Counties of Whitley and Noble, Indiana : historical and biographical, Part 60

Author: Goodspeed, Weston Arthur, 1852-1926; Blanchard, Charles, fl. 1882-1900
Publication date: 1882
Publisher: 428, 502 p. : ill., ports. ;
Number of Pages: 962

USA > Indiana > Whitley County > Counties of Whitley and Noble, Indiana : historical and biographical > Part 60
USA > Indiana > Noble County > Counties of Whitley and Noble, Indiana : historical and biographical > Part 60

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Kendallville has been visited by several disastrous conflagrations, the aggregate loss amounting to about $60,000, not including numerous private dwellings. Among the principal losses, have been the foundry of Hildreth & Co., Iddings & Brown's stave factory, the Burnam House, the schoolhouse, a block of five buildings on Main street south of William street (net loss, $6,000), a block of eight business buildings on Main street north of Williams street (net loss, $16,000), a block of five business rooms on Main street south of Mitchell street (net loss, $7,000), the tannery of Draggoo & Oviatt, the Air Line House, many private dwellings, some being elegant and costly. These are the principal fires, running over a period of some twenty-five years.

Kendallville lies upon the bank of a beautiful lake. This sheet of water (named Bixler Lake, for an old settler) might be rendered much more attractive by the construction of an artificial beach of gravel on the side adjoining the town. This could be done at little expense, and would transform Kendallville into a celebrated watering place. In about 1866, a small steamboat, named the "Flying Dutchman," and capable of carrying about fifty passengers, was

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placed upon the lake by Mr. Lorenzo Ellenwood, at a total cost of several thousand dollars. It was purchased in Toledo, and after being used about two years was transferred to some lake in Southern Michigan, or perhaps to a river there. Mr. Ellenwood conducted a restaurant, entertaining pleasure seekers and others. He also dealt in ice ; but these enterprises were losses financially.

When the Grand Rapids & Indiana Railroad Company were projecting their road through the county, citizens along the line were asked to take stock therein. Many did this in and around Kendallville, and finally the city gov- ernment issued its bonds for $83,000 to the railroad company, and received in return stock in the company to the same amount. Some time afterward, it became apparent, from the depreciation in the value of the stock, among other things, that large tracts of valuable timber land in Northern Michigan, in which every dollar's worth of stock had an interest, had been disposed of in such a manner as to deprive the stockholders of any interest therein. This led the city to refuse to pay its bonds at the par value of the stock, although it was not the design to repudiate the debt. A more detailed account of the whole proceeding is as follows:

WHEREAS, A majority of the resident frecholders of the city of Kendallville have peti- tioned the Common Council of said city to subscribe for and take $83,000 capital stock in the Grand Rapids & Indiana Railroad, for and on behalf of said city, and to make and issue bonds of the city in payment thereof; and whereas, it further appears, that the railroad as proposed to be constructed, will run into and pass through said city ; therefore,

Be it resolved by the Common Council of the City of Kendallville, That said city will subscribe for and take $83,000 capital stock in aid of the Grand Rapids & Indiana Railroad, and that bonds of said city shall be issued in payment therefor, as follows: Eighty-three corporate coupon bonds of $1,000 each, signed by the Mayor and attested by the Clerk of said city, and payable twenty years from the 15th day of May, 1867, with interest at the rate of six per centum per annum, payable annually on the 1st day of May of each year (both principal and interest) at the office of the Treasurer of said city; that said bonds shall be delivered to the proper officer of said Grand Rapids & Indiana Railroad Company only on condition-First, that the company issue to the city of Kendallville, in lieu thereof, certificates for capital stock of said company to the amount of $83,000; second, that sufficient guaranty be given to said city by the President of said railroad company that all moneys arising from the sale of said bonds shall be expended upon that part of said road lying between the Allen County line, in the State of Indiana, and the city of Kendallville; that the Committee upon Ordinances prepare and report an ordinance to carry into effect these resolutions.

At a meeting of the City Council on the 10th of June, 1867, that portion of the above resolution requiring the President of the railroad company to guar- antee that all money arising from the sale of city bonds should be expended upon that portion of the road lying between the Allen County line and Kendallville was unanimously " rescinded and repealed." It was further ordained, at this session, that so much of the above resolution as referred to subscribing and taking $83,000 stock in the Grand Rapids & Indiana Railroad, and to issuing city bonds in payment therefor, "be and the same is hereby repealed." This was accomplished by a unanimous vote. Immediately afterward, the following resolution was offered :

yourstruly, Norman Leal. KENDALLVILLE

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CITY OF KENDALLVILLE.

