Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1902-10-08
alton D[AL Baked
The Wreckers Did Not Dare to
Put Their Merger Plans
Thru
COURT PUBLICITY SCARED THEM
Outrageous Watering of Stock Pro.
posed, But Judge Laughlin Who
Held a Few Shares Objected With
Suit in court-The Deal Was Thus
Thwarted.
Thwated,

ing the annual meeunS OIL tHe SiiASo'o
and Alton Railway Company and the
Chicago and Alton Railroad Company,
held yesterday, indicated that a "el-
laid plan to sell or merge the Alton
with some other Hartman property
was defeated thru the attack which mas
been made in the courts by former
Judge Henry d. Laughlin, of st. Louis.
That the fling Of Judge Laughlin's
hin asking for the cancellation of the
lease of the property to the railway
company frustrated some OF MT. aar-
riman's plans was apparent from
the fact that no use was mace Oh lile
proxies obtained for the meeting otneI
than TO re-elect directors. The proxies
carried with them the right OF the
holder. President S. NJ. FELTON,, to vote
Cor certain unnamed propositions ano
give his consent in writing. 1t IS salo
that the consent in writing was re-
nuested so that the sale or merger
could be approved. $50
None of the big financiers "nose
names are associated with the Alton
was present at the meetlng,- Mr.
ton holding ALL the proxies. J1use
Laughlin and his attorney, francis fsl =,
die. attended the meeting OF the Iaii-
road company, but were excluoeo IRON
tho meeting Of the railway company
They were also denied access 10 the
annual figures. but later in the day tne
,enort was issued showing small IN
crease in gross earnings, amounting C
s173.363.43. The Laughlin attack Il
viewed by the Alton management VIII
alarm. and 1t is not thought that tney
will permit the financiering whlcn the
industrial commission cited IN It's re-
mort as a glaring example OF stock wa
terinR to be aired in the court. Juoge
Lauehlin is the owner OF dfty-nve
shares of stock and Is reputed 70 OF
worth between $10,0O0,00O and $l5.Ooo,'
400. 40 that he has the money and the
disposition to fight for what he believes
to he his rights. At present his home Is
IN Chicago. and he is the principa
lcwner Of the Great Northern Hote
bonds.
When seen yesterday he said plaini.
that he was simply fishting Tor I'M
money he had invested In the property
.when the subject of incorporating
new company arose" said ne. and o
issuing large amount of bonds, pro
tested. ,uar we needed large
sums to elevate the tracks and make
Improvements, and so took $4,000
worth of the bonds and paid an assess
ment Of SIS 900 on them. Then they went
ahead and sold $31,o00,0oO OF bonds,
made the Alton property stand fol
nearly $1OO,OO0.O00 Indebtedness instead
Of about s3o,0oo,0oO, ID have made II
optional with themselves how much the
old stock will pay.
"In my Judgment they have ruined
the property, or at least the value OF
the stock Of the old company. When
protested against the financiering
methods proposed was told that If
wanted to get in on the ground floor
1 must get consent of the big fellows.
and that 1t cost money to get their con-
sent. replied that knew something
about law and that / did not believe
any court would permit them to do
what they were planning, despite the
protest of any stockh.lder. Then Of
fered to sell them my stock for what
they were willing to say it was worth,
and they laughed at me. Or course
they have done with the Alton what
Wall street is doing every day with
valuable properties, and presume they
believe that it is legitimate. I am WILL
ing TO let the court determine whether
it is or not
Mr. FELTON, did not have any ideas
regarding the matter which he cared to
make public. but said that he might
Lave some after he had read the bill.