Los Angeles herald., 1908-09-25
PURCHASERS OF ROAD
BONDS TO WITHDRAW
,Cont,nued from Page one,

ACOnunuSu nrOfD Eukp SocS
Gesner Williams, representing Herbert
White and +. G. Hentlg. the two tax
payers who filed the injunction suit
asking that the board of supervisors
and the banks be restrained from pro-
eeeding with the sale, was asked by
District Attorney Fredertcks to agree
to a continuance of the nearing IN
that case. The delay was opposed, Dut
was finally agreed to.
-Four hours later Attorney Williams
was urged to come at once to the dis
trict attorneys office. There he met
Captain Fredericks and Attorney
Henry O'Melveny, representing the
withdraw from the sale, providing the
injunction suit was dismissed, was
made, but owing to the connection OF
former Judge John d. Works with the
case as counsel for the advisory board
and the fling by him of the amended
complaint, this was considered by MT.
Williams to be impossible.
May Modify Injunction
Later the three men held confer
ence with Judge George II. Hutton,
and as a result 1t is believed an applica-
ton will be made this morning to
modify the injunction so as to permit
the Los Angeles Trust company and
James H. Adams & Co. to Withdraw
it's bid and permitting the supervisors
to deliver back to the banking firms
their certified check for $4,000.
Following this action, 1t is expected,
the whole matter will be referred to the
advisory board for advice, which the
board of supervisors will, in all likeli-
hood, obligate itself to follow strictly.
On the advice of the advisory board the
injunction suit also may pc olsIlsseu,
as this action was instituted simply In
the interest of the taxpayers and Tor
the purpose Of hurrying forward the
work on the new roads.
The filing of the amended complaint
by John d. Works may act as
stumbling block in the adjustment OF
the trouble, as 1t was stated yesteruay
by both sides that charges of so serious
a nature should be threshed out IN
court. 1t was, however, contended that
the first steps looking to a withdrawal
OF the bids were taken wednesday De-
fore the amended complaint was nled,
and that 1t had nothing whatever to 40
in the way of Influencing the actioh VI
the bond purchasers.
on that day, 1t is said, certain mem
bers of the advisory board, acting upon
their own initiative and without the
knowledge of the board as a whoie,
conferred with the purchasers ana the
agreement to withdraw was reacheo at
that time, but confirmation on tne part
of the bond companies was not nau
until the opening of business yesterday
morning. and because of the imposs1-
hilitv 10 communicate with the entire
membership of the board no formal de-
cision could be reached until late yes
terday. AZ,
First National bank, the parent COM
pany of the Los Angeles Trust company
returned to the city yesterday and I'M
lnediately began to familiarize himsel1
with the details of the controversy.
The board of supervisors could not pc
got together yesterday, Chairman Pat.
terson being, the only memOer @ tnoon peeem'
Efforts to call q special session or the
board to meet today will, 1t Is expected,
be made this morning. This may prove
difficult, as 1t requires the consent OF
each member to hold session othes
than on the regular meeting day ana
some of the supervisors may not De
reached.
Supervisors Accused
In the amended complaint filed yes
terday in addition to the injunction
suit of last week the action OF the
board of supervisors and banking m
terests in carrying through the private
sale is designated as violation OF tne
interests of the taxpayers or the county
The board of supervisors, says the COM
plant, acted in violation of their duties
as such and of their trust es pubic
officers, and defendants, patterson,
Wilson and Eldridge conspired togetner
to secure and bring about the disposal
of the bonds at private sale and to, cor
porations doing business in the city OF OF
Los Angeles to the exclusion or all
other persons dealing in such ponos,
and particularly to secure to the Los
Angeles Trust company and James II.
Adams 81 Co. an unlawful advantage
over other bond buyers in the purchase
of the bonds and at price less tnan
the same would bring If put up at pup
lie sale, and at a material loss to tne
county, as they well knew and UNDER
stood at the time"
Furthermore, the complaint says tnat
in pursuance OF the said unlawful ana
fraudulent conspiracy the defendants,
Patterson, Wilson and Eldridge, con-
spired and confederated with the Los
Angeles Trust company and James IA;
Adams and company TO privately ana
secretly make an offer for the SAID
bonds, and the; plaintiffs believe and
therefore allege the fact to be that the
nature and substance OF the offer to