Be it resolved by the Common Council of the City of Kendallville, That whereas, the Grand Rapids & Indiana Railroad Company has prepared a proper certificate for capital stock in said company to the amount of 830 shares of $100 each, and by its President, Joseph K. Edgerton, has also executed a written guarantee that the proceeds of the bonds ordered to be executed by said city by special ordinance adopted May 8, 1867, shall be applied in the construction of said railroad between Fort Wayne and Kendallville, and not elsewhere, and the said company having consented also to deliver to the said city the private obligations or subscriptions to the capital stock of said company made by the citizens of Kendallville during the year 1866; Now, there- fore, the Treasurer of said city is directed to receive from said Joseph K. Edgerton the certifi- cates of stock as aforesaid and the written guarantee and the private obligations or subscriptions aforesaid, and in payment therefor to deliver to said Edgerton the bonds executed by virtue of the special ordinance aforesaid, being eighty-three corporate coupon bonds of $1,000 each ; and the said City Treasurer is further directed, upon application, to deliver said private obligations to the several citizens of the city who executed the same and who now reside in said city.

This resolution remained pending until the next session of the Council, when it was voted upon and passed without a dissenting voice. On motion, Mr. Edgerton was appointed to cast the vote of the city at the annual meeting of the stockholders to be held at Sturgis, Mich., on the third Wednesday in July, 1867. He was also instructed to vote for Robert Dykes, as Director of the company from Kendallville. In July, 1869, some misgivings having arisen in the breasts of the citizens of Kendallville regarding the good faith of the Grand Rapids & Indiana Railroad Company as to the fulfillment of its promises and obligations, and the proper disposal or application of the city's subscription, the President of the company was informed that the city would not pay its obligations-would repudiate the payment of its bonds, unless some further assurance was received that the stock subscribed would be properly expended, and that, too, without any unnecessary delay. Whether such assur- ance was received is not known; at all events, matters went on until it was learned that the Grand Rapids Company had in some manner transferred its interest in the road to the " Continental Improvement Company," and that the stock in the road held by the city of Kendallville was either worthless, or nearly so, from the probable fact that the extensive pine timber lands in Michi- gan, owned by the company, to which all such stock had a claim, had been dis- posed of in a manner to defraud the stockholders of any interest therein, whereupon one hundred and fourteen citizens of Kendallville petitioned the City Council, asking that the Continental Improvement Company be required to furnish the city with $83,000 of stock, or upon failure to do so, such citizens would refuse to pay the principal of their bonds, the interest, or any part thereof. The petition was ordered on file, and the Mayor was instructed to employ Morris & Worden, attorneys of Fort Wayne, to ascertain the true con- dition of affairs, and whether the city of Kendallville was liable for the pay- ment of the $83,000 stock subscribed. This last resolution, however, was soon rescinded, and the Council employed L. E. Goodwin to ascertain the extent of the legal liability of the city for the bonds given to the railroad company. As time passed, it became more apparent to the citizens that they had been out- flanked when they gave their bonds to the railroad company, and a bitter oppo-

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HISTORY OF NOBLE COUNTY.

sition to the payment of the subscription was freely expressed everywhere. At last a petition with sixty-eight names was presented to the Council, asking that an agent he appointed to see whether the bonds of the city in the possession of the railroad company could be negotiated at some satisfactory rate, in view of the existing hard times and burdensome taxation ; but at the next meeting another petition, asking that action on the above petition be deferred until after the election of the city officers for the ensuing year, was presented with 142 names. At the next session the Council resolved to appoint a committee of three citizens to confer with the holders of the city's bonds, as to the best terms such bonds could be negotiated. A conference between the committee and Mr. Edgerton, of the Grand Rapids road, and G. W. Cass, of the Continental Im- provement Company, was held, and arrangements were made by which the bonds were to be purchased by the city, and, in lieu thereof, the stock held by the city was to be transferred to the holders of the bonds; but as this was not followed by the proper action on the part of the bondholders, it was resolved by the City Council that the Treasurer be instructed to pay no more coupons on the bonds until further orders. This action brought from Mr. Cass the proposition to exchange $40,000 of the bonds of the city with the overdue coupons attached for $80,000 of the stock in the Grand Rapids Railroad, and also an agreement to discount 25 per cent on the remaining debt, if the same be paid in one and two years. After long debate through several successive meetings the Council finally rejected the offer of Mr. Cass, but agreed to exchange $20,000, and the stock in the city's possession, for the $83,000 in bonds held by the Continental Company ; the $20,000 to be payable in three years in equal annual payments. Mr. Cass, by letter, refused to accept this proposition, and further debate was

