Evening journal., 1900-12-10
BAY STATE GAS
AGAIN In COURT
Henry c. Kelsey Of New Jer-
Sey appointed Receiver
MOVE OF J. EDWARD ADDICKS
According 10 Petition H. Il. Rogers
and Other Trustees Have Broken
Their Trust
MOVE OF J. EDWARD lDDICKS

Once more the Bay State Gas Com
pany has come to the front as the sub
iect Of litigation. and again the quar-
rels between J. Edward Addicks and
Henry II. Rogers and other Standard
Oil interests are TO be aired in the
courts.
The latest move in the fight that has
had so many phases was made Satur
day when Judge kirkpatrick, of the
United States Circuit Court, at Tren-
ton. n. j., appointed Henry C. Kelsey,
former secretary of State for New Jer-
sey. receiver for the Bay State Gas
Light Company of New Jersey. The
appointment was made upon the APP
plication of Charles S. Blodgett, OF
Hartford. Conn, who owns ten OF the
companys bonds and ten Bay State
Gas trust certificates OF the Mercan-
tile Trust Company OF New York.
Although the name OF J. Edward Ad-
dicks does not appear in connection
with the receivership, the move is re-
garded as being his. This. at least. is
the opinion OF financial interests in
Boston.
Mr. Addicks has kept the affairs OF
the various Bay State gas companies
in the courts for years. Usually he has
been defeated. and for two years and
more his has been a minority interest
| in the property. control being vested
with II. H. Rogers and his friends and
with the New England Gas Light and
Coke Company. in which Mr. Rogers
and the Standard Oil interests are
/ prominently identified. The present
receivership suit is an attack upon the
] Rogers interests. It alleges breach OF
trust upon the part OF Mr.. Rogers and
others, and attempts to show that the
Standard Oil interests have wrecked
Boston gas concerns. and to create a
market for their company's products.
DETAILS OF THE COMPLAINT.
The bill Of complaint is a volumi-
nous document, and relates the whole
history of the Bay State Gas Company
controversy from its start. Briefly 1t
states that the Bay State Gas Company
Of New Jersey was organized in that
State early IN 1898 with a capital Of
Sl,O00,000. It's principal object was the
manufacture of gas and the acQuis-
ton of gas companies in Boston. A
month later the company acquired
4,S00 out of a total of 5000 shares OF
the Boston Gas Light Company. $500
out Of 5000 shares Of the Roxbury
Gas Light Company, $500 out of A.
400 shares of the South Boston Gas
Light Company. and 4.993 out Of 5000
shares of the Bay State Gas Company.
OF Boston. Mass. These shares aggre-
gated in par value S3669 300. The
company had no other property than
the ownership of this stock.
An agreement was then entered into
with the Mercantile Trust Company
Iof New York that, as the New Jersey
company needed $12OOOOOO TO pay for
/ these shares, and also to acquire other
gas stocks, that it issue its bonds to
that amount, and that, on the pledging
lof these shares already acquired to the
Mercantile Trust Company, that com
pany would issue like amount of its
own certificates.
The New Jersey Company issued
/ these bonds, agreeing to pay the in
lterest if the returns from pledged
stock proved inadequate. The New
Jersey Company also issued q second
series Of bonds to the extent Of Si.-
/ 100000, also secured by the certificates
I OF the Mercantile Trust Company. A
lstill further issue of bonds TO the eX-
ltent of S2,000000 was made, and 15.-
1000 additional shares of the Boston
Gas Light Company We're pledged to
secure them.
These bonds were sold on the market
and were and are known as the Boston
United Gas bonds.
About this time, or in August, 1883.
/ the Bay State Gas Company Of Della
ware was organized and bought $3.50
lof the 1000 shares Of stock of the New
Jersey company.
The New Jersey company thereupon
assigned 10 it all right to receive the
money from the Mercantile Trust
Company. and the Delaware company
assumed the obligations Of the New
Jersey company.
TRANSFER TO ROGERS AND AS
SOCIATES.
The only property that the Delaware
company had was the capital stock of
the New. Jersey company, and the
Delaware company was declared ingOl-
vent To prevent foreclosure proceed
lings the Delaware company trans
lferr3d to Henry II. Rogers, John G.
Moore and Frederick w. Whitridge all
the capital stock Of the New Jersey
company. to be held in trust till the
first series of Boston United Gas
bonds were paid of.
In this way. the complaint alleges,
Mr.. Rogers and his associates became
the virtual owners of the voting
power Of the various Boston comQan-
les without really owning a dollar Of
1.-THE stock
In March. 1897. Mr. Rogers, Francis
10. Barstov and John Bushnell were