Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1854-07-08
FRAUDS UPON STOCKHOLDERS.

1t was stated under our Geographic head yesterday
that great excitement had been created IN New York
Wednesday in consequence of the discovery of large
orer-issue Of stock of the New Haven Railroad Company
The discovery made Monday afternoon and made
public Wednesday morning by three Of the directors
1t appears that Handkerchief, the bookkeeper has adj
mtted to Mr. Morris ketchum of the directors that
at time ten thousand shares, and atyarous other
times between eight and nine thousand shares altogether
about nineteen thousand shares representing
had been transferred BY the transfer agent is Mr.
Robert Schuyler, into the hands Of Messrs Robert g.
L. Schuyler, by whom the stock hypothecated. II
will be recoected that the firm of r. G. L. Schuyler
failed only last week for very large The Post Of
Wednesday afternoon says:
"Mr. George Schuyler is wholly ignorant of the financial
condition Of the firm of which he member his brother
having the sole management of its affairs. What explana
ton Mr. r. Schuyler be able to give do not know.
We learn that his health much improved this morning
and is to be hoped that he be able to submit
the public some explanation of the transaction
The legal capital Of the company is s3oo0 oOo in thirty
thousand shares The stock market forty
nine thousand shares, representing $5,OOoooo.
The directors of the company will learn, order the
books transfer to be Immediately closed and the certificates
Of stocks outstanding to be called in for registration to
ascertain the real and condition Of the company it
possible still greater amount OF shares ay have been
issued
"Th discovery is great check to credit and confidence
The stock fell to 90 this morning before the Board met We
learn that most of the spurious stock pledged Corne
Illus Vanderbilt who has advanced Eve six hundred
thousand dollars upon it."
The directors Of the road met Wednesday, and the
result Of their deliberations the publication of
tice in which they say:
1t has been made apparent hasty examination Of
the stock books which have been kept by the late President
Robert Schuyler, transfer agent in New York. that by
OF false entries ensures and other similar practices
issue illegal and fraudulent stock has been made within
few months past to the amount nearly be
ceraned Of nearly twenty thousand shares millions
of dollars rigid examination will be Immediately made,
by order Of the directors Of the books and papers, and the
result when accuatcy will be made pnblic
Robert Schuyler sent in his resignation President Of
the road to the meeting which accepted The Post
further adds
AT the Board Of Brokers this morning the stock not
called it being resolved do nothing in it un official report
made by the directors of the New Haven road.
question has been raised the liability of the COM
pany for the spurious the ground that of those
certificates had been recorded The question will depend
probably upon the construction the charter in reference
transfers. All the false stock was signed by the President
who the transfer agent of the company and the Secre
tay who is absent in Europe but who left blanks signed for
the Presidents use"
This is the third overssuc of stock that has been
posed within the last thirty days. viz the Parker Ven
the Vermont Central and lastly, the New Haven. The
Parker Vein and the Vermont Central were nyeterate
fances daily banded about in the market and Of
tain value, but the New York and New Haven railroad
stock rarely offered for SALE aud until the Norwak
disaster which suspended its dividends, chiefly held
by capitalists o safe and Investment The stock
has recently been hypohccated in Wall street to large
extent 1t is feared that these developments but the
precursors Of Others and Of greater magnitude.
~" For further developments connected with this bust
aess see the Teegraphic head