The New York herald., 1875-11-02
ATLANTIC AND PACIFIC RAILROAD.
ATTEMPT TO THROW THE COMPANY INTO BANK
RUPTCY.

ATTEMPT TO THROW THE COMPANY INTO BANK
RUPTCY
On Thursday last the county Of st. Louis through its
attorney filed petition the United States Circuit
Court asking for adjudication in bankruptcy against
the Missouri Pacific Railroad Company. meeting Of
the creditors Of the road called at the
Fifth Avenue Hotel yesterday, but insufficient notice
having been given very few attendance There
were present General Clinton b. Fisk treasurer and
director Of the Atlantic and Pacific Rairoad; G. w.
Bishop representing the Cleveland rolling mills; Ed
ward Goodwin a large stockhoder Of the Missouri Pa
cifc; Mr.. Herman Rechtn, treasurer Of St Louis
county and Frank J. Bowman special attorney for the
city and county Of S. Louis.
Mr.. Bowman stated the which had actuated
the city ana county Of ST Louis nsttuting pro-
ceedngs in bankruptcy. lie alleged that the Atlantic
and Pacific as lessees Of the Missouri Pacific, and
their own account had become largely indebted to the
State OF Missouri and the several counties through
which their roads run for unpaid taxes, due the
decision OF tile Supreme Court that they were also in
ebed to the city and county Of ST. Louis in the sum Of
S7O0 600 and interest duo thereon 70 the amount OF
600 which default had been made since June last
that the county treasurer having asccrained that
mortgage Of S4 600 600 called the third mortgage but
in reality the nth, had been pat the roada third Of
81 SOC. 600 given IN 1870 and fourth amounting to
g. 600 600 made IN December 1873, Still outstanding
in addition 70 the first and second, which amount to
S 900 0O0et satisfied that the object Of the company
was 10 sell the road cutting the cred
itors and the stockholders Of the Missouri Pacific
Mr.. Bowman then propounded the following interrog
aiories.-
Under what circumstances, and by what authority,
were the mortgages for 81 500 oo0 for $1,000 900 and
ior 81 600 900 giyen2
How much Was fealized under each, and what has
been donc with the money?
As the Atlantic and Pacific Railroad has failed to pay
it's interest VIII the company make statement show
ing what they owe 70 wlom and for what they owe it,
and how they propose 70 pay III
In the petition presented before Judge Treat, nj st.
Louis IL stated that the proceedings in bankruptcy
founded upon allegations Of fraudulent preermept
and fraudulent disposal Of properly BY means Of bogus
mortgages. Ii also CLAIMED that these mortgages
for the purpose Of deirauding the
creditors and the stockholders of the Missouri Pacific
Railroad
General Fisk replied that he would show, at the next
meeting the Of this most Infamous rad upon the
credit Of the company. Some Of the money borrowed
applied 70 the redemption and cancellation Of IN
come bonds some expended for steel rails iron
bridges the general ana permanent improvement OF
the property aud all the loans authorized at
meetings Of the stockholders OF the Missouri Pacific
He characterized the proceedings instituted Eat
tcmp,s at bushwhacking the road" and invited and
would insist upon the most thorough examination Of
the books and the closest scrutiny Of the affairs OF the
company before a United States Commissioner
The meeting then adjourned until Wednesday,
the Cd inst, At noon