Nbemers, the law Of Texas requires stock
subscribed should be actually paid for, and
subjects all corporations to examination
and the necessity of making reports setting
forth their receipts and expenditures.
The laws Of other states, however, are
far moro accommodating, and, as a conse-
clence, the charter was obtained in Ran-
ps, where corporations can do almost any
thing they please without having to show
tder hands or account to any one for their
dOngs.
"a charter was also obtained in Colorado
at q cost of about $1,000. and armed with
this double-headed authority the Arkansas
Harbor City and Improvement Company,
or the Arkansas Harbor Improvement Com
pany Dit sails under two distinct names),
took out q license t0 do business in Texas.
"How we're the SC, 000.0 900 of capital made
ups A block of stock about $500, 900 par
value was given Russell B. Harrison for the
cool half million dollars in stock was cred-
tied for wsll-earned services to a gentleman
since deceased, and is now held by his heirs,
while block of So, 600 900 was made out to
Reagan Houston as trustee of the Arkansas
Pass hsrbor Company, on condition that
Mr.. Lott and his associates built jetties and
secured deep water
"How much was distributed for friendly
legislation, how much was given to the in
CnrV aff,ra Co. k..s.
boosting the scheme, how much was given
for infooence' generally cannot be ascer-
famed with certainty. From all these
sources not dollar in money was realized.
THE OFFICERS.
This corporation does not appear to have
any hoard of directors, but, in the language
OF the advertisement, it was differed by the
following well-known statesmen, fnanciers
and capitalists:
Russell B. Harrison. president, New
York.
IT. B. Wheeler lieutenant governor of
Texas, vice president and general agent
John W. Rife congressman, Pennsyl-
vania, second vice president.
IA. W. De Berrey (ex.secretary of state
OF Iexas), secretary.
-. U. Knowles, Kansas, treasurer.
X Il. Wilson, Missouri, and 9. A.
saunders, Missouri, managers.
GILT-EDGED BOOMERS
ITO give the grand scheme further bona
nde appearance the company flung its ban
ners to the breeze and published long list
OF incorporators, including the following:
Russell B. Harrison, New York.
Congressman s. e. Payne. New York,
"Danlel Carr, New York.
William Charles Peel, London, England.
"a. j. Holmes, sergeant-at- arms. House
OF Representatives. Washington, d. c.
Congressman D. B. Henderson. Iowa.
Congressman George Z. w. Dorsey.
Nebraska.
Congressman J. w. Rife, Pennsylvania.
CONGRESSMAN j. G. Burrows. Michigan.
Nearly ell of these are mere figureheads
noiolng STOCK which costs them nothing, and
having no particular interest in the welfare
OF the prospect OF profit to them without in
vestmenr.
THOUGHTFUL OF THE PRESIDENT
This is the same Arkansas Harbor that
rendered President Harrison special vesti-
buie train If he would call around and see
Us, but the management took care not TO
send out the invitation until the President
nau made up his programme, and thus the
coming seaport received a first-cless adver-
.sennent Tor Its offer of pretended hospital
ity, together with a telegram of tbanEs
from Frivate Secretary Halford for SEEM
ing courtesy that was no better than shall
WW hypocrisy. But the trick panned out
ven, and to this day President Harrison
SoeS not know the narrow escape he had
rom being made the victim of an advertis-
Ing dodge.
THE PHANTOM CITY.
Inc town site was plated. The plat