St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-02-23
MENACE HOMESICK.
Con.inued From First Page.

purchase Oh us TAX titles, ue1dui10u
mortgages, etc. The Minneapolis De
benture Loan company and Guaranty
Loan Building company were likewise
auxiliaries. The imputatfon OF dis-
honest intentions in the formation OF
the latter is entirely without foundaI
ton. and it's object was explained TO
any who chose to inquire into it.
January. 1S95-Dear Friend: Having
learned of the serious charges made
against me since l left my old nome,
and the exaggerated, or utterly faise,
stories circulated concerning my DuSl-
ness operations and my connection
with the Northwestern Guaranty Loan
company, it seems but just to myself
and to you, who have not utterly LOST
faith in me, not credited the wild street
rumors, to make some statement OF
my business life since the formation OF
said company, and the causes Whlch
led to my reverse of fortune. a@E
AS recall the work and plans OF the
nine years prior to my failure see
plainly the mistakes made, the errors
in judgment of an over-sanguine tenn
permanent, and regret that l did not
sooner succumb to what now seems the
inevitable result of carrying heavy
indebtedness, instead of increasing IT,
In the hope of its being finally can
celed and leaving a substantial fortune.
While 1 can now see my mistakes and
errors plainly, I fail to perceive a SIM
gle step taken with the object or eX-
pectation of Wronging or injurIng any
individual corporation. L can but
admit that my operations have brought
financial disaster on many (as does
every failure), but my intentions were
to benefit rather than to harm; and had
the financial sky remained bright. a
short time longer, 1 have every reason
to believe that the enterprises in when
[ was engaged would have been sue
cassfully carried out, and the sue
cession of failures in which l was in
volved have been avoided.
I realize that some men characterize
business enterprises as wild Specula-
lions that others of different training
approve This is specially true if the
operations result in failure. Success,
however, changes foolish ventures
into golden opportunities taken adj
vantage Of
[ well remember the remark of the
Minneapolis banker who, in taking
the $S,000, first payment on $4,000 that
was paid for what is now Motor Line
addition. in 1880. said he was that much
ahead, and would have the land back
again. as had been the case previous
Iy; and also the statement of the citi-
zen, two years latZr, when the Lyn-
dale farm was purchased for $4S7, 800,
to the effect that if previous operations
did not ruin ne that would; but the
former was a very successful invest
ment and tho latter would have been
highly profitZble but for the suit con-
corning the title, which the most care
full examinations did not foreshadoW.
But for the financial crash which eX-
tiyguianed so many fortunes in 1893,
later enterprises would have been
EQUALLY successful The harsh crtt1-
cisTh of my enterprises since their
failure is but natural, and l am not
surprised at it. l do regret, however,
that there are those who believe me
guilty of fraud and crime in connec-
ton Herewith. The record of a hfe
of trials reveFses and successes in
Minneapolis for over twenty years
might have refuted such grave charges.
The work done during those years
speaks of itself to you and those IA
miliar with it, and not until my failure
was there any criticism as to my in
tegrity, whatever there might have
been as to my methods and enter
prises,
With the latter three tracts. 1 APP
preached influential Chicago men, with
the result that, after cutting my prices
over 81, coo, 900, they finally Joined me
in forming the Chicago Dock and In
vestment company, of the bonds OF
which I received about $1,650,0O0, In
payment for my interest in the tracts
aforesaid The plans of the company
were carefully matured, the property
was we'll situated for development,
provision was being made for a deveI-
opment fund when, suddenly, the fl
nancial crash came, and the enterprise
remains in statu quo.
There are, doubtless, critics for such
operations, but representative Chicago
men agreed that the prices as finally
fixed were conserva tive; that the en-
terprise was legitimate, feasible and
well planned. and that success was
reasonably certain. Personally, I be-
lieve the bonds would have been sold,
and my interest in them converted into
money, and my debts paid in full, had
the times not been such as to cripple
all business enterprises.
AS to the Western property, on which
bonds Of the Northwestern Trust COM
pany were issued: The property in
Great Falls, Mont, was partly the re-
suit of a trade in Minneapolis property,
and cost. including trade, 500, 600. The
valuation made for the assignee of the
Guarantee company, of what is left,
low as it is ($117, $3.50, shows a handsome
profit in this. l have always believed
that sales from hat property would
pay the entire issue of bonds, and L
notice that the party having charge Of
the property testifies to the same
thing, basing his opinion on actual
sales of the year previous to the fail
ure.
For the property at Seattle, on Lake
Washington, was traded Minneapolis
equities, subject to a claim of the Guar
anty company. 1t is beautiful prop
erty, finely located, and cannot but be
very valuable in the future
The property at Ellensburg, Wash.
| is low-priced, and, as the city is the
| center of a region of great mineral and
| agricultural resources, cannot fail to
| increase in value with the growth of
| the country.
That at Missoula has not proven
what was expected, but ought to be
worth its mortgage for agricultural
! purposes. with a prospective value
much greater.
The sales from the property at Boze-
| man, at the time of the failure. had
been enough to pay the purchase price.
leaving property valued at $4,000 as
profit, which facts show the invest
ment to have been a good one.
The bulk of my Indebtedness was
contracted by carrying for years a
vast amount of mortgaged, unproduet-
i've property, on which the fixed
charges amounted to upwards of 500
coo yearly, exclusive of the ano1j1+
paid the company for guaranty of
short paper.
The outside investments were of aid
as far they were closed out. and the
value of their equities, or what thev
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