Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1875-05-27

NEW YORK, May 26.-President JeWett
has been appointed receiver for the Erie
Railroad on a suit brought by the Attorney
General Of the State on a general allegation
of the insolvency Of the company. Mr..
Jewett is 20 assume his duties as soon as
he shall have filed bonds Of SJgO0OO. The
order requires him at once TO file an in
yentory Of all the property Of the road; TO
run il a usual; to prosecute and defend
suits at law when the same shall be neces-
sary; TO pay salaries and wages; to borrow
money; TO redeem pledged securities, and
in fine 10 do all things necessary for the
prosecution Of the business Of the road.
The Express says: The appointment Of
Mr. II. J. JeWett as Receiver Of the Erie
railway is the great topic Of conversation
i'm financial circles. The action Of the At
tOrney General in this matter was well re-
ceiyed, and regarded as the best thing that
could be done under the financial EN-
barrassmeut Of the company. Erie has
suffered severely from the cutting down of
freight rates and passenger fares by the
Pennsylvania anls Baltimore companies,
was perfectly helpless in the matter in con
sequence Of her weak condition. But now
everything las changed. Mr.. Jewett as
Receiver, has no interest to pay, and the
expenses Of Erie are limited almost to the
cost Of running the road. Mr.. JeWett from
being pOwerless as the President Of the
company becomes the
Master OF the Situation
as Receiver. He can afford TO do business
cheaper than the New York Central, Penn
sylyania or Baltimore companies, most Of
which have dividends and interest to pay
on large capital stocks and bonds. BY
forcing matters he can bring the trunk lines
to terms and end the railroad war.
One Of the officials said the new state Of
affairs would not affect the traffic of the
company unless there should be a strike.
To prevent this Mr.. JeWett is about TO ap-
peal 10 the directors TO take some measures
| for the payment of the cOmpany's work
men.
In regard 10 the meeting Of next Satur-
DAY and its proposition TO raise sufficient
money To pay the June interest, Mr.. Jewett
said he doubted that harmonious action on
that plan could be secured.
Tie Jefferson Car Company has brought
! suit against the Erie Railroad Company
| for rent in arrears for cars at SlO,5OO
month. The amount at issue for the time
| is $4,000.
| :. J.. NJ. BailOW, Homer hamSdell AMI
Z. ID. Morgan became sureties for Jewett
as receiver, each justifying in half 4 mil
| lion dollars.
Another Bankrupt Concern in
Travail.
The committee appointed by the bond
/ holders Of the Northern Pacific Railroad
| Company 10 form plan for the future ac-
/ liOn Of the bOndhOldeTs have made report.
/ It is proposed that a committee Of five at
| tend the sale of the railroad and other
property Of the company, with the view to
/ purchase for the benefit Of all complying
| with the conditions Of the plan and as
| summing the management Of the road, 10
| attend to all financial matters necessary to
the execution Of the plan and TO place the
/ railroad and property again under control
/ of board Of managers to be elected.
First mortgage bonds TO the amount Of
not more than $4,000 per mile, are to be
| issued i'm the usual terms, payable in forty
years, and interest and sinking fund may
/ be made payable in gold. These bonds are
to be issued in the event of any and every
/ Igfquif