The daily Argus., 1875-08-18
UNDER The HAMMER.
Sale of the r. r. I. & st. l..
Road, Under Mortgage.
Which was Foreclosed by the Union
Trust Company Of New York.
Spirited Bidding The Property Bagged
by German Bondholders for
S1,32o,ooo,
From The Chicago Times. 10Th.

abroad has occupied no little time and |
attention to the United States courts dur
ing the past twelve months or more. The |
road was advertised for sale by MIR. Ii. w. |
Bishop. the master in chancery, under the |
decree of foreclosure entered by Judge |
Drummond in the suit Of the Union Trust
company, Of New York. The first pay
ment as required under the decree for the
sale was 100000 cash down, and the re-
mainder on time The sale was to have
taken place one week ago yesterday, but
was postponed on the petition of Judge
Trumbull, the counsel for the German
bondholders, who represent between So,
100000 and $6,O00,000 of the stock Of the
road. After some discussion Judge
Drummond granted the prayer of the peti-
ton, and sale was postponed till yesterday
morning.
At 10 O'Clock those interested in the
sale began to assemble in front:of the La
Sale street entrance TO the Republic Life
building, and by 1920 O'Clock over one
hundred gentlemen were there, consisting
Of railroad men and attorneys, with a
sprinklng of outsiders, who have always
manifested deep interest in the result of
the sale of the bankrupt road
FHOM THE VERY BEdlNNlNG
Of the lengthy litigation in regard to this
road, it has been a fight between the Ger
man and the American bondholders.
There were two issues of bonds in June
and October, 1863 the first being held by
the Germans, and the second by the Am
orleans. At the time the litigation COM
menced the road was being operated in the
..RA A.. Al. I L
been on their part to retain its possession
and management. The Germans bond
holders have held the advantageous posi-
ton all through this warfare, and, as the
result of Yesterday will demonstrate, they
came out victorious.
AT THE HOUR APPOINTED.
Mr.. ii, Osterberg, gentleman from
Frankfort ton-the Main, who represented
the German stockholders, with his counsel,
Judge Trumbull, put in an appearance,
quietly smoking and looking as if he in
tended to have the road at any cost. MIR.
Goudy, Judge Lawrence, and others, were
present, interested for their respective
clients in the matter. Speculations we're
rife as to what sum the road would sell for
and who would be the victor, but these re-
marks were soon cut short by the appear
ance of Mr.. Bishop, whose duty it was to
put up the property and
KNOCK IT DOWN
to the man who could show the most
ducats Mr.. Bishop read the decree of
the court, the order Of the sale, and the
order of postponement, and stated clearly
the terms of the sale Mr.. Goudy then
stated and gave notice that the st. Louis
Alton Il Rock Island Railroad company
had claim on the road which was in liti
cation in the McDOnough county circui
court, and they proposed to prosecute tha
claim, and that any sale would be subjec
to it. He also read notice from Mr., II
II. Porter that he claimed to own some o
the rolling stock, and should follow it int
whoseever hands it went.
JUDGE TRUMBULL THEN STATED.
that all the claims referred to by Nh
Goudy had been passed upon by Judg
Drummcnd, but this Mr.. Goudy woul
not admit. These preliminaries gon
through with, Mr.. Bishop offered for sal
the road and 1.-THE contest was opened by
BID FROM MR.. C. W. HAssLER,
of New York, of $3OO,OOO This wa
quickly raised by bid of 100000, c. f
Ganbert, Hassler, and gentleman SUI
posed to represent the Chicago, Burlingto
Il Quincy railroad doing the bidding. Th
was rapidly increased, by bids of 1000 ;
a time till Judge Otis took hand, whe
it increased to $4,000 at bid. Judg
Otis, and a stranger who declined to Civ
his name, carried on the contest singh
handed until the stranger ran the biddin
up to $500,0O0. Judge Otis paused ;
this stage OF the proceedings, and NJ
Bishop then showed his qualifications fl
an auctiOneer to good advantage, whiC
resulted in the judge coming smiling up
the scratch and cOntesting the ground Inc
by inch with the stranger, until the u
known ran the property up to $G20,O
JUDGE OTIS AGAIN SHOWED SIGNS.
Of throwing up the sponge, but Mr.. Bishc
was equal to The emergency and persuade
him to go $1,000 better At this the u
known raised him $4,000, and the jud.
then remarked; "Well. my friend,
guess you can have it. \ wink from Il
sharp eye Of the auctioneer, hoWeve
caused the judge to rally again, and tn
time his eye indicated business and brea
prs ahead, and the judge cried out "$640
900 These two gentlemen then han
mered away AZ each other till the strang
reached S6SO,OOO. Here
MR., osTERBERG MADE HIMSELF HEAR
and put in his first bid in behalf of Il
''Faderland' at 100000. This bid ga,
u new impetus to the business, and the u
lnOun hunu IN fill ha raaobnd c750 m
when Mr.. Osterberg raised him to $76C
900, and he retired in good rider and W
seen no more. Here Judge Otis remark,
jocularly, That's all the change l.
got" but still his bid following his !
marks, Of $4,000, cou;radicted him, al
the contest was wagcd with spirit betwe
himself and Mr.. Osterberg until the iId
reached S0l2,OO0, and here he weakene
At this point the Times reporter asked I
judge who he was bidding for. This questi
was sueg, sted on a Tumor that Judge d
was biculng IN the
INTEREST OF THE NORTHWESTERN ROA
His answer to the Interrogation was, II a
bidding Tor myself alone Mr.. Ost,
berg showed his game by raising .Jud
Oils to $9lj,OO0. At this stage, bids |
tween them were lively until the Germ
ran the property up TO $950,OO0. He
Judge Otis wiped the perspiration frc
his brow, and said, Guess I'll let hi
take it. Mr.. Bishop urged him to sti
again, and requested bid from him
$1,000 more, and the judge gave it, a
followed the representative of Germany
Ill! Germany reached the round figure
$l,O00,0OO, and here the bids dragg
along slowly for some little time until Z