New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-06-18
THE COURTS.

NEW SUIT AGAINST THE ERIE RAILWAY.
rxocrrp,xGs BY THE FARMERS LOAN AND TRUST
COMPANY FOR TIE FORECLOSURES OF THE CON-
soIIDATKD MORTGAGES
The complxint of the Farmers Loan and
Trust CDmpany against the Erie Railway Company ana
the trustees the h Erie mortgage will be filed today
With the County Clerk The suit Is brought az stated 10
THE TRIBUNE OF "Wednesday to foreclcse the two eonso
dated mortgages dated Sept l. 1870. and Feb s74 OF
both Of which the plaintiffs In the suit trustees the
complaint gives brief history OF the Erie Railroad from
its establishment ander that in 1892 to It's lore
closure and change OF name to the Erie Railway 'oh
pany in II that there outstanding on the
rst four mortgages $12li60O0 bonds at seven per
cent that there has been default on the interest
them Jet On the nth mortgage there Is ouisana
ing S7O9.5O0. on which default WAS made June l. ""u
an which G. Bancroft Davis. one Of the trustees OF that
mortgage has already reported begun foreclosure
The complaint then the two consolidated mort
cages on which IL Is based The first Is dated september
1870 and the full text Of the mortgage IL apPended W
the complaint II covers the original road IRON fier
mont to Dunkrk built by the old Company. AZ miles OF
which arc IN PENNSYLVANIA: the Jersey City branch
originally leased but part of the main road over
which tho main line TO Dunkr Is Asa '7ioo miles The
leases and easehod interests Of other lines making the
NewSurgh branch the Buffalo Brnch and all the rolling
stock equipments and property OF me % Pi,road
cSmp ~ the Bnf.lo Ncwaork and Pittsburgh Rail
rQel
road COMPANY and the Long Dock Company , Tha,
mortgage made TO secure SoOOOoo0 Eash non, Voe
under It dated Sept l. 1870. payable sept l. lsZO.
March and Sept l. Under that mortgage bonds 10 the
amount of Sl6656 600 issued and are oustandhG'
but the March interes; h; : been paid. . A..
plaintiffs on Feb T. 1874 1t conveyed the same prop
erty being all tho property OF the Company W seoc
S3o0oo0o Of other and different ponds anu sJ tbis
cure SD 600 OF bonds already issued 1ndef tns'
these ~ 1000 900 bonds dated Jan 1873 ana pay
able Jan. l. 1903 bear per cent gold interest pay
able January April. July and Octoocron MSn n ooo
Sl30OG00O had been issued The bonds were dntcu
March 2. 1874 payable in 1894 with z per cent
loan Interest Amounting 10 1853 40 due jane l.
had been demanded OF the Company ana refused anu
the Company Ia in default upon It, ,, .,,.
by the people to up the Erie Railroad on account m
it's insolvency. and the appointment OF MI Je"et, az s
receiver. and states. In addition the BELIEF OF the pia
tiffs insolvency that the complaint OF the peoe
shows that income Of the Erie Railway COMPANY
since July 1874 only S3 163,4 54 ID, while us cur
that its floating debt July. s74 about 100000
which had not been reduced in fact put only III form,
and thai in truth the rece,Ps o OF sne tS"n bs
debts of the Company maturing IN the meantime.
The complaint out that the rights OF te hohefs
of bonds under these mortgages i superior 70 ,e
OF the people and they entitled therefor to have the
mortgages Orecoecd and the road sold To protect tnc
and that receiver should be appointed 10 protect ler
ment OF Mr Jewett receiver this action with proper
notifications to protect the bondhoiders ana ior o'ne
relief
As already reported this complaint and the accom-
papying schetules, and affidavit OF r. G: Rolston;
President Of the Trust Company, Turner Kirkland ana
Nice lure the attorneys tor the palntin OBTAINED
from Judge DonOhue orders appointing MT jewell re-
celyer in and the action brought on lhe MIN
mortgage Yesterday. Mr. Jewet filed hi bonds IN tiese
ties are Homer RsmsdeIl 81 l.. NJ. Barlow, and f. b.
Wallace.