New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-02-14
NEW-JERSEY CENTRAL.
A RECEIVER APPLIED FOR.

THE PAPERS SUBMITTED TO CHANCELLOR RCNYoN
AND HEARING TO BE GIVEN THIS MoENING-
HISTORY OF THE CoMPANY-THE EFFORTS TO
AVERT INTENDING RUIN-FURTHER FALL is THE
sToCK-THE REAL ESTATE TRANSFER TO PRksi-
DENT KNIGHT.
Application was made yesterday at Trenton
for the appointment OF receiver OF the Central Railroad
Of New-Jersey, q THE TRIBUNE announced exclusively
yesterday morning would be done The drawing up OF
the papers was not completed until o'clock At tbat
hour they were submitted to Chancellor Runyon by
Attorney Vanata, John Taylor johnston OF TINS
city, Thomas " McCarter OF Newark. and Abram Drown
ing Of Trenton. hearing ON the application was al-
pointed $50 to-day. The directors OF the com
pany with the exception of E. c. Knight the President
and John TAYLOR Johnston several days up all
hone that this step could be put of Mr.. Knight and
Mr. Johnston unwilling TO abandon tDc
struggle until every possible effort had been made
TO dispose OF the S000000 certificates of Indebtedness
to pressing claims The placing of the Lehigh and
wkesbarre Coal Company in the hands of receivers on
Monday prevented the fants possibility OF the success
of this scheme the security for these certificates was
in Lehigh and Wilkesbarre bonds, and Mr. knight and
Mr. Johnston were forced To succumb IL is not yet
for whose appointment as receiver the apphcans
will ask but reported that xChancelOr Williamson
Of Elizabeth n j. is the man. President Knight was
not this city yesterday and no meeting OF the board
of directors held here 1t was rumored on Wall-st
during the afternoon that the board IN session at
Elizabeth.
The Central Railroad Company of NewJersey was
chartered under its present title Feb o. ls49 In Feo
ruary 1881 the Elizabeth and somerve Railroad
Company was chartered with authority TO construct
road from Eizabethport to Somervile. This was not
completed, however until March, 1899 After about
10 miles Of the somervie and Eason Railroad, which
was chartered in 1s47 had been constructed the two
companies consolidated and the title was changed
to the Central Railroad Company OF New-Jersey. The
Elfyal IN Ter
until 1864. Subsequently branches were built
from Elizabeth and from Jersey City to
Newark. The New-YOrk and Long Branch
Railroad from Elizabeth to Long Branch was built by
the NewJersey Central and opened IN September 1870
and in 1876 a line completed TO Bound Brooh
from which connection was made with philadelphia over
the North Pennsylvania Railroad and its extension On
March 81 ISL the Central Company leased the Lehigh
and usQuehann& Railroad with its branches and leased
lines and purchased ali the equipment OF the Lehieh
Coal and Navigation Company. Subsequently an ar
rangement made By which the Central Railroad
assumed the management Of the canals agreeing TO pay
5000 900 annually Of the Leigh Canal,
and also TO assume the obligations OF the lease
of the Delaware Division Canal TO the Lehfgh
company amounting to $1ss,701 40 per annum. The
South Branch Railroad from Bonneville to Remington,
Twas also leased and operated by the central
Company II also owned controlling interest ID the
stock and guaIant eed the bonds Of the Lehigh aud
wIkesbarre Coal Company which was placed in the
hands Of receivers Monday. The total length OF
main line and branches owned by the Central Company
was 1O4 miles, in addition which had leased in New
Jersey so miles and in Pennsylvania 1882 sliles
The last annual report OF the company that
has been made public for the business
~ the wear 1875. This stated the
capta stock at 500 525 900 mortgage bonds. due 1890
II 600 900; convertible bonds due 1902, S4475OOO
consolidated bonds, due 1899 Sll,OOOOoo; NEWARK
branch bonds, due 1897, 100000; Lehgh Coal ana
Navigation loan due 1897 $2,3l0,OO0 Railroad Car
Trust Company S26j 1893; accounts payable. s2,432,-
20 making a total OF S46,609,975. In order TO pay
dividend 10 per cent for the year II was 1ouhd hece
gary 10 draw upon the und 10 the amount oil
SgI5549-nearly one-half Of the total sum thus PAID
The stock which sold the day before the publication OF
the report los at once began to decline ana III less
than n week the price below par. II never recov
cred In September, 1876 when the stock was seling
at about 49, another statement was published ID rep
10 the persistent misrepresentduOns anu sensational
which have been so Dusty circ hnS
the condition OF the company Inns statee.' CIV 200
further increase in the capital si0cH oo OF S'ooQ
during 1876. making q total OF S2O6OO,OOO. Az
tbe slime time tic convertible bonds were reduced
SIS 900 but the consolidated bonds were Increased 70
S 900 900 Of the bonds OF the American Dock and In
nyoyement COmpany-a corporation practically owned
, ~ re- guarantee and taxes S5O76,399. An
effort was made to secure Iul,is T" hee.
mortgage for 100000 covering the entire properly Oh
the company, subject 10 the lien 81 he tnym eastS
-.
Oct The president John Taylor Johnston, rsghda
he was succeeded by f. c. Knight OF fbladelphih,
the present president of the eOnpShy' K Giest
eforts have since been made Dy MT hnisnt
and some OF his associates 10 place oah
unou the market that would gain the APPROX A. OF M
yest0r, one of the plans proposed was the Issuing OF
a. 900 600 certificates OF indebtedness secured Dos
~ the iebigb and Wilkesbarre Coal Company Inc pun
lie howe YER had faith IN the ability OF the company
IN meet lis 1ed obligations under the present depressed
condition Of The coal trade. and none OF lne scnenes
uryed successful meeting OF the dlrect0rs VI sne
New Jersey Central and the Lehigh Coal anu @
COMPANIES III Phhadcph last 5aiurdh! ~ Wac unal
agreed that all hope OF tidng over exlstlng unctcs
Inust be Abandoned Active preparations were u
once for the application for the appointment OF re
eiyer ON which rguent will be made TINS morning NJ
stated above. ,,,o
The committee appointed Feb. TO investigate ths
condition of the company has agreed Oh It's report a
has given notice to the officers OF the company 70 '
effect and requested them to call meeting OF the stOeA
holders for tomorrow at noon ~ receive IT, . ~,
Information was obtained AT the office OF Inc view,
Jersey Central Yesterday that the real estate transicro
10 f. C. knight, the president on Monday, hsh reaiy
been owned By the company for many years. IL SaA
purchased by Of the stockholders and paid Tor py
the treasurer. President Knight from time "a uine
had advanced money to the company ana IN
return had been by MORTGAGES As The amount
advanced had reached sum equal 10 fair valuation OF
the coDpanys Lbertyst property IL was Ma lie over 70
hun on Monday The transfer Of the property 70 ths