Further, the specifications required that a bond should be filed with the Exposition Company in an amount equal to the bid to guarantee faithful execution of the terms of the contract by the bidder. The specifications expressly reserved copper wire, the intramural railway, the railroad tracks in the buildings, all machinery, etc., whereas the contract executed on November 30 seems to include all the items referred to and many other pieces of property not mentioned in the specifications.
The contract as executed seems to call for the payment of $450,000, of which only the sum of $100,000 was to be paid in cash and the remainder at stated periods in the future. Instead of requiring a bond equal to the amount of the bid the bond called for in the contract is less than 10 per cent of the amount of the bid.
It is alleged:
First. That secrecy was
observed in handling the bids for the
wrecking of buildings.
Second. That the Chicago
House Wrecking Company was favored from
the beginning.
Third. That the exposition
officials rejected higher bids than
that of the Chicago House
Wrecking Company, so that the latter
might have further opportunity
to raise its figures.
Fourth. That only a partial list of the property, which did not include many valuable articles, was submitted to bidders outside of the Chicago House Wrecking Company, and that a complete list was refused other bidders.
Fifth. That a written
offer of $400,000 cash, and more if lists
could be secured, was ignored.
Sixth. That a bid of
$450,000, half cash, was presented to the
Exposition Company after the
announcement of the sale of the
salvage to the Chicago House
Wrecking Company for $386,000.
Seventh. That the contract was eventually given to the Chicago House Wrecking Company for $450,000, with contract provisions inferior to the former $450,000 bid made by a party outside the Chicago House Wrecking Company.
Eighth. That the contract with the Chicago House Wrecking Company does not adequately protect the Government, the city of St. Louis, and the stockholders, the $40,000 bond being out of all proportion to the size of the sale.
Ninth. That the sale
of the salvage to the Chicago House
Wrecking Company was consummated
over the protests of some of
the directors of the Exposition
Company.