The herald., 1895-01-31
TO BIZ A FRIENDLY SUIT.
NEW DEyELOPMENTSIN THEBEAR
VALLEY COMPANY.
moreno Editor Gives Graphic State
mont of the Condi,ion of the
COMPANY.

The complications existiaS between
the New Bear Valley company and the
Aleseandro irrigation district are attract
ing the attention of all who are inter-
ested in irrigation, especially 40 40 the
eonstitutiouslity of tho Wright law is
about to be passed upon by the supreme
court of the United States.
Franklin IL. Austin, editor OF the
Moreno Indicator. who is in town for
few days on business, was approached
upon the subject by HERALD reporter
yesterday. Mr.. Austin mas made a
careful study of the existing complica-
tions, and when asked concerning the
probable outcome of the differences be-
tween the district and tho Bear Valley
company said:
You have certainly asked me a very
difficult question to answer. l have a
delicacy in speaking of our internal
dissensions. The notoriety already
given the matter by the preus has had
serious effect upon the values OF prop.
erty.
THE facts are these: In 1891 the AL
essandro district delivered the old Bear
Valley company $765. 600 worth OF bonds
in return for 81, 900 class B certificates,
representing about 5000 miners inches
of water. or an inch TO every four acres
OF the land included within the district,
the company agreeing to deliver the
wafer within stated time. Only 500
inches had been delivered when the
company was forced into the hands of
receivers in 1898.
1.-The new Bear Valley company was
organized for the protection of the stock
holders who are willing to save their
investment by advancing the necessary
funds to pay the Indebtedness against
the plant ana finish it's construction.
The projectors of this new organization
find upon Investigation that with
the $780, 00 at their disposal it will be
impossible to pay off the indebtedness
and complete the works without loss.
unless the Alessandro irrigating district
will relinquish portion of the water
it contracted for and accept basis of
an inch to ak acres. Certain radical
settlers have through constant agitation
against the company presented what
seems to the ordinary business man a
reasonable compromise. The sale OF
water thus relinquished by the district
together with the Gale OF its large tract
OF land at Alesesndro would enable the
company to pay off the 81 500, 900 bonded
indie btedness within 10 years and enable
the old stock holders to save the stock
they paid for so dearly under the pre-
vious reckless management.
1.-The New Bear Valley company owns
about $4,000 acres in the Aleesandro
district and the adjustment of the water
question would, by the sale of this land.
restore immediate prosperity to the
Alsssandro and Perris valleys; but Ga
the lands are practically controlled by
the Wright law the company must wait
the action of the distric; before begin
ming work. 1t very naturally refuses to
20 on with work that would result in
further loss, rs the delivery of water on
basis of an inch to four ecrea most
certainly would.
''Ths matter will probably be brought
before Judge Roee in friendly suit for
the purpose of ascertaining whethar the
contract bstween the old company and
the district is binding upon the new
company under the decree Of ssle, or
whether il is optional with them as to
the amount of water to be delivered to
their own lands as well rs those owaed
by others.
1.-The litigation will be OF short dura-
ton and will undoubtedly bring about a
speedy settlement of all differences
whichever way the question is decided.
Tho Alessandro tract ia one OF the
most desirable for settlement, as to
quality of soil, climate and water fsoili-
ties. in Southern California. 1t hal
abundant water for all present necessi-
ties, and today offers a better field fol
speculation and investment than can b,
obtained later when values are higher