Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1905-09-09
I'm DEPEW'S DEFENSE.
Injustice Done Senator, Says
Equitable's President.
IMPROVEMENT COMPANY PAYS DEBT
At Morfon's Suggestion Correspond
ence Incident to Loan Transaction
In Made Public 20 Remove
Wrong Impression.

Wrong Impression.
NEW YORK, Sept. 1.-The announce
ment is made by the officers OF the
Equitable Life Assurance society that
the Indebtedness to the society of the
Depew Improvement company was
paid yesterday, the principal and inter-
est amounting to $293, S50S2. The cor.
respondence incident to the transac-
ton was also, at the suggestion of
President Paul Morton, made public
to the end, Mr.. Morton said that an
impression unjust to Senator Chauncey
M. Depew might be removed.
The correspondence consists of three
letters of even date, the first addressed
to Mr.. Morton by Henry b. Anderson
of the law firm of Anderson & Ander.
son, attorneys for the Depew Improve
ment company, and announcing that
the reorganization committee of the
Depew Improvement company having
perfected the title to the property no-
covered by the Equitable mortgage was
prepared to take over the property
which secured the loan, paying in cash
to the Equitable the face of the loan
and interest.
The second letter, also addressed to
Mr.. Morton, is from Senator Depew,
who states explicitly his part in the
transaction between the Improvement
company and the Equitable society ana
points out what he declares are mac
curacies in published statements
through which a grave injustice has
been done him.
Among other things Senator Depew
says:
had nothing to do with the organiza-
ton of the Depew Improvement company,
not even authorizing the use OF my name,
nor was l in any way connected with Ii
until five. years after its Incorporation /
purchased for 100000 in cash a one-fif-
teentb interest in the stock of the COM
pany. The company at that time had
tract of land consisting of about 200 sub
divided lots and 265 acres not subdivided.
The Equitable Life loaned $z50,000 upon
1,575 of the companys lots. These lots
were selected as constituting the most
valuable tracts there, At the time the
ing-the lowest at $500 and the highest at
5000 each. The valuation placed upon the
plot by the Equitable appraisers at that
time was S393,150 and upon the balance of
the land owned by the company $40, 900,
a total valuation of the property of $685.
l5U. An appraisal was at the same time
made and submitted to the Equitable by
William b. Cutter, one of the leading real
estate men of Buffalo, in which he APP
praised the value of the lots loaned on at
In 1901 real estate depression set in
in and about Buffalo which lowered VAL
of Depew 1t was at this time. Oct. 4.
1901. and not when the loan was made In
January, 1928, that the insurance depart
ment appraised the part of the property
covered by the Equitables mortgage at
$4,000.
Mr.. Depew then recites the charges
that have been made against him, de-
nying each. OF the charges which re-
lated to transactions resulting from
the default of the company and the
foreclosure of the loan by the Equita-
BILE he says that as result of the COM
pany's embarrassment reorganiza-
ton was determined upon and, though
there were unavoidable delays, the
plan was progressing as rapidly as pos
sible The company was to be incor-
porated and was to issue bonds for
$750,000 to supply funds to take up the
Equitable mortgage, principal and in
terest, and to pay the other debts of
the company. There was never any
other purpose than that the Equitable
should be fully protected.
The foregoing communications were
acknowledged in the following letter
from President Morton:
am very much pleased to receive your
letter and the communication of the reor-
ganization committee of the Depew Inn
proyement company, which disposcs of
the matter in a manner entirely satisfac-
tory to the Equitable. An impression of
the situation which was erroneous and
unjust to you has prevailed j think that
1t can best be removed by making these
two communications public and viii do so
II this action Will be agreeable to you.