The New York herald., 1869-01-20


impossible for me TO attend-I am going out wess
tomorrow; butt says he, 't don't make any diner
ence 20 me everything Is rgn,; % sa ana wna'esS' you
q, HAD you seen before the evening Of the 10th the
| form OF these interest certificates A. Yes
stance OF their form : A. declare do not know
| how long we were making up the iorm oursenes'
| there was . committee appointed ior 'ha' pu'
20 Q. when was that committee appointedf A.
| was appointed, think, IN Albany. =. .now
but il was that very time that e we
made thar other statcnient-the siatemens STA en- en-,
rsferrcd 10 in this mornings Irioue-tne sln VI Do'
cember or some time In December there was y col.
| mIttee appointed TO make this investigator; .unt
committee consisted OF three OF us, and We maae y
as ar al We were capable OF making this inyestiga.
| fon there were some little matters tnat VIC nau NOV
completed until the letn some ,he enort "f
| hir. wooster more favorable than isupposcu y
1 would be. - .o.,.~,..a. %
whom was coniided the duty OF preparing the form OF
| interest certlncatesg A. think u was Mr. Cnapin
! Mr. Clark and myself; we were appointed 70 MAKE
| fhts inyestigatlon and TO recommend some measure
10 allow the stockholders 10 have the proper amounts
that were due them in some form; we had been ex-
ne Won recoecr when the interest certificates
| were printeds A. Mo- think there were two or
~ ~ Dify.ri1g rom The one finally adopteds A.
| A Very tr1ing differences; some words altered, per.
| o. IL the rough statement which you think was
read al the meeting OF the 10th was read, by whom
! "A
II was read by Mr. Clark; win not be positive about
that; II by somebody that We authorized 10 read
o. by whom was it prepareds A. l think myself
% O. Do Do you , Know where that statement is now, A.
No do not take 1t FOR granted thatthe secretary
| has got IT, and that it Is IN It's proper place.
O. Who is the secretary A. Mr. Roche.
Q. What did that statement purport 10 Sn0wf A.
do not really understand what 1t shows; 1t showed
just what was there as IL was read do not remem-
| Der 1t now.
showed that there very large amount OF money
thar had been expended blythe road legitnatey and
| puses inat the road had received for long period
back; and l supposed that amount OF money be-
longed properly TO the stockholders.
Q. What was the character Of the expenditure
road-the LAYING Of tracks, the procuring Of rolling
thai KIND, to add to the property Of the road 70
enable them them to do their busness aud they took
that mode OF using that surplus money, q tney
ers for new appropriations; that Is what supposed.
Q. The idea, then was that II there had been with
road sum sum certain. which had been nom time t9
time invested In permanent construction and equip.
that stocxhoder was emitted to something to r..
present that application OF those earnings! A. Yes.
Q. portion OF the earnings had been applied for
| the PURPOSE OF laying double track, was not
stockhoider without any interest certificate fnte-
rested IN such double track and the amount which 1t
ensa to T. Ms s 1Sga % these
interest certificates were made.
@: Was not stockholder Just as much entitled to
the interest certificate was issued us he was after
wardss A. do not know but he was enrltled to 1t,
bur how could he get II unless the company saw
proper to give 1t to him In some forms They chose
this mode Of giving the stockhoder what fairly be-
0. Does the interest certificate give the stock
holder any rights as stockhoder which he did not
have befores A. do not know anything about that
q. AS matter OF fact would not the st0ckholder
have derived the same benefit under the resolution
OF the 10th OF December If large cash dividend upon
the stock had been declareds A. The company had
not the means, unless they went INTO the market
raised the money, TO pay back the stoekh0lder
belonging properly TO him; therefore they took this
mode to remunerate him.
Q. Assuming that the aggregate amount OF the
had been precisely equal TO the amount OF the
capital stock OF the company, what practical
whether he gets an eight per cent dividend
upon the stock or four per cent dividend
Ipon the stock ana four Per cen cent dividend upon
about that; know that had but one motive and
that 70 give the stockhoder what was justly due
him.
o. And what did you give him, the interest GER
tiicate, beyond increasing that upon which divi-
dend in cash was to be declared A. We supposed
or supposed-that that amount OF property we had
used Justly belonged to the stockholders, and did
not see any other mode OF giving them that that be-
o. What interest," DO these certificates give to the
stockholders which they did not have befores A.
ness OF the company to the stockholders 10 that
amount, and which they are ready and willing to
4. Have you an interest certificate neres A. No,
have not.
q. From your recollection OF these certificates Is
there any undertaking or obligation expressed IN
thelr language TO pay the holder the person
named IN the ceruncate the principal sum therein
meniionedr A. do not understand the question
exactly.
q Is there In these interest cirtincates an obga-
tion or promise on the part OF the railroad CON-
n "a IL
person named therein, the principal sum OF money
mentioned IN such certifcates A. suppose 50; or,
II ever they became authorized, to give them that
amount OF stock n they see proper.
O. But II they do not get the authority to increase
the stock, then s your understanding OF the certi
ncate that the holder has right OF action CLAIM
against the company for the amount OF the principal
o. Does the company admit that these interest
certificates can be used separate from the siocxf A.
q And they can pass current without the necessity
OF the holder being al the time holder OF the
stocki a; think so that was my intention, that
tuey could do as they liked; they could sell anu
keep the other II they pleased
q. In the rough statement to which you have
alluded 90 you now recollect whether 4 contained
any details Of these amounts which had been ex-
pended for the enlargement OF the property OF the
roadf A. think statement was made OF that.
Mr.. Clark read Did that contain any details show
ing the different channels in which the money had
the meeting OF the lsths A. do not recollect that
@. DO you recollect now the net earnings OF the
company which were shown to have been SO ex-
pendedy A. No, do not
q. Or any OF the details by which the sum total
was arrived ats A. That was made up by our
treasurer and secretary at the ONCE, and took u
for granted that they were right; and therefore I
courted the investigations; that was one OF the
causes why we selected that committee 70 investi-
gate the afars OF the company.
o. by ''that committee" understand you to refer
10 the gentlemen whose names are appended to the
report IA this mornings T1buneS a. Yes, sir /: do
not know one OF these gentlemen individually
yet may know them all n | see them
to my recollection do not know any
OF them individually, but | said that we
wanted three g good men ~ we have
In our State, and that the public Will have conf
dcnce In 1 said, al want you 10 select who those
gentlemen are ~ and one said that Mr..
so-and-so was good man, ana another, Mr..
So-and-so and that IL the way they were
selected every weli,- said l. III they are
as good men we have got In this State select
them, and LET them investigate this matter:r and
they did IT, and that is the result OF that investiga
ton; wanted TO he fully borne out in the estima-
ton OF the public.