New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-05-19
THE RAILROAD CLASSIFICATION BILL.


PASSAGE OF Mr.. CosTIGAN's BILL IN THE ASSEMBLY
-DIFPEKEYCE BETWEEN THE PRESENT ACT AND
THE ERIE CLASSIFICATION ACT-sECIIONs ) AND
4 OF THE ACT OF 1865 REPEALED.
lBY TELEGRAPH TO The TRIBUSE1
ALBANY, May 1S.-The Railroad Classified
ton bill introduced by Mr.. Costigan, which has been OPP
posed by members as practically reenactment
eTbe old Erie Classification act passed the Assembly to
day by 65 1t defended BY its advocates as very
different in operation from the act referred TO- which pro
yded that the directors might classify themselves,
whereas this act merely oonfers majority Of the
stockholders the right 10 adopt the system OF cassca
tion aud provides that II shall not apply TO directors
then in Office Tie bill in its amended form provides
that the stockholders Of any railroad, at any annual
meeting special meeting called for that purpose,
accept the system OF classification OF directors au-
torzed by the The directors elected after the adop
ton Of this s stem divide themselves BY lot into
three classes Of nearly equal numbers as may be- the
rst class for the second for two
the third for three and at each annual election there
only enough directors are TO be elected 10 I'LL vacan
cies The classified directors 10 serve three years
each II provides for the postponement Of the annual
election Of directors for months aher the 30th OF
September, when, by law, il is now set within three
months before that time Every year following the election
shall he held the day designated No person is 10
be permitted vote any share OF stock belonging 10
or hypOthecaed TO the corporation in which the election
is 70 be held.
The sixth section, which permitted twothirds Of the
stockholders in number and amount 10 confer bond
holders the right at annual elections stricken
out by the Railroad Committee and in its place
ported section which simply provides for the repeal Of
Sections and Of the Law Of April 81 1865, the mpor
tanee Of which may be Judged from the text Of Tie
uons repealed, which is as follows:
No stakeholder director officer in either the
NOrk Central Railroad Company, the Hudson River Railroad
Company Harlem Railroad Company, shall be director
ocer O the Ire Railway Company and 10 stakeholder dIec
officer Of the latter shall
81 either Of the three first named companies.
SIC IL shall not be lawful for the Erie Railway Company
% consolidate Its stock thereof divide
earnings thereof with the NewlOr
made between the
Company and either Of the above Companies for such cOnso
cation OF division shall be void nor shall any stakeholder
director ohcer Of the Hudson River,
New York Central Railroad C0pany enter into any agree
nent with any stakeholder director u The Erie Rail
way Company 10 Tx for freight passengers
hiough or TO or from point In this State Any stock
Loder director ocer agent or other person 81 nor,,,.
guilty Of misdemeanOr and upon Thereof sss @
kisheo by hDe OF Imprisonment b0 dircfeiJ-
The Court @~S"Jn Of
The report upon the bill had only got IN .r.,,u
@eFa9le o9ecti9ns from Mr. Alvord acr 18th he and
Gen Hustled denounced 1t on the Goo, a. reenacnent
OF the Erie Classification act The repe, ting section inst
described was not alluded u in the rehae and ttle an
pareDty was known Of us mo .n,nc w. T1omos q
Campbell and Mr. Schuyler d" ,rad ,h, ,,. co,,d ais
no'uns nui'iu 10 ne provisions Of the BILL and
Will some eHut u veg ,assed