The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-26

Assignment and Deed OF TrusG-Fraudu-
the Work.
The Marshall TexAs) Reps,aioan Of the sist ultimo
announcement In relation the affairs OF the
Southern Pacific Railroad Company which will surprise
the ardent advocates OF that association Of specuator
ard confirm the fears and predictions Of who knew
the original managers Of the enterprise too well trust
them The Republican says
Recent Developments in relation TO the movements Of
calculated create profound sensation only among
those who pecupiary Interested in operations and
the public abroad but particularly the people OF Texas
who had within the last few months been induced TO be
ve that was IN prosperous condition, and TO promise
themselves the most fattering results from its labors
Our readers will recoect that time last spring the
domci Of the company transferred from New York
to New Orleans, and that Mr.. George 8. Yergef
Of Mississippi, was called to preside over It's
destnies They remember his report Of financial
diton which, with the high character he bore for ntes
ry and ability the associations with which he was to be
surrounded and that to be hereafter Southern en-
etprse in the hands Of Southern men, gave an extra
ordinary impetus. The New Orleans press was exutant
journals Of that city upon the character and qualifications
of Mr. Yerger and the facilities with which fortunes were
prise We were informed by these journals that ihe
offices where this stock offered for sale were crowded
from morning till night by greedy purchasers and 10
short time the gratifying intelligence was announced Cat
5000 cash had been raised to prosecute the wok
Then followed the arrival of the iron and two locono
ves all on the ground paid for and ready for the ro.d
considerable portion Of which graded. Doubt and
dstrust gave way before these evidences OF prospr
IT, confidence and determination. Even we, Who
had been satisfied that there an amount OF
!" dead weight on the concern, amounting 70
m lions, and who had placed no confidence IN
Mr.. Posts report Of October, 1856 came 10 me
conclusion that must be mistaken, and that aute
men would not be likely to hazard their judgment or
invest their capital in failing and bankrupt enterprise
and hence VIC became convert, an out ana ou Denei
in the Southern Pacific Railroad Company 50 far 50 900
Affairs went charmngy for several months unu tne
crash the North and the recent suspensions IN new
4 Orleans. No apprehensicns OF danger existed nre
because thought there several hundred tiou
sand dollars in the city awaiting drafts from TINS secon
Judge of the CONSERVATION which was manifested when
the came to us like 'cap Of thunder in dear
sky that all the drafts sent below, and which reaahed
New Orleans the 18th and 18th inst, had been pro
tested (The failure Of Messrs Stiman, Allen Co Of
New York, said to have occasioned these protests
And we deem il proper to say that We have letter
from New York. dated the 5th inst, to a distinguished
member OF the railroad company here, and which he
thinks written in good faith in which the promise is
made furnish $50 900 speedily to pay of the debts of
| the company and for presentoperatonsl
On the l4th 18th OF the present month Mr. Yeger,
the President of the road made his appearance in Mar
shall and remained several days. during which time We
observed that something unusual going The day
after he left we understood that the Messrs Brown had
closed their contract with the company and that the Pre-
sdent and directors here had executed deed OF trust
which recorded in the County Clerks office together
with memorandum Of the contract with the Messrs
Brown These documents occasoned considerable inte-
and excitement and many of readers and the
friends and stockholders of the road would like TO see
| them, publish them entire.
