Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1913-01-22
PROMOTERS or ATLANTIC
NORTHERN AND SOUTHERN
LOSE LARGE AMOUNT.
FARMERS WHO BUILT LINE
OUT NEARLY A MILLION
Promote and Build Connecting Lines
Which Fail to Attraot Financial
Backing - Shaw Syndicate Adds
Pretty Sum in Effort to Take Over
Property and Rsorsan;zs Company.
page five

page nVe
Council Bluffs, Jan. 22.-Something
like 1000 900 has been sunk by Potta-
wattamie, Cass and Montgomery coun-
ty farmers in the promotion Of the Iowa
Short Line and the Atlantic Northern
and Southern railroads.
Forfeiture of the s67,S40 paid in By
the Shaw syndicate for the Atlantic
road only increases the amount lost in
the promotion Of the Short Line and
complexities further the railroad pro-
motion era in this section of the state.
The exact losses are not obtainable.
Farmers who have backed the Iowa
Short Line are known to be losers of
more than $250,00O, and it is presumed
that these same men put up most of the
$67,840 that was paid in on the bid for
the Atlantic road. Farmers living on
the southern end Of the Atlantic road
lost a cool $4,000 when that road
passed into a receivership. as their
notes had to be paid to meet construc-
ton cost, and it is thought that at least
100000 has been lost thru the sale OF
stocks and bonds in these two roads
that are now worthless. II the road Is
resold on Feb. 25 as announced by
Judge Arthur 1t is not thought 1t will
bring over $250,0OO. which would In
crease the losses another $4,000. as
the Shaw syndicate's bid was $402, 900.
Men Who Sank $4,000.
Seven Treynor farmers-Henry F..
Saar, Peter Kathmann, William Trede.
Ben Nulkens, William Husz, P. n.
Sucksdorf and Arthur E. Saar-are the
heaviest losers, having dropped about
$250,000 in the Short Line. and it is
assumed, put up most of the $67,S40
paid in on the A: n. 6, S. by the Shaw
syndicate Common talk is that these
same men paid all Of Leslie NJ. Shaw's
expenses, as well as putting up the
money while he tried to float $5,000,-
900 bond issue with the thought that
they could continue the Short Line to
Des Moines and make the Atlantic
Northern & Southern profitable.
]. ]. Hess, the attorney for the Short
Line syndicate that is headed by the
former governor and secretary of the
treasury, is still optimistic. But as
much could hardly be said Of the dif-
ferent individual farmers in the vicin-
ity Of Treynor. who have staked heav-
lily upon the consummation Of the Short
Line deal They stand to become real
railroad magnates or go broke.
Suits have been filed against these
seven men Of Treynor In which judg-
ments are asked on Short Line busi-
ness OF trifie over $250.000. Prac-
tically all Of this sum has been re-
duced to the form of judgment The
seven men have had no particular de-
tense to put up and when the suits
were brought they promptly stopped the
costs by going into court voluntarily,
in all but three suits. and entering
formal confessions OF Judgment.
Short Line Built.
These seven men backed Col. George
w. Adams few years ago when he
announced he was going to build a
railroad from Council Bluffs out thru
the inland town of Treynor. 1t was
tough work, but the first section Of the
new line of railroad was finally built
1t was formally put into operation some
eighteen months ago. and there was a
general jubilee at Treynor.
But Colonel Adams had eound it hard
work to raise the funds, .piecemeal, for
the construction Of such transcon-
tinental line as he had visions Of and
a year ago in September he bid In at
the receivers sale the Atlantic North
ern and Southern, consisting of fairly
good line of UNPUBLISHED railroad from
the Cass county capital north to Kim
ballton, and two streaks of rust south
from Atlantic to Villisca.
That was the beginning Of the Shaw
syndicate, for the colonel realized that
outside help would be necessary to float
the big proposition he had in mind. He
sought the help in New York, and fall
ing there at last enlisted the aid Of the
Philadelphia financier who hailed from
Iowa and knew something of the con-
ditions Of affairs in this state.
Shaw Not Big Loser.
Those who have followed the negoti-
ations of the A. N. & S. receivershir
for the past sixteen months have never
been convinced that Governor Shaw
was putting up any Of his own money
in the effort to secure the different
postponements and continuances that
have been granted from time to time by
Judge Arthur.