El Paso daily herald. (El Paso, Tex.) 1881-1901, 1899-02-06


Only 2 Per Cent But TIL re Is Some
Question Concerning Their Val
idity.
Saturday night a special meeting of
the city council was held at the court
house and the $751; 900 of municipal
of Cleveland, Ohio.
The school bonds brought per cent
premium. or 50, 400; the city hall bonds
| 8 per cent, or $500 premium; and the
water works bonds 2 per cent or 1920.
Saturday morning it was decided to
close the deal with Duke M. Farson,
eff Chicago and the mayor was so au-
thorized. However in the afternoon
W. D. Elrod, who had loitered in the
city after all the other bond buyers had
departed for home, said that he would
| like to submit another bid and was per-
mitted.
| He had been hobnopbing with the
mayor and other officials since Friday
morning and concluded that Ell Paso
securities we're gilt edge and that he
could afford to offer q larger premium
sideration.
| AS O consequence he submitted the
| following communication which was
read at the council meeting Saturday
night.
''To the Hon. Mayor and City Council,
Ell Paso, Texas.
Gentlemen: 1 beg to offer you the
following proposition: For the $50, 600
per cent school bonds. now being Of
fered for sale, dated Feb. 1, 1899, due
80 years after date. optional after if
teen years, principal and semi annual
interest payable in New York. we will
pay you par, a premium of 81 400, and
accrued interest to date of delivery.
For the $40. 900 per cent city hall
and Jail bonds now being offered for
sale, dated Feb. l, 1899. due 30 Y ears
after date, optional 10 years after date,
principal and semi annual interest pay
able in New York, we will pay you
par, premium of $500 aud accrued in
terest. to date of delivery.
For the 81 900 water works bonds
now being offered for sale, dated Feb.
1, 1899, Que 20 years after date, option
al ten years after date, we will pay you
par, premium of 1920 and accrued inter-
est to date of delivery.
We enclose check for 81, 900 certified
to by the First National b ank of Cleve
land, Ohio. This bid is with the un-
Outstanding that your city council will
pass such proceedings as may be neces-
sary to conform to the statutes under
which the bonds are issued. Bonds are
to be delivered in Boston or Cleveland,
we to pay the expense of such delivery
and return of the funds. Respectfully
submitted,
w. j. HAYES SONS,
By w. D. ELROD."
The $1,000 certified check accompany
ing this communication was gilt edge.
It was drawn on the First National
bank of Cleveland, Ohio, payable to
the order of A. L. Rich and endorsed
L ;ot, 81
Paso, Texas. account SOL, 900 Ell Paso
bonds''
The bid WAS accepted by unani
nous vote-all aldermen being present
except McDuffie and Stewart-and the
council adjourned.
Elrod was SO elated over his pur-
chase that he asked the crowd out to
take a drink and as nearly every man
in the house was dry. they went.
A number of aldermen and others
are confident that the representatives
of bond buyers present Thursday night
had formed pool so as to get the
bonds at an extremely low figure.
Elrod's bid was knocked out by
defective check but he lay low and said
Ii tie until his competitors we're out of
town, then he came to the front with q
in his possession all the time and
which was submitted with Saturday
nights bid
THE BIDS
J. B. Oldham, Dallas For the $40,
900 school and city hall bonds, 1886
premium.
Dennison, Pryor & Co., Cleveland -
For school and city hall bonds, S405
premiums; and offer to handle the Sill
600 water works compromise bonds for
q per cent commission.
E II. Rollins & son-For school and
city hall bonds, S419.25 premium: and
par for the 81 600 compromise bonds.
Rudolph Kleybolte & Co.-For the