New-York tribune., 1868-02-20
THE GREAT ERIE QUARREL.
DANIEL DREW SUSPENDED FROM HIS POSI-
TION AS TREASURER. rH|
THE STATE INTERFERING IN THE MAI


of the Attorney General Of the State petition setting
forth the same facts the complaint in the case,
synopsis Of which Was published in THE TRIBUNE OIL
Tuesday for the removal Of Mr. Drew from the office Of
Treasurer OF the Erie Railway Company On motion Of
Messr Rapalo and Spencer the following order to sno"
cause was granted, returnable tomorrow:
"The Attorney General of the State Of NewYor pros
eouting In behalf OF the People Of the state OF %
having presented TO this Court petition Verlneu % s
10Th day OF February 1868 alleging various % e director
conduct and abus Of his trust by Daniel Drew
said Company. and praying his suspension and re-
mOval; now. motion Of Marshsn ~. ~ nnsl
it is ordered that the said SPPHcasCn 0H ssd
petition be heard % at baa t91S S IOV Chamber. at the
City Hall in the city OF New-York, on the Hst
day Of Febrdary 1885, At 10 o'clock a. M, soon
thereafter ss counsel be heard and that the said
Daniel do show cause, at the time and place last
aforesaid why the prayer Of said petition should not he
granted why such further such other order should
not be made IN the premises as may be Just and proper
Drew has abused hr trust such director 1t hereby
pursuant Of the Revised Statutes OF the
State Of further ordered that III the mean time
aud until the further order OF this Court on the hearing
aDddecisOn Of said application, the said Daniel Drew he
sndhe is hereby suspended from exercising his once as
director OF tue Eie Railway Company and he here
by prohibited, while 50 suspended from doing or at
tempting TO do any act as director Of said company
Enter: GEORGE G. BARNARD, J. s. C."
following petition which the above order
was granted;
People Of the state Of New York. by Marshall b. Cham
such case made and provided present this their petition
against Daniel Dr.w Director and the Treasurer OF the
Ene Railway Company, and pray that he may be Sus-
pended from exercising his said offices and may be re-
moved therefon tor the causes hereinafter particularly
set FORTH aud that election may be mad for the puT
pose OF supplying the vacancy created by such removal
Aud petitioners respectfully show and state 10 TINS
honorable Court the facts upOn which tins application Is
founded, as follows, viz:
That the Erie Railway Company is railroad corpora
tOn created and organized by aud under the provisions
of certain acts Of tic Legislature Of the State of New
Nork hereinafter set FORTH and owning ana operating
rairoad which through the states Of New-YorA,
Pennsyvana. and Ncw-JerSey That said Erie Railway
Company aud possesses properties aud franchises
OF fvery great ve and capable with proper ana nonet
OF yielding large revenues and profits to the
Of sa Company d1a ~ "a 90 aPeSS1 @ bS nS
expended upon ITS ROAD ana dt eduiptneIfS' of pniPx pix
Is represented by capital stock, common ana
preferred hereinafter set forth, by funded debt
that for the cUnduct and abuses OF trust OF the D
rectOrs herein complained Of the business OF salo
dividends stockholders. That the railroad OF sald
company before the organization OF SAID COMPANY
tSre o} the state of NewYork, entitled An
act to incorporate the New-York and Erie Rail
road Company, passed April ~. lS32 LIZ dnaV ,i In
New.York and Erie Railroad Company was author
lied and empowered to construct single, u"uDle OF
treble railroad way from the City Of ork TO Lake
point in its vicinity shall be moso eligible and coiVeh
lieut. therefor and continue SAID railroad through the
southern tier of counties, by the way OF 0swegC IN tne
County OF I1og 10 the & snOre or LKs e and the
Pennsylvsnla line, with power TO transport take una
ptfsODS upon tDe pO"cl
and force OF steam, OF animals OF OF any tin H1
ohanical or other power. or OF any continuation
sage of this act That by various acts Of said Legislature
subsequently passed. the said The NeW-fOrk ana Erie
rate divers brancGes Of lts said railroad within the state
OF NewYOrk and % connect with certain other RAILROADS.
