Imperial Valley press., 1922-07-10
BOARD HOPES
TO REMOVE
FRICTION
Farm Lands Association is
Applicant in Formal
Proceedings
SEEK TO AVOID SUIT
Bids on S7,5OO,000 Bonds
Will Be Opened Here
Wednesday

One of the most important meetings
in the history of the Imperial Irriga-
tion district is scheduled for tomorrow
morning when hearing will be held
by the directors of the district giving
certain interests in the north end of the
county an opportunity to show cause
why they should be excluded from the
district
On May 81, the day before the bond
election, representative of the Imper-
ial Valley Farm Lands association,
filed petition to be eliminated from
the district and hearing was set for
July II. At an informal meeting of
the parties, including attorneys and
stockholders of the farm lands associa-
tion and directors and attorneys for
the irrigation district, in Los Angeles
last week, points of disagreement
which have been the source of friction
were gone over and it is believed the
situation was cleared for something
more satisfactory tomorrow.
Injunction Acnon Possible
Should no adjustment be reached at
the formal hearing the district is
threatened with a suit to enioin the
sale of the bonds which is scheduled
for Wednesday, July II and possible
attack upon the proceedings leading up
to sale of the bonds.
Officials of the district feel the ut
most confidence in the regularity of all
proceedings because of the fact that
every step taken has been first care
fully checked by the attorney of the
district and later referred to the bond
experts, Goodfellow, Eels, Moore and
Orrick, and nothing has been done
without the O. X. of this firm.
While district officials feel the ut
most confidence in their position, they
will enter the meeting in Il cOnciliatory
spirit realizing fully that it will be a
disaster to have the valley thrown into
a new maelstrom of litigation and ev-
cry effort consistent with equity and
rights of other parties to the consolida-
tion will be made to reach a basis of
agreement.
Bond Bidding Wednesday Morning
At 10 o'clock Wednesday morning is
the hour appointed for opening bids on
the issue of $7,500,000 of Irrigation dis
trict bonds. This is sizabe deal even
for California where financing opera.
tions are large and much interest is
in financial circles as to the
outcome of this sale. There have been
many rumors concerning offers that
are to be made for the bonds but moth.
ing definite is known.
Those who have had experience in
issues of this kind have pro-
posed plans by which the issue can be
absorbed gradually by the California
bond market as eastern bond BUYERS
show but languid interest in irrigation
district issues. California investors,
however, are better acquainted with
the situation and it is believed that
the Imperial issue can be absorbed at
a favorable figure if it should not be
necessary to dump them all on the
market at once. 1t is probable that
some sort of a plan to market the bonds
in this way will be proposed Wednes-
day and in view of the fact that the
operations are so large they will neces.
sarily move slowly it is not improbable
that basis can be reached whereby it
will be possible to market the bonds in
this way.
Financial interests in Los Angeles
have been gathering data with regard
to this issue and confidence is felt that
there will be bids on some basis.