Evening journal., 1914-12-04
New News Of Yesterday
A New Way TO Pay Old
Debts
BY HOLLAND


There came in the mid-years Of the
past century to Boston from Nova
Scotia two brothers, each Of whom
gained even international reputation
as shipbuilder One of them was
Donald Mckay. He was perhaps as
successful a builder Of clipper ships
at the time when the United States
was pre-eminent among the nations of
the world for vessels OF that character
as any other man. He built the Great
Republic. early in the SOS of the past
century, and the reputation of that
fast-sailing clipper was almost as
great as that which the Great Eastern
gained not long afterward
Donald Mckay's brother was
Nathaniel Mckay He was man Of
great energy. exceedingly companion
able, overlooking with wit and humor
and very appreciative Of the good
things of life. Everybody calls him
NAT" and that familiarity suggests
the popularity of the man. Those who
were members of Congress in the
early SOS and are still living must re-
call Nat Mckay. for he was much of
the time in Washington, presumably in
the interest of his shipyard in East
Boston. He had built for the govern
ment at the time OF the Civil War a
number of very good vessels. Nat
Mckay was a man who was fertile in
expedients. and one of the best he ever
conceived he made use of at the time
when he was in serious business en-
barrassment.
He found II necessary. just after the
close Of the Civil War. to call a meet
ing of his creditors. since he was un
able TO meet his obligations. which ag-
gregated a large amount. The credi-
tors met in a little hall situated near
the Mckay shipyard in East Boston.
Mckay was very frank and he was not
at all backward in laying before his
creditors a proposition for a settle
ment which was not likely 10 be ac-
cepted, unless he made use Of special
measures in order 10 induce accept
ance. He spoke 20 them substantially
as follows;
There isn't one of you who hasn't
made a handsome profit out OF your
dealings with us. You who represent
banks have charged me s per cent. and
10 per cent interest for discounting
my notes. Now per cent. is rea-
sonable profit for bankers, and you
| ought 10 be content with that There
fore. you should reduce your cl.im
against me by the difference between
6 per cent and the rate of interest you
have charged me-"
| a Il "a 4
among themselves this extraordinar,
/ proposition Mckay was laying before
the other creditors a somewhat sim
| liar proposition. He said There
/ isn't one of you who hasn't made hand
some profits out of everything that
have bought Of you. Some Of you havi
made as much as 20 per cent Yo'
ought to be satisfied with 6 per cent
as have always been. Therefore, yol
ought to set off against what yo
claim to be my Indebtedness to you tn
difference between per cent and tn
actual profits you have made out G
your dealings with me. If you will d
this 1 can easily make settlement wit
: you. But if you don't care to do thi
have another proposition TO make
will pay you 10 per cent. in cash an
give you notes for the balance of you
claims, and if you will accept tina
proposition then l will regard the ex
cessive profits which you have mad
through your dealings with me a
fairly well liquidated through you
acceptance of this proposition"
The very audacity of this PROPOSE
ton, the charming manner in whic
Mckay made it. and a quaint, almos
comical, aspect which the matter too
conquered the creditors so that the
unanimously accepted his PROPOSE
ton for a settlement on a 10 per cen
cash basis, and in doing that enable
him to resume business.
Copyrighted, 1914. by e. J. Edward
All rights Reserved)
Tomorrow Mr.. Edwards will te
why The Pastor Held His Bible III
side Down"