The New York herald., 1868-03-21

ture-Deieat Of Railroad Bills In tile
skaate.
ALBANY, March 20, 1s6s
/ THE RAILROAD WAR;
The Railroad COMMITTEES, to whom was referred the
bill introduced by Mr.. Bristol, OF Wyoming to legal
ize the acts OF the Erie Railway directors met In
| the Assembly this afternoon, at four O'Clock, Mr..
| Prince Of Erie, presiding.
| Ex-Governor Church, Horace r. Clark, Charles
| O'Conor, s. T. Fairchid and Chauucey NJ Depew ap-
peared to oppose the bill, which was advocated by
Messrs. John Ganson, John Reynolds Hamilton Har-
| ris and Hand.
| The clerk read the bill as already published
| Mr.. Ganson explained the provisions and objects
OF the bill. The present company came into being
IN 1891, succeeding the old New York and Erie Com
pany. The common stock was increased from time
to time. so that in 1856 amounted to $16574 800.
In 1865 the company found it necessary to make
loan Of s2oo,Ooo They borrowed in 1865
s3,ooooOO. The bonds referred ton the act were not
issued until 1865 and amount to- $4,000 900. The
total stock now Is s24265,000. H was necessary to
obtain money to improve the road by building
new locomotives and new cars and COM
piete double track on the Delaware division
The aggregate OF these Immediate wants was
sS,750,000 The Executive Committee submitted to
the directors report OF their doings. The con-
vertible bonds were, under the statute, authorized
to be issued to obtain this money Steel rails were
decided upon, and as the Central Railroad had
adopted improved store houses such an improve
ment was also necessary on the Erie road. The
superintendent also reported that great deal
Of new equipment was necessary. or their
right to issue bonds convertible into
stock the directors entertained no doubt
The speaker quoted from the statute as to corpora
tions therein authorized, showing that the company
had power from time to time, to borrow money,
and that their bonds issued for that purpose were
susceptible of conversion into stock at any time
within ten years. The counsel OF the Erie Company
had advised that they were acting right in doing as
they had in the case under discussion. To remove
oil doubt on the subject they had decided however,
TO apply to the Legislature.
Mr.. Horace F. Clark wished to know ir the gentle
man claimed distinctly that these acts were legal
under the provision Of the statutes
Mr. Ganson, continuing, did claim that they were.
But there was question in the case and so much
doubt about II as to unsettle the public mind and to
disturb those who had in good faith invested in the
securities. 1t was to put at rest such doubts and
such uneasiness that legislative enactment was
asked. Not one dollar of the money recently raised
was to be used for any other purpose than equip
ping the road in the State of New York. The resolu-
ton Of the Board of Directors to solicit conrma
tion Of their acts so far confirmation might be
necessary. The speaker rehearsed the proposed i'm
provements and the items OF outlay.
Ex-Governor Church-There won't be 50 much
money left when Mr.. Drew gets through with his
SpeculatiOns.
Mr.. Clark claimed that Nh Ganson did not repre-
sent the Erie Railroad, only its organizations, that
majority OF the stock was held by the opponents of
the bill and they did not want the proposed legisa-
ton. He said 1t was the duty OF the Legislature to
protect the stockholders from the fraudulent action
OF the directors.
Testimony was taken in the evening showing the
character litigation commenced.
suits were still undetermined.
Mr.. CLARK opposed legislative interference while
the question was in court.
Mr.. O'Conor said the company was liable for stock
issued, and that the opponents OF the bill held most
OF 1t.
The committee adjourned the case until Tuesday az
ternoon at three O'Clock.
affairs OF the Erie Railway still continue to sit with
crossed doors to the disgust and Indignation OF all
interested.
SLAUGHTER OF CITY RAILROAD PROJECTS.
There was Waterloo defeat Of underground and
surface railroad schemes In the Legislature to-day.
When the order OF business reached the Senate
Committee on Railroads reported adversely upon the
following, which adverse reports, as fast as read
consecutivey agreed to- thus rejecting the bills
entirely-Manhattan Underground Railroad, Peoples
Railroad, Peoples Metropolitan and Suburban Rail-
mofa Nem Rapo and
Transit Railway. Five OF these were projects for
underground roads. The remaining one-the sur
face pan-was the proposed Peoples Railway.
There are now only three underground bills re-
naming, and these have been referred to the Com
ground Railway, the Central Tor Brown Underground
Railroad, and the original Tunnel (vandenburgl
Railroad. The last mentioned Is only dummy
for Jake Sharpe's Broadway surface road, and will
never be put in operation, even II the franchise be
| granted. surface road Is unpopular plan with
the present Legislature, and the Sharpe interest is
| deslrous OF staving off any Broadway under
ground, the construction Of which would deal
Tbc central underSroand Is poorly diresed DIAN. lam
| and has few friends. The Arcade plan, as have
prophesied, will be the winning road In the Senate
hath ftty fhrnytr " frIn iS hnu
other question. The House committee have agreed
TO report It, which Is great point In its favor, and
the Governor may be induced to sign the bill In obe
| dience to the demand OF the metropolis for some
| rapid means OF transit between its northern and
southern extremes.
The bill to cede Jurisdiction over Davld's
| Island TO the United States, for which Gen.
| eral Grant made application by autograph letter,
| went through the Senate without a dissenting
vote, but met an obstacle In the House Committee on
Foreign Affairs, where one honorable gentleman,
It, saying that he was unwilling TO accede to the re-
quest as the United States might build another bas
| tile upon 1t. The property had been sold to the
government by Simeon Leland twho can drive six In
hand), and the cesson OF State jurisdiction was only
| waiting to complete the transfer. Messrs. Leland
and Hosea B. Perkins up here to look after the
matter went before the committee and succeeded In
procuring a favorable report. The ,,h celerlty h
| through the committee and to its final passage
or that Is only the next step proves that In the de-
votion OF the talents OF these two gentlemen to the
pursuits Of civil life the world Of politics and the
third house" in particular have lost two brilliant
members.
| THE DEMOCRATIC SENATORS AND THE GOVERNOR.
| The democratic Senators have decided in caucus
to reject all nominations OF the Governor. This indi-
Gates some quarrel between the anti FeDtonites and
i the democrats, between whom an understanding was
had on this point some time ago. The result will be
to compel the Foger party either to take sides with
the democrats return to the fold OF the radicals.
Was this manGuvre another piece OF strategy on the
part Of Governor Fenton to triumph over his
| enemies In the republican fanksY II so.
ne has signally succeeded. One Of the first results
| OF the quarrel was visible to-day in the motion OF
Senator Crowley, an anti-Fentonitc, to lay on the
table the bill reported by Senator Creamer TO increase
| the salary Of the New York Common Council.
| The Canal Board to-day appointed Peter Hogan, o
| Albany, resident engineer of the Eastern Cana
| division vice william b. Cooper; Philip p. Midler
superintendent on the Syracuse section Of the Erie
| Canal, and George Lanes, George b. Sheriff. and
George Northrup superintendents on the Champlair
| Oanal
| r,y,xYy xyOnu YrCycr AmYynn