The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-07-29
Thn Vermont Central Railroad.
REPORT or THE INVESTIGATING COMMITTEE-THE
COMPANY ASSUME THE STOCK YRAUDULEyTLY
ISSUED.

Bosros, July 2s, 1854.
7hs committee chosen to investigate the recent
ssue Of lo32 shares in the Vermont Central Railroad
by Edward Crane the President Of the company, have
made lengthy report. They all parties from
the fraud Crane and after Audng 10 his previous
Of coo shares the committee say 10 nHict
second injury corporation already prostrated by
his misconduct renders the act the more despcable
and when it 10 considered that everything done
sbield him from the consequences of his rst transaction
on the ground that hc received private benefit from
it, he has added ngratirde to crime and stands before
the public object Of sc0rn and contempt II Is
not alone the Injury he has indicted tho Central
corporation that he guilty Of but the objects Of his
caiity felt al similar property, and there Is
scarcely stock security the list which has not been
deprecated By his acts From this and similar transsc
tioDs which bsye to light within tho past few
weeks, confidence has received shack which cannot bo
recovered Cor long period IL there is no legal punish
msnt fer such stupendous frauds is high tims laws
thor,d be enacted which viii bring the offenders 10
justice II is not just TO punish miner crimes with
penalties, and let the perpetrators Of such whole
sale suds escape. II defraud corporation
ar shc public to the extent OF Thousands of dclars aud
make usons msut restriction except to simply
sign his Office 1t Ia premium rascal,ty which cannot
fail TO be demorazing and disastrous In its effects and
resultsand 1t 10 be hoped that these cutrages
Me fresh In the pubic mind, thAt ehcient means
msy be taken TO the passage Of stringent laws il
they do not already exist which will render It impcss
HE for guilty parties in soch transactions TO escpe the
just penalties Of their crimes With regard to the
Issue Of stock committee clearly Of the opinion
that should be promptly assumed by the Company and
that corporations responsible for the acts OF their
agents. .s not just right that innocent holders OF
such stock should suffer- The stock has been Issued
from the office Of the Company bearing the seal Of tie
poraicn and the genuine signature Of three Of its officers
II there has been delinquency tho part Of the autho
rzed agents Of this Company, the responsibility rests
with the corporation, aud not with the public. stock
has been issued parties net entitled to the same the
Company mnst obtain redress from such parties and not
attempt 10 screen themselves by repudisting the
stock in the hands Of innocent holders, even il
sach stock could be dosignate5 which, In th,s case 1t il
believed impossible TO do II the Principe is adopted
that certificates regularly issued and properly signed ty
the officers Of corporations 10 repudiaed. what evil
denee the community havo when they take certia
cate of stock for any ccrporaon that 1t represents any
thing is of any value2 The adoption OF any sucs
Idea would 10 monstrous and unjust, and sdd 20 the
distrust that already prevails aud it's effects woad nos
only be disastrous to all railway shares bot TO all corpo
rsons the stock OF which is Represented BY certificates
Ike repor. closes by recommending resolution thst
the corporation assune the Issues, urging the
sctent Of stringent laws for puI ships such acts and
demanding an immediate and thorough investigation Of
the afsirs or the compsny.