New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-03-11

In st. Johns Park would give them such adj
vantage over us Defined f for compenS points in the
West flat we should be forced to construct equally g0Ol
Observation-Disclosures az Long Dock Several private parties
were In negotiation with for the privilege OF
erecting such storehOuses, as Wcli as OF erect
ing grain storehouses aud elevators but we thought
IL fbe hest policy for the Company 10 own the build.
nes il possible The superintendent had also Informed
ms that now equipment was needed ior the increasing
business of the company, and had informally deter
mined that when these things should SO take shape mat
we could definite report thereon to the Board we
would advise that tie necessary capital be raised by me
sae of the convertible bonds Of the company under te
road law or the power to issue such bonds and OF the
right to comply with the terms OF such contract by
authorizing the conversion OF such bond into sOSk we
did not entertain doubt Our predecessors mad claimed
and exercised the right Of increasing the capta STOCK OK
fhe company by conversion OF bonds as cary us o anu
lad reported tho same To tho legislature anu nul con
tnued exercise the right and to report thSlr aeto 10
the Legislature without criticism me I a.
Railroad Company had exercised tho came Tleh aiso 10
the amount OF 100000 and had from une 10 tline
reported their dongs TO the essature wia VIII
and the holders of the stock created by such conversions
i'm each company had exercised their right OF VOtns s
stoekholders without challenge. The same may be said
OF the Hudson River Railroad company, anu vi llHst W
the railroad companies IN this state Inc CONSTRUCTION Ol
Tho In os universal In favor Of the right 10 issue con-
yertble bonds and TO convert those Dol5 INTO tOeA
called upon even though the amount Oh eaptal soek
shond be Increased thereby beyond the amount named
In the charter and 1t never entered INTO our ne"u' "
doubt right 80 universally claimed ana eAeleFea,
the efficiency Of your road aud its equipment we were
also under the authority conferred upon US ny ou, nc
goatng for the extension OF s business connections so
as to reap the fun advantage OF the new cap, 70 9o ~
ern and Northern Indiana Railroad Company TO nave
them put down third rail on their road so soon as oae
Needless for US to point to you the immense value Of
tins connection to the Erie Railway Company. We also
TsTtfoTd and Eric Railroad Company issued under the
agreement between that Company and this Company as
collateral with several parties who loaned ther prop
erty to aid in the construction OF That valuable coDnoc
ton And just as We had so far completed these several
NC cors was immediaeiy to be made upon the
Iria Rail
York Central Railway Company, to restrain US from
extending our connection and 10 localze our road
IN fact 10 destroy its value rs competitor win that
powerful Company. Tho first blow struck was sult
az baying been i'm collision with Mr. Drew in certain
alleged frauds In his contracts with the company, anu wy
present Board guilty In permitting the conVsrsiD oi
The stock of the Buffalo Bradford aud Psburg Railroad
Company. The second blow followed soon AFTER III tne
summary removal OF Mr. Drew irOln ms once as ueUt'
and prayer for his removal from his office AS
of these suits was In the name OF DIT FRANK mUr
then director in this Board and tne other %s 81 ~
by him. Notwithstanding the fact that he voted 70 make
Mr. Drew director ana e sa Sacts Which he charges
TO be fraudulent aud the further fact that ne voted or
The conversion Of all the leases Of the company including
the Buffalo, Bradford and Pittsburg road The motive
for this otherwise unnccOuntahc change OF 'front.' on r
Works part Is TO be found In tho weknown faet at ne
was mt into this board In the interest OF the Hudson
River and Central Railroads. and that when we refused
10 become parties TO the schemes OF Dit NandeIbt ana
Of the Central line Mr. Works interests were exposed
authority TO issue and sell convertible bonds for the pur
pos OF completing finishing, and operating our road;
we could not discuss this matter freely we would
have wished yet you reposed generous confidence ID
ns and, We believe, anticipated in advance what our
course would DO.
