Jamestown weekly alert. [volume] (Jamestown, Stutsman County, D.T. [N.D.]) 1882-1925, 1900-02-15

! rerests III the said company; that II the
defendants refuse the offers made by
plaintiff receiver be appointed to take
charge of the business; that an account
! ing be taken between Carnegie and the
plaintiff whereby Carnegie shall be
charged with all the losses, expense and
damage he has caused by his illegal and
fraudulent conduct.
The bill in equity is quite lengthy
and makes some ugly charges against
Mr.. Carnegie. After giving in detail
the organization of the original COM
pany, bringing affairs down to 1892, it
continues:
Managed Solely by Frick.
Carnegie owned over 80 per cent Of
each of the old firms, and he, with
Frick, Phipps and others, owning inter-
ests in each, formed in 1892 what con-
stituted a new partnership called the
Carnegie Steel company, limited. In
this Carnegie retained over so per cent
and now has 581a per cent, while Frick
has per cent Both old firms were
merged into the new, which had a cap
ital of $25, ,OO0,0 900 and operated all the
old works. This new firm was under
the immediate care and supervision Of
Frick, as chairman, from 1892 to Dec. s.,
1899. It greatly enlarged the capacity
of it's different works, enlarged their
output and purchased other plants, ore
mines, etc.
Carnegie lived in New York, passed
much of his time abroad, remaining at
one time for Is consecutive months. He
did not pretend to manage the current
business, although he was consulted as
to important matters.
Enormous Profits Made.
The business from 1892 to 1900 was
enormously profitable, growing by leaps
and Jumps from year to year, until, il
$780, the firm actually made on low
priced contracts, in net profits after
payirs all expenses Of all kinds, s2l,-
| 1000.
In November, 1899, Carnegie esti
mated the net profits for 1900 at S40,'
| OOO 900 and Frick then estimated them
at s42, 100000.
Carnegie valued the entire property at
over $3.50, 900, 900 and avowed his ability
in ordinarily prosperous times to sell the
property on the London market for
a1OO, 900, 900 or $500, 100000.
Frick now alleges, right at the head
of this enormously successful business,
whereby, at least in part, he made tor
! Carnegie these enormous profits and
values, that Carnegie suddenly, and
| with malevolent intent towards him, on
Dec 4, 1899, arbitrarily demanded OF
him his resignation as chairman, and
this without any reason except to
crafty Carnegie's malice.
Would Compel Him to Sell.
Frick, in the interest of harmony,
gave his resignation and, subsequently,
on Jan. II, 1900, after Carnegie had
| thus deprived him of his Office, he Gar
| negie) demanded Of Frick that he
| (Frick) should sell to the firm his inter
est in it at figure which would amount
| to less than one-half of what this inter
| est is fairly worth. Frick lJtused to sell
at that price, but offered to sell and al
low three men to value the interest
SO1lt SdIucS ltlAhSS'' eAAA'' oAAN A>A'
Fricl1, threatening him for not yielding
to his demand.
Frick alleges that after his reslgna-
ton Carnegie was fraudulently and Sc
cretly, without Frick's knowledge or
consent, attempting to carry out a
scheme which, if successful, would
enable Carnegie, as Carnegie hoped, to
contiscate Frick' interest i'll the firm at
probably not much over 33 per cent OF
its real value: that is to say, not over
So, 100000 for what, on the basis OF
Carnegie S option, was worth SIG, 23i 900.
LONDON, Feb. 1.-The Berlin CORE
spondent of The Standard says:
According to dispatch from Brus-
sells, Belgium and France intend pro.
testing against amy treaty which may
completely hand over the control OF the
Nicaraguan canal to the United State:
alone as their treaties with Nicaragua
stipulate that they shall share III IL
control of all waterways conneclln,
With the oceans.