The sun. [volume] (New York [N.Y.]) 1833-1916, 1913-06-27

call upon the capitalist II he. the mvs.
terious telephoner. brought Mr. Sage TO-
the editors house would he sesa nm
And the newspaper man replied that he
would
II turned ont afterward that "A con.
versition of like character had pas,ot
over the telephone between the mvsterr
Gus speaker and the managing editor ~,
another important New YORK morning
newspaper This editor little moro
keen for q big news feature. Is said TO have
visited Mr. Sage's office, where the geu'io-
man who escorted him did all the talking
and the venerable capitalist, whose mind
had lost its acumen replied in an evasiye
way.
Col. James Fnils 4" Appear.
ON the evening specified for the Al,
pointment the mysterious user of M,
telephone, who through subse1nen,
conversation had agreed to- bring no,
only Russell Sage but Col T. G. Jane.
the lawyer turned up AZ the editor house
The latter went forward To meet him and
found himself confronted bv an individual
who made some EXCUSES for the inabiliv
of Mr.. Sage and Col James to be presen,
and announced himself as David Lamar
their representative.
MIR Lamar launched forth in a TRADE
against the iniquities Of the Union Pacific
reorganization plan. He said that If th"
sale and foreclosure could be STAYED oN
for Il few days u syndicate headed
by Russell Sage would pay s. .oOO.O 900 more
than the Kuhn, Loeb 4 Go. syndicate IN
settlement of the Government debt, and
that il was public duty TO defeat the plan
Wall Street was startled a day or two
later by the unexpected announce ment
that the committees which had worked
on the Union Pacific reorganization for
40 long time might he outbid at the
fOrpolOSlirf SQlp NV OnnOSiflOn Svndt-
cate. The mystery about the opposition
was profound. but the names of Russell
Sage and Gen. Samuel Thomas were
mentioned in connection with II.
that they had been invited to join a syn
dioa:e by David Lamar. but they did not
know or would not impart the details
The reorganization committee searched
high and low for responsible syndicat"
manager. They communicated with the
Government, but could get no confirma-
ton of the report. They inquired among
their banking associates Some Of these
had heard talk of an Opposition bid. but
were unable 10 locate a syndicate.
wall street IN Ferment.
- For several days Wall Street was in a
ferment. In the meanwhile various
newspapers had taken up the report
and were denouncing the Union Pacific
bankruptcy and the rehabilitation plan
bitterly and pointed out how the Govern.
ment had been Overreached. The editor
who had had the matter brought 10 his
attention by Mr.. Lamar was made aware
of the true situation early in the pro-
ceedings. When next his telephone rang
and some one started to talk about the
iniguities of the Union Pacific bankruptcy
and reor ganization plan the editor de-
manded written evidence of the existence
| of the opposing syndicate and its respon-
sibility If 1t made the bid for the property
Failing which he announced that he would
expose the scheme.
Again he got a visit from David Lamar,
this time at his office; The latter said
Russell Sage and a copy of the syndicate
agreement within twenty-four hours.
but the editor thoroughly convinced
by this time that he had been victimized
demanded proof OF the legitimacy OF the
opposition syndicate within one hour
the character OF the alleged opposing syn
dicate was made public. Nothing more
was heard of the syndicate bid. but as
a result Of Mr.. Iamars telephone activi-
ties certain radicals took up the matter
in Congress. For time II looked az
though the foreclosure sale would ht
stayed The plan for the rehabilitation
OF the Union Pacific. over which the com
mittee had worked for years. was threat
ened. A a result the Federal Admins.
tration. though it had entered into con.
tract with the committee. reopened the
negotiations. They were only settled
finally by forcing the committee to ad-
vance its bid in settlement of the Gov.
ernment debt from SjO, 900 600 to SIS 600 OO0
| The additional amount came out of the
unhappy shareholders and bondholders
for whom they have always had to thank
David Lamar.
MIR. laS,ar may have had nothin g
whatever to do with this local recrudes
cence Of telephone calls mentioned by
Judge Lovett. but his activities in that
direction have been fruitful source Of
harassing the company on previous
occasions.