The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1893-01-31
4AGRY SaAREaOLDERS.
MONEY! INFESTED IN HA-
WAEI VANESHES.
Stockholders Of The Hawaiian
Cornmeleia, COMPANY saw
Strong Things.

H
in the Hawaiian Commercial and
Sugar Company met yesterday 9th
inst,) in the law office of Blake, How
ison Il Williams and expressed them
selves very freely concerning the
board of directors, vino had permit
ted the affairs of the great corpora
ton to become badly entsngled, says
/ the San Francisco Chronicle. From
/ present appearances the once strong
and wealthy company, controlling
! the sugar market of the world, is
nearly wreck. The stock which at
one time commanded S45 and $50 a
share has no longer msrket value.
1t Is, in fact, useless for speculative
parposes.
In the last report OF the board of
directors, made several weeks ago,
the stockholders were told IL effect
that the stock was yalueless and the
corporation deeply in debt the de
pressing effect of the Mckinley bill
on the price of sugar, and the lack of
water, no rain having fallen on the
Hawaiian islands in q long period,
were the main reasons given as an
explanation for the disastrous turn
which affairs had taken. A financial
statement submitted was intended to
show that in no way could ruin be
averted, and that the stock once SO
much sought after was scarcely
quoted at nominal figure The re
port came like a flash of lightning
out OF q clear sky TO many of the
stockholders, and out OF the general
roar of wrath and indignation came
g demand for an investigation.
1t appears that at a meeting held
when the report was ready for pres
entation several of the stockholders
declined to accept the situation and
suggested that an assessment might
be levied and the money thus raised
be used to carry the corporation
through the financial breakers This
was agreed to and it was anticipated
that the assessment would be about
81 share. The good people who
had invested their wealth in the Ha
Baiian Commercial Company were
Mortified by an invitation to come
forward and yield up s. a share
This, the directors argued, would
bring $500, 600 into the treasury and
would be needed, every cent of it.
The date on which the assessment !
became delinquent was fixed at Jan
uary 9th.
The levy was considered exorbit- |
ant, and few days ago a number of |
stockholders, representing 10000 /
shares out of total of 100000, met |
and appointed a committee to wait
on Claus Spreekels, who is popularity
to have possession of $1,000
shares, or a controlling interest in
the corporation, and ask him to with
draw the assessment altogether or
reduce it TO 81 As Attorney Will
liams explained to the nesting yes
-erdsy: Mr. Spreckels declined to
listen to a paper which I had drawn
Ip with care, and after investigation
Of the situation, politely requested
hem to yscste his Office. They left"
Mr. Williams then set forth the
Of affairs. 1t appeared
rom his statement that the bonds Of
SS00,000 were mortgage on the
suds. crops, etc, OF the company.
Claus Spreckels was credited with
,wning 100000 worth OF these
Jonds. They viii mature IN about
WO years. On the bonds interest Of '
10000 was due from the company ,
n October 1st, and It has not been .
aid. The bOndholdsrs express q
Lesire TO have their money and :
hresten to foreclose, making the
.oint that the corporation has de-
sulted IN the interest '
Mr.. Spreckels also owns, so Mr.
Williams said was the general belief
0,G00 shares OF the stock and had a
lected majority Of the board Of di- +,
sctors, at least, in the persons Of :.
imsslf and his two sons. The as :
sssment had been levied by those q
eutlemen and 1t vas 2 question in | ?,
le attorneys mind whether OF not Il
laus Sprecksls as director and q c.
representative OF the stockholders Il
"a rot acted in the interest Of him II
IL as 5ondholder. II the assess
ent we're not paid the stock would r
} into the treasury, the company
.coue bankrupt and property val
ID at over S3,OO0,0O0 60 to the
for 100000. y,
1t Is a question" continued Mr.. :.
IF We can get the courts =
interfere IN this matter. We can ~
ow that By the directors report II
g stock Is set down Is being worth NJ
thing and yet an assessment Of s. Oc
levied The inference IL that there St
3 no anticipation that the assess
sut would be paid BY the stock IN
lders and that It was levied with A.
ne Interior object" -
in anxious stakeholder inquired ~
.st could be done If the bond nc
Iders attempted to forclOse for the VIC
taulted interest ha
: Rut fner1 Il ndonav euoroF IN 1 hu