indulged in by the City Council regarding the best means of adjusting the dif- ference. A committee of three was appointed to go to Sturgis, Mich., and confer with Mr. Cass and secure the best terms possible, the committee being Messrs. Ringle, Cain & Orviatt. These men could secure no better terms, and accordingly a mass meeting of the citizens of the city was called to be had on the 2d of August, 1870, at which time an almost unanimous opinion was expressed not to accept the proposition of Mr. Cass; but in the face of this feeling the City Council by a vote of three to two accepted the proposal. Any further action, however, was postponed until a petition, signed by 238 qualified voters of the city, and asking that the resolution of the Council be rescinded,

was presented, when the prayer of the petitioners was granted. The payment of the coupons on the bonds was refused, and after threatening suit against the City Treasurer for the collection of the same, the railroad President was con- fronted by a resolution from the Council supporting the Treasurer in his refusal to pay the overdue interest. After numerous propositions from both sides for a settlement without success, suit was finally begun in the United States Cir- cuit Court at Indianapolis, by J. T. Davis, for the collection of overdue interest on the city's bonds. While this was pending, further efforts were made to

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adjust the trouble. The city received a proposition from certain attorneys of Fort Wayne to the effect that, if $15,000 would be guaranteed them, they would clear the city of its bond indebtedness. This proposition was accepted, and suit was begun. Various other complications arose, until at last in January, 1874, the following contract was entered into between the city and Mr. Cass, representing the Continental Improvement Company :

The said city shall assign and deliver to the said Continental Improvement Company the certificates for 830 shares of the stock in the Grand Rapids & Indiana Railroad, now held by said city. Second, The said city shall pay the said Continental Improvement Company $25,000 in ten (10) equal annual payments with interest payable annually on the whole; the first pay- ment to be made on the 1st of October, 1874, and the remaining payments on the 1st of October, annually, thereafter, until all shall be paid, and the interest shall be computed on the $25,000 from the 1st day of October, 1874. Third, The cause now pending against said company in the Allen Circuit Court to be withdrawn, and all suits against said company, in which said city is interested, either directly or indirectly, to be dismissed immediately by said city. Fourth, The said Continental Improvement Company agrees to accept from said city each of the above installments ($2,500) and interest as above stated, as it becomes due, and at the same time sur- renders to said city $10,000 of said bonds or coupons now held by said company, and when said city shall have paid the whole $25,000. and interest at the time, and in the manner above prom- ised by said city, and shall have performed all the other stipulations herein agreed to be per- formed by said city, then the Continental Improvement Company will, without further payment, deliver to said city the remainder of said bonds and coupons.

This contract has been faithfully carried into effect, until at the present writing only about $6,000 remains unpaid. The above facts have been dwelled upon, as the subject was one which for several years affected the financial wel- fare of every tax-payer within the corporate limits of the city. The writer may have made some mistakes above, as the facts in the case were extremely hard to get. If so, the forbearance of the reader is asked. "You know how it is yourself."

Kendallville children first went to school about a mile and a half north- west to the old log schoolhouse on the Sawyer farm. School was taught there prior to 1840. Soon after this house had been built, another was erected between the residences of Ryland Reed and Hiram Iddings, and as this was nearer than the other house, the scholars were sent to it. Cynthia Parker and Miss Wallingford were early teachers at the Iddings Schoolhouse. In about the year 1847, a log school building was erected on the line between Allen and Wayne Townships, about forty rods west of the Fort Wayne road. Here the village children assembled to receive instruction. No schoolhouse was con- structed in Kendallville proper until 1858. For several years previous to that date, however, select schools had been taught by competent instructors in vacant rooms here and there in town ; but this was found to be unsatisfactory, and, accordingly, in 1858, a three-storied frame school building, about 30x60 feet, was erected on the site of the present school structure, at a cost of about $3,500. The two lower stories were devoted to the use of class recitations, while the third story was used as a hall in which to hold public exhibitions, lectures, etc. From one hundred and eighty to two hundred scholars were in