There was but one open to us as prudent men
charged with the protection OF the interests OF the Ee
Railway Company distinguished from those OF rival
nesnamey 10 secure, before was too ate the means
To meet the necessary expenditures We have audedto;
and after full discussion Of the matter we auth4Ized Tue
creation issue, aud sale ofSi0SOO00of conNerDe Dohns
the entire proceeds OF which would not be more than
enough for the contemplated improvements. -
Notwithstanding the unwarTanted attacks upon us, we
fopku "a ste fO
eotiatlons with the NewlOrk Central, Hudson River,
and Harlem Companies for the consolidation OF rates
some OF us were slow TO believe hat they could DO imp
Gated In such proceedings and oil OF US Thought that we
ought to continue 20 maintain amicaDe relations win
them 30 long ms We could do without sacrifice OF our
serespect The next OF these suits, however, made 1t
RAILWAY COMPANY; for We were now eIoined-and still
at tho suit OF SIR WorkfTom carry Ing out our agreement
20 convert our convertible bonds INTO STOCK WEN YOU
remember that independently Of tue ten millions OF
bonds which We anihorzsd as above 20 De Ssed anu
OF bonds which are convertible nto the common
Gs may S u our yT credit w" to have no" court r
assume 10 compel MS TO repudate our contracts. We
were further eioincd from making certain transfers OF
stock-fom carrying OUT our soels VIII VIC
souhern Company ana VITA tho boston na,uOld ana
usual shots against M Drew There was 20 hlstahng
the purpose OF this suit. IL meant destruction To the
s Halle ii the severance q lis terminal connections de-
NAL OF tho means necessary 10 give u pfer s,a9e
HowYorf Central Railroad Company and It's final adj.
The 1sIsaiion Of one OF Directors We accepted
the ssur and authorized the commencement of suit In
which MIR Work Is enioned from serving as Director IN
ths BOARD and from proceeding with his suits. Copies OF
these proceedings viii be furnished TO each Director and
we hope you will carefully read thcm.
The Senate has taken this matter up and Committee
has been appointed 20 examine INTO Tie condition or the
company and into the charges made against u In the
newspapers and in the supreme Court aud the hearing
is to commence the 10th inst To tins tribunal we con-
ndenily appeal II he true that in converting 30o00eO
OF bonded debt, and In contracting 10 convert SgO00O
more irrespective Of late procredngs the Erie Rail
way Company has exceeded its corporate powers, 1t is
equally that the NewYork Central Railroad Com.
pany has exceeded ts powers IN converting $4,000 VI
Its bonded debt. And In the power OF the Legisa
ure 10 afford both companies, by raiiyDg acts the full
protection. Aud, on the other hand u 10 be true, as
we believe TO be- that tho Legislature intended TO con-
FER upOn Railroad Companies the wise. just and most
reasonable power Of shifting its debts INTO capital stock
whenever II can be done and H. IN consequence OF the
exercise OF that power in good faith and In the interests
NJ and cast coud upon our issues Of stock we feel our
selves Justified I'm asking the Legislature the
that cloud; and the summons 10 go TO Albany has only
anticipated by few days our request Tor hearing aud
who hold tho stock OF this company.
II only Espn;s to state me wants o. thG COMPANY 10 10
tailed statements thereof 20 be found In the reports
OF the General superintendent herewith submitted;
STATEMENT -
l7OOO tuns OF new iron, at 250O0
5000 tuns OF steel rails, at llG0O00
90 locomotives, mt SIS 600 ................ 10000
800 box ears, at $500. 10000
200 box cattle cars at $4,000
coal dumps, at 1925. $1,000
200 coal dumps (or bltuminous coaD ........ l05OOO
Double track Delaware division. ........ 279OoOO
Rochester 100000
Long Dock 100000
Elevator at Long Dock 100000
New depot lands aud river front at Newburgh 225OoO
New ferry boat for Twenty -thrdst scryce.. 10000
Total Ss7s7,5CO
JOnN s. ELDRiDGE President
Neic. York, March Q, 1863.
REPORTS or THE GENERAL SUPERINTENDENT.
LIZ III