The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1898-02-04

Chicago, Feb. S.-The Tribune says:
During the last ten years in which
Francis Cradle, the man to whom CASH
Ter Quinlan of the Chemical National
bank of New York loaned in the neigh
borhood of $4,000 of the banks funds,
has been engaged in floating the stocks,
bonds and mortgages of his western
enterprises among investors in the east,
not less than $4,000, 600 has been re-
allied
Intimately associated with Mr.. Cradle
has been W. K Kurtz. formerly of
Kansas City and Omaha, and now of
New York. The principal investors in
the 5peculations Of the two men are
located in Philadelphia, New Jersey,
Connecticut and New York
Offices were opened in many of the
leading towns of Connecticut and Mass
achusetts, and maintained in a lavish
style while the stocks and bonds were
being disposed of. Money was not re-
CURED for the transfer of stock in any
OF the enterprises, if SoOd notes were
to be had, ana as a result today many
people find themselves in straitened
circumstances by having been COM
PEELED TO meet notes now coming due.
RELATIONS WITH C. B. & Q.
For many years Mr.. Cradle has en-
joyed friendly relations with some
western officials of the Chicago Bur
lington & Quincy railroad. So close
were these relations that he was let
III on the ground floor for townsites
when the company extended its lines
to the Black Hills. He went ahead of
the builders and secured the land
where the company was to locate its
stations from one end of the extension
to the other. Where the two branches
joined--the line to DeadwOod and the
extension to Billings. Nont.-the town
OF EdgemOnt was Laid out. Mr.. Cradle
secured q title to The lands around the
junction point. He had been attracted
TO the possibilities of improving the
country through which the railroad line
passed b. irrigation, and two irriga-
ton companies were formed. It is said
b that both his big irrigation schemes. If
properly managed. would have made
good returns, but with the restlessness
of an lnsatiate promoter. he no sooner
got one enterprise under way than he
ceased to lock after active operations
and was on with the next.
GRINDSTONE SCHEME.
There was stone III the vicinity of
Edgernont, and he conceived the idea
that thai town should be the great
manufacturing point Of the country for
grindstones. He forthwith organized
the EdSemont Stone company, with
capital Of S25o00 and spent a large
sum IL building the plant for the maxi
ing of griEGstones.
The town needed buildings He
organized a building syndicate got
large amount of eastern capital into
it, and began putting up buildings
right and left along the business
streets Of the place. Aost of the build
ings were rented and Il the title has
not been alienated by mortgages the
owners of the stock in the sYndicates
ought TO be able to realize something
for their money.
Mr.. Cradle next started the construc-
ton Of q smelter at Edgemen- which
he believed was TO be the beginning
of one OF the greatest smelling plants
in the west. The smelter is not yet
complete but it represents an outlay
of al least $780, 600 In 1895. Mr.. Cradle
brought into existence the Union Hill 4
Mining company. For a number of
years he had been accommodating min
ing claims in the Black Hills district. )
When 5ir. Cradle had some 50 of these
claims, he thought il was time 10 float
a company. and by getting eastern !
capital interested he might be able to
do something with the properties /
which had tied w a good deal of his
ready money
INTO MINES.
Accordingly he gave several ex-
cursions out TO the Black Hills from
Chicago and Omaha about two years
ago. The prospective mines were near /
the great Homestake mine, which had |
turned out millions for the late Sen
atOr Hearst and his associates.
The financial operations leading to /
the formation OF the Union Hill Min |
ing company, were somewhat peculiar. |
1t had a capital stock of 100000 and |
of this Mr.. Cradle received 81, 500 600 |
in payment for the 50 claims which he |
decided over to the company. The re-
naming 100000 worth of stock was
held IN the treasury and was to be |
sold and the proceeds devoted to the I
opening of the mines.
Mr.. Cradle went out to sell his |
stock He gave away a fair percent
age of it TO get people interested in the |
mine and sold about S1,000,000 at prices |
ranging from 80 cents on the dollar /
down. After he had got this far along |
he brought into bearing another COM
pany which he called the Edgemont |
& Union Hill Smelling company. |
which was given a capital stock of |
$1,000. 900. Then gradually the prop |
erty of the first company was trans
ferred to the new corporation and its
capital stock increased to Sc. GOA. 600. OF |
this amount Mr.. Cradle took 81. SOC. 900 |
and S1,2e0,000 was left in the treasury.
The original plan was continued by /
which the treasury stock was to be
sold and the proceeds devoted to the
development OF the property
ENLISTED WEALTH.
BY this time many people of promin-
ence in the east had been brought to
Z point where they We're not only in
terested in the company, but permitted
the use of their names in the list of
officers and directors. Mr.. Cradle was
enabled 20 go forth with the following
formidable list OF companies VINO