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HISTORY OF NOBLE COUNTY.

attendance from the beginning. Dr. Riley, an accomplished scholar and an efficient instructor and organizer, was employed and taught two years, when he was succeeded by Mr. W. W. Dowling, who likewise taught two years. During the winter of 1863-64, which was very cold, the Government troops encamped at the town suffered so much that the Colonel ordered the evacuation of the schoolhouse by teachers and pupils, and transformed it into a hospital for the sick of his command. Small-pox broke out among the men at the " hospital," but, luckily, it was prevented from spreading. After this, talk was freely indulged in by parents of scholars that the schoolhouse could not be used longer as such, owing to the liability of the children's catching the small-pox. A secret attempt was made, during the summer of 1864, to burn the house, but without success, although, late in the fall, the attempt was repeated, resulting in the destruction of the building. School was then taught in the basement of the Baptist, Disciple and Presbyterian Churches, and in public halls in the town, until the present fine (brick) school structure was erected at a total cost, including finishing, bell, desks, apparatus, etc., of nearly $40,000. The house is 61x81 feet, is two stories in height, has ten regular school rooms, and sev- eral others which could be made such if necessary. It is one of the finest school structures in Northern Indiana. It was built by means of city bonds, which were issued and sold, but which after a time depreciated considerably in value, owing to several reasons, one being the hard times at the close of the war, and another the heavy taxation for the payment of railroad bonds. Money was hard to obtain, and it is said that while the city was kicking like Balaam's donkey against the payment of the railroad bonded debt, the schoolhouse bonds were sold at a discount as soon as they were issued-were thrown upon a dull market and sold at a discount. The building was begun with money (about $7,000), raised by subscription, and with the personal liability (about $6,000), of James Colegrove, James B. Kimball and Freeman Tabor. These amounts were afterward covered by city bonds. The bonds were paid by installments, and were issued in the same manner, the most at any time being $1,500, due in one year ; $1,500, due in two years ; $2,000, in three years ; $5,000, in six years ; $5,000, in nine years ; and $5,000, in twelve years ; the first three install- ments drawing interest at 6 per cent per annum, and the last three at 10 per cent per annum. This issue of bonds was made in March, 1867. The school. house debt has been liquidated. Within the last few years, a high school has been created, and now young men and women, with thoughtful faces, pass out into the world, with " sheepskins " of the Kendallville High School. The present enumeration of school children in the city is about 1,100.

The Methodists had an imperfect organization in the vicinity of Kendall- ville as early as 1840, and first assembled in a large barn belonging to William Mitchell. Three or four families belonged, and when the barn was burned down by an incensed blackleg, meetings were held in the neighboring log school- houses. The Baptists had an early organization at the Sawyer Schoolhouse,

L, m Feed KENDALLVILLE

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CITY OF KENDALLVILLE.

and the Presbyterians started up about the same time. Circuit ministers of these denominations visited the neighborhood for a number of years ; but, as these societies died out before Kendallville began its rapid growth in about 1851, the present organizations in the city cannot properly be called a contin- uation of the old ones. The following denominations have churches in the city : Presbyterian, Methodist, Baptist, German Lutheran, German Metho- odist, Disciple, Albright and Catholic. The Protestant Methodists were repre- sented for a time, but the society was disbanded a number of years ago. The Baptists built the first church in town, the building being now occupied by Catholics. The house, a frame structure, was erected in 1856, and ten years later was transferred to the Catholics for $2,500. They have owned it since. The Baptist Church was used by several denominations, which had contributed means for its erection. A few years later, the Methodists built a frame church, which, after being used a few years, was destroyed by fire. After the Baptists sold their church, they soon bought that belonging to the Protestant Methodists. This they still occupy. The Disciple Church was first started at Lisbon ; but before it was completed it was taken down, and the material was conveyed to Kendallville, where it was used in building the present church. The Albright Church was built at the close of the war. The Presbyterian society was first organized in May, 1848, by Rev. J. T. Bliss, of the Fort Wayne Presbytery. Four members constituted the original membership, as follows : Joseph Gruey, Mrs. Elizabeth Gruey, John Cospar, and Mrs. Mary Cospar. Mr. Gruey was the first Ruling Elder. At the first meeting, Mr. and Mrs. John Kerr were re- ceived by letter. The Methodists and Baptists also had organizations many years before their churches were erected. The Presbyterian Church was erect- ed in 1863, and the Methodist ten years later. These two and the German Lutheran are large, costly, brick edifices, tastefully and handsomely finished, and are a credit to the city. All the others are frame buildings. William Mitchell, one of the most prominent and charitable men ever residing in the city, gave each religious society (eight in all) a lot upon which to build its church. He also gave the fine large lot upon which the High School building now stands. The old Baptist Church was an important building. Prior to 1863 the Baptists, Methodists, Presbyterians, and possibly other societies, met there alternately to worship, and the old house was almost constantly filled with one unending song of praise and thanksgiving. Before its erection. and subse- quent to the year 1852, meetings were held in various vacant rooms and halls ; but all this inconvenience is now gone, and the sweet-toned bells calling Christians to worship are heard from many quarters. *The Lutheran St. John's congrega- tion was organized in 1856, and was first served by Rev. Schumann, holding its first meetings in private houses. Among the first members were John Eich- elberg, George Aichele, Julius Kratzer, and later A. Wickmans, John Ort- stadt, Oscar Rossbacher, John Krueger, Julius Lang and F. Oesterheld and

