The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-10-27
SECURITIES PUT Up.
Now the Banks Are Ready TO
Furnish the Money.
The soaDsmEn KEEP FAITH.
H<nry Fahrrnsn snd Fred Sander De-
vosfs Cegisseraf In Escrow as Evil
asse@ Of Good Faith

The settlement Of the Erug dehest yes
tsrday passed from the stage Of negotia-
ton into that OF so almost accomplished
fact. There can no longer be any douos
that all tarties concerned VIII keep faith
ard that the contamination Of the con-
tract Of the bondxmen with the city viii
be delayed only by the preparation Of the
necessary contract.
L. III. Griffith, who. by the way. is not
bordsman, bat . debtor, has deposited the
securities agreed upon and the mortgages
have been hIed for record, after being duly
accepted BY the city.
YESTERDAY the bondsmen made an ensr-
rstIc and positive effort to conyInce the
public that every promise woald be kept.
Lester Turner. cashier Of the First Ma
tional bank, was selected as trustee, and
securities upon which large portion OF
ths money IL TO be obtaiHed from the
Clearinghouse banks were placed In bis
haads. Henry Thurman binds himself in
notes for $500. secured by certain
suresfes. eoIiaterals and properties, the
particulars Of which are not made public.
bat which are acceptable 10 the
banks that are 20 furnish money upon
them. Fred r. Sander gives notes 10 the
amount Of 5000. signed also By III. X.
Hall, the we.l-known Port Klakeley ship
builder. who il bis father-in-Iaw, and his
wife. OF this amount sf2 600 is 20 go as
payment for Mr. Sanders loan from kFug
and 5000 will apply on the bond,
while Mr. Fuhrmans 50 600 payment APP
plies on the bond alone, be having already
settled his indebtedness TO the city treas
ury by giving up the $1,000 worth Of war
rants he had deposited with Krug as
collateral for loan Of $1,000.
In arranging a settlement between the
bondsmen Mr.. Fuhrman's attorney, Mr..
j.. C. Hughes, proposed 10 the other
bondsmen that inasmuch as his client had
been publicly reported as having made
large sum Of money by handling city funds
and therefore been placed in a very
unfortunate position In regard to public
sentiment. he was willing 20 make greater
sacrifices than could be expected OF any
other bondsmen and would stand three
times the share OF fhs loss Of the other
bondsmen, although In fact he had made
no profit from city funds. Mr.. FahrInan
has done more than this by piedg-
ing his credit in the sum O!
$500 while the other bondsmen, with
the exception of Fred r. Sander. who puts
Whiie the bondsmen now have to
put up about $1,000, they sill re-
eeiye indemnity for considerable
sum through the collection of
some OF the securities rejected by the city
and realizing upon property which will be
turned ever 10 them by Krug. The loss TO
the boudsmen. 1t Is thought. will eventu-
ally be less than $4,000. Whatever IL NAV
n Ex.f.
Fred r. Sander two parts, and six other
bondsmen one part each. ID. T. Denny.
one of the bondsmen. has refused TO do
anything. and NJ. Mefeigh has stated his
utter inability 10 do anything at present,
and has given the other bondsmen. who
put up his share. his note for the purpose
Of sharing the ultimate loss.
The PosT-IsrELIfsgSCKR has heretofore
intimsted public suspicion of insince-ity
on the part OF Mr.. Thurman concerning
his promise TO put up SIS. 000 since COM
mittee acting for the bondsmen consist
ing OF Mr.. II. r. Spencer. Mr.. " II.
Lstimer and Mr.. j. Y. Ostrander
had reported that on examination
of Mr.. Fuhrman's books they had found
that the only profit he had made in the
use Of the eity's money was about
sI22. premiums on warrnts he had
bought. but Mr.. Fuhrman has
shown by depositing his securities
with Mr.. Turner in escrow that he means
20 keep faith and that the 81. 600 he
pledged as hondsman will be paid into the
city treasury according TO the terms OF the
proposition.
The banks which are 10 furnish the
ready cash have notified Mr. Turner, as
trustee. of their acceptance of the securi.
ties offered by Mr.. Fuhrman and Mr..
Sander and of their readiness TO issue the
certified checks agreed upon as
soon as the contract authorized
by ordinance has been signed. Corpora
ton Counsel Don worth is now engaged in
the preparation Of that important docu.
mens and IL viii he ready today or tomor-