The sun., 1897-12-24

were allowed by law to earn and pay out
in.the form Of fixed charges and divi-
dends was $1,O03,OOO: The amount of
the above securities which have been
purchased by the New England Gas &
Coke Company is, according to their Of
fetal statement, herein printed:
BROOKLINE GAS COMPANY.
Stock ........"................ ,86O, ,OOO
DeDt ....,.."................." l,6l6,OO
DORCHESTER GAS COMPANY.
JAMAICA PLAIN GAS COMPANY.
STOCK k:.......................... l3S,1O
BOSTON GAS COMPANIES.
Bonds. ......"........."....... Zoo, 600
Total. ......"......"......" S., 123, 200
The amount outstanding which has
not been purchased by the New England
Gas & Coke Company is S13,2ll, 800.
The maximum amount OF earnings which
can go to the New England Gas & Coke
Company from the Boston gas companies
presuming that the contract between the
Boston and Brookline companies re-
mained in force, is $3S1;5 And the
balance, $76l, ls0, must always be paid,
as now, on the outstanding securities not
owned by the New England Gas 4 Coke
Company.
Reckless Financiering.
In the above statement the enornity
of what is being attempted by this New
England Gas & Coke scheme stands forth
in all its nakedness. The New England
Gas & Coke Company, and we use their
official documents, set out above, which
do not put the transaction in a worse
light, than the inside truths warrant,
has issued ST., 500, 600 stock and $14, ,OOO,-
600 bonds. Its promoters propose to sell
its $l4, ,OOO, 600 bonds to the public for
$l4, 900, 900, and to give away, for no
money consideration, the ST., 100000
stock; and with the proceeds of the sale
of bonds $l4, ,OO0,O 900, they have already
purchased, as set forth above, $685.
200 of the securities of the old Boston
gas companies, for which, plus marsh
land in an outlying town to Boston and
some coke ovens to be erected thereon it
has paid directly and indirectly $l4, 4,00O,-
600. If it had also purchased the balance
of the outstanding Boston gas securities
upon the same basis, it would have paid
over $50, 100000 additional, or upon a
basis of over $4O,OOO,OO for what was
selling at the time Of their purchase at
about $15, 5,OOO, 900, and short time pre-
vious at $l2.00O,OO0,
By the publication Of the official state
ment Of the New England Gas & Coke
Company wherein they say, 1.-THE New
England Gas & Coke Company has pur-
chased, as appears in the underwriting
agreement practically at the stock Of
the Brookline, Dorchester, and Jamaica.
Plain Gas Light Companies, which pur-
chase carries with it the control of the
Bay State Company of Massachusetts,
the Boston Gas Light Company, the
South Boston Gas Light Company, and
the Roxbury Gas Light Company
briefly, all the gt.s companies in the city
Of Boston, together with the Massa-
chusetts Pipe Line Company and the
license Of the coke ovens, including the
building Of the ovens, at cost of $l4,-
000,0O0," the present Boston gas situa-
ton is revealed to be: Certain reop.e
have agreed to supply $l4, ZOO, 600, which
they intend to secure from the public
through the sale by them to the public
Of $l4, 100000 Of bonds for $l4,OOO,OOO.
If they do not sell these bonds and secure
this $l4,0OO,0OO they will be compelled
to return to the Central Trust Company
BIZ, 100000 within eight months, or the
most intricate and appalling litigation
will take place. If they do sell these
bonds to the public, they will be COM
pelled to fulfill representations, first, that
hey hold control of the Bosto South
Boston, Roxbury. and Bay State Of Massa-
'husetts Gas companies; second, that the
from S., ,12O, 800 out Of a total of
IlS, 335, 900 securities Of the old gas com.
oanies, plus $248,OO0 profits from the
ale Of coke and tar, will give them suf-
icient returns annually to pay 100000
ixed charges upon bonds and over $780,.
100 dividends ON stock and, third, that
hese earnings can be secured without All !
additional tax on the Boston gas con-
umers
Misleading Representation.
Can these promises be fulfilled? To