The age-herald., 1901-01-12

laid great stress upon tue adea that II would revive the dormant industries of Sheffield, where water transportation to the West and Gulf would command low rates and eventually compel the railroads to give the Birmingham district equal facilities; thus doing a double service for the entire min eral region The Governor assured me of his readiness to aid in promoting the en- largement of the Sloss Iron and Steel Com pany's opertions and insisted that the plans should include the coal. He was pleased at the prospect of selling some of the uni versity lands, saying it would help to save to the State a special and temporary ap- propration of $10,000, and would bring the lands themselves under taxation as course of perpetual revenue.
 1 soon afterwads went to New Yofk and continued to press the view that the purchase of more properties by the Sioss Iron and Steel Company should embrace coal as well as iron lands.
 Mark you the original idea of the Sloss Iron and Steel Company's directors was that they did not desire additional coal lands, and, if it should be desirable, cer- tainly not more than about ten thousand acres in and around the American mines. including only few hundred acres of the University lands, if procurable It was with great difficulty that l overcame their objections. It would have been much easi- CT for me to have sold my property alone, without taking into account the properties
 
 I remained in New York for three months, namely, May, June and July, attempting to effect this organization, and returned 10 Birmingham the 5th of August after we had succeeded in getting up a cash sub scription of $2, 200, ,000 In order to do this, 1t was necessary for me individually to show the faith I had in the scheme, and was among the first to make a cash sub scription of $50,000 I graduated myself that l had aided no little in bringing into this organization the strongest men fnan- cally in the United States, and 1 felt that l had done a great deal for my adopted State. I mention some of the subscribers to this syndicate, that you may see and understand their value to the South: J. P. Morgan, August Belmont, Fred F. Olcott, president of the Central Trust Company; w. G. Uakman, president of the Guarantee Trust Company; A. E. Baker, president Of the First National Bank of New York; Charles R. Flint, head of the largest inn porting house in the world, and many oth- CTS of great financial strength, none Of whom so far as I can learn had ever be- fore made any industrial investment in the Southern states.
 I returned home, feeling thatI had done great thing for my State and section. This matter was finally closed up November 9, 1899.
 It may be proper to state that the option given by the Governor on these lands of the university, the original of which 1 here with present, contained a provision that it was Subject to the ratification and ap- proval of the board of trustees of the uni versty." As further showing the purposes of all who were participants in this trans action, I may with propriety refer to meeting in the office of MT. Samuel Spen- cer, president of the Southern Railway, whose aid the promoters of the reorganiza- tion of the old company into -.ie new and stronger Sloss-Sheffied Steel and Iron (n, 1x nIIr request Governor Johnston was present, to urge MT. Spencer to assist us, and, as I now remember, MT J. c. Maben, Col A. B. Andrews and MT. Joe Bryan of Richmond were there. The Governor was urging MT. Spencer to assist us in getting up the money and I remember distinctly, as do the gentlemen named, that the Governor stated to MT. Spencer that he was inter- ested in the American Coal and Coke Con- pany, and with me in some other lands, but told him if these lands or the prices put on them stood at all in the way to drop them out, he desired mainly to see this development during his term of office as Governor I confess that this state ment of the Governor was not agreeable to me.
 When we finally succeeded in getting the money subscribed ($2, ,000), 1t was under written contract that two trustees, Charles R. Flint and Fred P. Olcott were to collect the money, that all options on lands were to be transferred to them and that they could reject or accept any land they pleased, and buy other lands that were not under option at all, if they so elected. This agreement was printed and signed by every subscriber, and contained a provision in these words, as appears on the original, which I submit to you: ''The purchase of any of said properties so de- signed may be omitted and other property or properties may be purchased in substi- tuition therefor, as may be designated by said Olcott and Flint.
 Under this clause these trustees had the right to drop out the lands of the American Coal Company, or my lands, or any other lands. The options were Separate and dis tinct, and not coupled together in any way. There was not word or le,.er that re- quired those trustees to take my lands or any other lands in order to secure the Uni versity lands, and whether my lands and properties were taken or not, 1 was bound to pay my subscription of $50000, and did pay the first installment before my lands, or any of them, were accepted
 Returning home about the last of Novem- Der from another trip to New York found the condition of affairs as described in the first page of this statement. All parties connected with the University land sale were being bitterly criticised and roundly abused. I became the object of a large share of the traductions that were spoken and printed by persons who knew and cared a vast deal more about running po- litcal campaign than they did about the condition and welfare of our State insti- tutions, the value of coal lands, the de- velopment of the rich resources of Ala bama, or her industrial progress.
 One singular fact is, that not word of dissent or criticism heard as to the sale of about 400 acres of school lands, just as good, if not better than the Uni versity lands, and at the same price, and at the same time and in the same locality, by the superintendent of education, with the Governors advice and approval. This abuse induced some of these New York gen. tlemen whom I have mentioned, to think and feel that in order to sell my property in Alabama in which the Governor had an interest, I induced the Governor to convey to them property which he had no right to convey, and that he and 1 knew it at the time It is fact that not a trustee present or absent questioned the power of the board to sell, or the regularity of the meeting, while the act granting the lands in substance directs that they shall be sold and not leased.