The Providence news. (Providence [R.I.]) 1891-1906, 1900-06-14
Hs Alleges That tho Comptroller Used
FivehtIsm In Awarding Bends
DECLARES THE CITY LOST s222,o2s
GcwnM RsossVslt Asked 10 Rsmsw Comptroller.
Latter Says Tho Attack Made on Him Is
Inspired By Personal EnmIl.

New York, June 14.-J.Edward Swan
strom. on behalf of his client, Hon.
Jacob w. Mack of New York, has for
warded 10 Gov. Roosevelt a copy of
charges OF malfeasance in Office. made
by Mr.. Mack against Comptroller Bird
s. coler. accusing him OF awarding
bids for $l2. 2.6ss, 1926 OF city bonds ad-
vertised on July 2s. 1898. TO favorite
syndicate, thereby causing q large
money loss to the city. Mr.. Mack in his
petition prays for the removal OF the
comptroller from office.
The charges relate that on July 80,
1898, the comptroller advertised for
bids for 20 separate issues of bonds, ag-
gregating $l2.6ss,992.36. or this amount
slo,03s. s.s92.36 was TO fall due in 1928,
and $2.650,000 in 1917. When the bids
were opened three were found to be for
''all or none" These bidders were:
Harvey Fiske & Son, at 104.79: the
Produce Exchange Trust Company
representing a syndicate). at l0494.
Nermilye a. Co.. at l05.03. There were SO
bids for parts OF the issues in amounts
from $500 TO $1,000. .o00 or these 81 offer
ed premiums higher than the three bid
ders for all of the stock. These part
bids ranged in premium from 105.50 TO
1895. the average approximating l0s
or this, Mr.. Mack. in the copy OF the
charges, sayF IAN OF these and two
OF the said three bids for all or none
the comptroller hastily threw out, and
accepted the bid OF ,the Produce Ex-
change syndicate or trust. which was
for 10494."
In the third section OF the charges
the following appears
These 81 bidders bid for a par aggre-
gate OF 900 OF the said total issue
OF $12. .6S8, 1892. 36 OF said city bonds which
were advertised and sold. The total Of
their bids was ss.02l.24s. This shows
tdeducting the said amount of bonds at
par that they bid an aggregate pre-
mium of 3636.24s on the said IS, SS5,000
OF bonds. On the other hand. the sue
cessful bid OF 104.94 amounted 10 an
aggregate OF only $s,799.219 for this
same amount OF bonds. This actually
shows a premium of only $4i4,219. And
this is less than the premium offered
for the same amount of bonds by the
said 81 bidders by the large sum OF
$222029.'
Section four says "The favored bid
ders were thus enabled by the comp
troller TO at once turn over TO these 81
small bidders the same $S.3S5.000 OF
bonds, which they had bid for at a
profit on the spot, TO said successful
bidder OF $222.029 which said profit be
longed of right TO the city. The said
successful bidder did not need to seek
for purchasers. They were furnished
right TO hand by the comptroller"
In regard TO the charges OF malfeas-
ance in Office brought by Hon. Jacob
W. Mack against Comptroller Coler,
the following telegram is self-explan-
atory:
champaign, H.. June IS.
ITO the Associated Press, New York:
The attack evidently is inspired by
personal enmities. The matter of the
award was taken into court by the un-
successful bidders. and Judge Cohen
decided very strongly I'm my favor. The
attorney is the same man that is suing
me and Auditor Cook for $4,000 dam
ages have wired the governor for an
immediate hearing. do not think any
one connected with the unsuccessful
bidders has anything to do with the
matter Conspiracy Is all rot.
("signed) BIRD s. COLER."