Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1911-07-17

| too large. I. too. would build an en-
| ptre or destroy oneg'
Kelvin looked quietly up at her. She
was a picture OF striking beauty, but
there was about her a certain savage
ness. such as a LucreZia Borgia might
| have had. Kelvin thought, or such as
| animated the woman vultures Of the
French revolution
Henry Breed was possessed of no
such dramatic comparisons Leave
the roomr' he said CURLY. She whirl-
ed upon her heel and strobe out the
door. slamming 1t behind her.
DR.. Zelphan followed her with his
eyes, but half smile was still lurking
under his beard. The other two heav-
ed signs when she was gone. Breed
dismissed the episode Immediately.
Now you may explain" he told Kel-
win.
Well" said Kelvin. the entire rail-
road map is changed since the panic
All the names familiar to the rail
road world have passed into history.
Next week they viii have been forgot
ten. Not one or them can rise again
from the wreck"
Breed nodded his head in compre-
hension, and his thin, flexible lips bent
into e cruel smile. II know" said
he. There is a red mark upon each
of their photographs"
Kelvin nodded briefly. But those
men have shown us the way. Let me
give you as an Illustration the control
OF one man. For i've years he denied
that he had any interest in a certain
large road. But there came q time
when a holding company in which he
was interested had secured Is per cent
of the stock of that road, and this 10
per cent was the largest single minori-
" holding. The man in question held
In his own name less than 10 per cent
Of the stock of the holding company,
but It was to the interest of every
member that he nominate his own d.
rectors and control the destiny of the
company. Through this control. there
fore, he virtually possessed personally
that Is per cent of the stock of the
big railroad. With that Is per cent
he sent in his own name an appeal to
the scattered stockholders for proxies,
and through his personal prestige he
came into the stockholders meeting
of the big road voting 90 per cent of
the stock and put through his own
slate of directors and officers. Then,
through similar means and through
this one road. he controlled all its
branches and dependents. aggregating
many thousands of miles. and all de-
spite the fact that he himself actually
held not I per cent of the value of all
this Stockr'
Ia A-T
check mark upon that mans photo
graph too. This deal was d part oc
the pyramid which crushed him"
But it can't crush you" returned
Phillip. He poised his pencil over diff
ferent points in his diagram, where Op-
posite the name Of each road was set
its total number of outstanding stocks
and bonds.
'You are the only man in the world
today who is able to bring practically
endless resources TO the support OF
any project" he continued. For In
stance, with an actual holding of less
than / per cent of the total stock of
ali the railroad corporations in the
United States, You are able to domi
nate every mile OF iron highway. to
depose or elevate any man in the rail
road business, from brakeman to pres
ident-that is. after you have taken
the reins. You have only one rival"
Breed raised his head quickly. "Rol-
lins?'' he said.
Sumner Rollins" repeated Kelvin.
What made you think so? You
spoke of him yesterday"
SCI met him during the days OF the
Il -
him. Re thipks that, with proper
management. they can be made prac-
ticaIy safe to the public and still yield
better dividends. sHe is a conserva-
tive man, who has never specU1ated
upon margin--in fact, he is one of the
few men whom your campaign against
the Stock Exchange and Stock Ex- /
change methods could not affect Dur |
ing the closing days Of the panic, when /
such stocks as Northern Pacific were ]
reduced to the absurd figure Of twenty |
nine, Rollins was in the market to buy |
actual stock for spot cash, and In sew !
eraI of these roads he is today the ,
second minority stakeholder to your
self. kept close record Of his trans
actions, and, in fact, sold him some
Northern Pacific and some New Haven
myself"
You did, exclaimed Breed, sur
prised and not altogether pleased.