iSin r Of the state Of Ne%YoTk Authorized
sEy rSr9Sd west o Tue % Tes Ss Hop NO such
power has been conferred by law upon SAID railroad
company, or upon the sald The Erie Railway Company
Thai m the wear 1860 the said The NewYOrk and Erie
Railroad Company having become largely lhVoVeu IN
debt and having executed divers mortgages upon Its rail-
road and franchises, default made by the sad Com
pany in the payment Of the interest upon sad morgage
this state hehu Of the Trustees for the holders OF
the bonds secured 10y Of the SAID morgsges Known
gage and the sale Of said railroad anu s VI
The New-York aud Enc Railroad OOnpanE Inat nn ne %
about the time OF said foreclosure Wiz on th the
1Ih Of April, 1867 act was duly passed by the
Legislature Of the state of NewYork entitled An act
relating 70 the and sale OF the NewYork and
Erie Railroad" whereby It was among other tmngs
the said the Newl and Erie Railroad, under certain
the enumerated IN sand act oi %ndcn m .e
subject to liens aud mortgages mentioned III saa
iv nI ' Gregory and j. C. Bancroft Davis Trustees
under certain agreement theretofore made pc
pSTchasers we're empowered TO associate with
She SD6 10 sSond Constitute 'uSn Bcdy
Dorate TO be called the Erie Railway Company ana tlat
ees Of association as prescribed by said act the said
association should become body corporate TO be known
rights and franchises by conferred upon the New York
and Erie Raroad Company Ihat sa1 @ Ss sad M
ces OF the number OF shares OF capital STOCK
OF ssId company and the par value Of each share and
EhetbeT any and il 60 what portion OF said stock
preferred stock And IL was IN and Dy sara ACT Irther
xnressy provided and enacted that the whole amount
OF Stock Of said Railway Company should not exceed
the amount of the capital stock OF the NeT-Iork ana
Erie Railroad Company. and the debt OF SAID astnameG
Company secured by mortgage lien upon the said Rail
road property franchises at the time OF suen SAFE are
Judgment creditors Of the NewYork and Ere Railroad
Company might out Of the stock 80 aothGrSea 70 % 10
spctye debts preferred stock Of the said the Erie Rail
way Co%9ap e %as made df the property rights
and franchises OF the New-Nork ana Enc ha-
SSSa GRdf for R1Ss foreclosure Of the said Fifth Mort
gage, pursuant to the prSyisSns sG re gov aTs
and c. Bancroft Davis trustees. aforesaid became
the purchasers said sale pursuant 20 the provsgns
the I'd day OF April further act was duly passed by
Ghe Legislature Of the state OF New-hork entitled a AN
sale OF the New-York aud Erie Railroad, passed April y
H9yaey 81 Gregory and j. C. Bancroft Davis, and such
ersOns they might associate with them pursuant 10
body corporate as provided by said act upon filing
ARTICLES Of association, as provided py saia ao1 TN IN
pany should be stated at amount not exceeding the
toutstanding capital tock Of The Hew-York and Erie
Railroad Company Ind the preferred capital stock OF
nad company should stated 70 DO equal to the amount
Of the total and @ interest es
aud that par value Of each share N sa1d Peiere
stock and IN sara
said Act OF April 1851. further provided for the Issue
- aid referred the said unsecured ana ledg'
ant c1eStors of The Eew-York and Erie Railroad Com
many who should present their claims within certain
1,me and for the ascertaiDment by the trustees OF
yshn' amonnts OF their respective claims. and for
Adjudication thereof by reference In case OF dispute
pd frther provided that upon the coming In OF the nna
To- ~ fhs referee the Erie Railway Company should
ale with the Secretary Of state sSS ~ Az y!
Sd Sbieh IL was declared by said act should not ex
Feed the aggregate amount Of debts 30 settled ~ S as IN
Nv The said act further provided that the Smonnt OF