New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-08-30
Hints at Conspiracy

the s3s, $4,000 issue have been turned
IN for extension.
Bankers in position to know ex-
pressed the opinion that an agreement
to an extension by holders of 80 per
cent of the notes would probably make
it possible for the extension plan TO
be put through. A 10 per cent minor
ity Of holders refusing to extend, it
was said, would not be likely to block
the plan.
The news OF the action to force re-
celvership came as more or less of
surprise to Wall Street, and this was
reflected in the market for the Inter-
borough Rapid Transit and allied Sc
curties yesterday, where striking de-
clines took place The lnterborough
Consolidated common stock, which is Il
sscurity of the former lnterborough
holding corporation, already in re-
ceivers' hands, broke q to 23s. The IN
terboroueh Consolidated preferred fell
. points to 71s. Stock OF the Man
haitian Elevated. OF which the per cent
dividend is guaranteed by the Inter-
borough under the terms of the lease,
broke with great violence, falling from
4512, the Saturday closing figure, to
35%4 in the first half hour of trading
at the exchange. 1t rallied slightly
before the close, but still showed a net
loss of 7ls points at SO.
The selling of Manhattan Elevated
was based upon the widespread belief
that a receivership for the INTERIOR
ough Rapid Transit would be followed
at once by an abrogation CT the long
term lease held OH that property by
the marlborough.
Bond Issues Also Drop
The Interborough bond issues. which
have lstNly been selling on what Wall
Street ca.ss y receivership basis, de-
cllncd with eas etocks. marlborough
fefunding per d~p+ bonds, maturing
- 1866, showed deai:...s closely APP
proNf.~.ating $l,00O,00O at TIA exchange.
They opened at 81 against q closs-g Of
5AM on Saturday. and declined to AZ Is
at the low, subsequently, rallying to a
close Of sou. The marlborough Met
ropolitan 41as dropped from 1912 to
III, and closed at 121.. They were
quoted Saturday at II H.
The new J. P. Morgan & Co. certif-
lcates of deposit Of the lntcrborough
Rapid ranst extended per cent
notes, bearing the new per cent in
terest rate fixed under the agreement
OF extension, were admitted to dealings
These new notes mature September /
W.. Interest coupons, due September
! next on the per cent notes, are be-
ing paid by J. p Morgan & Co. to
those holders who have deposited their
bonds for extension for one year.
In reply to an inquiry at 20 the mum
per OF extensions received .on the $685.
l44,OC0 Of per cent notes falling due
september it was stated AT the Nor
gan Offices that such information would
have to come from tho lntcrborough
Offices, as The Morgan fra was simply
Hctng Is the depository under the cx-
tension agreement
Bankers with o knowledge Of Inter
borough affairs expressed the opinion
Yesterday that the move 20 throw the
company into receivership IL in the
nature Of friendly nc<{on. II was
pointed out that 1t would be TO the aA
vantage Of the company to have The
matter taken charge OF b. the Federal
Court here rather than to have it
placed In the hands Of a local court
Aere or elsewhere 1t Is believed by
some bankers that lcccivorshin for
the Peterborough would be a good thing
IN that it would .ake tine matter Of
fares out OF the realm Of Politics.