New-York tribune., 1871-03-29

sccure the ascendancy o better men, and
do away with clques This assumption 'as peen proved
by experience TO be faacous. Under the operation OF
this act the control OF the Erie Road the only one which
ayaed itself OF Its proysons has been taken ont OF he
hands OF the real owners, who are now PcttiOnnS lor
tho repeal OF the law Men who arc thus egisaeo mo
control without yearly accOuntably lgnore thS hEn,'
Of the stockholders. The report continues; No ques-
ton Ia better settled In this country than that u Is thc
right Of every person TO manage and control s own
property and the principle holds good with aggrog-
tions of individual owners Of property ~ Tf as wt1 "a
any Company, availing themselves OF It's pro
visions, may il they see h acting ,hG law 'trlSg teag
stockholders ont of the possession ana cool oi tlr
property for three years and partly from tne pesoSon
come in this State at least whatever NAV be the prae
tice in other states, when the railroad POI ,
who them TINS. time has demonstrated Is inugh
DrttT t9r the piDllc rs Noli s iot ~ tdU od ceye
that the principal lying at the bottom OF ths Clis'nc
ton ACT erroneous: that even under the honest man
agameEt OF the best ~ 8n the prOvsionso OF the general
railroad law Of this State To the election OF directors
and their terms of office Is wiser and better than those
contained in this act and that alone this act
should be repealed. Tit argument lnat lohIict oI h
nicpaI corporations lave adopted the system OF cass
cation Is not IN point they in way parallel ese
Nor do Inc undersi ~ thnk tlat tic p,7aSe oi Ds
containing this classification feature, by belt or Slio
from NeYork TO the West, 90 about the time this act
passed, argues IN favor of the prlhcipe. ~ on o
contrary simply proves preconoerted On 'ne
part OF the projectors this Law IN these states, or ~
least similar movement on the part o kindred Idiroau
schemes in those states. II was both claimed ana az
Mod before the Committee that this system was III gen
oial in Great Britln. The undersigned, howeV'T
do believe IL IL Important TO decide this question IL
Is apparent that however the classification principle
may work there it does not have any OF th9 M ad-
yaniages claimed for 70 in its working, hrre.
The report tho company itself is proof that the
him. tIat lie caIal Stock OF tie Erie roai was the
end Of the year 1867 when these same persons SI',
pd Sio he end nf itcs II had been increased
to sc3Ol2O; at the end of 1869 10 ss536eO ana at e
hc clpl stock o tie Cpmpany in tho three years that
these persons have had the road OF S5s425Fh rms n
crease was made without the knowledge oi t1o s'oV"
Mcinwhnc. tho mortgage or funded debt OF the road
has within these three years been a.iuaIy Iicisu.
The total amount O the funded debt of the road ~ te
end OF the year 1867 S22292G at inc Chd OI 1910"
Nor have the earnings Of the rold increased in the
ratio OF this increased capital In 1867, tie total receipts
tlc road were 81 l12l3; total payments othcr lhan
cons ruction SS2Gg 3: surplus over Sloao00 In 1870,
tine earnings aud cash receipts were SOL ao4 Co pay
mcnts slGi1i8 o., showing thut the road was run ~
iydrd cL stock so issued among the Stockholders of
sG Company 20 Iopresont the Increased value OF the
road and ls equipment, corporations have done
or ATTEMPTED IL do aud yet the capital siOct oi SAID
Cafnuu three years only S'OloOO ana ls now
s5,O0DO01 then worth in inc market 20 20 30 cents
on p dollar, aud is now worth hut % cents on dollar.
The only conclusion that can he arrived 40 from care
ful study of these figure and the report oi ha!d Com
pany g., that Tie avais o. the safe Of s5s00J ot me
stock thus issued has gone uio the Opera House ANA
other outside property, or been 80 a as tAc sto, hlo
places an all wi1out tr authority Of and IN violation
Of thc ghts of tie stockholders Of the Eric Railway
rpoit lrorcals 10 argue that thcpresen Directors
the road really ftIrrSeuiH "" majority hi t-'
they viii have ~ officially in recC, ling th'macNe, 1he
effect or tis unlawful issue o. Stock AMI Ills tDniHh,i
usurpatiun Of authority upOL cur GcIt Is adVcfcd TO
aud dcuar-i Tie quos-It as 10 whether tine roTi Is
managed SO as od3r the puDlc has no' hinG,
il e opinion of tire mlUIity, e. do with the subject
They therefore rccUuuID nj tc passage oi ic l an du-
s-,t OF which De- hereto annexed, repeating at once me
classification clause 90 ire ect uf 1862 ana amending tho
a. 1-1o, md also prO' ding, as at aS naJ 1, a,t
tNe evils pracs by the present Directors OF the ETe
Company.
SIC l. Section 2 Of chapter othe laws 1852 entitled An Act
e. entitled An Att ton
he . Clui.s ulson River and HGem Railroad Com.
rqre tasel t, D. hereby 0andel hi sir. OF o sad
section due 10 'oEm- ucr Iir Board cd If,a tarl Of
ii Cpupies NAV classify tic men en ui s-c1 b0ifi %,
d.. or rca1.r may outii o. T nl H
d, o nagra' election, q al tc eeclr) cfe-
tor. Of dIrs shall De 'Oi'i iOI o u
r'.rs 81 .luse " shall tIeg expire" -
July l5'I, 1if'ciof %
t.s. tie Place o.. t5o-e NOV Ginning 81 be tortort
SIC shall be rac 20 sOes OF any f-
raa corporation s @ unless sch loa is the owner o. TIE
stock h.s luiv eNec'tri Proxy
ssc l. Everg stocs railroad corporation WHO he's owned
the dav shall 20 ii g. vote vh.tt t ownefs uain'
company loo, aui 20 c'l shall aulolr e hg
nr ANY l.t5lcI tck1eIf meeting oi ll - ahcf
ser,rr On. u MS gt TO vote t ieo1 p'i tl H'
~ju 90
SIC chapter Law 1870 shall D." aeniei 60 read -
oss: director OF corporation sAa
enr Oher tan By ths Judgment oi th'
t0I-'
Sc T. IA.s aei ssall talc effect nr eir'ely.