The San Francisco call., 1913-08-19
Agreement to Cease Attacks,
Said to Be Price Paid for
United Properties
Interests
PERSONAL AFFAIRS
REMAIN UNAFFECTED
Likewise Realty Syndicate
and Other Corporations
Left Untramrneled

In granting r. G Hanford option
upon IF. NJ Smiths interests in the
United Properties company the trus-
tees of that company have made a bet
ter bargain for the Smith creditors
than has been gained by Mr.. Hanford,
according TO statements issued yester-
day in behalf of the "Borax king and
of the Smith creditors.
The price Hanford paid for that op-
6 tion was an agreement with the United
Properties trustees to cease immedi-
ately the guerilla warfare he has in
cited and maintained against the dual
sets of trustees in their efforts to un-
ravel the Smith financial tangle.
NATURE OF OPTION
According to a statement made by
Louis W. Bennett. assistant to F. NJ.
Smith and a director in the United
Properties company, the option is not
an option upon anything other than
the "Borax Kings" stocks, bonds and
debentures of the United Properties
company. It in no way affects the per-
sonal affairs of Mr.. Smith or of the
Realty syndicate and other Smith cor
porations
Mr.. Bennett maintains, and in this
he is seconded by the Smith trustees,
that the status of the control of the
properties, even the United Properties
company is absolutely unchanged.
Neither Hanford nor any purchaser
whom he may procure under the option
is to obtain any control whatever un-
til many important conditions have
been satisfied by Hanford including
the payment of a large part of the pur-
chase price.
Any purchaser obtained by Hanford
must first be satisfactory to the trus-
entirely free to administer the United
Properties company and its subsidi-
aries precisely in the same manner as
If no option had been granted, even to
the extent of selling any or all of the
properties.
TRUSTEES STATEMENT
The statement issued by the F. NJ
Smith trustees, or advisory committee
follows:
The option secured by R G. Hanford
was given by the committee composed
of James K Mof1tt, William A. Bissell,
Vanderlyn Stow, w. l. Brobeck and
Gavin McNab, known as the United
Properties committee" which has been
handling the affairs of that company
and its constituent companies under an
agreement made by f. M. Smith Will
liam S. Tevis and r. G.. Hanford, under
date of January 20, 1918. That commit
tee controls the holdings OF Mr.. Smith
in the United Properties company only,
and the option which that committee
gave to Mr.. Hanford was upon Mr.
Smiths holdings in the United Proper
ties company alone.
The United Properties company has
no interest whatever in the stock of the
Realty Syndicate, Pacific Coast Borax
company or any of the borax compa-
nfes, or any of the other Smith compa-
MES, except the railroad companies of
which it indictly owns about 80 per cent
of the preferred "A stock and ma
1ority of the common stock.
THE committee in charge of the prin-
cipal properties of Mr.. Smith is COM
posed of f. B. Anderson, John S. Drum
Mortimer Fleishhacker, w. w Garth
waite and c. o. G. Miller, and this COM
1nittee has not given any option to Mr.
q Hanford. It's plans or work will not be
halted or affected in any manner by the
option, which was given by the other
committee. Nor will the powers of the
United Properties committee be inter
fered with by the option, because it is
provided therein that the committees
powers shall not be limited or re-
strained in any way by the outstanding
option unless and until the properties
shall be purchased Hereunder"