The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1910-05-05
MAY AID FROST TO GET BACK
Officials of the Two Companies Said
to be Anxious to Freeze Out Others
in Effort to Get Line Under New
Management.

The real state of affairs with regard
Go the Chicago and Milwaukee Electric
Railroad Company became known to-
day.
The Illinois and Wisconsin bond
holders are said each to be en-
gagged in struggle to acquire the
road and the big bone of contention
is the west side road between Lake
Bluff and Kenosha.
For weeks both factions of bond
holders are said to have had and still
have experts at Highwood and in
Chicago checking up the costs of. the
road, particularly of the Wisconsin
division to find out who owns this
stretch of line.
Coupled with this assertion is an
other to the effect that the Illinois
bondholders would like to disclaim re-
sponsibility, it is alleged for the
$10000,000 issue of Wisconsin bonds
1t is reported that when the electric
road was extended into Wisconsin the
Illinois company as the operating COM
pany went surety for the $10,000,000
bond issue, principal and interest, and
that if it did not have to stand for
these bonds the Illinois bonds would
jump in value at once, whereas now, it
is claimed, they are worth about Sc
and the Wisconsin bonds Is. 1t is
claimed that without the alleged incu-
bus the Illinois bonds might jump to
par
The whole matter of checking up and
auditing which has been carried on by
both factions for months or ever since
about January 1, is to find where Hi
nois money stopped paying the cost of
The extension Of the original line and
where Wisconsin money began to pay
costs and in this way the proper own
ership, it is claimed, will be discovered.
1t is also claimed that one scheme
Of the delay in handling the affairs Of
the road was to force the property
down so low that one or the other fac
tion could take charge.
The original line of the road ran
from Evanston to Waukegan and Rock
efeler and what is considered the Wis
cOnsin division runs from Lake Bluff
to the state line and then to Milwau-
kee
1t is agreed that the Wisconsin
bondholders are entitled to the line
from the state line to Milwaukee.
Now the question of cost is narrowed
down to the stretch from Lake Bluff
to the state line.
1t is claimed that the delay in the
sale of the road or in action bv the
two warning factions of the bondholders
has helped the Frost stock interests
and that the chances are that before
the end is in sight Frost may be able
to get some one to help him and get
the control of the read
According to a report the line up of
the receivers and officials is claimed
to be: Osborn, for Illinois interests !:
Moore, for Wisconsin interests; Hanna.
for Canadian and outside interests ::
McLimont, it is alleged, lined ND with
the Wisconsin interests; and Hyatt, the
civil engineer, with Illinois interests.
McLimont, it is claimed leaves to take
another position in Michigan with the
Moore interests in the Michigan Unit
ed Railways. 1t is also claimed that
Frank Geraghty and Engineer Rudolph
are checking up for the Wisconsin in
terests.
1t is further cited that all of the men
of former days who have left the road
R. B. Stearns, Attorney Munro and
Hyatt, occupy the same Office in Chi
cago and that this Office is kept nm bv
the Illinois interests.
1t is believed that the Illinois bond
holders are making strong plav
for the road.