The New York herald., 1871-12-24
THE ERIE WAR.

The Erie Company's Side Of the Story.
The despatch from London published In the
HERALD Of yesterday regarding the proposed GUST
ing OF the present management OF the Erie Railroad
has naturally created much excitement among the
officials OF the road. "One story n good until an.
other is told" and OF course, the Erie ocas desire
to SAY their say" in Q matter 80 I'm
portant to themselves rs well TO the
public ct large or course, their version OF the
condition OF the affairs OF the road differs widely
from tnat Of the English bondholders, and while the
magnates Of Erie say they are perfectly content to
let the law take its course In regard to who are
really entitled by right to manage the road, they
are, nevertheless, ANXIOUS that the public should
hear
THE OTHER SIDE OF THE STORY,
which Is told BY them a rollows:-The Erie
Railway Company leased the Atlantic and Great
western Railroad, agreeing to pay q certain
rental for the thereof for certain length OF ime
After fair trial the oniciais OF me former found
they were losing money BY ths lease and. therefore,
notified the managers Of the latter that they should
relinqnisn the Atlantic and Great Western Railroad
on the lst Of August last. which they accordingly
did. The capital stock OF tho latter road Is said to
be some $40, 600 900, chiefly controlled by James
McHenry and Aessrs. Blschonsnen h Goldschmidt
OF London. The interest on the amount would
reach IN round numbers $4,000, 600, double the
amount that the Erie people claim the road Is able
to earn The length Of the road IL some four hundred
and nity miles, ana there large cities upon
1t local earnings amount to but little. Without
the rafc or the Erie Railroad therefore, by which
through freight Is placed upon the Atlantic and
Great western Road, the latter would be OF but lit
tie value. Hence the desire OF the above named
parties to obtain control OF the Erie Road.
ANOTHER REASON
for the latter, say the Erie people, Is that the Erie
has lease OF the road from Dayton to CINCINNATI,
distance OF some iorty miles. 1t win therefore be
seen that the Erie Road mas the Atlantic and Great
both ends. The Erie people contend that the English
bondholders ABOVE alluded to wish to obtain control
OF the Erie for the purpose OF saddling the
So 900 stock OF the Atlantic and Great
western Road upon II. The Erie Road, Its
managers say, will next year earn . surplus
Co.'s obtaining control OF H. would be used 10 pay
part OF the interest on the bonds or the Atlantic
and Great Western Road. As the combined capital
stock OF the Two roads would amount TO some
would be entirely insufficient TO pay the interest on
ts bonds. Thus, say the Erie oicias the desire OF
the English b0ndholders Is not so much 10 Improve
the management OF the Erie Road as lt Is to put q
value on the $T0,OO0,00o worth OF Atlantic and
Great Western bonds, the real value Of which is
very small. This
CUNNING sCHENE
on the part OF the Engllshmen say the Erie men,
would result In pushing the value OF the Erie bonds
much lower than II now is, and would place one OF
the West In the hands OF foreign capitalists, who
would have no interest In running II SO as to benefit
either the metropolis the travelling public, but
whose chief ambition would DO 10 make all the
money out or II possible. such Is the other side OF
the story, as seen through the eyes OF the Erie
hold RS, and. as they have paid their money" they
can take their choice.o