The sun., 1903-08-10
THE SECOND STAGE OF THE
ASPHALT TRUST.

PHILADELPHIA, Aug. S-The National
Asphalt Company was the result OF a COM
bination of two other companies, the As
phalt Company Of America and the original
National Asphalt Company. In this its
second stage, the Asphalt Trust comprised
some seventy different organizations en-
gagged in or allied to the business of street
paving. Had il been honestly organized
and conducted for business purposes only,
it might easily have controlled a large share
Of the business OF the country, and, so con-
Quoted, its books should have shown good
business profit. But there is no evidence
whatever that it's promoters had any such
end in view. Although business was car
ried on, there is no evidence to show that
the real purpose Of the organization was
anything other than manipulation Of the
market for its stocks and bonds. Ample
confederation Of this statement is to be
found in the streets of New York, Phiiadel-
phia and other American cities. Nearly all
Of the asphalt work OF the country has been
done by one or another Of the companies OF
which the trust was composed. Some OF
the work done ten and fifteen years ago
was thoroughly well done Much OF the
later work has been very badly done, The
work has been bad and the materials rotten.
About the first of February, 1901, the
National Asphalt Company elected the fol-
lowing officers;
Francis " Greene, president.
John NJ. lack, vice president.
Arthur W SewalI. Secretary and Treasurer
Directors: Francis V. Greene. Avery n. Andrews,
August Belmont, John NJ. Mack, Joseph p. Mack.
Robert Ii. FOerderer. p. A. b, Widensr. George Is.
Wldener. W. l.. Fikins George l.. Ellsins II. j.
Wor,endyke. Charles b. Alexander, Ellis VAIN
wright.
Some OF these names are closely identi-
fled with the history of asphalt through
many years. This is the fact in the
case Of Gen. Greene and others long con-
nected with and heavily Interested in the
Barber company, They were active agents
in the organization Of the original trust,
and the submitted official figures leave no
room for doubt that they profited largely
by the methods employed in effecting that
organization. Their interests were con-
tinued in the new enterprise, and 1t is inn
possible to avoid a conviction that they
and their associates sought and obtained
An abundant harvest of dollars through
the processes employed. These have been
publicly denounced as fraudulent" as
-swindles," and as "a conspiracy to OBJ
tain money by false pretences.' Gen.
Greene has publicly declared that "all
was proper in law. equity and morals "
As he must have profited largely by these
processes II IL not at all to be expected
that he should regard them from precisely
the standpoint of those who regard them
selves as victims of a gigantic robbery.
We state the open and publicly known
facts. but pass no judgment upon them.
Resuming the survey of the development
of the asphalt enterprise, it appears that,
by plan mutually agreed upon, the Ma
tional company took up the $50, 900 Of
stock in the Asphalt Company Of America
and exchanged therefor s8OOO,OOO in per
cent bonds of the National. The par
value of this stock was $50. Ten per cent,
or IS, was paid up at the time OF its issue,
in 1899 In May. 1900, IS per share was
called, payable by June IA, thus making
$40 per share paid up, $8, ,0OO,0 900 in all, with
S24 0O0, 900 liable to call. These were OK
changed on the following basis: For each
$50 share in the Asphalt Company of Amer
lea, $40 Of collateral So, 81 in full-paid pre-
ferred stock and $40 in full-paid common
stock, all in the new company. This re-
lieved the original stockholders Of their
liability for s24, 600, 900, but did not cancel
the stock. which still appears as subject
of possible litigation The point of special
interest in this connection appears in the
fact that on June l5, 1903. the books show
the holders of these 800 600 shares as follows:
Shares.
National Asphalt Company ..,..,..,..,....59 sos s52
Henry c. Spnks 1000
Ira Atkinson Observation-Disclosures. 90