The Brunswick daily news. [volume] (Brunswick, Ga.) 1903-1906, 1903-06-07
'LAUR|N PLEADS
DECEIT IN SUIT
-
Senator Says Steel Con-
Germs Holdings were
Misrepreaented.
NEW YORK PAPER ON STORY
The Ex-senator Was Led to Believe
That the Mohawk Company Had
a Cash Capital of 100000 BY
lnsted ara Others.

The New York Herald in a recent
issue said
john l.. McLaurin. formerly United
States senator from South Carolina,
was greatly purturbed yesterday alb
out business tranaction in which he
became involved some weeks ago
when he had felt assured from repre-
sentations made to him that he and
his associates would make fortunes
rapidly.
THE first result was the failure of
Frank A Umsted to meet a $4,000
note which Mr.. McLaurin had signed,
and which was payable at the Mer-
cantItc Nauunal bank on May u.
After making arrangements for
paying the note he consulted his law
yerS here, former District Attorney
Orsborne and Otto Hess, and they
obtained for him on Tuesday from
Judge Clark, of the supreme court,
an attachment against The property OK
Or sad To be owed by MI Um-
sted consisting Of 16,S09 shares of the
Brunswick & Birmingham railroad.
There is some question about the ow-
nership of the stock in question and
a jury will decide the question at noon
ON Monday
Il wish the Herald to announce pos
itively that Senator McLaurin is not
ruined" said Mr.. Orsborne AS we
now stand there is a loss of $4,000
IN oar nJte but to Offset that we have
collateral which we believe to De
worth more. AS Il matter Ol lu,l
an offer has already been made that
is almost large enough to clear up this
part OF the deal without a loss The
senator signed two other notes for Mr..
Umsted one for $5O,555 and the other
for $4,000 making, in all, a
total of $4,000 Besides this he put
up $4,000 in cash. AS two of the
notes are not yet due. ofcourse, we
cannot tell whether or not they will
IL iEet At maturity
"In the legal proceedings we insti-
tuted we charge that Senator Nc
Laurin was persuaded to go into tho
vdture. though Misrepresentation.
The plan Was to have ii great steel
plant at Brunswick, Ga. The Mohawk
Valley Steel and Wire company was
said to have property of an enormous
value. The prospectus stated that
the company owned thousands upon
thousands OF acres Of good coal land
and the Brunswick & Birmingham was
to be rushed through in the interest OF
the steel plant"
What was the purpose of the pa
pers signcd?"
"To obtain funds for getting control
0f the construction company. That it
was put to the purpose that had been
10 HO uOuDI Dul llldl iIc LlOICy IdlSCu
intended. The only question is about
the value OF the steel concern, which
is capitalized at sixty million. We al
leSe that it does not own the coal
lands and that its property was con
sequently misreprcsented. 1t does not
follow though that Senator McLaurin
will lose anything by the note trans.
action"
"Mr Umsted is a resident Of Wor-
| ccSter, Mass, but spends most Of his
time here. lie has handsome suit
of offices at number 100 Broadway and
on his door appears the names Of
| these concerns: The Brunswick and
| Birmingham railroad, The Brunswick
and birmingham Construction com
pany, The Mohawk Valley Steel and
Wire company, the Milford Pink Gran
tic com .Iany Repeated calls at his
office resulted in the reply that ho
was not in"