Evening star. [volume] (Washington, D.C.) 1854-1972, 1893-05-15
THE HERALD CORPORATION.
Mr.. Bennett Decides to Change the Form
of His Ownership.
MR. BENNETT TO MAINTAIN HIS coSTRoL-Hn
HEALTH Is NOT VERY GOOD.
From the New York Snn


change was made by Mr. Bennett in anticipa-
ton Of change in the proprietorship of the
Herald. The Herald has hitherto been solely
the property OF Mr.. Bennett Ii will soon be
owned by a corporation of the stock of which
Mr.. Bennett will hold almost all. Mr.. John
IoWnshend. the lawyer of Mr.. Bennett and Of
Mr.. Beunett's father before him. is authority
for this statement. Mr.. Townshend said last
night:
Mr.. Bennett has had in his head for two or
three years the idea of forming a corporation
70 run the Herald. He first contemplated Il In
iosO he has put IL of from time TO time
until the present His recent trip TO this
country was made for a number Of reasons.
lie desired to inspect his new building at 3Jth
street and Broadway and TO give personal di-
rections about Its completion. He also wanted
10 see how the paper running LASTLY. be
came over TO talk over his scheme for the
formation Of a corporation.
NOW, understand distinctly that as vet MOTH
ing definite has been decided beyond the fact
that the corporation will surely be formed No
steps have as Yet been taken save the mere dis
cussion Of the plan. Mr.. Bennett decided 70
take this step because the newspaper property,
as corporation, could be much easier disposed
OF at his death as personal properts than AZ
realty. 1t could also. of course. be easier dis
posed OF in such shape during his life. II is
this alone that led Mr.. Bennett to decide on his
present plaE."
What will be the capital stock Of the cor
porationy was asked
Speaking from my knowledge of the mat
Ter, should say il would be about s2OO0.-
oOO The Herald property is worth every cent
OF that, and think that will be the sum named
think the shares will be 500, making 20. 900
shares IN all Mr.. Bennett will hold at least
Sl,soO,ooO worth of the stock, or 5000
shares"
.win these 1000 shares be for sale?" wss
asked.
They will not, ;" said Mr. Townshend. This
s purely personal transaction Of Mr.. Ben
netts. There will be as few stockhoIders A
possible. We have not vet been able to 60 into
the matter thoroughly. As soon as Mr. bennett
determined positively TO have the corporation
he took his name of the editorial page. think
ne acted perhaps precipitately. There was no
occasion for such haste. But from what we
have thus far learned we must have at least
three stockholders. IL the company 10
Incorporated under the amended general
law OF ls4s there must be at least three
snafehoioers- IL the company is incorporated
under the special or limited statue there must
be at least nine. Mr. Bennett wants only three
II the law VIII allow it. 1t would be perfectly
legal for US TO have as few as ten other sfock-
holders holding only one share each SO that
Mr.. Bennett can still hold 81, s99. 600 worth Of
capital stock of $4,000. 600. II il is nsces-
sary TO have nine stockholders I cannot tell
you who they will be. IL three stockholder.
are required think that one of them viii be
Mr. Gardiner G. Howland.''
holder?'
Mr.. Mackay has no interest in the HeraIS
at the present time, nor will he have any In.
terest whatever, direct or indirect, in the new
corporation. Mr.. Bennett il in no financial
ditnculnes. he does not need money, nor il
this new plan proposed that he NAV procure
more money without losing control of the Her.
AID and without mortgaging it. Mr. Bennett in
richer tocay than he ever Was He il worth q
least "a, 50O. 600 clear Of his debts He owes
not over 100000. He, of course, is the
trustee OF ms sisters estate, which is worth
about l,OOO.OO0. Some people might say he
owes this amount; but he has her propertv to
show Tor It. She is his largest creditor. Ths
Herald is not mortgaged for one dollar.
There is no lien upon it nor does Mr..
Mackay or any one else hold Mr.. Bennett's
notes or any paper OF his that viii enable them
to touch the Herald or get any hold upon IL
IL Mr.. Bennett had wanted money he could
have got plenty OF il when he was here with.
out considering the Herald He has l25 acres
OF land In Westchester county. for which he
was offered 1887 800 last Thursday or O. 700
an acre. Then he has q one-quarter interest
In ], 900 acres OF land near by his l26 acres,
and this rs worth at least t6o0. 600 He has
forty-nine acres at Fort Washington that he ~
fused s9S0. 900 or $4,000 an acre for list week.
II has been said that he lost considerable money
recently at Monte Carlo or some ether place
gambling. This is untrue. Mr.. Bennett never
lost 100 at cards or games Of chance in his
life
lis il true that Mr.. Benefits health ID bsdp"
Mr.. Bennett has made his will" said Mr.
Townshend. "And this fact reminds me that
he could not divide the Herald property u his
death so easily if he did not merge it into .
corporation"
docs Mr.. Bennett contemplate dividing M
the Herald property by his will?" asked ths
reporter.
.'He does, - said Mr.. Townshend. At am NOT
at liberty TO say who will get it, His stster
viii not get il all, nor will her children James
Gordon Bennett Bell and q daughter get all
the remainder. However, il should be dis
tinctly understood that il Mr. Bennett were 20
die now his sister would be his only heir q
law. BY that mean that there are no other
heirs persons entitled to share Of his
estate in America, in France, or in any othse
country"
HAS Mr.. Benefits health anything 10 do
with the formation Of the corporationr' sahsA
the reporter
lone of the advantages Of additional stock
holders viii be that men, aside from Mr. Ben
nett, with an interest in the paper. win haves
hand in its management and Will thereby
tighten the burden now resting on Mr.. Benz
nett's shoulders. However, Mr.. Bennest dos
not wish to get rid OF the labors attending tbs
sole proprietorship Of q newspaper. he de-
lights in them.
10 sum up the whole thing he il simply
going to organize . corporation 10 hold his
newspaper property. Of which corporation b.
will hold the large majority OF the stock He
does this in order that he may have his prop
erty in such shape that il he were 80 minded s.
could very easily dispose of all OF part a n
during his life, and can partition IL paatnly aad
simply at his death"
Funeral Of Ex-Policemsn Kesrney,-