Bisbee daily review., 1903-11-08
4; MOST ART-
 .ISTIC SwINDLt
THE SHEPPARD TRUST WAS s,
 DESCRIBED BY RECEIVER.
f- ~eeowmends Receiver for Steel Plant and Suit to Recover Bonuses from Vendors and Promoters-Biame Laid On Charles N. Schwab.

New York. Nov. 6.-Upon Charles M oeIsH ab large part or the Diame TOT wrecking the United States Ship building company is placed by ex. senator. James Smith, whose report as teceiven of the trust has been filed in tne united States district court.
 Aceoraing to the report, the organ izers of the shipyard trust made false reports both as to the earnings ana properties of the shirbuilding con, cerns and the Bethlehem Steel com tany. John w. Young, the promoter ne describes as simply a medium for the ansactions of the 'instigators. ' MT. Schwab. he says, admittedly re ce3yed some of the "plunder" of the artistic swindle." The purchase oi the Bethlehem works, engineered by MT. Schwab. is declared to have had IT uch 70 do with the trusts ruin. Tha; transaction, the receiver states em- phaticaily, was accompanied by fraud
 tn the voluminous reprt nc one con; nected with the organization, firancins O. cemise of the combination escapes Some measure of blame, either applied directly or indirectly. No doubt as to the receivers views is possible af - ter reading what he has to say, and he goes so far as to Say that all the stock bopuses given away to vendors and promoters are recoverable by the com hlnation under the law, and that those who received them are responsible for Aav'rc taken what they haG no rign, to take.
 The dummy directors who ruled the cor"e-r ostensibly at the beginning arc called mere tools. but they. too. says the receiver, are accountable for their unlawful actions" But" he adds significantly. "they are not the only ones" After going into minute, de tails regarding each phase of the tangled litigation and history of, the cooperation, he leads with the follow ing four recommendations to the court,
 | That in orcer to avoid deprecia ton by dfsuse, and because of the ex istence of controversies as to the va liditv, of the. encumbrances upon the premises. the Crescent shipyard De sold free and clear of all such encum- brances as soon as the work now iu contemplation is completed.
 ?. That similar action be taken with reference to the plant of the liar Ian & Hollingsworth company. Will mington Delaware
 5. That as soon as he debts of the company shall have been ascer c,,,& A4 snx 4 oil persons who received the stock of this company without paying full value therefor. 10 recover from them such an amount as shall be necessary 'to pay said debts in full, under section 21 of an act of the legislature of the state of New Jersey, entitled An Act Concerning Corporations tRevision Oi 1S96.)
 4. That suit b. Instituted agains. the Bethlehem Steel company to pro cure the appointmeD: of a receiver and to compel the appropriation of the earnings of that company hy way Of dividends on the stock.
 Work Of Dummy Officials.
 After stating that he has made faithful appraisals of all :he shipyard and constituent properties texcept the Bath and Hyde companies, of which inventories are being made at present. the receiver recalls inc original mee: ings of the dummy direc.ors and the election of the dummy president, Mr Newman, on June 24, 1902. TheF these dummy directors received from