Daily Kennebec journal., 1898-09-01
THE MOSES FAILURE.
Continued from page i.

there will be a good margin left over
and above all claims.
"Only careful management Is needed
and Of this l am assured before hand.
LET creditors and holders OF coll
lateral retain their equanimity and re-
fuse to sacrifice their holdings and
everything will be brought around all
right"
asked Mr.. Moses to give me de-
tailed statement Of the situation and
ment He said:
II could have carried through either.
the Richards Paper Co. or the affairs
of the Bath Gas and Electric had each
confronted me alone in it's financial
complications. But the combination
Of the two proved too great a burden
for my immediate resources.
You'll perhaps understand the stu
alton better when l explain briefly the
affairs of the Bath Gas & Electric Co.
as they have developed during the past
year or SO.
The original business Of the com
pany was supplying lights. gas and
electricity.
AsASiCty q Aiehssh6 PiNhs lHC OuoA~
ness was not a success. There was a
continual loss from the outset. 1t was
determined, therefore. to add power
plant, and we commenced somewhat
elaborate additions that appeared fully
justified by business conditions as they
existed then.
''The companys business developed
with great rapidity. in fact. exceeded
our calculation. We were supplying
power for the Bath street cars: for
the Bath Iron Works: Hyde y. indlass
Co., Shaw's Mill. New England ship
yard, Sewall's steel ship building plant.
Kelley, Spear & Co.. Percy & Sewall's,
G. G. Deering ship yards. C. A.
Hooker's grist mill. Bath Times Office
and other Industrial establishments.
I'm order to carry on this enterprise
and at the same time supply the lights
for the city and private individuals.
extensive alterations and additions
were imperative.
I'VE undertook these hopefully at the
first of the year, without any doubt as
to our ability to properly finance the
plant.
1.-The plan was to seizure funds suffic-
lent to swing, the improvements by the
issue of bonds. We--have expended
more than $1O0.0OO on the plant.
THE broker in whose hands we
placed these bonds assured us in a most
encouraging fashion, that he could
place them readily and to advantage.
But at the outset there was technical
stumbling bl9ck -inr .the way /af inves-
tors. the claim beipgi made fthat the
bonds We're essentially based on a
secondsmortgage. though it was agreed
that the improvements on the plant
fully justified the amount of the bonds
we offered on the market.
''Then the war broke out and the sale
stopped short despite the efforts Of
the broker. In the meantime we had
issued paper in the name of the Bath
Gas & Electric Company. with the
bonds as collateral When the renewal
Of this paper or its payment became
imminent it was necessary to arrive
at correct understanding Of the exact
condition of the cotnpany's financial
standing. Hon. r. H. Twitchell was
treasurer of the company and had al
most entire control of the books and
the placing of paper of the concern.
AS president ! had been consulting
manager ami had not looked closely
into the details of the situation.
Mr.. Twitchell's temporary retire
ment from active participation in our
business on account of his recent Sc
we're illness, rendered it necessary for
me before providing for the renewal
ofthe paper to draw off the company's )
,kuv bat hA
situation required other plans than
had supposed to be necessary.
Il cannot see that any blame attach
es to any one connected with the COM
pany, except in SO far as our business
judgment may be concerned.
THAT is to say, though the outlook
six months ago. appeared to warrant
our going ahead as We have, compli-
cations that have since arisen in the
financial world at large now convince
us that we undertook these develop
ments at particularly inopportune
time.
within few days one of the largest
creditors of the Bath Gas and Electric
Co. made a move that precipitated a cli-
max. Until week ago | was perfectly
confident that the company would pull
have mentioned. took the step that It did.
saw that under the circumstances we
should not be justified in continuing our
struggle to meet our paper until the imam
cial basis of the company should be more
accurately adjusted, thereupon the COM
pany assigned. At the same time l as
signed my personal estate and the assign
ment of the Richards Paper Co. of Gar
diner followed, for l. had extensive inter-
.ests there as an indOrser and had ad-
vanced during the past five years some
$50 90.
Outside of these concerns. I desire to
state most empha ticalfy that none of the
other companies and enterprises in which
am interested in a financial and official
way will be affected
Mr. Moses business relations are as
follows:
President of First National Bank and of
the following concerns Of an industrial
nature:
Androscoggin Water Power Co.: New
England Shipbuil1ing Co.: Rumford Falls
4 Rangeley Railroad: Athoi. Mass, Wa
ter Power Co. He is treasurer of these
companies:
Richards Paper Co.. Gardiner: worum-
bo Manufacturing Co.. Lisbon Falls: Benz
nington. VT, Water Power Co.; Hoosicl
Falls. N. Y. Light and Power Co He
is also connected as director In other con-
Germs
His statement as to the condition OF
these enterprises outside Of those whose
assignment is announced is decisive and
authoritative.
There is. for instance. the Worumbo
Manufacturing Co. Of which am treas