Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1902-04-20

wrecks.
Or any other things that bring regrets,
Or break their hopes or hearts or
heads or necks.
and we cannot blind ourselves to the
mGelstrom of speculation into which
this trusting community was sucked
and its veins opened by land sharks,
spectators and promoters during the
three years following the annexation
cf these Islands. The memory of that
high carnival of chance, when allured
Ly the prospect of great riches and
listening to the seductive and plausi
Lle promises of avaricious and unscru
pulous promoters whose professed
knowledge OF the secrets which lay
hidden in the womb of the future en-
titled them to be classed as prescien-
tists-who 'spake three thousand pro.
verbs and whose songs were a thou.
sand and five. who could speak of
t:ees, from the cedar tree that Is in
Lebanon. even unto the hyssop that
eprngeth out of the waIf: also of
beasts and of fowls, and of creeping
! things, and of fishes'-men. women
and even children invested their say.
ings in wild cat enterprises, will, sus.
pended In gall. linger long. Many Of
these enterprises are now only bitter
me mories-mere speculative tomb
stones. For illustration take the Am.
erican Sugar Company, some facts in
| n gard 10 the history of which appears
from the testimony of the guardian in
ills case. That Company was incor.
pOrated with a capital of 81 500, O0O. 90.
4 fine wharf was constructed, a mum.
bei Of costly pumps were erected. rail.
reads were built. eight hundred acres
cr cane was planted and full corps of
servants and laborers was employed.
! The water OF the wells from which II
/ was expected TO irrigate the cane held
such quantities of salt in solution that
II was death to vegetable life, and the
property had to be abandoned as a
sugar plantation. From news and stock
reports 1t appears that its stock of the
rhr value OF 10000 per share sold In
the madness of speculation for 5000. 90
per share. 1t is not worth now. ac.
CGrding to the evidence of the guar.
dian more than $1,000 per share. The
property is now used as a stock ranch.
Across the broad acres which q few
months ago were covered with nascent
Gene tossing to the sunlight the pro.
mise of wealth. the lowing herds wind
slowly DER the lea | might cite other
Instances from the records of this
Court, showing the acute speculative
mania which possessed this commu.
r'ty during the period mentioned. |
merely mention Maunalei Plantation
upon which upwards of $500 900. 90
was spent and which was sold by q
Receiver OF this Court, with the con.
sent of all parties. for less than a dime
q the dollar of the amount invested. "
THIS FIRM ROCK"
After descanting IuIther upon the
duty and responsibility of trustee,
the Court thus defines its position:
I'VE wish all worthy corporate en-.
terprises success, at the same time we
intend to protect with all of the safe.
guards of law and equity the depend,
ents upon this Court. The clamor of
stock manipulators cannot move us
from our position: the threat of pro.
rioters inspires us with no terror: the
gloan Of the widow and the cry of the
oiThan does fill us with immeasurable
Pity, and having an eye single to their
welfare we do not intend that corpora,
tons with alleged securities. having
an alleged gilt-edge, but back OF
srosser metal, shall break into the
vaults OF the Court and take from II
the funds of fiduciaries. As matters
row stand there is but one way to get
such funds out of these vaults and
that is to employ dynamite In liberal
quantities when the police arc
asleep. II the Massachusetts doc
trine that trustee can in
vest trust funds in promissory notes
stocks and bonds of private corpora
tons 1t to become the law OF this Ter.
rltory may God pity our widows ant
orphans"
That Investments in sugar prop
critics, and particularly new and un
developed sugar properties not divi
dend paying are not proper invest
ments for trust funds is proposition
to which | cannot, without closing my
eyes to the history Of this country. dc
other than yield my absolute assent
The view that they are not proper
estments for trust funds has beer
generally followed in this country By
trustees as their accounts in this Cour
show and has been maintained by tn,
ablest members OF the bar.
HARTWELL AND KINNEY.
Judge Humphreys quotes a batch O
nuf hDritiaG apainct tho