The Goldfield news. [volume] (Goldfield, Nev.) 1904-1911, 1910-03-26

w. s., Milwaukee-We know of no |,
way of reaching suen cases OF whleh
you speak, unless it is to get control OF
the stock and placing the management
in other hands, and this is impracticable
in this case. The firm of which you
speak, acted as fiscal agents, according
to their advertisement, but they had the
management of the property Also Dur
inc the Rawhide boom they put out
several such companies. The ground
was all right but the trouble with that
ontft is they were not miners but stock
iobbers. They would take an option
ON practically all the stock OF a COM
many at as low a figure as possiDie, anu
then by wide advertising sell the STOCK
returning the option price to the treas
urv (which they would controD and put
the difference into their pocket. Inc
company foated a number of companies
hut so far we do not know of any prop
critics in that district they worked on
their own account, their plan beng 10
lease. thus saving themselves the op'
Grating expenses. By their advertise
ments the public was led to infer that
they were working the properties them
selves. You might write to +. W. hlng,
Rawhide, for a statement OF the SIT
~uation.
q. L.. Milwaukee-It is the custom
of promoters, when disagreeabie 1acts
ara nrinted in this paper, to make an
swer to inquirers by saying that the
in formation contained in these columns
was .sunreliable,o ETC., being an easy
way to toss off an explanation OF their
own misstatements. The facts about
Rawhide Coalition are exactly as stateo
in these columns February 20, and we
had no purpose or motive for misrepre,
s%enting. The facts as we pupllsheo
them. we obtained from one OF the
original owners of the property an
probably at the time he had not eA-
pected they would be published, al
thonoh we were not admonished not to
make the facts known. Anyhow, you
will observe that Sheftels & Co. did not
deny what we said, but evaded the
question entirely. Their letter states
that the Rawhide Coalition company IS
NOT in debt and the company does not
owe one dollar on the stock turned over
TO it and owns outright 100000 shares
Of treasury stock all of which may
he true and still not conflict with what
We stated. We did not say the Coalition
company "was in debit nor that IL
owed on "stock turned over to 1T.
When the Rawhide Coalition company
was formed, Rice and his associates
took an option ON practically all the
ownership stock at something IKE %
cents per share-we do not recall the
exact figure. They were to sell this
stock and turn over to the original own
ers of the ground the 35 cents per share,
which they were to pay as the STOCK
was called for and delivered to them.
Later, as the panic came on, they had
the option reduced to Is cents per share
on the threat of throwing up the whole
proposition. They advertised and BOOM
ed the stock and got it to a very high
figure. They created a market and as
they doled out the stock to their Gus
toners they would take it up from the
pool, paying the option price and
pocketing the difference. Their contract
with the original owners was to pay
them eventually $239,000, according to
cur informant, one of the sellers OF
the property, and up to date only stock
to the amount of $16S, 900 had been
taken up, and the gentleman in ques-
ton seemed very much in doubt as to
the final outcome. To be sure, Rice
eft al. do not owe one cent on the stock
turned over to them They couldn't
get the stock delivered until they paid
for it. Nor is the Rawhide Coalition
company as a company in debt, so far
as we know. The company never did
any work on the property to speak of
all the work having been done by
~leasers. We don't know that it would
really affect outstanding stock un-
favorably, if Rice didn't take up the
rest of his optioned stock. 1t would
affect the price of the shares on the
market if he ceased to boom Rawhide
Coalition, for there is no one else under
the stock but Sheftels, and Sheftels is
only another name for Rice. The origi.
nal owners would still have their stock
INIT pp1acc tho op+ior, xuara ralaaca1 thap