New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-12-14

'S'@''O'
In. sfc has been disturbed to-day ny the revelahenS
IN regard TO the alterations of the certificates u inc
York per cent Bounty Loan bonds when prove 70 DC
s,cb iar-er than was first reported The total amount
~ Rolnty Loan bonds known TO be on she street. u
S1,cVD aud il Is believed that the Whoe amount Is h''
a than ajOOOOO addition to TINS there are cohsuef
.be amounts OF Registered 500 bonds when nave peeh
changed from 1900 TO $4,000 eertncales so Iat tie
whole loss viii not much less than 100000 Tine facts
al tbe Gas, can be briefly stated. The firm of William j.
esrsY GCn. took offices at No. "A Broadst, and Rao@
arrangements with member Of the Stock Exchange 70
t.presen. them" at the Board. This gave them a
Dooa o the street. and rendered IL an easy matter Ior
them to borrow money their coacrals ~ purchasing
a. 900 bounty bonds and 1900 registered 52Os they
had capital enough with the assistance Of clever pen
man and small bottle OF acid, to give them fortune IL
a few days The bonds changed from $1,000 TO
b0O0) placed In loans. ana the nrn OF hIlHam l. OI''
& Co toaud difficulty in borrowing money on theSe
enlarged certificates with 90 per cent margh anu nave
takca fully 100000 clear money from the street During
ts present year sharper have taken over 5ooOO from
brokers and bankers by this easy method and as yet
Mother io stock Exchange or the money lenders have
tsr am steps 10 throw restrictions upon the regstra
g.. stocks or bonds. Nothing short Of fraud Of five
or millions Will the street to take any action 10
1r,. st themselves The Government bond market as
well as railway share market was unsettled by the
developments in this case aud closed unsettled and
reverlsh.
The earnings Of the Milwaukee and ST. Paul Road for
tLc frat week in December were;
sl52o l06g..... Sl2624 Increase. s21'59
The attention Of holders Of the Preferred stock Of the
Erie Railway Company called to the following CORE
opondenco: ~. =, ,,eo
D. B.. EATON, esQ-Dsar Sir: Being on the Committee
Of he Er6 Preferred stockholders, protect their inter
e. please give nue. your opinion Of the action Of the
y{aa- Of Directors OF the Erie Railway Company IN De
Glazing dividend OF per cent represented W useretS
bearing scrip certificates, what elect sueb issue OF scp
certificates Will have upon Tue prelefeI stoeh We NV
hola and whether such scrip should DC aGSenIyI "
themf Respectfully yours. ChAs I. LEFEKlcA'
IL PINE.sT., n. y. Dec H. 1869.
Cu.rtys p IFyERIcH csq-Dedr Sir: In response 70
your request for nv opinion points connected
with the declaration OF scrip dividend Oh Ere pre-
ferred stock, submit the following:
Ftrst. That Company has right to declare any
Dividend on preferred stock unless the SAM w a. eTt
being earned the law gives the stoekhoider me
Eight receive II IN money whatever the DrectOrs may
heclare or omit 10 declare about IT, 80 49,. .
Seo0,d IN no event Is there any right 10 declare
Eoi5pany has think. by such declaration, concluded IL
es from dsputmg that 1t was earned aud hence Il liable
Accepting an illegal scrip would seem TO be that OF
uefeatng the right to collect the dividend in money
Yhtrd The indefinite form OF the notice published by
THO Company, which does not show for what year me
Ecrp dividend declared VIII subject me 70
The further embarass OF being told that his scrip -
FOR any year. since the last dividend PAiu ioT winch DC
may a. any time claim cash dlVlGeha. ., .s,.., q,
Fourth If it be part OF tbs policy that dictated the
deoaratOU Of this scrip dividend 10 convert II into pre-
yerred stock by virtue OF some legislation arbi
sTsrv issue then devise will be made available for in
lereaaing the preferred stock readily the common
Htook been Increased. and the consequence to the
preferred stockholders - quite apparent.
Ftf II the preferred stock has legally, as thlnh
az has place, ana claim earnings ic after TIE mort
Sg7gs bonos. and before the vast mass of obligations
created by the present Erie managers, then Is plain
that none OF the devises referred increase the
amount stock having such preference, and only nga-
Ron defeat follow the attempt 10 Increase H.
sfth zach preferred stakeholder must Of course, dc.
eide for himself whether he wants such scrp on sneh
conditions. Your Obedient servant, ID. h. EATON.
idABts Of the Average of Loans, Specie Circa-
DEPOSITS ana LeGdl Tenders "a the Banks OF the
city Of NeV-TOrk for the teek ending Saturday. Dec.
II, 1857.