Here follows deed Of trust executed by Geo. s. YER
ger President of the Southern Pacific Railroad Company,
as party of the first part to Benz Long VIM Bradhed
and H. Yerger as party OF the second part wherein all
Il
together with the whole road bed OF the road between
Marshall and the Eastern terminus at Swensons Landing
the iron laid down hand along the ne the two To-
comotves, the chairs spikes and and all the fran
chises and privileges of the company within the State OF
Texas are bargained, sold, transferred conveyed and
released" the said party of the second part to secure
the payment OF list OF debts hereinafter named reserv
ing the right preferred debt to the amount of
$50 for the purpose of carrying forward the work ne
cessary to save their charter from forfeiture The debts
which come next in order rs follows
Secondly to secure 10 DIR. VIM C. Swanson the amount
Ia m for furnished
said party Of the first part Also TO Thomas Swanson for
ties furnished or TO be furnished as aforesaid and
10 other person or persons who have or may
furnish cross ties TO finish said road. The certificate OF
Major Banch the Chief Engineer OF the President OF
the due TO said parties other legal evidence TO
prove the amount, shall be sufficient to secure said
amounts cross ties Aforesaid and the amount due
for ties aforesaid, shall have priority Of payment
all debts mentioned Of trust except those
mensioned above for borrowed money Third this deed
made also to secure the following named debts which
have priority any other debts mentioned
herein except those above specified for money borrowed
and for ties w-A note due by said party Of the
first part Warren Anderson of Jackson Miss for the
Of ten thousand hundred dollars, due some time
in January next which debt for money loaned said
company on the pledge Of three accepanccs Of still
! man. Allen h Co, for five thousand dollars each;
also, the Of fifteen thousand dollars, and in
terest thereon due to the Union Bank of louisiana for
acceptance Of Stilman, Allen Co., discounted by said
bank for said party OF the first part also whatever ba
may be due H. wckland surveyors and engineers,
employed by this company since It's reorganization in
New Orleans March April last also, any balance
which may be due 10 John T. Grant Co. upon the con-
d
TO the sum OF five thousand seven hundred and
y dollars TO George Ycrger for SIX months salary less
amount paid or which may be hereafter paid TO him
Also, any additional salary which may accrue to him as
President also, the OF four thousand dol
lars, due to W r. ID. Ward for services rendered and
salary sub treasurer from December 1854 to Dccem
Der, 1857. Also to secure the sum OF SLIT so for
principal and interest Sc due to j. Pinckney Henderson,
for money loaned for draft SC and paid by
him. Also, to the amount due TO Joseph Taylor
and Smally, being protested drafts one for S3ol and
one for $40 Is, both dated september, 1881 Also,
tn In af md I'M Tnf
Sept 3, 1857. Also, To secure J. l. and j. :. Brown
the sum Of $4,000 for amount settled with him
this day for advances Of money services to company and
for entire release and discharge Of the contract made
with them, dated Sept q, 1885, and recorded Harrison
county also for kcnd fde balance due 10 the Chief
Engineer OF the company; also Colonel Lewis T
Wigfall for services as attorney OF the company the
amount be settled and agreed upon between said Wig
fall and the President the above debts TO be paid before
other except those for borrowed money and cross
ties, AZ aforesaid Fourth 10 secure Col: L. T. wgfall
eight thousand dollars, j. Pnckney Henderson eight
thousand VIM r., Scott thousand six hundred and
sixty 81 100 dollars, NJ j. Hall i've thousand six hun
dred and sxtysix 81 10e dollars, and Dr. j. Taylor four
thousand FIVE hundred dollars these debts 10 next
priority Of payment Fifth, to secure any other bona
sds deb, Of sa,d company certified 70 pc Snch oy saa
& the debts above bow, named and accruns inter.
18th Of January next that then said trustees, or
any Of them, shall, when required IN writing
| by any creditor aforesaid, sell said property,
that Is, in such II shall be the duty Of said
trustees said trustee regulated No sell at public
ton FOR cash nj the court house IN the town ~ Marshall
Texas the property and franchises aforesaid such part
thereof may be necessary 70 pay said debts aud said
trustees, either Of them may make deeds 10 the pur.
chaser purchasers thereof Said trustees OF trustee
shall give such notice Of the and place Of sale may
be required by the law Of Texas IN force when said
sale takes place. regard 10 the sales made under deeds
II trust and there such law then ten days notice
Of the time and place of sale shall be given by pubca
ton in newspaper printed in the town OF Marshall or IL
paper printed said town OF Marshall then in
newspaper published IN Texas and the proceeds Of said
sale after derayng the expenses OF THIS deed Of trust
| shall be paid as aforesaid.
The Rp,ibiioon proceeds 10 comment upon this dccu
ment We quote
This deed Of trust II many respects an extraordinary
and inexpicabe document will he that a sale Of
the charter, privileges and property of the company Is
contemplated. In other words that IN the event Of fail
the necessary funds pay OF the debts
merated that the whole concern 10 be sold out 10 ia
nuary.
II v understood here that tfss step ha been taken
(wtbout reference, perhaps 10 the detas with full
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