The herald., 1894-10-09
THE BEAR VALLEY COMPANY
All Its Property Sold Under
the Hammer.
Arthur Young Was the Highest and
Only Bidder.
Ho Bought 1t for Chicago, Scotch
and English Capitalists - The
Plant 60 Be Enlarged
and Improved.
speeial to the HERALD.

Special to the HERALD.
SAN BRRNARDINo. Oct. S.-The stock
OF the Bear Valley company was sold
this morning at the east door of the
court houae under an order issued out
of Judge Ross court in the case en-
titled James Gilbert Foster va. Bear
Valley company, corporation. The
stock was sold to the highest bidder by
the receivers, A. P. McGinnis and J. A.
Graves, and was bid in by Arthur
Young acting for a syndicate of Chica-
90, English and Scotch capitalists. the
price paid was $3.50, 900.
The old company will be reorganizsd
at once and the contracts and obliga-
tions entered into with Aessandro, Per-
ris, Moreno, Redands, Highlands and
other irrigatipg colonies, will be carried
out to the letter. The new company
will have a capitalized stock of $4,000
600, and $1,000,0e0 will at once be ex-
pended in erecting a new dam 80 feet in
Insight at Bear Valley lake, which will
quadruple the storage capacity OF the
lake and supply sufficient water to irri-
gate every foot of land in San
BarnarGino and Perris valleys. Large
canals and pipe lines will be built to
distribute the water TO Highlands, Mo-
reno, Mentone, Grafton, Redlands,
Mound City, Alessandro and Perris.
The new company is backed by a
large smouRt OF capital, and is prepared
to carry out and enlarge upon the
original plans OF the company. Instead
of disaster, many look forward to the
change in the management of the COM
pany as boon to those owning lands
under its distributing bitches.
AS the time OF the Gale drew near, in
terested parties from the various towns
supplied with water under the Bear
valley system thronged about the court
house, delegations from Redlgnds, Ales-
aandro, Moreno and other places, swell
ing the number to over 200 people.
Quite number from eastern states,
Scotland and England were watching
the proceedings in the interest of stock
holders whom thsy repreaented.
As the clock struck 10 }. A. Graves,
enc OF the receivers, read the order Of
the court, a list of the property, real
and personal, and the terms OF sale,
which we're briefly IS follows:
All of said property was offered for
sale in one parcel, real, personal and
mixed, subject to the following condi-
tions:
First-All receivers' certificates issued
by the receivers herein, which are made
a first lien upon sll property of said de-
fendant.
Second-Judgment liens against said
property.
Third-Mortgsge liens against said
property.
Fourth-Subjsot to the final determi-
nation of several actions brought
against said corporation to enfore me-
chanics' and material mems liens.
Fifth-Subject to extent OF property
pledged to claims of various parties to
whom said corporation is indebted.
Sixth-Subject TO the claims of all
peFsons to whom said corporation is in
debted on unfuldlled contracts for pur-
chase of real estate.
Soventh-Subjsct to claims of any
persons who have fled claims against
corporation on account OF labor per-
formed for it which may hereafter be
adjudged to be lien upon the property
OF said corporation.
Eighth--Subject to any contracts
said property, and subject to the final
accounting of the receivers herein, and
payment by purchaser OF any amount
said to be due by said receivers on such
final accounting, including the costs OF
this proceeding, the compensation OF the
plaintiffs and defendants attorneys,
and compensation OF said receivers,
their agents, attorneys and employees.
Ninth-Subjsct TO the rights of the
Alessandro irrigation district, under
that certain contract dated May 6, 1891,
made py it with the Bear Valley Irriga-
tion company.
Tenth-Subiect to the rights OF the
Perris irrigation district, under certain
contract dated January 20, 1891, made
by il with the Bear Valley Irrigation
company.
Arthur Young, representing Chicago,
English and Scottish capitalists, was the
only and successful bidder, to whom the
property was knocked down by the auc-
tioneer in less than five minutes, for
$3S0,000. The syndicate represented by
him had clsi:n against the company
for $430, 900 for money loaned.
In an interview after the sale, Mr..
Young stated the msn he represented
proposed to put the business OF the com
psny on solid basis and to that end
there would be no lack OF money. When
the new dam ia erected next season q
lake 80 feet deep, u miles long and two
miles wide will be impounded, which
will furnish continuous flow OF 1900
inches OF water in the irriasting sesson,
or sufficient wetsr to irrigate 10000
acrea of land. These gentlemen boug BIT
in the Bear Valley stock after thor
ough investigation and realizing 1t would
require the additional expenditure OF
81 600, 900 to put she plant on a paying
banis.