The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1875-05-27

httNN Att 9't ~ hspV@1S aAAA 49, w
l9s is g IN 1hs a59Se the 1torey
ss aern tht nes he eoaeneement Il Ills
et, . ~ ua,ss' ta,'rei which bae made
the obtaining relief ousht Tor N
se ~ ana ss Il ms a III lha IA pros 3asmen an decree
bo n NJ M ANY ~ n heFen
aoi that an amended ana supplsmenlai complain,
tEe reason wny tnev should resnectively be made
lsneahs ~ Wen - tne laets anu siIc ~
amended summons and 2 proposed amended Az &al
sls, ~ reason oTs,eh sac and etrcnrisanses become
y te - tn rf ms sac
tea should oThwe ?. ae2SnsS as d IN es
same amended anu snpplemehia' eenp.,ulh. ssh"M
ior1NsIth ~ rranied an "a behalf 81 the plaintiff
ms deponsn PRAY tEa saeh g'asr n
further sass Thar he has carefully inquired the truth
the allegations contained IA ne sad amended aud
sntplemenal eompalhts taas ~ e 81 h saSa
1855 ~ tba records books ami accounts 81 the
COMPANY aud have iullY aud freely impaired
a tne ysr WIEN proger 'n n 9ee b
CAREFULLY heard aud considered The recent report OF the
rresdent OF the Erie Railway Company annexed 10 the
SAID proposed amended ana supplemental complaint
ana marsed EXHIBIT A. From these different sources
nspeEeAs nas ooathnea u.. lni'tltoh toeh1s ss
~ = @ t NV h ~ i ean
faine Ia he sa,d proposed amenaei aud supplemental
that any errors Of TACT WIN, any Shall hereafter
pear DC found 70 relate mercy 70 mmateria errors 10
matters Of detail aud Of accounts but IN no wise affect
ing tne SUBS anal accuracy OF me aesauons OF 'oun
n Se aeai 81 tn, as2n AHA !, state ana does state
thai the Pre- sident and directors OF the SAID Erie kali
way Company do tile substantial accuracy q
the allegations Dcponent further says thai dae IN
orhat.on alter ateasonsot :" inerests az Inc
49, TO-. AMI ~ tha cSeiitors o the said cor.
porrtion the Attorney sasaad that the best
interests o noh an Of parties Will be served pro-
tec AZ ana pFonot-I oS tl W. I'm NJ said eompsny
que tusA = geMe.s now tas fSs I'm KY NH II f a M m
feSev,f saeseo H. is1r mi praneriy ne aone In liza
nfeinfsess thtt the hieh personal character OF Mr.
Jewet his long and gNealed experience N the man
agement railroads.. his intimate knowleage 81 me
tion anu affairs Of ne sonpany anu tns general
eonn.etee iepseu ~ anu ~ "a erneStiy
saa oy n W. a[oo isAue 1e' III M BaoM
snbser6el ana sworn 10 before me May 25 1875
MAuRicE sPELLASE Notary Public New YORK county.
ma tolloU,ng ia tne Attorney Generals com.
plalnt:-
TIE ATTORNEY GENERALS COMPLAINT.
The Complaint Of the Attorney General. which .
quite youmlnous, recltes how the corporation q
created; now authority was granted 10 tue cor
porauon TO construct part 81 their road throagn
Pennsylvania aad New Jersey Oy TIE Legislatures
Of those states; tells Of its bankruptcy
III 1895 now the Ere Railway company
WAS organized IN 1850 and took TUE 20 tne New
YORK and Erie Railroad Compauy's property and
franchises and now since tnat time II has enjoyed
ali the privileges OF the original corporation and
the rights and franchises cUnierred upon
Ii by various acts passed subsequent
10 the act creating tue Erie halfway
Company. Tue Attorney General then adds tnat
the railroaus OF the said company, together with
all their appurtenances. rolling stock, &c, &C.,
and the business oil the said company as com-
mon carrier Is conducted with skill and
efficiency and with due regard TO the
public interest: that il Is or ike Importance
that each ana all OF the said leases now held
by the SAID company should preserved
from orieiture Tor nonpaVment of rent to which
they are all subject, and that the said leased
roads should continue TO be operated In connec-
ton with, ana as a part Of the said main line,
eac1 u the said leases oeing valuable anu pfoAt.
aOIe. ana constituting an important INK IN, and
part o., tne system OF roads q when they DO re,
the mortgage security the mortgage creditors 81
tie SAID company would sustain irrepar4ole
damage. contrary TO equity and good conscience
The funded deot Of the company secured o. yarE
Gus mortgages. Is stated In exhibit a. Ihe IN
terest, payable annually, on the saiJ de0t amounts
10 S4o7a 100. 1t appears that whereas the said
company in form Obligated TO pay tue Slo O0O.O 900
o. second mortgage bonds, principal anu interest
par, the said company has only realized there
from at the OF about ior.y cents on the dollar
Inc pialntin charges that the saia mortgage bonds
and that the claims OF McHenry are fraudulent and
unlawful. mat the SAID bonds, nor any part
thereof. are helo by bona tide holders r value,
and that Il the said company . liable Tor any
amount in respect OF the said bonds IL Is ONLY
liable Tor tue amount or money actually received
therefor and no more. As 70 the SLz'OIo,VV1 nTst
consolidated ponds and the convertible gold bonus
tae plaintiff has No knowledge ana no
Information sunlcient 10 form Dehel as
70 the validity thereof The plaintn -
informed aud believes that all the other
oon0s specined IN the said iaole, % the amount
therein specified, constitute legal ana valid ooli-
cations OF tue SAID company according 70 the
tenor thereof By table ''En IL appears that the
company Tor IT'S leased lines - ssso112. ana the
piaintln IS informed ana believes mat lns sald
several leases are liable 10 forfeiture Ia case 81
nOn-p4yment Of rent as the same natures. Tue
plalntin . also informed ana believes that
the SAID company 10 haOle as Ruarahtor IN
respect 81 TIE SAID leases upon Don1s. oi
lac sald several Companies. Inc unseeuIeu
debts 81 tue company amount 10 sZo4so3l. vi
tnls sum, sLOso 81 Is Que Tor wages, ana hAs re-
manned due aud unpaid Tor about Two mOhtns 70
the great prejudice or tue SAID company, 10 the
prejudice " the public interest, ana ~ Tue
persons 70 Waom wages are 50 uue' $3.50, eJs
Is due Tor supphes ana Is many months Que
ana unpaid. inese sums constitute IA equity
preferential charge on tae proper and revenues
oil the SAID company, ana, as the plalntln y al
vsed, should De 80 regarded auo 1eait WIEN ~
the court Ia ADDITION there are many actions
pending against the said company, involving
Claims amoulIlng 70 many hundred thOusanu
doi ars- mere are otner Claims not "a
suit 10 very large amount mere
are also against tne salu company Jaag'
ments unsatisheu 70 an amount unknown.
Inc directors IN 1913 purchased LOT the cOnpahJ
large amount oi STOCK IN COMPANIES owning 90
called cOai lands 10 PennsylVanla paying therelor
S2594, lsl, q wnlcn tls3l:sl0 was apphei " we
purchase d salu stock- ana Tue batAhce sgo-,osl;
was advanced 70 meet expenses incurred oy saii