The free lance. (Fredericksburg, Va.) 1885-1926, 1903-12-19
LAKE SUPERIOR SOLD.
Assets of Concern Bought by Speye:
q Co. For S4, 10000
SALE HELD IN SPITE OF PROTEST
Several Objections Were Submitted
and Efforts viii Be Made to Have
the Sale Declared lllegal--statement

several Objections were submitted
and Efforts viii Be Made to Have
the Sale Declared Illegal-statement
Of Reorganization Committee.
New York. Dec lG-The assets OF
the Consolidated Lake Superior Com
pany. held by Spcycr q Co. for loan
of Sj,05OO0O were bought in at public
auction by Speyer x co. for Si5OOOOe.
Theirs WAS the only bid The sale was
held i'm spite Of several protests by rep
rescntatves Of other creditors.
Objections 10 the sale were submitted
by a lawyer representing Francis -.
Davion. of this city owner Of 100
shares OF Lake Superior common and
80 shares OF preferred. on the ground
that the Speyer loan had been con
tracted without the knowledge or con-
sent of the stockholders and was
therefore irogals also by the Stanley
Electric Company, of Pittshcld Mass
which recently filed a mechanics lien
for $3.50. 600 for machinery; another by
the legal representative of j. G.. Car
ruth. receiver, of Philadelphia, and still
another by Foley Brothers, Porter Il
Whalen. Of Philadelphia. who claim to
have a lien on the Algoma and Hudson
Bay Company. one of the Lake SUPERB
ors constituent companies.
Just before the auctiOncer asked FOR
bids he was served with a notice thas
suit had been begun In the state Sill
prome Court to- set aside the same.
James Speycr declined 20 say what dis
position the syndicate contemplated
making of the collateral now owned
outright. Replying 10 further ques-
lions Mr.. Speycr and Charles Tweed
said that to the best Of their knowledge
the United States steel Corporation
would have no interest whatever IN
the property.
Speyer a Co. announce that, having
purchased for the participants In the
advances under the agreement Deem
Der %, 1902. the security for the loan
To the Consolidated Lake Superior
Company. which matured June 80 last,
they are requesting authority from the
participants In the loan 10 admit the
Lake Superior Company stockholders
10 an interest i'm the liquidation oi
the security on the reorganization OF
the properties IL is anticipated that
the stockholders contribution would
be about s. a share.
Counsel for the reorganization COM
uittae of the company issued a formal
statement saying that strenuous efforts
were made IN bbehaif Of the committee
and OF the creditors and stockholders
OF the company TO obtain from Speyer
& Co. a further adjournment OF the
sale OF the securities OF the company
for three weeks and that Speyer q CO.
were notified that the underwriters 10
the Speyer syndicate TO the extent OF
g. 300 coo and upwards had agreed TO
ioin in the reorganization movement.
This sum was in addition 10 the fresa
subscriptions to the stock 10 The
amount OF about S2O0O000 and also
fresh aud outside underwriting.
amounting 20 about S2,OOO,OOO more.
making a total OF over $4,000 600 pledg-
ed 10 the reorganization plan.
Counsel further stated that speyer II
Co. were notified that il a further az
tension OF three weeks had been
granted the S2eyer loan probably would
have been paid of and made public
letter addressed TO Speyer q co. ash
ing for such extension.
The statement closed as follows.
Notwithstanding the sale counsel do
not propose 10 abandon their efforts 10
bring about a successful reorganiza-
ton