interest and participation in the syndicate, and to hold him liable for all damages caused by his failure. Nothing contained in this Agreement or otherwise shall constitute the Syndicate Subscribers partners with the Syndicate Managers or with one another or render them liable to contribute more than their ratable amounts as aforesaid, or entitle them to any participation in the results or profits of said Syndicate other than as specified in this Agreement. X This Agreement shall bind and benefit ratably according to the amount of the several subscriptions not only the parties hereto but their respective successors, survivors, assigns and personal representatives. The original hereof is to be signed by the Syndicate Managers and deposited with the Trust Company so as to be designated by them, and counterparts may be signed by the Syndicate Subscribers and retained by the Syndicate Managers, and all shall be taken and deemed one original instrument. ΧΙ All notices issued by the Syndicate Managers hereunder shall be mailed to the addresses of Subscribers as given below opposite their respective names. The holding of certificates issued by said Trust Company shall constitute such holders parties to this Agreement as fully and to all intents and purposes as if signing the same. XII It is agreed that the Syndicate Managers herein named may, at any time in their discretion, appoint and associate with themselves in the performance of the duties imposed by this Agreement suitable persons as additional Syndicate Managers, and the persons so appointed shall, with those named in this Agreement, possess and exercise all the powers conferred upon the Syndicate Managers by the terms of this contract. Notice of such appointments if made shall be given to the Syndicate Subscribers. IN WITNESS WHEREOF, the Syndicate Managers, parties of the first part, have subscribed an original hereof, and the Syndicate Subscribers, parties of the second part, have subscribed said original or counterparts thereof as of the day and year first above written. Name. Address. Amount. SYNDICATE UNDERWRITING1 J. P. MORGAN & COMPANY 23 Wall Street New York, May 3, 1901. Equitable Life Assurance Society of the United States, 120 Broadway, New York City. CHICAGO, BURLINGTON & QUINCY PURCHASE SYNDICATE Dear Sirs: We have received from you an original of the Chicago, Burlington and Quincy Purchase Syndicate agreement, dated April 25, 1901, signed by you as a subscriber thereto, for $1,500,000. Your subscription is confirmed accordingly, and we hand you enclosed a copy of said syndicate agreement for your files. Yours very truly, J. P. MORGAN & COMPANY. J. P. MORGAN & COMPANY 23 Wall Street New York, May 14, 1901. Equitable Life Assurance Society, New York. CHICAGO, BURLINGTON & QUINCY PURCHASE SYNDICATE Dear Sirs: Referring to the C., B. & Q. purchase syndicate agreement, dated April 25, 1901, to which you are a subscriber for $1,500,000, we now request you to pay us at our office, No. 23 Wall Street, on or before Thursday, May 16, 1901, the sum of $150,000 on account of your said subscription. Yours very truly, J. P. MORGAN & COMPANY, J. P. MORGAN & COMPANY 23 Wall Street New York, July 19, 1901. Equitable Life Assurance Society, New York. CHICAGO, BURLINGTON & QUINCY PURCHASE SYNDICATE Dear Sirs: Referring to the C., B. & Q. Purchase Syndicate agreement, dated April 25, 1901, to which you are a subscriber for $1,500,000, we now request you to pay us at our office, No. 23 Wall 1 From Armstrong Report Exhibits. Street, on or before Monday, July 22, 1901, the sum of $187,500 on account of your said subscription. In making payment, please present our receipt for your first payment in order that we may stamp this second payment thereon. Yours very truly, J. P. MORGAN & COMPANY, J. P. MORGAN & COMPANY 23 Wall Street New York, July 1, 1902. Equitable Life Assurance Society, New York. CHICAGO, BURLINGTON & QUINCY PURCHASE SYNDICATE Dear Sirs: Referring to our communication of June 26th, we desire to inform you that the syndicate is closed and the account is made up. The amount of the syndicate is $75,000,000, of which your participation is $1,500,000. You have previously paid us from time to time $337,500; the profits on the account amount to $1,850.000; your share of which is $37,000; total amount due you, $374,500. Upon presentation of your syndicate receipt at our office properly endorsed we will hand check to your order for the above amount. Yours truly, J. P. MORGAN & COMPANY. THE KANSAS CITY, MEXICO AND ORIENT RAILWAY COMPANY 1 A. E. STILWELL, PRESIDENT SINGER BUILDING, NEW YORK February 6, 1912. To the Secretaries of Boards of Trade and