The San Francisco call., 1898-02-06
H. J. Crocker Invested S5OO,OOO in Sierra
 Railway Paper.
Prefers to Rely Upon Local Undertakings When Op-
 portunity Offers.
Maurice Casey to Be One of the Directors of the New
 Road.

A financial transaction of more than ordinary magnitude took place the other day when Henry J. Crocker pur- chased nearly the whole bond issue of the Sierra Railway Company of Cali fornia. The entire amount of the is- sue was $634000, and of this $515,000 was taken by MT. Crocker, who would have secured it all had not the balance been previously contracted for.
 MT. Crocker, however, is not alone in the deal, as it is understood that sev- eral other leading capitalists of this city are also interested.
 When the Sierra Railway Company was organized it was bonded for $15,- 900 mile. These bonds were not sold immediately to build the road, but were held until it's completion, so that, it's earning capacity having been shown, better price could be secured for them.
 The road, which is forty-three miles in length, running from Oakdale, Stanislaus County, to Jamestown, Tuolumne County, was completed on the 10th Of last November. The bonds soon after being offered for sale at tracted the attention of MT. Crocker, who has a penchant for local invest ments, but though negotiations were immediately entered into the trans action was not consummated until last Tuesday, MT. Crocker having taken the intermediate time to thoroughly assure himself of the earning capacity of the road.
 MT. Crocker is a capitalist who looks with strong favor on local enterprises, and where everything is equal always gives the preference to a home invest ment when there is one that promises to be as safe and pay as we'll as those away from home.
 When seen yesterday regarding this last big deal of his he said: "The bonds of the Sierra Railway Company were strongly recommended to me some time ago while I was looking around for something good in which to sink a lit tie capital. As I have a strong disin- clination to send money out of Cali fornia when I can possibly keep it here the proposition struck me very favora- ply.
 T found, after looking into the mat ter, that the road ran through about twenty miles of as good farming coun- try as there is in the State, and up to Jamestown, tapping the mother lode four miles from Sonora. I further found that the line had absolutely no indebtedness, that it's earnings for the three months of it's existence were s39513 37 which is 14 per cent net on the bond issue, and that it was only bonded at s150OO per mile, while the Southern Pacific was bonded for $40,- 900 and the Valley road for $22000. After assuring myself that this magnificent showing was no fairy tale, but we'll substantiated facts, I imme diately agreed to take all of the issue not already sold and before the deal was finally closed had already placed s125,0 worth of the bonds. which are per cent forty-year gold bonds. se- cured by a first mortgage on the road and it's equipments"
 Included in the articles of the sale was an agreement whereby MT Crocker should have two of the five di- rectors. He himself will act as one director and though he has not yet finally decided it is more than probable that the other one will be Maurice Casey, manager of the Mclaughlin es- tate.
 Mr. Crocker said last night that he wished it distinctly stated that the use of Jesse Lilienthal's name by an evening paper in connection with this matter was absolutely unauthorized