The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-07-07
SCHOOLS HOPE
RESTS NOW On CIVIC PRIDE
Bankers Balk on Plan, With Fund $4,000 Short of
$500, OOO-New Directors Refuse to Serve
Unless Money Is Subscribed.

been trying 70 swing the banks into
line. They got three small banks ia
offer a certain amount. Meantime some
OF the banks which had at fiet agreed
to go into the syndicate have been ner-
vous aud have gradually been losing
their enthusiasm for the loan.
They believe that the assets Of THE
text book company. placed at about
SIG, 600, 900, are too high and that the
present management has charged by
honest mistake many things TO capital
expense that should rave zone under
operating expenses. Some OF them ars
OF the opinion. as one banker put II,
that Foster n his associates have
made serious blunders."
w regard 1t az a duty to Scranton
said one banker interested in helping
the schools out of their difficulty, TO
try to tide the schools Cyer the dull
summer season. There Is nc doubt in
my mind that the textbook company
properly managed is a paying business.
II would be a serious blow to Scran-
ton to lose the institution. We look
at the proposition not only from the
commercial side so far as Scranton is
concerned. but we must give Mr.. Fos-
ter credit for having done a big altruis-
tic work.
There Is not doubt that hundreds OF
thousands Of ambitious men and women,
seeking to get along, ave mad prog
ress through the efforts OF Mr.. Foster.
We must give Mr.. Foster credit for hav-
ing also spent a great deal OF money in
inspirational letters to encourage his
students.
Aid Of All Banks Needed.
Unless all the banks come forward
wA nN - rnn M At~
was to be paid back at the rate OF
$50. 900 a month, beginning next Feb
ruary. ! hope that we can work the
matter vi successfully. but tonight
there seems no hope. We must seek
some other plan"
J. J. Jermyn. vice-president OF the
Traders National Bank who. according
to one Of the bankers. had agreed to
serve al director and who after his cleo
ton declined to serve. was seen tonight.
He refused to comment on the affair. II
is known that he refused to have my
thing to do with the work OF rehabili-
tating the schools financially.
Mr.. Foster says that whether he gets
the loan or not he can pull through.
He contends hat the receipts from his
scholarships are as high to-day as they
were this time a yea ago.
1t was suggested tonight that perhaps
the Scranton Industrial Development
Company might do the financing for the
school. but here again civic pride IL put
to the test. II more money II TO be
lent there must be more assessments.
Many Scr%antonians are grumbling over
the prospect of such an assessment and
some say they will refuse to make the
payments. Others are willing to make
small payments.
A large gathering OF sales agents was
held at the Coal Lands Securities Build
ing. They were all old that their SER
vices were no longer required. All
the agents say they themselves have
loaded with the stocks and bonds
in the various outside corporations faith
cred by Mr.. Foster and his associates.
some putting In every dollar they had
and some m~ortgaging their homes.
LUX OBrien. "A one time Goa miner.
who was chief stock sales manager OF
the textbook company, also was back in
the city. His office was besieged by
men and women who wanted him to buy
back securities which have been sold
them In the last few years and which
now do not pay dividends. Widows who
had invested their all were in the crowd.
Those callers had the idea that when
they bought the stock they were told
they could resell II to the agency when
ever they wished. II was denied by
officials that any such promise was
made.