The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1875-06-02
TROUBLES OF ERIE.
APPLYING ron RECEIVER N NEW JERSEY


APPLYING FOR RECEIVER IN NEW JERSEY
THE CHANCELLOR RESERVES HIS DECISION.
Yesterday In the Cbancery Court OF New Jersey
at Trenton, before Chancellor Runyon, Mr.. Court
landt Parker made an application TO have an order
Issued similar 70 the enc recently issued in tht
New YORK courts. appointing Mr.. hugh j. Jeweti
receiver OF the Erie Railway Company. This ap
pncatlon was mace py Mr. Parker Ia behalf CT thi
Elmlra Iron and steel Rolling Mlll Company. Mr.
Leon Albeit, OF Jersey ty, opposed the granting
Of the application ana submitted the following
AFFIDAVIT in support ~ NJ opposition -
strife ~ Nep J,r,~g H,i.oa fehtq AlcNanier 4. Rad.
Opposes ana says an seeretarv y Jeferson
s,ase ., ala eo,nsrny ~. n >ut II me supreme
cour q sew York against nc trls galway 1onptny
Inines ii aaiudred hat ,he Jefferson Car
company Tor the su d sI7Ssss =. AMI have execution
mat mid Jefferson Car Company A. ! creditor o. SAID
Erie Railway romranN. oh,,i. q The appointment =
panv. bccoase snd lefcr,n II s@mpsn, and dcponeni
are informed anu nsiicye a. iptdws
ecY hg s ege a Ts ~ a %
severn wears salary president OF said
hat he present embarrassment Of said com
nan = que y arss desr,e g he present msnase
rhpdlnat Mr Jewet j. not resident Of the state Of
fop,is-rhat the present management the Erie
Of siSa6on bonds which INC said company only
cd lortv cent an dollar
Fish-rhat relatives and Trends Ut Mr. Jewctt have
brcn ntercs'e1 decreasing the value o. the stocks
'eaa "9 me s'I o'k q y s s"id comnanv Sor
S,rfh-ihat Mr. Jewea mas interests adverse to those
>sraet-lha the interest, require the appointment OF
managcucnt g the Lrie Eailwsy re'alanv as g make
en, , p, 9fh r r r tnn
s % @a %, o. ursd,,or ~ y, M c"n,pany
Itself by reason o. NOR acts
IT'S own showing uat there enough assets pay
"sy parties prac interested Il ihs adminstratos
q the assets q aid company are rs creditors ana hsi
interest Is an iagonsc 10 any interest Mr. JeweU NAV
Niaa-Ihat during The past ten months the ,whels
supplemental complaint - Ine sun, 10 . New lorn
Save run se aGg over nadon 70 the bonds
Tss@~i Hst, as said New YORK. uiI !. Ter the purpose
"f acts d nsurpaon the interest creditors VINO
are 70 be protected by nc court O. New jersey require
ne rights cre lit,. should h nroI.elcd ~ 81
Gems who within the jurisdiction 81 the courts Of
cicrcah-rha tne Elinira Iron aud Steci Rolling Mill
COMPANY + eorpsration c9ntralei ~ aug "a me ~
pressing The yspe o. The sock oI tic erie Railway
worn before me ms slsi aay 81 Nay a = l isi5 -
wfttias MuHasAp. II. q. 4
Mr. Abnctt asked that the facts set forth in tns
aridavit should nc proved by testimony be ore
Master in Chancery 10 he appointed. lie said that
Jewett's brother had been acting in New
YORK TO place Erie IN It's present. condition.
and mat Ii there was not COLLISION there
was an understanding 10 ruin the creult rs OF the
Lre Company. lie believed the whole scheme was
10 place the management or the roac in the hands
OF certain parties IN order reorgsnIze it In SUCH
a shape as they desired. There Is not money
enough now TO pay the debts OF the company and
hardly enough TO pay the bonds. His clients de.
sired an investigation and that no order should
be granted as was Issued in New York. II Is an
outrageous and unprecedented proceeding, and
the order askei for gives Jewett absolute power
10 do just as he pleases. Tue result viii be
spe1es OF fsvorit:sm. and VIII work innnite mis-
cneH 10 the creditors. There ought TO ne a rest
dent receiver or the state of New Jersey. MI
Jewett s not u resident and ne IL unsatisfactory.
Ex Attorney heueFal "Hcnrlst Salu ne IepIs
scented . parry VINO had contracted with the Erie
Company Ave years ago violation OF that con-
tract is now threatened. The party ne repre-
Sents Is the National stock Yard company, anu q
large amount OF property wa, bought ~ tnat com
rany IN Wecnawkeu on the strength Of that con.
year or freight. TnIF movement is 10 dive the
waole uafc TO tine Pennsylvania Railroad Com
pany, and tae idea = TO give me receiver
clients. consequently. may have trouble 10
getting reiieE He wantcG reservation made
IN the ordar so taat his clients hpuld he protected.
II the order a. Issued IL NAV arect IN a serious
StocS Yard eSmpsns. Mr.. GilcnrIst said il seemed
10 him by concession made on the other side tnat
tne reservation was proper 20 oe MADE. lhm
New YORK.. II these extraordinary admissions 81
claims are permitted IL wall prove disastrous 70
the creditors he order n granted. cannot be
recalled aud ~ ties the nanos OF the courts
After the corporation is dissolved not even Judg'
ment can be revived against A. IL IS not Just OF
proper To have an order made IN this state similar
10 tue one IN de IN New YORK.
Mr. CORTLAND Parker tnen sail the NATIONAL
Stock Yard Company was created bv tie money
OF Ere, ana the only security now nad was
81, 600. 900 worth OF bonds secured by mortgage
~ ere Is a suit pending IN the Chancery Court
on behalf Of tue Erie COMPANY y get possession
OF their property IN the stock YARD COMPANY.
question was raised ~ Mr. Glicnrtst aboui
hos lhe employees vi Erie should be protected
Tne company owed them S500,0l0.
ATTORNEY General Nan&tIa appeared on behalf
the state a0d said IL had Claim against tue Erie
COMPANY OF about S62, 900. He insisted that TINS u
a PRIOR claim aud suOuld he paid first.
the chancellor tnen said tnat ne thought ne
would not send tue case 70 a Master IN Cnancers.
IL Is clear ne SAID that there ought 20 be bui
one receiver appoint cd anu not various receiVefs
the company IS but one institution anu therefore
should nave hat one mead fne Court ~ not 10
inc nablf OF appointing receivers outside OF the
lDing TO be doue. tine question Tor tue
Court 20 decide was was Mr.. Jewett proper
man. II no u. the Court Will appolut nm. Al
ample amount OF bail sndIi be liked. To give tue
matter 10 a master wouid open tue door 10 lltig&
tlon winch would ne productive OF nc
shrlst,s clients all teeF asked Tor was
conceded. in respect 70 the wages % the em.
ploscs the Court believed that the act passe last
winter IN this connection IA retrospective. 30 la
as ne sees II hAd 4 limitation. lncre were some
things the order not satisfactory, but the Court
VIII look into these matters.N
The chancellor then took the papers and sale
a.