Evening journal., 1903-06-15

ISL" ftNe'f~ " Aiit 01tii-
binations Involved Affairs-President
Is Informed the Administration viii
Show No Consideration.
New York June determinations
by counsel representing the various
warning interests protests OF disap-
proval by the investors and the with
drawal, under cover, by the principals.
Charles M. Schwab and Lewis Nixon
marked yesterdays developments in
the Shipyard Trust imbroglio.
Instead of having q general engage
ment at Trenton today. when the ap-
plication of the body of first mortgage
bondholders of the United States Ship
building Company for the appointment
OF a receiver and the issuance OF an
injunction against the directors. on al
legations of fraud, insolvency and
gross mismanagement was to come up
In the United States Circuit Court, a
truce has been arranged.
Alexander & Green, counsel for the
United States Shipbuilding Company.
asked Samuel Untermyer and Richard
Lindabury of Newark, who. together
with Henry Wellman. represent the
disgruntled first mortgage bondholders
TO consent TO an adjournment of a
week. Alexander & Green averred
that the complaint was so voluminous
ana so startling In its charges that
they had not had sufficient time to
prepare an answer IN behalf OF Messrs.
Nixon and Schwab and the promoters.
IL was intimated that besides this
ostensihle objection TO going on with
the expected revelations in court, an
other reason existed In the desire OF
Alexander & Green to await the return
of John J. McCoolS. the head of the
+, firm. who hurriedly sailed from Eu-
rope Saturday
Colonel McCook was the legal ad-
\, wiser Of the American Bicycle Com
pany, which suffered the same vicissi-
, tudes that the Shipyard Trust is un-
dergoing. and Il Is felt that his advice
at this time Is sorely needed. More
over, the time for depositing the bonds
with the Sheldon Reorganization Com
mlttee Is fast approaching. II they
get the consent of sufficient interests
IL will be much easier TO go into court
and oppose the appointment OF a re-
= ceiver on the ground that clearer
weather is ahead and the belated craft
may have plain sailing after all.
Shipyards Earned Money.
one man interested said:
"The fact IS that the only money earned
during the brief existence OF the shipbuild-
ing company has come from the shipyards.
IL Is easy to make figures read any way
untn they have been subjected 10 proper
e scrutiny, but when they have been so sub
jected we shall know the other side OF this
3 marvellous story Of high finance.
in NJ hnr NTr !,
i proposes to extend his field OF charity so
: as to take in the shipbuhding company =
g first mortgage bondhoiders. provided they
e do not misunderstood his paternal inten-
D. tion. falls upon rather unsympathetic ears
s at the present time"
81 May Tie Up Warships.
= Washington, June 15.-Danger for the
/, United States navy turks On the shipyard
trust crisis, and President Roosevelt Is
!, aware of IL. More than one dozen war
i ships OF various types are under construc-
tion in the various yards Of the United
States Shipbuilding Company, and IL the
u affairs of this corporation become further
involved their speedy completion is threat
I, ened and the naval progress OF the United
States. so essential at this time may be
: retarded.
No consideration win be shown by the
administration for the persons whose fin
!, ancial laundering has brought the AFFAIRS
!, OF this corporation TO a point where the
. defense Of the nation is interfered with.
! Nowhere is the paper speculation recently
- disclosed more condemned than in high ad-
. ministration circles.
. prominent administration official de-
" clared today that this was merely the
!. bursting of one bubble-others will break
i soon" But this is one in which the gov
ernment is peculiarly involved, and conse-
- quently IL can express its disapproval of
~ unrestrained paper speculation. Contracts
which the various yards of the Shipbuild-
- ing Trust have with the government ag.
gregate more than S25000.000.
-. These companies all belonging to the
- United States shipbuilding Company. have
the following war ships under construc.
: Elizabethport, n. j., of which Lewis Nix
on is president, cruiser Chattanooga. sub
., marine torpedo boats. Porpoise. Shark and
Il Plunger: Bath Iron Works. Bath, Me.
!. battle ship Georgia, protected cruisei
= Cleveland; Union Iron Works. San Fran
cisco, the battle ship Ohio. cruisers Cali
fornia, South Dakota, Tacoma. and Nil
~ waukee. the submarine torpedo boats
% Grampus and Pike: the Harlan and Hol
: lingsworth Company, OF Wilmington. Del.
II the torpedo boat Stringham. The Easter
- Shipbuilding Company has no government
=, work on hand. There are gun casting
% and considerable armor plate at all time
contracted for with the Bethlehem Stee
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