The sun., 1908-04-13
TELEGRAPH FOR UNION MEN
WITH 4 CHANCE FOR OUTSIDERS
70 BIY 4 SHARE or TWO.

waBHt its height last fall II was announced
by the local board Of strategy that a new
telegraph company was being organized
which would he controlled by union opera
tors and which would transmit messages
for a cent Q word. Late In January Leavsn'
worth X, Davis arrived here from Chicago
with the original scheme conoooted by
him and kept going in Chicago where the
telegraph operators were much more
bitter In their feelings aud we're inclined
to give up their Satings for something that
offered them an opportunity to get square
with their employers Davis had worked
the Chicago field until The income began to
drop OF and then moved on here, where the
chances for harvest appeared better,
The scheme found a home at 80 and Al
Cortlandt street, where Mr., Davis has
since occupied desk in tie Office OF Kaye,
DE Wolf Co.. bankers and brokers. y
The promoter calls his concern the Ameri-
can Union Telegraph Company and In the
literature signs himself l., X Davis,
trustee, chairman finance committee
organizing the American Union Telegraph
Company All checks for stock are made
out to IL, X. Davis, trustee. aud no pur-
chaser gets his stock certificate until TInstee
Davis has sold H,OOO,OOO worth
Although Mr.. Davis declares that ne
himself has sold 100000 worth ot stock In
the last three months he hasn't bothered
about having his company Incorporated
and hasn't even taken the trouble to register
the trade name In the County Clerks ofiice
Trustee Davis declares he has sent 81 $50
TO the Secretary Of State Of Maine TO pay
for the incorporation Of the American
Union Telegraph Company and expects TO
have his charter this week. II that is true
the company will be Incorporated at tiO.-
100000, which will consist Of s.. .OOO. 900 Of &
per cent. preferred stock and S. ,OO0,O OOO of
common stock each share worth tl0, just
now members OF the Commercial Teleg-
raphers Union and the Order Of Railway
Telegraphers are getting stock In the COM
pany for S. a share. They can pay one
fifth OF the money down aud the rest in
monthly instalments. Each share Of pre-
feTed stock carries one Of common as a
bonus. Promoter Davis has decided TO
offer 10 railroad engineers, fremen. con-
ductoS and brakemen. as well az freight
and passenger employees 10000 shares OF
the 8 per cent. preferred stock at % q share
He even offers to the general public for
thirty days only 10000 shares Of his pre-
ferred stock at the same price the engineers
and others get It at They can't expect to
get in on the ground floor like the operators.
The attention Of TIE Sun was called 20
the American Union Telegraph Company
by Charles p, McInerney. secretary OF
Local l8. the New York branch Of the Com
mercial 1eegraphers Union. Mr.. Moln-
erney said he had looked into the scheme in
a much more dispassionate way than some
Of the other operators had and had about
decided that the boys who were using money
that they couldn't ahord 10 lose Co buy
stock IN the company might regret 1t sooner
or later
Il first got suspicious when man who
said he was from Mr. Davis'5 Office came to
me and said that il would pay months
rent for the company ] would be made
chairman OF the New York State advisory
board said Mr.. Mclnerney. Then
sent a man down TO the Office 10 inquire
about the company. He wore a silk hat
and | guess they thought he had a lot Of
money. Anyway they worked what | call
a oapper's game on him. A man rushed
into Davis's Office while my man was talk
ing about stock and said II had been de-
cided to raise the price right away. The
Capper worked several other dodges TO trv
10 hasten the sale Of stock and he finally
got the signal 10 stop when my man didn't
fall for any Of the schemes
Il understood that a lot Of the BOYS have
been buying stock because Davis Processes
TO have the Endorsement Of many Of the head
officers Of the two telegraphers' unions |
also happen TO know that an agent has been
working the subway ticket agents, con-
ductors and guards with considerable sue
cess. Frank Ryan, the chief teleRra pher
Of the New \ ork local Of the Order Of Rail
road Telegraphers, paid $40 on purchase
of stock. and upon my advice he went down
10 get his money back
Trustee Davis has had a correspondence
with an operator in Chicago which IL inter-
esting. In the first place the Chicago man
got copy Of the circular. which says:
We have decided TO have State advisory
board in every state. said board to consist
Of from three TO twenty members, all OF
whom must he telegraph operators in good
standing. The board OF directors Of the
corporation will select from each State and
Territory a telegraph operator who shall
he member of the general advisory board
~ well as chairman Of the advisory board
from his State, All State advisory boards
will be under The direction Of the general
advisory board. whose headquarters will
he az the general office Of the American Union
Telegraph Company in New York
II is The intention OF the hsldinR corpo-
ration TO incorporate subsidiary compaDies
TO the American Union Telegraph Company
IN many States with a small capitalization
IN order to receive legal recognition. In
such cases none Of the said corporation stock
will be sold to the public, but will be held
by the holding company. The said State
company will transact all the business under |
the direction OF the holding company, and |
the leading and most competent members |
Of the State advisory board will be expected !
10 MI the most important pOsitons~in the |
new State companies and will be placed on |
A salary that will Justify their leaving the |
kcy and managing the business Of the Amer. !
lean Union Telegraph Company IN their re- |
spectve State or Territory.
: The Chicago operator sent Mr.. Davis a |
letter asking these questions:
We would like to know something OF the |
charter, Have you got one? What about |
state franchises? Have you any definite |
arrangements with independent telephone |
companies whose wires YOU say you intend |
10 use? How would you enter chicago? Who |
are the men behind this proposition and what |
are their business antecedents. references,
financial responsibility. dc,2 Have the ma
tionsl officers Of the c. T. L. OF A, indorsed |
lhe project? II so. what ones, Also a brief |
history Of Yourself In 4 business sense aud |
banking references in chicago, as ! under |
stand YOU have been located here. according to |
newspaper reports.
Under date Of February 10 Mr., Davis
sent the following,