Members of New York, Boston and Chicago Stock Exchanges. Dear Sirs: I have started out on a campaign to help free American business from the inquisition of the money power. I understand full well the magnitude of this fight, but after sixteen years of unrelenting persecution while building two important railroads of the United States, I have made up my mind that it would be un-American longer to stand such treatment without protest; that it would be better to fight for clean business methods and go down if need be than to work longer against unbearable conditions. Sixteen years ago a leading New York banker wanted me to exploit my stockholders to enrich him and myself. I refused, and he forthwith proceeded by every device to make my work most difficult. Eleven years ago a second New York banker of prominence made me a similar proposition. I again refused, and more obstacles were put in my way. I made up my mind then and there to look directly to the business men of the country rather than to the money power for fair and honest backing. This plan I have adhered to, but the persecution keeps up; and I am now in the frame of mind of the people of Boston when they threw the tea overboard. I am convinced that if other deals are engineered like the twooffered to me, it is a menace to our civilization and to the business of the United States; and it is easy to see how unscrupulous men may amass colossal fortunes in a few years' time. This land is developing fast. All men are entitled to a fair field and no favor. The money of our land, which under existing conditions drifts to the reserve banks in large cities, ought not to be used simply to make billionaires of a few. There is no reason why the people that own it shall realize only 2% and the people that use it realize from 10% to 25%. This is to serve favorites and ruin industry. Wall Street ought to be a help to enterprise, not a hindrance; 1 Letter of A. E. Stillwell as promoter of Kansas City, Mexico and Orient Railway Co. but ask the experience of many great industries that have been forced to go there for the last five or six years. They will tell you that they have seen their competitors helped in every way if they happened to have a friend who was on one of the interlocking bank directorates. There is no way on earth for the egregious fortunes that are made in this district to be made honestly and so quickly. It is only because of the enormous toll that is exacted from American business and industry. The whole nation pays these men tribute. They toil not, neither do they spin, but Solomon in all his glory is not arrayed like one of these. Mr. Reynolds, president of the second largest bank in the United States, says that the money power is in the hands of twelve men— and that he is one of them. Vanity here spoke truly! So American industry is chained to a Hydra with twelve headstwelve sharp, shrewd heads, thinking, working only for self! It is a monstrous power of which the Chicago banker was led to brag! The remedy for all this is not so difficult. The members of the New York, Boston and Chicago stock exchanges are as honorable, high-minded men as can be found. Let all contracts for financing be passed on by them. Let all contracts for commissions and purchase of a business be endorsed by them as fair. Let no bond prospectus of any offer of bonds be issued unless it has their O. K.; and then robbery would stop. The money deals would not be handled by a few. Any man could float a company on fair terms, as the "hallmarking" of the Exchange would be for any house of bankers or brokers that did honest business. Let any man who deems himself to have been treated unjustly appear before a committee of the Exchange, state his grievance, and if the committee finds his statement true, let it from that time on refuse to pass any flotation by the house that adopts crooked methods. Give the New York, Boston and Chicago Exchanges the right of "hall-marking" deals and prospectuses and at once American finance will be on a rock foundation, and every enterprise have a fair chance to succeed on its merits. This would make the Stock Exchanges of New York, Boston and Chicago take the place, in a measure, of Somerset House in England; the terms of underwriting would be stated, also the commission paid and the list of underwriters; and this would end the three levels. ("friends, good friends, and very good friends") that now exist. It would bring the sunlight into business deals, and things now done in the dark would not be done. England solved this problem in 1900, after the Baring failure, by requiring the visé of Somerset House on all financial deals of consequence. |