The San Francisco call., 1909-04-03
CALKINS USES
II. c. TIBBITTS
AS ACATSPAW
Creditors Suspicious of Syndi-
Gates Offer to Settle I'M
secured Claims
Plan TO Pay About IA Cents on
Dollar Is Not Finally
Accepted

using IL L llDDlLtS as a catSpaW 10
save the CaIkins dollars from the ruins
of the Calkins syndicate were made
: yesterday afternoon at a meeting of
. creditors in the Kohl building Tibbitts
stnade an offer TO the creditors, through
the investigating committee, to pay
$4,000 on the unsecured claims Of the
syndicate or about "A cents on the
dollar. for the $4,000 Of unsecured
claims. He would satisfy the secured
creditors. he promised, and continue the
publishing business FOR the good of
the city"
: The discussion Of the offer occupied
the creditors for two hours. At first
The men who had trusted Calkins voted
10 disregard the proposition and to seek
.other ways of getting money from the
wizard OF finance" and his withered
syndicate. A second ballot was taken
and the offer was accepted by vote
81. II TO 9, many creditors having left
: the room in the interim. Then a third
vote was taken and all except two
: agreed to accept the Tibbitts offer. The
committee was instructed to visit all
the creditors. or communicate with
them. and secure a unanimous agree
.5aent to the Tibbitts proposition.
tCALKINS' MOUTHPIECE
s.. Entire lack OF confidence in Tibbitts'
offer was expressed by many of the
creditors. It was declared that Tibbitts
. was associated with Calkins and was
nlerely his mouthpiece. Tibbitts offer
was not accompanied by any declara-
xion Of whom his supporters were. He
sent word through the medium Of the
Investigation committee OF creditors
p}edgiug himself to see that the secured
creditors were satisfied with the ar
:rangement Tibbitts manner Of ad-
dressing the creditors repelled many
from favorably considering his offer.
Through B. T. Bean. the auditor of the
accounts Of the syndicate. Tibbitts said
in substance: Unless you accept this
0ffer Immediately il viii be with
drawn"
Tibbitts ostensibly took a philan-
ihropic and generous stand in making
fis offer. He declared through the
committee that he wished TO have the
publication Of the Sunset magazine and
other Southern Pacific company lit
erature remain in San Francisco, and
unless he could get control Of the
L
enterprises would have to be moved to
another locality. His offer was made
solely for the good Of the city. he said.
Tt was stated that creditors OF secured
claims 10 the amount OF SIS, 900 favored
this plan.
=. That little memorial did not deeply
Impress the creditors. however, the
close relation between Tibbitts and
Cslkins having aroused the suspicious
Of those who have already lost so
heavily in the Calkins failure. There
was much hot debate on the PROPOSE
;uon.
MAY FORCE BANKRUPTCY
=. So intent We're the creditors on dis
cussing the financial side OF the CAL
kins failure yesterday that they did
mot take up the criminal aspect Of the
wreck OF the company that estab-
iished the Globe for the purpose Of
hghting the graft prosecution and get
ting tribute from the grafters. That
question will probably come up later,
as several of the creditors believe
that they should make an example Of
Calkins.
p There was an undercurrent of feel
ing yesterday 10 the effect that Calkins
and the Calkins enterprises should be
thrown into the bankruptcy court.
The creditors are estimating their
chances Of recovering on the smashup.
and II the prospects indicate that more
than $4,000 can be raised by the courts
oyer and above the amount Of the Sc
cured claims bankruptcy proceedings
VII be decided upon.
NOT FINALLY ACCEPTED
o. K. Cushing. chairman Of the cred
itors' meeting and attorney for Blake.
Moftitt & TOwne one OF the largest
creditors. said Yesterday that. while
= haE cd 70
Tlbbitts offer, the creditors were not ir-
revocably committed to that PROPOSE
iion. He said that the committee would
visit all the creditors and later report
on its success.
!. One Of the creditors who stood out
against the Tfbbitts offer to the last
was the Ault & Wiborg company Of
Cincinnati. o. Attorney J. H. Jordan
appeared for that firm THE PROPOSE
4lon did not look good to US" said
Jordan at the conclusion Of the meet
ing.
= II developed yesterday that there
were unsecured claims held by outside
creditors 10 the amount OF s73,O The
total sum Of unsecured claims against
the calkins syndicate is s1I3,00O. OF
this sum SAC, 600 is owed TO subsidiary
corporations. which. in turn owe the
syndicate about $4,000
The secured claims against the Calk
ms syndicate, the holding company. are
secured by stock in the subsidiary COM
papies. which was hypothecated by the
lsolding syndicate. The syndicate held
upward OF 81 per cent OF the stock in
zach subsidiary corporation.
STOCK ONLY PROPERTY
:Among the creditors not already men
'146ned is the London-Paris national
baak. with a claim of $4,000. The
Iri0n trust company is the heaviest