*Prepared by Rev. George M. Schumns.

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others. In 1860, the first (frame) building was erected, which was afterward enlarged. In 1865, Rev. A. Wuesteman was called to take charge of the con- gregation, which continued to grow by the advent of German Lutherans. In 1871, Rev. Ph. Fleishmann succeeded Rev. Wuesteman, and by this time it was found that the congregation had outgrown the capacity of the old church. Ac- cordingly, in 1873, a new brick edifice valued at $10,000 was erected. The old building was made use of as a school-room. Connected with the congregation is a private school, at present under the management of Mr. F. Gose. The enumeration is about 100. At the death of Rev. Fleishmann in 1879, the present pastor, Rev. George M. Schumns, was given charge of the congrega- tion. There is a present membership of 75 voting members, besides others. Since the origin of the society, 454 persons have been baptized, 228 confirmed, and 207 deaths have occurred.

CHAPTER VI.

BY WESTON A. GOODSPEED.

WAYNE TOWNSHIP-REFLECTIONS OF AN OLD SETTLER-LONG LIST OF PIONEERS -LIFE IN THE FOREST-WOLVES VERSUS DOMESTIC ANIMALS-MR. GRA- DEN'S ADVENTURE-THE OLD SAWYER SAW-MILL-EARLY TAVERNS AND DRINKING CUSTOMS-ROLLINGS AND RAISINGS-THE FIRST SCHOOLHOUSE AND TEACHER-THE FIRST RELIGIOUS SOCIETY AND THE FIRST CHURCH ERECTED.

T THE common experience of old age is an earnest wish to live over again the life that is swiftly drawing to a close. How many mistakes have been made ! how many hours have been unprofitably spent ! how blind to good advice and influence ! The stealthy and inevitable approach of death baffles the desire for a renewal of youth, and fills the heart with bitter remorse at the thought of what might have been. Youth is always bright with hope and expectancy ; but, as the years glide by, the scales fall from the eyes, and the sorrowful experiences of earth trace wrinkles of care upon the brow, and bend the once stalwart form toward the grave. No rocking vessel on life's great sea can escape the angry rain that dances upon it, or avoid the bitter winds that check its course.

" Sweet are the uses of adversity, Which, like a toad, ugly and venomous, Wears yet a precious jewel in its head."

Let us learn from the wretched experience of others-learn from the lives that have gone down amid the gales of sorrow that encompass the earth, to shun the shoals and quicksands that beset our course, that the sunset of life may be gilded with the gold of eternal joy.

The first log cabin erected in Wayne Township was built on the present site of Kendallville in 1832, but at what time of the year is uncertain. In fact, the first two or three settlers in Wayne located at Kendallville. As,

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Counties of Whitley and Noble, Indiana : historical and biographical, Part 60

Author: Goodspeed, Weston Arthur, 1852-1926; Blanchard, Charles, fl. 1882-1900 Publication date: 1882 Publisher: 428, 502 p. : ill., ports. ; Number of Pages: 962

Author: Goodspeed, Weston Arthur, 1852-1926; Blanchard, Charles, fl. 1882-1900
Publication date: 1882
Publisher: 428, 502 p. : ill., ports. ;
Number of Pages: 962