The herald. [microfilm reel] (Los Angeles [Calif.]) 1893-1900, 1895-01-02

aide Water company had gone into the
hands Of receiver. / am small stock.
holder In the company. but have NOT
paid much attention to its affaIre. Inc
bonded indebtedness of the company.
think, Ia about 100000. This has not
all been placed. Heretofore the COM
panv has promptly met its interest
obligations. It was intimated to me
some time ago, however. that It migns
default on the January payment. ous
did not anticipate that there would %
any trouble. presume inability 10
meet the interest falling due January
LIST, is the cause Of the receivership."
.'Will the receivsrship in any way
affect the water supply OF RivereideI
"Oh, no. It will in no way interfere
with irrigation. 1t will have no deietes-
ious effects on business at Riverside.
cannot say anything about the cause OF
the trouble, because am not informed
on tie subject. am confident, though
that 1t will not interfere with the proa-
perity of Riverside in the slightest"
Mr.. r. J. Waters, q gentleman well
verssd in irrigation matters, when Ques-
toned about the receiverHhip OF the
Riverside Water company, said he waa
neyer stock holder in the company. and
could not speak of Its affairs advisedlys
His recollection of the matter. however,
was that the company had an or
ipinal bonded indebtedness OF 5000.
GOO: this, on the reinOorporAtion OF
the company, was increased to
| 81. .O0O, 900. OF this amount about $780,
| 600 had been placed, and about 5000 900
of the original indebtedness had been
taken up. James Gardner Clark Of
New Haven, Ct., had been acting -
financial agent OF the company, and
had succeeded in placing some OF the
bonds in New England. Then he went
| to England where he tried to hoat the
remainder, but without success. Owing
to financial etringency 1t was very dim-
cult to place California securities any
where, and it was principally ON thia
account that the company WAS unable
to sell its bonds.
Being asked what effect he thought
the receivership would have ON water
rights in Riverside, Mr.. Waters said |:
None Whatever. Irrigators will receive
their water supply Just 40 regularly 90
before. There will be no trouble about
that"
Judge R. M. Widney, when informed
of the appointment of receiver for the
Riverside Water company. said he did
not think IL would work any injury to
the irrigation interests of that city on
the contrary, be thought it would have
q good effect. Owners of water rights
would be served with water just the
same as before. The management Of
tho company would simply pass from
the hands OF the incorporators to the
creditors. Instead of paying interest
and dividends on inflated stock. interest
would hereafter be paid only on the
actual indebtedness. Judge Widney
had NO doubt that irrigstors would
profit by the change. although some ol
the original investors might suffer. The
community, at least, would not feel any
ill effects from it whatever.
Another gentleman, formerly resi-
dent of Riverside, but who did not care
to have his name mentioned in connec-
tion with the affair, said: 81 believe
there is big job behind this business.
Tie rentals of the Riverside Water com'
pany are immense, as the com pany sup.
plies the city with water for domestic
use aud most Of the colony with water
for irrigation. However. owing to the
failure of the orange crop last year,
many of the irrigators may not have
been able to pay their water tax. This
may have tended to the embarrassment
Of the company"