New-York tribune., 1902-01-03
"A DETROIT VIEW OF THE TROUBLE
f'FREE PRESS SAYS PURCHASE OF SUB
URBAN LINES THERE CAUSED IT.

URBAN LINES THERE CAUSED IT.
Detroit. Jan. 2.-"The Free Press" commenting
sn the Everett-MoOre syndicate trouble. tomorrow
will say:
- The troubles for Everett and Moore originated in
DetTolt with the purchase Of the suburban lines
cay none money m9l6ing properties When the scheme
orion and its connecting lines. the Northwestern
s2no the Detroit and Pontiac lines. was proposed
payment part Of proposed issue Of $50 CeoOoo
9nt asarded 9 ed better security They felt the bonds
s5gthlns hePpenERs PpD Eg 900 Then tn n new plan was
ers OF suburban lines were to get their stock back
with guarantee from the Detroit United Street
ssrnangs OF The latter company; Then came the
ceeded IN floating the 5000. 900 issue Of bonds
Meanwhile financial men here were sceptical Of
enarket made It Impossible TO sell the bonds. This
aoo fowsd the P py tfS fSaf tho
aond scheme had been held in allegiance"
fhe ananoiei eTaiTs Of the syndicate had been
IN tns a9nas nfs OF & On 1sod % Ies tba
money centre OF the city but as it was known that
We're amply Secured. no apprehension was felt 0''
None directly interested in the Everett Moore
1t was announced BY one OF the former owners of
ne Toledo Sno5e Line r9sg 69ugt ~ me E0eret &
purchase OF that line to-day and that about 81 0O1
a SoeSs 0ss es 9 tSef1 tSat the roea0
Shore Line said that the original stockholders
not disposed 10 take advantage of the lapse. and
the road between Detroit and Toledo and had cars
IN operation: there was a sentiment among the
What they could do.
srelsphone Company. owned by Everett and Moore
and now in process OF construction, and It Is not
Company has completed costly and extensive un9
derground system and has done lone much overhead
saTy. on the work already finished
syndicate had become financially involved
ceived in Wall Street yesterday afternoon but had
no perceptihle effect upon the local market At
the Office OF Kean, Van Cortlandt & Co.. where in
terest the bonds Of several OF the Everett
Moore properties is paid. It said that funds
sufficient TO pay the interest due at this time on
the coupons were IN hand. and that no details had
been received regarding the reported embarrass-
nent OF the syndicate. II was currently reported
yesterday that local trust companies held SIS 900
OF the syndicates paper, and that a syndicate OF
trust companies had been formed to advance a
corresponding sum to the Everett-Moore interests.
These rumors could not be confirmed although
bankers believed that good deal of the Cleveland
syndicates paper held here.
The prevailing opinion that the syndicate's
main borrowing had been done from banks in Ohio
and Indiana, which in turn might have borrowed
from New-York. The syndicate's difficulties #
was declared by one man well acquainted with
their affairs might be traced to two causes. Fret
their operations in the independent telephone field
c"aIgs tuS Aact taat they were practically
IL was said. Were, rule fairly prosnaToIe'
earning enough TO meet the interest on the bonds
stock - 'iU' oh the
Their telephone venture however. II was said
hao not been so successful. Practically ali the
members of the syndicate Were cleveland men
who had been unwilling to admit to particina ttor
IN their enterprises NeW-York inanciers With I'm
money became tight and some Of heir !ns whea
LOANS were called at home they were not In a most
non 70 get immediate aid from this centre fT-he
SeiseveS bsrs '.1 % gSre5tooore Properties. It is
and Indiana. h. W. Moore. a leading r1ernber
the syndicate has been for the last year director
never attended the meetings OF the board n ia
SAID, or taken any active interest In the fnstitu
Il4n beyond opening personal account with IT,
Macn mas psen run with very small balance
me Pnenix does not hold directly Indirectly a
dollar OF the Everett-Moore syndcate's paper.
Inc telephone interests OF the syndicate which
are entirely distinct from the Telephone Telegram
snd Gable Company OF America include the indie
Sepaent telephone system Of Cleveland and many
trolley lines which the syndicate control and which
they have been planning to expand into a single
Railway company-the big Consoiidated' ~
ing lS4 miles of line and capitalized ar s13 l0o oo
stock and aSo0,0OO bonds; the Cleveland and Fast
length. capital 81 stock and s775 600 6ons IA ~
conuoulng the Cleveland and Chagrin Falls Flee
trie Railroad Company" the Chagrin Falls and
mileage being about one hundred: the Cleveland
ana Chagrin rails nfteen miles capital $500 900
and Eastern Railroad Company forfy-tWn 1niIaS
long, and having N500ooO stock and 81 SO osl bonds
the Lake Shore Electric Railway Company a con,
miles. from Toledo 10 Sandusky and Cleveland and
capitalized al 100000 stock and S. 40 600 bonds.
the Toledo and Msumee Yeley Railroad Company
bonds; the Toledo Railways and Light Companv