The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1893-06-01
a FUkIUNE GUN d.
Charles Foster, Of Fostoria, O,
Makes an Assignment.
4 Number Ok Institutions with Which He
Was Connected Carried Down-He
Makes q Statement Placing His
Liabilities at e6OO,OO0.
A HEAVY CRASH.

| A18OIuClc9 III W0OU,UU
A HEAVY CRASH.
i FosToR1A, O., May 27.-Ex-Secretarv
# the Treasury Charles Foster has
startled the business world by
making an assignment of his
vast business interests for the ben
etit of his creditors. His assignee is j.
b. Gormlee. prominent banker of
Bucyrus and a warm friend of Mr.. Fos-
ter. The liabilities are given out by
Mr.. Foster as being 5000, 900, and the
| assets as about the same. He made the
ass: gnment during the night and the
papers were fled at T1ffin by Mr.. Scott,
his attorney.
/ PUBLIC STATEMENT.
FosToR1A, O., May 27.-The follow.
ing statement has been given to the
public.
Words cannot express the deep distress and
humiliation feel II I could bear all the
burden that = my failure will entail I
should feel a sense of relief. 1t is conso-
lato,. however, to look back over business
| lie OF forty i've years that has gained for me
! pos ton of confidence such as has rarely been
q ! we'd, and to know that have aided hun
| Ii Is of people to maintain an honorable stand
il. nd to gain competency, and some to &C.
| q. e large degree OF wealth. I know that
nca have by my failure injured many people,
but hope none arctic be ruined.
| when returned from Washington knew
tha my Endorsements for the wind6w-glass
companies, and the brass and iron works COM
| pany. were very large-so large, in fact, as to
| induce me to fear that I would have
| to suspend at that time. l. how.
| ever, prevailed upon a friend to give
| that could maintain myself and finally come
out all right These concerns owed more than
I then supposed, and, to add to my mis-
| fortunes, the affairs OF the Fostoria Light
and Power company, Of which I am a
large stockholder and indorser, proved
| to be in bad shape financially. Then came
1 the unfortunate financial condition of the
country. Every one that owed wanted his
money. and no one would lend. Payments for
glass, instead Of being in cash were made in pa
| per. Sales, in fact, came to stand.still.
| struggled, seeking every possible means to tide
| over the situation, until am compelled to as
sign. did not give up the struggle till to-day,
May 20
at will take the assignee some time to make
! up the schedule Of my affairs. In my affairs
include Foster, & Co.; the Croker, Malmbourg
& Calcned Gas companies, the brass and
iron works, and the Fostoria Light and
Power company. I can see plainly that
|
thus compelling my assets to be reduced
| to cash, large sacrifices will be made
| This being so, cannot give encouragement
| that my debts will be paid in full. The other
| concerns with which am connected are all on
a sound basis except possibly Davis & Foster.
They have surplus of $50, 900 and ought to pay
! in full.
MY failure must doubtless cause shock to
J the interests of the city, from which I am sure
it will speedily recover. I believe our bust
ness concerns are all in sound and healthy
condition, and the two banks are especially
strong. Depositors with them need not feel
| any alarm. I sold my two blocks and four
parcels of land to Mr.. Hardness when 1 ar
ranged for a large sum of money, and have
| turned over to him my stock in Cunningham &
| Co., and the stave and barrel works have
given mortgages to two women who relied
upon me to invest their money, it being about
all the property they have, amounting to about
$4,000
1T is only just to myself to say that two
| things have caused my downfall. one was
neglect Of business occasioned by my
devotion to politics. and the other
TO an over-zealous desire to build up
| Fostoria. In this hour of unspeakable
distress I only crave the generous judgment of
the public-a public that will be deeply shocked
| over the financial downfall of man who
has enjoyed their confidence to a remarkable
| degree.
The aggregate amount Of my liabilities, in
| clrding bank deposits, my individual debts, the
| three glass companies, the brass and iron
| works companies, the light and power COM
pa1y, will be about $500, Oo0 The assets on paper
viii more than cover the liabilities. Mr..
Wilkison has secured the school fund and the
| Building and Loan association funds against
/! loss. CHARLES FOSTER"
| OTHER FAILURES.
| The assignment of Secretary Foster
was the signal for the assignment of a
number of concerns in which he was in
terested.- The brass and iron works was
| one OF the concerns to assign. Besides
| Mr.. Foster, Mr.. Portz was one of the
owners of this concern. The liabilities
and assets of this company are included
in the personal statement of the secre-
tary. The Mambourg, Calcined and
Croker Window Glass companies, three
concerns that have been backed by Mr..
Foster, will also assign.
MIR. FOSTERS CAREER.
Charles Foster has but recently passed his
| 18th year. He was born in Seneca county, o.
He began life as clerk in his fathers store in
| Fostoria and at the age of IL was admitted
to partnership in the business. He
| at once assumed the management of
the establishment Its transactions were
even then < extensive. but by his push,
sasacity and enterprise young Foster de-
veloped the firm TO a remarkable degree, gained
great wealth and won the reputation of a most
shrewd and successful merchant.
| The enterprise of Mr.. Foster and his as
sociates had much to do with the building up of
the town of Fostoria and the development of
the country round about He was extensively
interested in, railway building as well
as in merchandising, and all of his
| business ventures appeared to prosper.
| His popularity is attested by the fact
that he was four times elected to con-
gress, although the district gave democratic
| majorities for all the other offices at those
elections. In congress he was member of the
| ways and means committee and exerted him.
self for the repeal of the obnoxious moiety
laws, out off which had grown numer-
GUS scandals affecting the customs serv-
| ice. Mr.. Foster was twice elected gov.
ernor Of Ohio, serving in That capacity from
1880 to 1884, and upon the death of Mr.. Window
was called into the cabinet of President Harrl-
son as secretary of the treasury. That position
Mr.. Foster filled with marked ability until the
expiration Of the Harrison admins tration.
Mrs. Stowe Honored.