Dodgeville chronicle. [volume] (Dodgeville, Wis.) 1862-current, 1868-04-17

county, the execution of the like number
and amount. of county bonds, and their de-
livery by way of exchange to the company,
the execution and delivery by the company
Of what are called the Kuehn bonds to the
amount of $4,000, which the complaint
alledges are in no way secured by the JAN
sen mortgage, and that they were issued
and put in circulation in fraud OF the coun-
ty of Iowa.. 1t sets forth the Schuyler
mortgage and the issue of bonds under it
to the number of 1000 of $500 each, q
part of which is alleged to have been sold,
hypothecated and used by the trustee,
Schuyler. 1t affirms that this Schuyler
mortgage was entitled to be regarded and
was in law what is called the first mort
gage'' in the special act of 1858 above
quoted, that the county of Iowa (being the
owner of the $50 bonds of the company Sc
cured by the Jansen mortgage) is entitled
to preference over the holders of all bonds
secured by any mortgage subsequent in
date to the Jansen mortgage, except the
bond holders under the Schuyler mortgage
which the county of Iowa in its complaint
admits and affiirms to be ''the first mort
gage" authorized by the act of March
1858, and which the Jansen mortgage,
likewise authorized by that act, declared
in express language might thereafter bs
issued by the company, and that but one
mortgage subsequent in date to the JAN
sen mortgage having preference over it
could be issued under and according to
said special act, that all other subsequent
mortgages must be referred to and receive
their efficacy from the general power Of
the company to mortgage its property TO
raise money for the construction its road
granted to the company in its amended
charter approved March 7, 1853. And the
complaint further alleges that the Cenyn
& Martin mortgage being subsequent in
date to the Jansen mortgage, under which
the plaintiff claims is subordinate thereto,
and that the lien, fany, created in favor
Of bond holders claiming under the Martin
& Comyn mortgage is subject to the lien
of the county, the holder of the 150 bonds
secured by the Jansen mortgage.
The complaint further alleges that the
Schuyler mortgage has been fully paid off
and cancelled by the company, and there
by the Jansen mortgage became the first
and paramount lien, and prays for sale of
the mortgaged premises and general relief.
The defendants, Except the Mineral
Point railroad company were duly served
with a copy of the summons, and except
George r. Schuyler, who being non-resi-I
dent, was served by publication. The de-
fendants, except the Mineral Point railroad
company and George R. Schuyler, who did
not answer, put in joint answer. They
pleaded the judgment Of the district court
of the United States in bar to the present
action, which Judgment have found as a
fact in this case. Also the sale by the
ter's deed of an undivided $1,000 of
the railroad to Ashael Finch and others,
the formation ola new organization, and
the deed from Carter to "the Mineral Point
railroad" that said new organization had
been in possession Of the road and occupy
ing and usng it ever since. They make a
claim for improvements made on the road
after the new organization took possession
of it. They deny the existence ofthe Min
eral Point railroad company that it ceased
to exist in Nov. 1861, except for the pur
pose of suing and being sued. and that in
Nov. 1864 its corporate existence ceased
for all purposes. They insist that Schuy-
ler never accepted the trust under the
mortgage given to him by the company |;
that the company never authorized its is
sue, and that the company never disposed
of any bonds under that mortgage; that
the mortgage never was valid that the
mortgage to Comyn & Martin was in fact
and law the first mortgage authorized by
the special act approved March %. 1858.