The sun. [volume] (New York [N.Y.]) 1833-1916, 1897-12-23

pose OF DOOfntnR the securities OF the DO
minion Coal Company, which owned the
Massachusetts, Pipe Line charter, and
In this process statements were mnde
that the Massachusetts Pipe Line
Company was to supply the Boston
gas companies with their imaginary
gas ut nm enormous profit to the
Massachusetts Pipe Line Company. Upon
the publication of such statements l deemed
1t proper, In the interest Of Boston United
Gas bonds, to brand such statements as
false, and to assert, what / now maintain,
that 1t Is impossible for the Massachusetts,
Pipe Line Company or any other company
to supply the Boston gas companies with
gas, thereby throwing into disuse
all their valuable plants and real
estate. without first cancelling the
Boston United Gas bonds, thereby
turning the property back to its rightful
owners, the Bay State Gas Company OF
Delaware, nor without first obtaining tho
consent of the Bay State Gas Company of
Delaware. The Bay State Gas Company of
Delaware emphasized my statements by
making arrangements to at once take back
from the Standard Oil party the Boston,
South Boston, Roxbury and Bay State of
Massachusetts Companies. At this time,
and before arrangements were completed,
came the New England Gas & Coke Com.
pany.
New England Gna 4! Coke sci,cme.
The promoters of the boom Of Dominion
| Coal and Massachusetts Pipe Line, learn.
ing that the Bay State Gas Company was
about to resume the management OF the
companies owned by it, and thereby bring
about n disastrous and ignominious col
lapse Of their scheme, hurriedly got
together the aggregation now known
as the New England Gas & Coke
Company. This aggregation hastily
proceeded to negotiate with the Stand
ard Oil party for the purchase Of it's
Brookline and Dorchester Gas Companies
at any cost, provided the Standard Oil
party would, in consideration of the
amount paid in excess Of the actual value
of the Brookline and Dorchester Gas Com
panies, cause these promoters to be elected
to the management Of the four companies
which the Standard Oil party held in
trust for the Bay State Gas Company
Of Delaware, the price finally agreed upon
and paid being 30 inflated and out of all
proportion to value, past, present, or pros
pective, as to make the entire transaction
one Of the curiosities Of 1nancierlng, and
the result was tho astounding documents
which are printed at the head of this state
ment. There were at the time of the adj
vent Of the New England Gas & Coke Com.
pany into the Boston gas field the following
securities outstanding, representing the
real ownership of the Boston gas com.
panies:
BRooKLINE GAS COMPANY,
Stock so. 900. 600
Bonds h'OOO,O Oo
Floating debt n,enS. 600
DORCHESTER GAS COMPANY,
Stock 10000
JAMAICA PLAIN GAS
................ 900. oO0
BOSTON GAS COMPANIES,
Bonds. nrst and second SERIES. 10000. 900
Debt ......... 1000. OOo
n total ~
The selling market price of all these secu.
rites was $15, OOO,O OO. The maximum
amount all the above companies were al
lowed by law to earn and pay out in the
form of ixed charges and dividends was
81 ,OO3, 600. The amount of the above Sc
~curities which lave been purchased by the
New England Gas & Coke Company is
according to their official statement, herein
printed:
BRoOKLINE GAS COMPANY.
Stuck ......... ...............9a.s6O.O DOC
Debt n.Ol6.OOt
DORCHESTER GAS COMPANY,
Stock. 5000
JAMAICA PLAIN GAS COMPANY.
Stock . 30
BOSTON GAS COMPANIES.
oos
Total lsB. 900
The amount outstanding which has no
been purchased by the New England Gas 6
Coke Company is 1921, 500. The maxi
mum amount of earnings which can go t,
the New England Gas & Coke Compan.
) from the Boston gas companies, presuminl
that the contract between the Boston ant
+ Brookline companies remained in force, i
1881 800. And the balance 1871 $50
| must always be paid, as now, on the out
standing securities not owned by the New
England Gas & Coke Company.
+ Reckless Financleriug.
In the above statement the enormity o
. what is being attempted by this New Eng
land Gas & Coke scheme stands forth II
oil its n%akedness. The New England Ga
& Coke Company, and we use thei
l official documents set out above, which
} do not put the transaction in n wors
: light thar the inside truths warrant
has issued $17, 500, 900 stock and $14,
. 600, 900 bonds. It's promoters propose t
sell its $14 ,OOO, 900 bonds to the public 70
!, $14, 600, 600, and to give away, for N
money consideration, the $17, 10000
stock and with the proceeds of the sale Q
r bonds, $14, 1000 600, they have already pun
: chased, as set forth above, $5, 1913, 200 q
5 the securities of the old Boston gas CON
g panies. for which, plus marsh land in n
outlying town to Boston and some cox
t ovens to be erected thereon, 1t has pal
directly and indirectly $4,000, 900. If
t had also purchased the balance of the out