New-York tribune., 1911-02-17
.llSH OVER CITY BONDS
...,,,, Resents Condition of
'sn s,ock Exchange for Listing.
Wy RECORD BOARD TO ACT
.;ol Institution Insists on
,a'ns Being Engraved by One
ss s.mnany and Not It's Rival.

4 tVA<E
,,,s committee of the New
Ths exchange having declined to
las ,s cp issue OF corporate stock
u Toe sr,lv sold by the city If they
Sot' engraved by the New York
s',.' yOts Company. a meeting OF the
-. ~ City Record has been called Tor
s'fs :, % consider the matter. This board
g''Sn ~ contracting for all city sta
- eH'd I'd nriuting and engraving.
scaf7 ',.,,e ago David Ferguson. super
s'r' .srhe City Record" asked the
80 " Bank Note Company for figures
iSss, II offered TO DO it for ss7'c75. The
., ise " rrote to Controller Prendergast
- ;. thought the figures were too
syIs ,ras asked 10 get other prices.
% s work Bank Note Company being
other large concern engaged In
y s~.iue.s in this city according to Mr..
" V's. !. communicated with them. and
,b.v would 60 the work for s4i,5O0.
1''- .., the Controller had taken steps
AMI n the stock Exchange would
. -. ss,urities should they be engraved
- ysv York Bank Note Company the
~ Rauk Note Company sent word
Aa..,,isor Ferguson that tt would cut
!, .,.t BID 10 1851 %.
-. sys 10 the present condition Of our
,sst we are willing 20 make the con-
..,op they wrote.
s.,,-ouer Prendergast wrote 20 Z. Il.
-r-,s. president Of the New York stock
ns,hsnge:
r,s.rstcod that YOUR board Of gov
y sor some reason. has refused 10
ftHsr.s engraved by the New YORK COM
S'Ji AZ moi believe IL to be 10 the best
s,,st Of the ciy; ne"sxeIs siS5s, 70 a.S'e ad
sorne 81 900. when the character
- .-.~, ~ both companies appears 20
~ s..tsaIlv equal Samples OF the work
s.,S .ororspiss have been requested and
S;,tsS and I deem them equally salts
Nrg
. VAS asked that reply be given be
-. rss-uarv 9. but It was not received
..,,. Fsb,uary Il. George ". Fly, seore-
.r ., the Exchange, wrote:
Avn Instructed 20 inform YOU that II
| "a 10 compelled % decline ~ list the
yss YORK City bonds referred 10 you oy
,,s Y the same we're engraved oy tl@'
- NsT York; company.
Es.arng 70 the fact that the New York
p,,s No,s Company has an action pend
..r ,,,,,r the New York stock Exchange
., ss.vy damages. alleging that the ex-
.,,,r, s In q conspiracy 10 injure the
,ssp.ss O, the cornpny BY Withholding It's
,ps-ovsl, Mr. Ely wrote:
rh..he- the low bid which YOU inform US
,,s ave received from the New York Bank
y,,s Company should. IN view OF all these
,.-s be REGARDED as a bid made IN the
,lnary course Of business or as q stra-
80 r1ove taken with view 20 its e.
-. on ne pending litigation, is. Of course,
/ rsttsr concerning Which each one may
5.sv his own conclusions.
~ Controller then wrote 10 Supervisor
yyzpson. saying that IN view Of all the
| e-,umstances. u would seem expedient TO
trsrd the contract 10 the American Bank
yas COMPANY
Il vorld be a breach OF faith with the
s.Esrs Of the temporary certificates rep
-ss-,irg he bonds CT the last sale" he
z.. we're TIE permanent certificates not
d.y listed as has been customary. Al the
sane tine wish 20 make a matter Of rec
ord Of ny Aelief that an injustice is being
cone 70 the city Of New York through the
scacr Of ths New York Stock Exchange IN
-zsing 10 list The securities Il prepared by
e New York Bank Note Company.
sersrviso: Ferguson then prepared
ign o, contract and yesterday took IT 70
lsyer GaynoT for his signature. The la;-
r said he did not believe in submitting
. Ech high prices, and that II vas as
-gsh in the interests Of the New York
ssk Exchange 10 list the city bonds az II
VI q ire city 70 have the bonds listed.
s. ss called meeting Of the Board Of City
asc'rd tor Monday 20 consider the matter.
i vas suggested in financial circles last
-gsl that q way out of the difficulty
ngai be found by having the bonds listed
S.as consolidated Stock Exchange.
Sc'se Il Danforth, secretary OF the
american Bank Note Company. last night
essaaed the higher bid put in by his COM
Ia'y On the ground that the superiority Of
q. work ani the reputation OF the COM
'Ey 70. accuracy in handling financial
HG>r gave the investing public a conf
t.see in gork done by them
ne American Bank Note Company has
el'yso for many years practical mo-
a'pAy Of the business az engraving the
-esHaes listed on the New York Stock
-ehsnge In an attempt 10 break this
n'aopoly the New York Bank Note Com
'SH Which put H. the lowest bid for the
'ESv!ng Of the new issue OF city bonds,
iasht suit in the United States Circuit
''.r on June . 1910 for S50Jo10o damages
-sinst the New York Stock Exchange, its
~ neneers and the American Bank
'0's COMPANY charging conspiracy be-
"7sa ihe exchange and the hanknote
VA1pany 10 exclude the bonds and certih-
aus Of stock printed by the New York
0olpsny from the official list Of the ex-
tlsage
as suit was dismissed by Judge La
-'Ue on October = last on the ground
did not state facts sufficient 10
,V me federal court jurisdiction. and
sas defective in that the word
''~oeat Instead OF citizen was used
lusiTiag 10 the defendants.
'-'ss Hough. In the same court. had
"usiy restricted tho complaint to in
s- -' Saly President Thomas Of the Stock
o--'Snse and the American Bank Note
.Vahy. A new action vas subsequently
.-sh' BY tie New York Bank Note Com
:. naming the same defendants as in
~. "Ftasr suit 10 which il was prac-
- - aiailsr In all respects, with the ex-
oa iaai the word "euzen" was used
80 go OF resident" IN referring to the
,,, SUI came up FOR trial two weeks
-. Sla al that time Judge Hough init
- wat ne would uphold demurrer en-
s.. oy counsel for the New York Stock
,',.-.ss ss and the other defendants, who
~" the suit on the ground that the
81, '-'Nns IN the complaint were redundant
= 4's' because Il could not be brought
n. present form. Cass & APPEL, counsel
r,a' As New York Bank Note Company,
q