The herald., 1897-02-28
ARE HELD N PERPETU|TY
Los Angeles Fair Grounds Can.
not Be Sold
BECAUSE OF A TRUST DEED
The Stale VIII Own Them One Week in
Year
A Senate Bill That VIII Not Operate In the
Sixth Distrlct-New Corporation
TO Organize
BECAUSE OF A TRUST DEED

Inc INTRODUCTION OF q Dill \NO. Dol IN
the senate at Sacramento, by the pas
sage of which directors of agricultural
fair associations will be empowered to
sell or mortgage real estate property to
pay off debts, does not seem to vitality
interest Los Angeles people who chance
to have connection more or less remote
with the fair grounds here. None of the
directors will admit they know anything
of such bill. and others who should be
in q position to know, profess the same
degree of ignorance.
County Surveyor e. T. Wright. who
knows as much as any one man needs
to know about the Agricultural Fair as
sociation and its stockholders, said to q
Herald reporter yesterday, when asked
about the matter:
II did not even know that such bill
had been introduced or proposed, but
however that can be, it cannot affect
the Los Angeles fair grounds. 1t is a
practical impossibility for this associa-
ton to sell it's grounds, and no legisla-
ture can make such q thing possible.
The ground is held in trust in perpetu-
ity to be used solely for agricultural
park purposes. Any lawyer Will tell
you that no legislature can revoke such
a trust Whatever the senate bill may
be it cannot have any bearing on the
Los Angeles grounds. The stockholders
Of the corporation. formed under the act
of 1895 will meet next week to elect di-
rectors and officers. The duties and
powers of the state directors are clearly
defined and the stockholders are in con-
troll of the grounds, but they cannot,
however much they might wish 1t, sell
the property"
Lewis Thorne, secretary of the Agri-
cultural Fair association, who knows
more than any other man Of the ins and
outs of the organization, was also seen
about this bill.
II don't know anything about sem
ate bill No 55," said Mr.. Thorne. II did
hear that Governor Budd desired one
of the senators-I forget who-to intro
duce a bill that would permit agricul-
tural fair associations to sell or mort
gage property to pay off their debts.
l thought the measure was designed
principally for the Stockton association
which is involved. and it's debts, un-
derstand, are secured by the governor
and his brother. Other associations
similarly situated may be affected by
the bill, but it can have no bearing on
the Los Angeles grounds. The title of
the Los Angeles grounds is so vested
as to make a sale of the real estate i'm
possible except as provided in the trust
deed. The trust deed provided that a
plot Of ten acres, lying east of the fair
grounds proper may be sold to raise
revenue for the association, but the
trust deed and the assembly act of 1895
specifically say that no portion of the
main ground may ever be transferred
or diverted from its original purpose.
The words of the act of 1895 are, as you
see here, Provided such association
shall have no authority to sell any por-
tion of the real estate owned or held
by it by whatever title derived which
may be necessary for the permanent
use Of such association for the purposes
aforesaid
Now any lawyer will tell you that a
perpetual trust deed such as the one to
the fair grounds here, reinforced by an
act of legislature cannot be revoked by
any subsequent legislature. There are
other associations, however, where con-
ditions of the title are different, that will
be affected by this act, though of the
bill or it's existence l know absolutely
no more than 1 have already told you.
The shareholders of the fair grounds
now have absolute control of the
grounds except for the week devoted
to the holding of the fair. During that
period the state directors are in control,
and they will handle all the money. If
any profit is made it will go to the state.
During the remainder of the year the
corporation, which will be formally or
ganized next week. will be in control,
hold races and realize what can be re-
allied from other amusements. If a
profit is made in the year 1t can be de-
voted to the payment Of dividends to
the stockholders.