New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-01-14
MILLIONS OF SUGAR STOCK.
TRUST MEMORIES ACU1ELY REVIVED.

THE STOCKHOLDERS OF THE AMERICAN REIN
ING COMPANY AUTHORIZE AN INCREASE OF
FIFTY PER CENT IN CAP1TALIZATIoN
Wall Street has direct interest IN the "n''eno",e
mud skating matches. but 1t has aofniueu Tue" NJ
As testimony TO the impudence with "hch INC Id" '
be defed at times in NewJereey. The general senti'
ment in Wall Street when the increase OF S-o"ooooo
,n tho cantal of the American Sugar Refining company
was announced Yesterday was that even "u'eHou's
cheek" had been surpassed. NOT tlat u'e "'.o" "
the stockholders a clear violation OF law oI ~
all the proper Observed but te P1hVp' VI
astonishing Impotence preserved The news OF the
increase in the stock gave cll 10 the Stock haihe''
and while suCar stock tumbled the most the eject
was hurtfn to legitimate confidence. The proposition
10 add more water to the sugar Company COMES ai'o
all existence of the corporation OF only one year on
January 10 1891. Fox young company, aIieauS Gar
rying capitalization of $50,Oo0OOO stock, WIN
$40 600 900 per bonds. which, according 10 te
statement Of the treasurer, have been Issued but not
disposed Of il is stroke of Napoeonic genius TO In
crease the capital so per cent. Inc acuoh Oh 'he
stockholders yesterday aroused memories OF the uheS
when trust the form OF the present cOhDa'loh
in the sugar trade The antics Of the sugar trust
stock are well remembered The manlpulauOhS III Inc
market of 1880 did much TO demOalize general Sentt
ment and help bear clique which was WofKlhe against
legitimate properties. The rise 10 more thdl l-o was
followed BY a crash when the insiders had uhload'N
their dupes and the OF thc truSI 'sVdlNN
legal obe only by throwing the North River Refinery
Into the hands Of receiver, and taking refuge IN the
swamps of New Jersey law by incorporating company
which took over the constituent refneries of the trust
under gal forms.
The water i'm the sugar Trust is Of common re
pute and hence II IS suggestive of the old methods
which had been condemned by public opinion to ma
that the second of the cOmpanys ieXtruste eX
istence is to be begun with tremendous an addition
TO the capitalization a. S2oOOOOOO.
1t was in jersey City, OF deeds too well famed In
Wall Street history, that the annual meeting OF the
American sugar Refining Company was held, with the
result authorizing this extraordinary measure Inc
secretary submitted a statement to the effect that the
board OF directors had decided to issue S2oOOo,oOo
new stock, TO be divided equally into preferred anu
common shares provided the written consent OF TWO
thirds OF the stockholders obtained 1T WAS eA-
planned that had been deemed necessary TO ask Tor
this increase OF capital to enable the company to erect
new buildings and generally to increase it's business
facilities TIE stock to be issued at par in cash
or for new property. Colonel j. G. Refill Stoc"-
holder Strovc to have the requirement OF three
ourths' vote adopted John T.. Parsons, counsel OF
the company. declared that this WAS not necessary
and after discussion the resolution carried without
a dissenting vote.
The rcclass ncation OF the board OF directors was
recently decided upon, and to carry out the programme
Theodore a. llavemeyer and J. b. Thomas were re-
elected. The end of the fiscal year was changed from
December Il 10 November III tHU
work Of the officers
The trcaslrer's report showed net savings for the
year ended December 81, 1891, TO be S1O'3'oO2 de-
Quoting the semi annual dividends to stockholders OF
s3,75OOOO leaves surplus OF Sl323OO2 reserved
for contingencies The report says:
There nave been issued in accordance with the
authority conferred by the stockholders S1O,OOoOOO
q per cent bonds none OF which, however have been
disposed OF up to this time. Two thousand five nun
dred and Aty OF these bonds have been lodged in ac-
codance with The terms of the reorganization agree
ment with the receivers pending the completion Of the
dissolution proceedings of the old corporations In
Kings County. The decree OF the court diSsolvins
these corporations has been granted. and the bonds
viii DC returned to the treasury of the company
II i, understood That the American sugar Refining
Company o, California has been leased by the western
Sugar Refining Company, the STOCK Oi which Is hail
owned by the American Company Last 1t cOuh
not be learned The meeting Whether TINS transaction
or any deal with the Eastern interests Of Claus
epreckels to figure part excuse for the deuge
OF new stock which the directors have been authorized
u issue.