Evening star. [volume] (Washington, D.C.) 1854-1972, 1918-09-19
FUNDS TOPURCHASE.
TIMES CAME FROM
GROUP OF BREWERS
Arthur Brisbane Says Feigen-
span and Oilers Loaned
Him $375,000
TERMS OF AGREEMENT
EXPLAINED BY EDITOR

day at Harrisburg. Pa, A. Mitchell
! Palmer. alien property custodian, de-
clared that a Washington newspaper
nished by a group of German brewers
In this country, speculation was
aroused as to the identity of the
newspaper and the nature of the
transaction. The facts in the case
are now set forth by statement
issued by Arthur Brisbane. editor
and owner of the Washington Times.
and published today as an advertise
ment. following an editorial state
ment published yesterday in his pa
per Mr.. Brisbane says:
Mr. A. Mitchell Palmer. on Sat
urday declared that brewers had
bought a Washington newspaper. and
the New York Times telephoned me
to ask if it were the Washington
Times. of which l am the owner and
editor.
Here are the facts for those in
terested
II have borrowed money on two
occasions from friends of mine who
are brewers.
''in October. 1913. / secured a loan
of $4,000. and two years later. on
January Is. 1916, several years before
the loan matured, / repaid it in full
with interest.
Terms of Purchase.
In June. 1917, I negotiated with
Mr.. Munsey the purchase of the
Washington Times for 100000. l
Soy S2:n.n"o on account of the bur
chase price. and an additional Sum
to tinance the paper to the self-sup-
porting stage.
Two hundred and fifty thousand
dollars. the balance of the purchase
price. | still owe Mr.. Munsey. for
which he holds as security my OBJ
legation and all the stock of the
Washington Times.
81 applied to Mr.. G. w. Feigeuspan,
president of the Federal Trust Com
rany of Newark. a friend of mine.
and brewer, for u loan of the neceS-
sary amount. He agreed that he and
friends of his would lend me what
might need up to 100000.
1T turned out that / could get
along with $4,000. and that amount
] borrowed in installments between
June. 1917. and November. 1917. In
due time. like the other loan, it will
be repaid with interest.
IL offered to give Mr.. Feigenspan,
rs security. a mortgage on real es-
tate worth double the loan.
This he declined as unnecessary.
He wrote me setting forth his under
standing, stating that the money was
lent for period of five years, to be
] aid at my conye nience, and waving
the payment of interest.
II declined to accept the loan with
OUT interest In the course of about
two years. before maturity. this loan,
Ike the previous loan. will be re-
Eaid in full with interest.
And / shall continue in future, as
for more than twenty years past, to
write against whisky and drunken
ness and in favor of light beer. wine
and temperance.
The letter referred to from Mr.
Feigenspan reads as follows:
Fiegenspan and Friends Guarantee
"T write this note to define a BUSH
ness arrangement existing between
US. / and number of my friends all
of whom / am authorized to represent.
have for years felt very strongly that
the public welfare and our own in
dustry-because of your well known
convictions-would be benefited by
your personal ownership of news
paper.
We agreed to supply you with a
capital of five hundred thousand dol
lars tS50o.00e) for the purchase and
establishment of d newspaper BIZ YOU.
hundred and ninety-five thousand dol
lars (S295, 0G6p. and We shall, as soon
as possible, supply the balance
namely. two hundred and five thou
sand dollars (S205.000). although l do
not enter into any legal obligation to
do SO. on behalf of myself or others.
The understanding of myself and my
friencs with you, of which under
stand ng this is a memorandum, is as
follows:
1.-The money, which we gladly con-
tribute to your enterprise, is to be
disposed of. absolutely at your dis
cra;ion. for the purchase. maintenance
and establishment of a daily news
paper.
No Interest Required.
TT is understood that, after a
period of five years. you viii repay to
me and my associates, at your diScre-
ton and convenience, on account Of
the principal so much of the profits
as may he derived from such newspa-
per as mag. in your judgm emit. be
taken out of the business without in
terfering with its proper operation
and Development. and that you shall
he under no. liability whatsoever for
repayment of the sums contributed
other than out of such profits. 1t is
understood that no interest shall be
paid upon this money. our claim to
he satisfied in full upon the repay
ment If the principal without inter-
est.
You may, of course, repay part or
all Of the principal at any time and
in any manner that YOU may choose.
and our agreement with you shall
not me considered as giving me or my
associates any interest whatsoever
in said enterprise. Should you sell
the paper at any time, you will re-
pay to us up to the full amount of
the principal that we may have adj
vanced. any sums received by you
III payment for the paper
Brisbane's Attitude on Temperance.
MY attitude on the temperance
question is well known. For mpre