New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-05-02
JAMES McHENRY'S PLANS.

LEASE THE ATLANTIC AND GREAT WESTERN,
THERE ARE THOSE WHO VILLA HINT In RE-
GARD TO HIS MEANING.
James McHenry, the veteran English fnancler and
railroad operator better known on this side OF the
Atlantic from his relations to the Atlantic and Great
Western Railroad, aud his connection with the
revolution In Erie, having recovered from tho
effects of his 10th voyage across the Atlantic has
entered upon the details of the work, the accom-
pishment of which has brought him to this country
AS has been stated, the object of his visit is to re-
concie, if possible the conflicting interests between
the Erie and the Atlantic and Great Western Rail
roads, and to advance the interests Of tho latter
enterprise no matter at what cost to the former
The details of his programme have long been sub
ject Of conjecture to the several parties in Erie who
regard him Of their ablest adyersaries. The
unsettled condition of affairs. the recent develop
ments in Erie, the possibilities of future opera
tons which may place 1T in the power
Of adventurous spirits to grasp the railroad
which has been the subject of so much intrigue and
contention have attracted general attention to its
affairs. If McIIenrys intentions are hostile to Erie,
there are numbers who would willingly assist him in
any efforts which might possibly rebound to their
advantage. S. L. NJ. Barlow says that Mr.. McHenry
is not hostile to Erie. and certainly not personally
hostile to most of the members of the Administra-
ton. But let Mr.. McIienry speak for himself
He said that the object of his visit here at this
time was to arrange certain matters in connection
with the Erie and Atlantic and Great Western Rail-
roads The two roads naturally related to
each other and it was for their mutual interest that
permanent relations should be established. Each
succeeding day developed this fact more and more.
The Atlantic and Great Western was gigantic
terplise destined TO increase materially the pros
perity Of itself, its connections, and the country
through which it In 1868 the administrations
of the two roads became convinced of the desira-
bility of closey union, and 1T was finally
decided that tho Atlantic and Great Western
should DO leased to the Erie at q minimum
rental of S1sOOOOO per annum. The lease
was consummated but during the four years
it was in existence out Of the aggregate rental of
s. 100000 the Erie only paid the Atlantic and Great
Western 100000 The promoters of the Atlantic
and Great Western had become tired OF such un-
profitable relations, and now proposed to obtain an
equivalent for what they gave. When the reyolu-
ton in Erie was suggested 1t was concurred In by
the Atlantic and Great Western, the friends of
which assisted by their money and their efforts in
redeemng that corporation. When the new admin
isration went into power il was suggested that the
Cleveland, Columbus Cincinnati and lndianap-
oils Railroad would be q valuable acquisition. The
Atlantic and Great Western assented, and purchased
of advancing the general interests of the roads
nearly related. The Atlantic and Great Western
now demanded that the Erie should fulfill its prom
Use made when the new administration went into
power, viz: lease the Atlantic and Great Western
ave only want" said Mr.. McHenry, "as rental
from the Erie, our own earnlngs-not one penny
worth more" The Erie has repeatedly promised to
fulfill its obligations, but having allowed its policy
to be dictated by its greatest enemies, has never
complied with il. Who its enemies every one
in this community knows. These men frightened
the present Erie people by clamoring, What will
people sayP The Atlantic and Great Western Rail-
road controls 1000 miles of road. Unless the Erie
avails itself Of the present opportunity, other ar
engagements will be made by the Atlantic and Great
Western and the Erie will be reduced to the level OF
local road. Other people are not so bin" rs tho
Erie and will not lose so tempting an oppCri unity.
While the Erie is the natural ally of the Atlantic
and Great Western, yet if its directors will not
ply, the other road will seek other connections.
When asked who the persons were that desired
the Atlantic and Great Western, Mr.. MclIenry
said quickly. "Ah! that is my secret. and shall not
tell it," Recurring again to the subject of the lease,
he said that the Atlantic and Great Western wanted
nothing but what was equitable. When asked
whether he thought the Erie would lease his road.
he said he did not think that it would as the admin
stratIon did not have the courage to stand up to
their obligations because Of senseless fear of what
their enemies might say. This uncertainty how
ever, would not last long The matter would soon
be settled one way another.
Referring to the recent revelations of Erie affairs,
he said that Dunan did not understand the first
principles of book keeping. He had seen some of
Dunan's accounts the day previous, and they indi-
Gated that he not an accountant Mr. Nc
Henry did not believe the statements made by Du-
nan when the testimony of such men as William
Butler Duncan were to the effect that the admins
tration of Erie was honest and capable. The tes'i-
mony of unimpeachable accountants from Lohdoh
would soon tell whether the books were correct OF
not. He was as much interested IN knowing whether
Erie was honestly or dishonesty administered as
many who made much more noise. lie would not
dignity Dunan's scandal by discussing it. Time and
,he honest accountants would tell which was true
and which false.
The most significant passage in the statement of
McHenry's views is that which relates to the alb
sorption of the Alliance ami Great Western by other
than Erie Directors An incident Of his last visit.
however if il does not throw light on the su beet
may at least be of interest His last visit made
after the revolution and before the election of Peter
H. Watson President of Erie. He and other
leading spirits Of the revolution were engaged in
making up the Erie slate" Many names were
suggested for the Presidency. but it finally was
whispered that Mr. Mclenry favored the election of
Commodore Vanderbilt one in utilization
Horace F. Clark son-in-law of Commodore Wander