, 1877-09-17
TIE RAILWAYS.

AA4s 4sAb&i 4ktAAtSF AAs
A letter written june by atr, II. j. Jcwctt,
Receiver Of tho Eric Railway Company, and
sent to Sir Edward Watkins, M.l., Chairman, Of
tho Reconstruction Trustees, at,d gotttalniug re-
plics to statements nlalc at meeting held ut
Lot.don Atay TO- 1911 las just been published.
Receiver JGwctt e3ys tl,ut he read the rcpurt VI
the meeting referred to, but tt.at unity tlyu or
SIX oitlc persons present were iheI, or lad ever
bccii, shareholders Of the Company, their names
being AfclIcnry, Is2ucson, Proctor, Woud, anil
Feet. Hc leclilHs ~ refer tu thu tlarges ton.
ccrntng lie rulatl0ns between the Company and
Ms. Mclienrg, arising out OF fis transactions NJ
the custodian 0f Its bontls 10 tho pretended
settlement between Him md 31r. Grey, or
to any stntcmcHt conneetcl with ttr
accounts bcswcen llitn at,u tie Company, Us
they will ali be tue subjects VI judicial Inquiry.
Admitting that le may l!ave committed urrurs
IN the management Ut tho Eric Rallway, rs he
WIS wholly iGnDraht of It's financial condition
wien hc hccan,o Receiver, ho says that among
tho first questions presented 10 his noticu was
tho lease Of tho Atlnntic S Grca, Western Rail-
way, anl thu cprtract that It wn,lhi, on or lIc-
stock to tlmt tle, owncsl by It to equal Ut least
Ont.llalf lhc whole capltal ttock VI tllr CIcyc-
land. Columbus Cincinnati Il indianapolis
stock; ha not The ability to nuryllasc,
9 'Ia hna ,s IT. m"ySa 'n s1at 'tss.ton
10 done by thu Eric Company, anil that
tho PURPOSE was, 50 far ~ hu could see, to III
Eolso tllo Fro company In an obligation IL
sarry tho Atlantic ',;!s = afsa; WsstsFn: The at.
Cincinnati Il indianapolis stock, l,c says, wa8
nn Improbable individual enterprise, which
was attempted to 1o charged up,n tho Atlanta.
Il t;rcat Western. alnl Through that Cutnmny
upon thu Erlr. Far tfeso rcasoits liz ,lcetnett
t0 confirm tlIe lcasG until tho tur.s had hGen
complied with by The Atlantis u t;reat Wcsi-
cru CDMsmny. In answer u statement by
Mr. Alcllrnry TINT tho clAnss III tna ~
CURED only wien refused ~ t'r.sTcsl tnrthrr
without sos.ir satisfactory explanations ~ tu tls
past, t',atlu III eaii,lertnn viii. rc,nusks tuuc-
ins Ills ralstn. nf tll',cy aial Negotiation VI
bonds, and Implying HAT tlIe explanations Ms IL
the tast which liz required related to tho dis
postlon nlu.lu nf huch lnnneys ami el,r!
tls country. Mr. Jcwctt says that tl,u
''c'langc, IN time llal NJ CONJUNCTION With thu
Ar. Mc1ienry, oecasln1Ieu by the Kerelver's re.
fusai u nccei,t tt.u AtIautic Il tirrat Western
lease" In regard to the Iuy ttuld settlement,
Mr Jcwctt says hu Orsssved when l!c ,tia.!c It,
ncnt TINT could be cl!rctc,i, anl says further,
that =" tho statement that thc ault had been
compromised, utttcr MI arrangement wt,icll haI
mt yielded mud <xniol yield tho Er.o Company
4.U 0O0 Is 70 simply ridiculous and untrau that
9nr! lnr hts character, ctutL n,kc 1t 6efure tla
publtt." III Sir. Nctlenry's statement t.at i,e
has y Elst OF nearly forty cotnpanlts Subsidiary
!" tue Ere, which aro ~ n,al,y vsalpsres," Mr..
Jewelt says II eoutaius larger nul,her VI oncr.
ous contrAvtH tl,an l!0 lla1 ever heard Ut, md
none ul them Wuulh coilpars with tho pruIM,s-
Cd Atlantic y t;reat Western lease. II they
now exist. tucs existed! wIlcn s!r. .M.:-
tiDm u the Company, atlt tl,v question IL askc.l
why did he nut seek tn pyerthrs'W tllrmf 6u fur
trun 0clng "ranprt," the Fc,lasylyltlia Coal
Company contrart las been yu'uabu our, aud
tuakc tu-lay II It tliA int exist Or alr. M.-
llenty's elsasG1 that ''tke e1prcss companies
gather tngcthcr all lhe iincst and }igh.prtccsl
lsslsilt, t''e very t'hts OF rai|xay revenue, anl
carry II In sealed wagons. paying to tho Eriu us
fourill.elass freight" Mr. Jcwett says that The
Ertu has tut une express company, aud tAut tho
ratcs ny tec t]MEtrd statea EXPRESS Company
have bwen tcycral times in extrss ot any 'rate
Tue transportation of similar cl4sscs vi
freight, and u excess of any ratcs which
Will tScf sgaln by rcalizcsl by tho railways upon
similar tsallis. Ar; ,Jewcts, also denies tAat
tic ltnnsyl lyalsia Coal Cu.usany ninl tho 1Icla-
ware u Hudson Coal Company" and challenges
Mr. Msllcnry to Produce y letter from "al,la
ruus,sel ~ New York, Which lie 4'lotcs. 10 thut
elrtt. Mr. aicllrnry liayln: charged that alr.
lewett ha.f ls!!si A!nl sell, tu tvs mouths, not
less tlau S3, ,1 ~ fccs ht a.,sw trs that tc has
ut all times kept largely withtu tho amount
aEryed IL to pa:l hin Il. saiafY by tho bt1rl VI
Directors, and ha! el4inlcd ~ compensation as
Receiver. liz lint4lns, a4aEst aii assertion u
lbe contrary. tlsas notwithstanding tac outrAgrs
which have been Cer!ttrat.I ulo' tLc public by
the parties wlo post u The sc:olld sunsulidat
I'd mortgage bontls. 10 ha5 urged tAat e.oi faith
in theirree gnitluus4uuldh b. .nain!ainyL Ot he
LehIgh Valley, by Which Mr.. Mcllrnry sought
to siiuw ,hat tlls Erie CoiniMny Ind lcen
charged sl,Ud1,Ooo lur WORK wAiti, tust 1ittls
n,oru tllasl halt that amount, Alr. Jtwett saws
that ~! u4ileS vi s.eel Eull wcrr laiI VI sGi2j
per tuu, aud thu whole cost carried intu tue Qc-
tuunt WAY Il, l,QA.nial8. The Receiver says that
the roa1, lar lsuln tcin9 unusoIuttiye Or y lola!
failure, las greatly iucrrslsrd lhc Dusiucss u