New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-02-15
N. J. CENTRA Us RECEIVER.

N. a.
-
JIrDGE FRANCIS s. LATHROP APPOINTED.
ARGUMENTS BEFORE CHANCELLOR RUNYoN-PROMrr
Observation-Disclosures OF Tnr CHANCELLoRs
ORDER-JUDGE LATHRoP ACCEPTS
rrRou A SPECIAL CORRESPONDENT or TIE TRIBUNEI
TRENTON, Feb. 14.-The application to the
Chancellor for the appointment Of a receiver for the
Central Railroad Company Of New-Jersey for which
arrangements had been perfected on Tuesday, was
made formally this morning by Abraham Browning, and
resulted In the appointment OF Francis s. Lathrop OF
Madison The selection s not satisfactory to some OF the
persons interested in the road for the res son that the
oupointee is a member of tue Court Of Errors and
Appeals which tribunal may be called upon to hear ana
decide questions arising ont Of the present troubles Oh
the insOlvent company; and, further because '"uke
Lathrop is of the Riparian Commissioners OF Tue
State have been hostile to many OF the schemes OF
the company. The conflict between the COMMISSIONERS
and the railroad however has been settled Among the
many prominent persons present were f. e. Knight A.
G. R,cbey J. g. shipman, Acknowledgement Vanatta,
Cortlandt Parker John Taylor Johnston, exChanceor
BENJAMIN williamson, Abraham Browning, THOMAS N
McCarter and Barker Gummere. In making MS apphca
ton the appointment OF receiver Mr.. BROWNING
said that he held his hand bill Of the Lebgh Coal ana
Navigation Company showing that the Central Railroad
is lnsoyent and asking for Injunction restraining the
latter company from further operations under It's char
ter and for the appointment OF receiver He suggested
that ex-(hancellor Williamson and l.. g. knight, fresi
dent of the Central Railroad, liz appointed receivers
Tho bill sets forth that the Leigh Coal and Navigation
Company corporation OF the state OF pennsylvania IN
creditor of the Central Railroad Company OF New-Jer-
sew and flies the bill behalf of itself and other credit
ors The bill rectes the fact Of the Incorporation OF the
Central Railroad and the Lchigh Coal and Navigation
Company and the leasing Of the latter company 10 the
former at rental OF Onethird Of the gross receipts
from the traffic and business of the leased
company, and an agreement 10 pay INC III
terest upon a bonded debt Of S2310,00O semi
annually That Central Railroad Is insovent being
Indebted and failing to pay the complananfs S2a4'ooo
due for rent jan last also, for promssory notes.
$3.50 OOO which become due on March z, 1877, amount
ing in all S612OOO besides the S2SloooO purchase
forth that the property of the Central Railroad mort
gagged TO the amount of s25,O0OO0O the payment o,
ir1I,v nnG thai in aditon the mortgages and the
indebtedness 10 The plaintiffs the Central Railroad Com
psny indebted the State OF Nev-crsey III te SUN
OF 3l Goo for due and owes 100000 to lis ein
poyes Tor arrears OF wages, creating IN al an M a
debtedness OF $50 100000. The Dill charges that
the company IL hOpelessly insoyen and prays lof an
injunction anu the app ointment OF receiver, hn Cnai
davit Eiwart W. Clark, President OF the Lehlgh Coa
and Navigation Company corroborates the allegations OF
the bill. 49,, A., .,,u, q, ,roro
was such imperative necessity a. would preclude the
court from giving persons Interested opportunity for
questions arising ont OF it, This company the CentraD
owns railroads in which are the fon1dain
eosed roads in PENNSYLVANIA exceed length the main
road me bill ASKS for me- ccne ae c srTsd on SI
question worthy o. hearing aud '"ereiofe i"'
The held receiver should he
officer Of this court and not ia the interest OF any par
cular pcrson but who would for the interests
of all 1here is hardly family of any means
this state which does not hold stock Of this company
and many their ali invested in its securities.
have no anlmoses to gray or pets 60 favor put r
ceyersbip would oppose the appointment OF one not
citizen of this State. lie then suggested the baine Oh
Howard Potter Of New.York said he instructed to
suggest the boudhOlders the appointment OF Gen
Atlantic aud Great Western Railroad. or John q.
SchultZe.
only receiver. and he would he under the uisdc-
ton of He asked if ii desired that the re-
ceiver should be appointed at once.
Thomas n McCarter Of Newark replied that the case
demanded prompt action The property OF me company
magnitude OF the matter made promptness imperative
There obvious reasons why person well acquainted
qualified receiver than entire stranger 1t would
I've impossible to consult all the Stockholders wishes
ships generally in the interest of the last enhod
some lienh9ders The practical result ought to
would result in the appreciation OF the stock ana tne
oil the ns Of 9. o he for G the
poinmcn of Robert b. Potter, who had distinguished
himself as receiver OF the Atlantic and Great Western
Railroad.
MIR. Gibbons of Pennsylvania made few general re-
marks, and followed by John e. Bullitt OF Phatel-
phia He said hundreds Of thousands of dollars OF the
property OF this company in Peunsy vana would be at
tacned by creditors this company, and IL would de-
stroy the coal business OF tue Central Railroad unless
satisfactory receiver should be appointed Representing
million dollars OF claims against this company,
would ask the appointment Ot xCnancellOr William
son. and he would urge the immediate naming OF a re-
ceiyer III the interest OF the creditors.
The Chancellor then granted the petition OF the com
painants and appointed as receiver, Judge Francis =
iathrop of Madison. The order gives the receiver
power under order OF the Court to SELL convey. and
assign all the estate and personal property and
the court all moneys and securities, deducng sucn
compensation as the Chancellor shall allow; IL Is made
his duty and operate the railroads described in the
bill of the compliments and those lying IN the State OF
NewJersey and those connected Herewith aud leased
the ferry at the castery end OF the Central Railroad
from jersey City TO NewYork; he shall have power aud
authority preserve and protect the corporate pryi
lege franchises and property OF the company and OF the
roads in Pennsylvania from all proceedings which shall
or may be taken by any person tending to produce
sacrifice Of the property The bond OF Judge Lathrop
was fixed at 100000.
About gig O'Clock Judge Lathrop, who had been tee
graphed for arrived and had long consultation with
the Chancellor lie "a OF large wealth. His bond
has been made out and will be executed tomorrow lie
formerly director OF the Delaware Lackawanna
and Western Railroad, but resigned this position when
ne appointed Judge OF the Court OF Errors aud Ap
peas lie sad to-day that he had not now dollar OF III
terest III that road.
SOUTHERN STATE DEBTS