The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-07-08

fraud Mr. Robert Schuyler being beth president an
traDsfee seent q that company thus having 1t In his
power TO create and transfer shares at his pleasure
[From the Times
The sohuyler fraud completely sbsorbs attention in
wsl street and indeed, may say out Of 1t Mr.. Go
verneur Morris, reported Thu afternoon 10 be In peau
MARY iaubie and tho Is that his confidence q
abused BY Schuyler. The Harlem Railroad Comp are
alo severe sufferer II. had such easy H. thor
upon hi company but their debtor 10 rge sum
for the boads az the concern unaccounted for aud re-
shock thus given to the market value Of the stock
II fell to 81 PER cent Ralwy iron, purchs on eds
abroad for certain unfinished roads. in which he
ntaco has been diverted arrival here, and pledged
for money or mercantile paper TO be used for ".uer pas
cation of property at present sscertained or report
ed msy he thus stated
1000 ,kares New Haven stock, fraudulenty
Bonds II the Harlem Railroad Company $4,000
Advances railroad iion diverted. LOS 900
Total Observation-Disclosures 500 200
Ths shock 70 confidence Is not Early in the day
there appeared TO be camer feeling but tho further
fall Il stocks at the afternoon board tells different
:. a. and a.
there II hopc that reasonable reflection will this
disposition TO sacrifice property In no wise implicated 10
done boy oud the hope OF full restitution. The ~rong
doer win probably escape II hs IL not already beyond
gsssrsl assignment Of tho remaining effects Of tho arm.
The heaviest loss falls upon the New York and New
Haven stockholders. The company will have TO assume,
tous stock until whole number OF
ing 10 brought within the legally authorised capital Of
the road. Tho pan Is an after consideration, and
whether by immediate loan tho slower process OF
sinking fund.- adopted BY the Bank Of Kentucky ust
TO determined by circumstances. The Lows fraud on
issues assumed and bought up BY the bsuk,
and the original capital thus made sound 10 pos able
schuy er's effects may pay some, hing worth looking
~ used - 306 600 leaving no mark or shallow Of
representative value.
rFrou the Express.l
It Is reported In tho street that Robert Schuyler has
Aed 10 Canada, and there day or two since
II Is supposed that his object was go to some Euro
pean port Ths story Of hs ness Il said to been
cloak for the purpose Of covering his retreat.
Rumors Of all kinds rife in the street, In relation
h frauds and Issues Of stocks and bonds. For
the latter there greater facilities for issues
trsn.ers are m:as without sesistr.tos' and merely
fancy stocks prevents the obtaining Of loans with tree
dom either from banks individuals. and thus forces
was Q prevailing spbrchension In relation to vast
railroad engagements previous to the posion Of the
Schuyler was not however, expected that 70 these
immense obligations wc should have series Of frauds
exposed calculated to break confidence and pro-
ducing its consequences largo withdrawal Of capital
s haa strong hopes The eject Of ~ aS
Is yet hardly felt and spreads the country
u calculated 70 retard enterprises now under way,
and sap the foundation OF the little remaining credit ~
tached TO the raAss system ~ Of late carried
Thue is remaining too strong desire to build more
railways, which, hope will not be carried out at pre-
sent 1t is very probable that many routes may
be devised which would prove convenient to naghbur
hooos and employ capital TO advantage but ut this
Tune Is advisable that new schemes % hsia in aesy
done without too great sacrifice. There must be
cessation to these great railway calls before any
tial ease in the money market be attained.
The Board Of Directors Of tho Harlem Railroad Com
peny have been engaged this morning In an investigation
q The affairs Of the We understand that there
Schuyler has msapcd the proceeds Of the bonds the
company recently negotiated to the extent Of $500 oOo
annals Of finance, and from what is known may be
prepared for further Developments.
The Treasurer OF the Nes York and New Haven Rail
quests holders Of stock in that company to send In their
certificates the numbers thereof and the number Of
the examination going forward In the stock
Of the company. The directors OF the company merit
high praise for the prompt manner In which they made
tho defalcaons Of Mr. Schuyler knowa to the public by
which undue advantage was obtained Crcumstances
like these should at time be kept . secret and, al
ans. ,na sna
that they should be known and widely disseminated We
must not however, believe that every body Is dishonest
able word diluted We entertain the belief that In
stfutions are generally sound and have proved them
selves euch through panics worse thousand times than
the present Pefb6ns, without reflection, may throw
their property away at runous Sacrifices and il will DO
well to pause and discriminate between those stocks
which really merit the confidence and regard Of the
munity, and those in the hands VI spectators
We understand that the report published in the Mirror
Of the failure Of Mr. Gouverneur Norris untrue Me-.
one Of the directors Of tho Harlem Railroad THIS ssn
teman, learn largely liable for Of the debts
of the Schuylers, but he Is immensely wealthy and WILL
We understand that the nature OF Mr. schuy lsrs a.
fars with the Harlem road Is ~ follows-The Harlem
Company made les sundry advances to the schuylsrs,
for nearly leaving something over $500 900 s
due, for which they have security. Also, learn
that Schuyler made Of $780, 600 Of extension certa
Gates which he had received the avas OF for the
pose Of enactment and instead Of canocng the same
has pledged them, or used them Illegally.
IRON the Nirrorl
We learn from reliable source that Gouverneur Nor.
ton. He had borrowed, to accommodate Mr.. g., over
500 Geo. the paper for which mAtured 10 day. and which
he could meet He held the fraudulent stock issues
collateral. He win mako assignment ana his credi-
tors hope that his large estate viii enable him to meet
all his liabilities.
CHARLES T. SHELTON President Of the Empire Stone Dress
ing Company, est inpnus He has left for parts
knowngonc into the country for his health An over
Issue Of stock to the amount Of 800 has been dis
yesterday. The liabilities Of the company amount to
$s6 600. This has been known crack" stock in the
market having sold high as lso and having paid 20 70
The Board Of Directors Of the Harlem Railroad Com
pany have been engaged in Investigation Of the az
been no over issue Of this stock but that Robert chuy
Ter has msapplcd the proceeds Of the bonds Of the
company recently negotiated to the extsut Of $500 o0o
As illustration Of the loose way Of doing things In
the Harlem company friend Of ours who held CON-
troll Of lS0e ahares Of stock attended the late election
for the ruIpos. Of voting On arriving at the once ave
minutes after the tmo at which tho meeting called
hc cooy told that his stock had been voted on "
II that old 'proxyn which he gave three years
ago had been preserved and ON this OCCASION and
thus the elections have been carried Just "a the leading
wire puers directed We predict different and bet
ter state Of things for the Harlem There viii be reaction
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