The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1903-12-23
Relates to United States Ship
building Placed in the
French Capitol.
COVERS PAGE in THE WORLD
Prejudice Grated BY Critic Rina Lift.
cd by Efforts Of cashier-Effct
Of Bad Reports countsractd N
4 BY officials.

passed between New York and Paris
In connection with the United Statel
Shipbuilding underwriting placed in
the French capitol are published today
by the World. Reference to the COM
munications was made recently in the
shipbuilding hearings before United
States Examiner oliphant, while
Charles B. Alexander, Of the firm of
Alexander & Green, attorneys, was UNI
dergoing examination. The letters,
which were kept secret by agreement
of counsel. were said to show what
methods had been pursued in order to
compel the French investors to meet
the calls for money on their underwrit-
ing after they had been given to un-
derstand through cablegram sent by
the Trust Company Of the republic to
it's agent, John w. Young, that the
underwriting was success" This
dispatch gave them the idea that they
only need stand ready to receive their
profits as members Of the underwriting
,x.,,yss ". 49, ysan4atn il ls itg Gsf al sis
Charles b. Alexander happened to be
In Paris at the time and to him fell the
duty Of removing the false impression
and holding the signers Of the sub
scription list to their agreement. His
firm Is counsel for the trust company
here which has charge of the under
writing. and the communications, that
fill seven columns Of the World. are
alleged to have passed between Mr.
Alexander and his firm in this city.
The alleged correspondence began July
is, and in the early stages revolves
largely around the investigation set on
foot as to the responsibility Of those
whose signatures had been secured In
Paris to the underwriting agreement,
which was then in the care OF the Bank
de Roma, Baron Calvet Rcgnial and
M. schrerer, a banker, we're the heav-
lest subscribers. While both were very
much disappointed over the misunder-
standing as to the success of the un-
derwriting here. they were stated to7
stand ready to pay their shares. Fin
ally the situation had apparently
been explained to the satisfaction Of
evehyone concerned and preparations
were made for the first call upon the
underwriters July 23 for rs per cent Of
the subscription, to be followed by the
second, payable August, for the same
amount.
Then came the exciting portion Of
the correspondence. The banking
house Of Morgan, Harjes & Co. had
been selected to receive payments to be
cabled at once to the Mercantile Trust
Company, Of New York; but the sub
scribers had not come forward on July
5, to which day the payments had
been postponed, and on July 2S letter
stated that Mr.. Alexander had changed
HE tone with regard to the situation.
The writer is quoted;
while It may be true that those un-
derwriters were not treated properly
by Young in leaving them under the
impression for SO long time that all
the bonds had been sold, yet that has
been atoned for by the patience and
care with which we have In the last
week given explanation after explana-
ton to all parties. They are now all
in default from the 26th and ] have told
Oppenheim to notify them that their
individual liabilities In case that money
IL not in NewYork IN time to make pay
ment viii not be limited to the amount
OF their securities, but that there will
be consequential damages to every
party connected with the affair"
The latter criticised severely in
postscript the impressions said to have
been thrown out BY the younger Har-
jes, who was reported to be very much
prejndiced against the whole affair,
and that it was said by the cashier
that he saw Harjes a, once and
threatened to turn the account over to
the Credit Iyonaise and thereupon
Harjes agreed 70 tell everything good
he could about the personnel OF the
company and the affair. Efforts
through other sources we're also made,
according to letters and cablegrams
quoted, to eounteract the effect Of var
ious reports circulated as to the inn
pending collapse Of the underwriting
scheme ID New york. tissl tut