The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1916-07-08
Commissioner WassOn Shows
How $1,000 Gain Is Made.
Four Hundred Citizens Happy
With Safe Investments.
BOND SALE A GREAT SUCCESS
TOpekans Are Able to Keep
Their Money at Home.
Clear Statement Concerning
Sale of Municipal Bonds.

The immense success of selling the
city bonds by the method suggested
| by Commissioner Wasson and the
State Journal came to fruition today
when the sale actually began this
morning.
| The bonds were over subscribed
three times so the commission was
unable TO supply anything like the
demand.
Now over four hundred people will
have investments in our own Topeka
bord in amounts of 500 and up
wards-an average of about $500 to
the personl Think of this and at a
saving to our people of $4,000.
Don't believe any printed or verbal
reports to the contrary for they are
not true and misrepresent the COM
missioners, the city and the facts.
Figures submitted by w. H. Wasson,
finance commissioner. show that by
handling the new bond issue itself the
city is saving the citizens of Topeka
5000, perhaps more. For, had the
banks been given the bonds, the
small investors" would have had to
pay the banks a premium.
heepl1lg NuOHcy at IlOIHC.
Today Mr.. Wasson made the fol-
/ lowing statement in answer to the
banks:
/ 1.-The proposition of the banks was
not bona-fide in that the offer to buy
the bonds at a $4,000 premium was
made only after every bond had been
sold. 1t was a case of sour grapes.
The commissioners did receive a be-
lated proposition from two banks, the
German-American State bank and the
State Savings bank, and one bonding
company, Spitzer, Rorick & Co, the
latter of New York One OF the pro-
positions was accom- panied by a check
of $1,000, another, was very similar
/ and offered the same premium on
! $1,000 and the State Savings bank Of
fered 4-10 of l per cent or S440 on
100000.
Order of Commissioners
THE matter was brought before the
commission and that body decided in
asmuch as the bonds had been al
: ready sold in good faith to citizens of
Topeka it would not break faith with
the clerk to return the checks re-
ceived and notify the bidders of the
action taken by the commission.
Pay Extra Premium
Had these bonds been sold at a
premium they would have been sent
out of the city and away from our
people or else our people would have
had to pay the extra premium paid
by the bond brokers and would in
addition thereto have had to pay the
bond brokers' commission, whatever
that might have been.
TT is not fair to our citizens and un-
necessary too, to be compelled to pay
bond brokers the commission on the
very bonds the citizens have to pay.
Many of these people buying bonds
are having paving done adjoining their
property. The city turned back the
premiums in order to keep it's pledge
with the Topelzans who bought the
bonds in good faith. 1t seems no one
should have Just cause to urge that
the citizens should not have the privi-
lege of buying the bonds direct. The
bankers who offered the premiums
knew before the offer was made they
would not get the securities; that they
were sold"
A day or two before the banks
wrote their letters making the offer
for the bonds, Roy Bone. vice presi-
dent of the German-American State
bank, and William Macferran, presi-
dent of the State Savings bank, held a
conference in Mr.. Macferran's office.
The actual sale of these paving i'm
provement bonds of $234,413.75 began
today. The bonds were returned from
the state house. where they had been
recorded, today.
Scores of people were in the office
of W. H. Wasson, finance commission
er, this morning after the securities.
The buyers had only one complaint.
They were unable, in many cases, to
obtain as many of the bonds as they
wanted. Most of the buyers this
morning were women
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