The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-08-23
|||[URE DUE
BANK CRASH
y pirer Says Lane Lumber
! Company Was Used to
y Bolster Up Bank.
OIGH ASSETS TO PAY
rs CENTS ON DOLLAR
uher Holdings So Valuable
|ybst $4,000 Liabilities
| Ire Set Off by $4,000.
i, ~ The Tribune.

M 10 t"~ -
gIss. Ida. Aug, 22'-Allegations OF
. .s..r conduct in the management of
,s.lrs and expenditures Of the funds
4. Lano Lumber company, now
,r,,, and In the hands OF a receiver,
,ord,.ion of which Is said to have
ma Indirect cause OF the failure OF
4 Lau,e Bank OF Commerce OF Wallace,
,.,omino moro serious and are made
J. In tho report of Lawrence F. Con-
receiver Of the company. The re-
has lust been filed with the court
,auIss have been received here.
\, Lane Lumber company was at one
one Of the most substantial lum-
sr institutions In north Idaho, B. F.
xsIl former president OF the Bank OF
-r,rce O, Wallace. and Republican
.lkiale for the nomination OF governor
M ago. is one OF It's most prominent
ssrs Il is claimed that the Wallace
q failure has much to do with the
= Of the Lane Lumber company, In
r,port Receiver Connolly says.
IA the capital stock. 100000, only
IN $4,000 In cash has actually been
In yet through the jawbone' and
a Ink methods they have managed
scfmulatc an indebtedness of more
q Wi7.0o0."
Company Looted, He Says.
Despite the alleged frauds Mr.. Con-
II iays he believes. after learning the
|riibs Of careful cruise Of the COM
rFs timber holdings. that he Will be
,c pay IS cents on the dollar.
h Is q well-known fact" the report
<0nues. that the st. joe mill at Har-
y has been built and equipped with
nty and credit of the Lane Lumber
reany. yet Ii is held as a private in
~,nsnt. II ls probable that the amount
honey claimed TO be due from the
ANY has actually passed through
books. but IL has not all been used
company purposes. Supplies, tools,
sscek. and part of the equipment,
1900 In cash. which has been called
Eeupt, we're taken from the Lane
rAef company less than a week prior
te pceivership by the management,
Credits on the books for services rem
FH and for supplies never received and
y ms;hods were resorted to, The
EAny was a dumping ground for the
lR Bank Of Commerce
Some of the Assets.
Ik property OF the company consists
tInost 5000 acres OF timber land: q
y plant site al the mouth OF the
% d'Alene river at Harrison, where
have built an excellent plant. con-
r.'sd IN substantial manner, witt
q modern Improvement. The mill IL
5yd with conveyors and all the
f.iaylng devices. and has capacity
bon $4,000 10 SO, 900 feet in ten hours
lnsy own fifteen-acrc farm sd5oin'
harrison, with modern dwelling
houses in Harrison. plant site ant
fs houses In Lane. where their mil
Hoated prior 10 tho fire two years
complete logging outfit, including
tsomot!ve and several miles OF tract
AXE Killarney, near Lane, twelve
~ horses. wagons. tools. boom sticks
chains.
rpm the results thus far obtained
The cruisers who heve. completed
soIk figure that the company own
q! logooo.00 feet OF standing timber
sss on hand, from the book account
'n nun close TO 100000 feet.
Property Mortgaged.
AA Of the property of the compan.
sqflgased and decided TO the Northern
~vs"pnHy dIB August l'ehpDuS- a
<lee for Peabody, Houghtelllns & Co.
ING The payment OF per cent sink
ESs0O
wshtlng that my estimate Of valu
lne assets Is correct, and deductln
'nc amount the bonding indebt
a. Plus the interest, amounting Z
sbd also deduclIng the amour
nave advanced as receiver and tn
Sns payable under the receivershiI
eeets are estimated 1911. 636.22. ThI
deficit of $97, ,9S0Sl and means
estimate Is correct, that we ca
~ vents on the dollar IF the amoun
sphey due from the stockholder
oe collected the result would b
III M iull for the creditors
W. Wall Is president and genera
Esssf; ", Is. Wall, secretary, and (
y"si, Vice president. Including thes
e,S. ". ;. Anderson and Joseph Brow
usuted the board OF directors