Jacksonville, Fla. Apr.' 3, 1913
In re: Paco Bay Commercial Co.
Mr. Charles %. 5 ams. Pres.
faco Bay Commercial Co.
Dear Mr. Adaum:
I beg to acknowledge receipt of your favor of March 31st enclosing
copy of letter'from Mr. Belding to Mr. Crooks, dated Mdrch 29th. in which it is
suggested that-. pool be formed and a Syndicate be organized to represent the
majority of the treasury stook of the kaoo Bay Commercial Co. for the purpose of
raising 13.003. or such sum as would be necessary to take care of the Company's
business and particularly its efforts to establish its survey of the Cuban property
and the absolute title to same.
have just had a meeting with Mr. Zapf and Mr. ninehart. representing the
Florida stockholders and the plan as proposed by Vr. Belding does not appear to be
praotcal or feasible and we do not see our #ay to join in such a plan.
Re wish tL 494iF os01- pr ab e ter L rWr Iettert' cat rtr& 11th and 23th
to Mr. Crooks- copies of which was sent you revertinO to the plan agreed upon at
the last meeting of the Directors held in your office on Feb. 21st, -hich plan qws
adopted by the directors and authorized the officers of the Company to sell the
treasury stock remaining in the Company to such persons as would purchase the same
at not less than $-2.03 per share.' Mr.- ninehart and Mr. Zapf join me in the con-
olCton t %h tkis plan, while perhaps not perfect, and mihbt be the subject.of
attack on the part of some adverse stockbolder, yet it is the best Plan we are able
to propose un'er the circumstances.
ts p o recall the figures, there is in the treasury unsold and unpledgei
stock aamontino to $3).325.33. san this stock if solid at $2.03 per share boul
provide a worrinf capital of somethiflg over lo.O3.' and I am authorized by Mr.
Zapf andi Mr. inehbat. represenftine the Florida interests, to say that we are
willing to buy one half this stock at 22,00 per share, provided Mr.' Beliin., Mr.
Crooks. Mr.' iammond and yourself, or either of you, are willin to take the other
half at the sa e price.'
?his plan as you will recall was fully discussed and met with the ap-
proval of Mr. riameono and Mr. "inehart as Lawyers. noth of whom realized that
bhile the plan might be the subject of attack by some person, yet it was the
best thing to do under the circumstances.
I endeavored to explain to Mr. Crooks and to Mr. BeldinL that this plan
could only be successfully carried out in the event that those of us who really
Sheet So. 2 C.. IA
had shown an interest in the Company's affairs and bad put up the money so far to
protect its property mould go still further and acquire from the indifferent stock-
holders a sufficient amount of the stock outstanding to give us actual control of more
than 53% of the total stock issued by the Company. Mr. Crooks suggested that it would
be well to have some Broker upon whom we could rely to pick up certain blocks of the
stock at as low a figure as possible, and it was suggested that we probably would be
able to find a number of stockholders who were not willing to take any further risk
or put up any more money to save the Company, who would be glad to sell out their
holdings at from 5 cts. to 10 cts. on the dollar.' We are tWi of the *piaieo and we
are still prepared to join you and your associates in carrying out the whole plan as
I wish to say in all good humor that it is not worth while to discuss what
is or is not Mr. Cunningbam's duty to this Company or to us. we are all agreed on that
and in my judgment we had just as well make up our mind to proceed without Mr. Cun-
iot having before me the Company's records showing the date upon. which Mr.
ciohborn became a stockholder, nor copies of the pamphlets or advertising matter or
statements to which he refers as being fraudulent I am not in position to write Mr.
sichborn as you suggest. repeat that if Mr. Cunnirgham, who has been advised of
this matter, is not concerned about it then I do not see why we or the Company should
be concerned about it. Mr. eichborn't letter savors to me of attempted blackmail and
L do not see why the Company should bay any attention to his threats. if the matters
and things referred to by him occurred more than three years ago, then so far as am
informed the Penal Statute of Limitation has run.t however, I am not Mr. Cunningham's
Lawyer and my comments are only made to you as the President of this Company.
Secretary Cotton agreed to send me a certified copy of the minutes sbowing
the proceedings and actions taken by the Board of Directors at its last meeting but
I have not yet received same.
I would again impress upon you the importance of some action which will im-
mediately put the Company in funds to meet its past due obligations.
Your very truly
(Signed) Halter P. Corbett
Vice Pres. & Gen.' Mar.'