The Providence news. (Providence [R.I.]) 1891-1906, 1902-01-03


has turned over all its properties to
committee representing it's creditors
This committee consists OF bankers
representative of the strongest banks In
the city. The Eyerett-Moore syndicate
consists of III. A. Everett II, w. Moore
d. Mailer, c. w. Wsson and J. B. Han
ma, and includes among its heaviest
stockholders a very large proportion OF
the other wealthy men OF this city The
syndicate controls the Cleveland city
Electric Railway company; the Cleveland,
Painesviil q Eastern railway, extenolng
from Cleveland to Astabula: the Cleve-
land & Eastern railway, which has sew
oral branches aud extends Go Burton
Chardon aud Middleneld. o.; the Detroit
United railways comprising all tho street
railways OF Detroit and those radiatins
iherefrom: the Toledo Railways and
Light company, owning and operating all
the street railways OF Toledo and subur-
ban lines radisting therefrom; The North
orn Ohio Traction company. owning the
street railways OF Akron and Canton,
with a line extending from Cleveland 10
Akron and Canton to Massillon. also the
Lake shore Electric railway, which is
consolidation OF several lines extending
from Cleveland TO Detroit,
The syndicate also controls and owns
the Federal Telephone company United
states Telephone company, and the Cuya-
hoga Telephone company, all independent
lines The syndicate also has heavy hold
ings In many other kinds Of investments.
A PIONEER SYNDICATE.
It's members own many handsome resi-
dsnces in and adjacent to Cleveland, The
syndicate was n pioneer Ia electric rail-
way building I'm this country. and up
to the present time everything IL touch
ed has been successful. The syndicate
trouble seems 10 be that 10 has under
taken TO do too much on it's capital, aud
the tight money market prevented the
company from getting necessary funds
Ia complete construction work.
The compa nies owned or controlled by
tho syndicate have a stock OF the aggre-
gate value Of more than $50 100000, and
The bonds Of these companies amount to
about the same valuation. plan has
been on foot for several months for the
amalgamation OF all the property owned
by the syndicate, and negotiations We're
under way with August Belmont Co.
OF New York. as a result OF which the
latter were 10 take over and finance them.
The committee having charge of the
syndicate matters consisted OF III. i.
Newcomb. Vice president OF the Savings
and Trust company; Colonel Myron L.
Herrick. president OF the Society for Saw
ings Colonel j. j. sullivan. president OF
the Central National bank; Calvary Nor
ris president OF the Western Reserve
Trust company; +. G Tollotson. treasur-
or of the Cleveland Trust company. and
Kaufman Hays representing the Euclid
Avenue National bank.
RAISING FUNDS.
This committee Is raising a fund 20 pay
of the debts OF the Federal Telephone
companv. which were the ones which led
To aan he'll
traction companies owned by the syndi-
cate are In good financial shape, the tele-
phone companies being the cause OF the
trouble.
The creditors committee and the syn
dcate officials gave out the following
statement:
1T became apparent some time ago 70
the Moore syndicate. so called. that ON
account OF the tight money situation I'm
the different centres where they were nm
ancing some OF their enterprises. that al
though I'm their opinion they owned sew
eral million dollars worth OF property
over and above their liabilities, that they
would be unable without temporary as
sistance TO meet their obligations. Many
OF these obligations arose from the fact
that the syndicate were engaged i'm the
construction OF number of enterprises
which were not yet fully completed re-
duiring large amounts OF money TO pay
ton.
The syndicate were also recently dis
appointed I'm being unable to complete
the negotiate for the raising OF a large
sum Of money upon certain bonds anc
stocks belonging 20 them, which woulc
have furnished them with ready funds
and which negotiations they had reasoT
20 believe until ten days ago would re
suit favorably.
CONSULTATION HELD.
Some Of the members Of the syndicate
when It became apparent n them tha
many Of their liabilities which were com
ing due about the nrst Of January coul'
not he met. called together some or thei
persanal advisers to advise with them a
10 what was best 20 be done
These gentlemen examined very full
into all cf the AFFAIRS of those compos
ing the syndicate, and were Furnished
with very fun and complete informa tior
''Thev found further from their inves
LEGATIONS that IN the telephone situa ton
while among It's different elements II ha'
many companies that had fully complete'
their equipment and we're on paying la
sis that there were others that needles
material assistance. They also found tina
40 far as the personal affairs NJ tho mem
hers Of the syndicate were concerned. tha
their equities were. IN their opinion
largely In excess 81 their liabilities. an
that in their Judgment All or the person
Ell creditors could he paid without doub
from the assets and several hundre
thousand dollars put into the completini
of the properties.
''They found that there were IN Cisvc
land upwards ~ ~ banks that were thsi
creditors. and that these banks held IN
choicest Of securities and the most equi
ties
''Messrs Everett and Moore stated tha
tbev verr pcrfcrtl, willing 10 turn All n
their matters and properties over 10
committee that should he appointed .
handle them iu connection with them
selves tp preserve tho inost equities. wit
the belief that when thcir properties wer