Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-11-21
NEW BIDDERS
MAY INCREASE
BOND PREMIUM
EQUITABLE OFFER EXPECTED
TO BE 3 1-2 PER CENT
OTHER BANKS SUBMIT GOOD
PROPOSALS
Indications Are That Good Roads Se-
curIties VIII Bring Greater Re-
turn Than Hastily Ac-
cepted Offer

n EW bidders likely to appear in
connection with the sale of the
~ good roads bonds when the super
visors meet Monday promise to raise
the premium obtainable to a sum $123-
$50 more than the $3.50 offered by ]. r.
Martin, when the "solid three" at
tempted to arrange a disposal at pri-
vate SALE A new bid is being pee
pared, it is said, by the Equitable
Savings bank interests, which will Of
fer a premium of $132500, or 81 per
cent for the total issue.
The premium offered to the board of
supervisors by r. q. Newlin, on behalf
of the Farmers and Merchants National
bank, was 100000. 1t developed yester-
day at meeting of the good roads adj
Visory committee that the Illinois Trust
and Savings company had made an Of
fer, which was ignored, to take any
amount of the bonds from $4,000 up to
the entire issue, at a premium of "a
per cent, with an agreement to pay 2
per cent interest on any money paid for
the bonds, but not withdrawn at once
by the county.
The offer amounted to a premium of
500, $50 on the total amount, and was
made through w NJ. Garland. 1t was
withdrawn following the refusal of the
board of supervisors to consider 1t.
III lIl6 opium VI many dINOl ilCJ .
the refusal of the solid three to re-
advertise for bids will delay final dis
position of the bonds, as all bids are
made subject to approval by attorney
of the legality of the proceedings. Law
yers generally coincide with Deputy At
torney Shaw that the board should
have ordered a new advertisement of
sale.
Rejection May Follow
III
der's attorney decides that the pro-
Gee ling is irregular, which he is likely
to do" said a prominent attorney yes
terday, 1.-The supervisors are apt to
receive Il rejection of the bonds offered
about thirty days after they make the
award. Then they will be compelled
to start over again.
ION the other hand. with a number
of bids offering a considerable premium
there is likely to be a bidder who will
feel that the award, if one is made, is
not the best. [ should not be sur
prised to see some bidder get into the
injunction game next week. My guess
is that the supervisors will wish be-
fore they get through that they had
readvertised, as urged by Manning and
Alexander"
In any event the good roads advisory
committee will keep = close watch on
proceedings. This was decided at a
meeting yesterday, from which an ad-
iournment was taken to Tuesday after
noon in order to permit any action de-
sirable following the meeting of the
board of supervisors Monday after
noon.
The advisory committee was told yes
terday that its work had already saved
the county from 100000 to $780, 900. This
statement was made in a letter from
Judge John d. Works in transmitting
his bill for $500 for legal services in
the case of German VS.. the board of
supervisors, and 1t was reiterated by
Supervisors Alexander and Manning,
who were at the meeting. The for
mer placed the amount saved at
$350,000
Committee Will Watch
The committee discussed the details
of the amended plan of sale of the
bonds, but decided simply to watch
proceedings closely and to take action
only in case the "solid three" made
another move necessary. Mayor j. L.
Farley of Pasadena was elected vice
chairman OF the committee, and the
services performed by Judge Works
and the subcommittee, headed by Sid
new A. Butler, were formally thanked
for their achievements.
e. C. Bichowsky of Pomona wanted
movement to stop all proceedings
but the consensus of the committee
was that an opportunity should be
offered for acceptance of desirable
bid. The committee informally decided
that a bid for $35O,OOO up to $1,O5O, 900,
If offering a fair premium, ought to
be acceptable.
Secretary Blanchard read a letter
from w. M. Garland severely criticising
the present plan of disposing of the
bonds whoever thought out that
plan of selling our gilt edged bonds, =
said Mr.. Garland, must have served
his apprenticeship in selling lots at 81
down and 81 a month. In my opinion
many of the best bidders will with
draw under the present plan"
The advisory committee has been ad,
vised to call a big mass meeting and
allow a public protest against the ac-
ton of the "solid three" unless the
disposition of the bonds is properly
made in the near future. Several citi-
zens have urged that this would allow
a general subscription to further the
work of the committee, which has so
far made no appeal for fundsA
1870