The New York herald., 1878-03-26
THE PENNSYLVANIA RAILROAD.
LONG AND EXCITING MEETING or STOCK
HOLDERS ON THE PLAN TO FUND THE DEBT

for creating frost fund, recomm mendsd BY the
directors. took place to-day, Mayor stokey presiding.
There was very large attendance The majority
port first read. This repor. complains that
the time given the committee mas been too
short 10 mako q thorough Investigation. and IN
forming their judgment they were obliged 10
depend upon the facts ana figures obtained In
swers aatories which they put Presk
dent Scott They have nothing to against the purs
chase the Empire Transportation Company's BUSH
ness; and in relation TO the Adams Express Company
unwse 10 terminate their contracts with the
view OF railroad oompany's doing Its express
business. They also md that none OF the railroad
officers are now owners OF the express
pauy's stock. They find that the heavy ex-
pense OF tho maintenance OF way over the
Now Jersey division was necessary; also that
tho accounts charged on az loss the books last
year great they appear; that the officers
of the company not too numerous and that they
paid much and that the apparent discrep-
ancy The reports made annually bv the Penn.
Ell OF the State OF Pennsy ivania, and its ro-
ports made To the shareholders OF the
answers to the questions in the auditor Generals ro-
port do include all the operations OF this company
as iuy as does the report to the snaronoldes rnen
the proposition In the annual report to create trust
fund to reduce the s2i3 ooO 600 OF debt OF the Penn
syvania Railroad Company by the purchase OF sccuri.
ties The report says
In the report Of the Board Directors shii-
Hs are s Tie
that "a. 'ss the so aS
nation = -. A., ,,.,,,,, :, .s ..,
vana Railroad Company ucsoun. OF indor s.meptsof
bond. a. or Tor rentals as lessee l. ss.d j IL s
Deducting the amount representing th-
capitalized principal OF the stocks upon
HSsoa S,sa sSs aaa sSa%asas pos S in
utmost liability is confined to the divi-
dends themselves 6s099,6O 10
as the amount Of the bonds npon which tho company Is
guarantor directly or indirectly
DIRECTORS
Alter explaining the nature OF thehe guarantees the
roport with the following iodors
Ing the proposed trust fund
Resolved. That ths creation Of trust having for Its ob
ject from time time the
ofo.her compane, which are guaranteed by the Pennsv
tae company be- and Is hereby approved;
and ,ha, the incoming Board Of be aud they
under adSics counsel. may their Judgment
to accomplish the objects for which It IS dssrnsd " "
The report also indorscs management Of the
the creation OF the trust fund by the OF per
cert on the capital stock rhis report u signed By
Daniel Steinm Gustavus RemaK, d. B. Cummips,
John A. Wngh,, LOUIS Wagner and George 3. Fox.
MINORITY REPORT.
Mr. Thomas Potter, the remaining member OF tns
committee, presented minority report. He says he
could indorse the statements and recommendations
contained in tho repor. prepared and submttsd by the
majority OF the committee, except the recon men,
datiou Tor au immediate approval OF the said resou.
tou by the stockholders a. their meetin. to-day. and
their stock vote In favor OF or against the resolu
tiou be taken 70 morrow the time and place Of
holding the election for directors tor the ysar
1873
He 10 opposed TO the i'm sdiate creation Of trust Of
such magnitude, and Gays
The undersigned could ask tho stockholders vote
yearly dividends amounting annually i.S77<o4 and
s1SS n s. sHs
..d trust, Without giving me whole body H 'Ssshoiasrs
: a..:.d TO vote apSo such time vi. Ss given ven It the
posed - the entire susss: OPEN ics
Directors an perfect schss worthy
oi corporation and the .ra.. Be- msI.s.Sas
and discussion viii but and bring to light Ass In
MIR. Pot.er's reasons for postponing action are
summed up as foliows:-
frBecsu.s sufficient time has no. been Afforded to the
unde ana the "details Of this iundins trust - -,
roS are % % opinion On hs s
subject of,he s.ia trust ,,i
re do,S & !. NJ. such .. ~, 70 any
fo~thfhe duty Of the directors Of the Psnnsy.
oas s . po % h.
fyh-rhs funding seneme I. Of too much mportsncs.
industrious to such that hAsty action
be Justified e therefore submits resolution provd
purchase from time to time. OF the bonds and Of
and abe
S sss S nsonss ssnd D
such action under The advice of counsel. as may
and regulations Tor its aniza;on and
names Of the trustees together with the probsoe annual
eos. OF Il the % A. hsr .nnss meet
by ballots deposited with the judges o election fos DE-
rectors IN the said year
The reading OF the minority report was greeted with
loud applause The Mayor announced that action
would first be taken upon the minority report. Mr.
Henry Unison promptly offered resolution accepting
the report OF the moJorty and favoring vote upon
the funding scheme election oficers
lie said, In short speech, that the sockh odero
could not oeg;n 10 do good thing too soon.
The Hon. b. H. Brewster offered the following ~ Q
compromise, which WAS greeted With applausc:-
esovod That the reports Of the majority and minority
stockholders and when they vote for boara OF directors
on the zs!h Inst they have sesd on ,ne,r Tor the
port of the minority OF the committee or againss any
Then u heated discussion begun by . vigorous
speech from General samuel Todd, OF Carlisle, leader
was opposed 10 ul tn. revolutions offered because
they proposed 20 take tho decison OF I'm poftant
matter oa, g, the hands Of mi. MEETING aud b. pro.
DO quashsd NJ one. tGreat appiause) want 10 ask,
ana most respectfully, OF the chairman Of this COM
mtttce, II he was aware OF tho TACT tnat the
10Th INST. the Peunsyvsn Company surrendered SIX
millions OF assets belonging to The PeunsyivauiA
Railroad Company without receiving 10 rcturn any
consideration (5ensation) AT setting held IN Co
lumbus, on the l9tn, OF tho Pittsburg, Cincinnati
ST. LOUIS Railroad, IL was announced that, Tor The
purpose Of 'ennsncing tho credir' OF tie company,
the Pennsylvania Company had surrendered to tbat
company assets TO the value VI S60V00 600 Nov, II
this Pennsyivana Company Is an adjunct Of Che
| Pennsyivania Railroad Company, would ask an
PLANTATION Of tho grounds upon which II surrendered
those 50 000, 900 OF assets without consideration.
| Was tue committee aware OF this TACT Of how our
assets had been squandered when they made the re-
portY
| Mr. Stsinmeiz replied that Vice President Roberts
had gwen n satisfactory explanation OF this, upon
which there were loud cries for "Robsrts," 'Gvs
| the explanation" +" &c.
General Todd accused Mayor stokey, the presiding
officer oil not respecting the views OF stockholders n
tho appointment o the investigating committee and
iitte tiit occurred between these two geniismsn-
General Todd finally moved to iny the resolution on
tho table, which voted down by large majority.
Mr. Stel1metz followed In temperate speech argu-
ing favor oi the scheme and saying that 10 was
simple that the stockholders could understand u and
| decide on IL by 10. o.morrOw. M. Daniel Dougherty
made long address IN favor oil postpouement for one
year. Mr. Potter then took the door ana argued In
favor Of his minority repors, attor which M Henry
sutton another Representative OF the opposition. re-