The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-01-05
THE ERIE WAR.
Continuation Of the Legal Tournament
in the Supreme Court.
RECEIVER JEWETT'S RECORD.
Millions Involved in the LitigatiOn-Judge
Brady Reserves His Decision.

Court, Chambers, A. the appointed hour with the
ccptiou OF Mr. Evarts. VINO did not make his appear
ance during the day. Judge Brady called the case
promptly eleven O'Clock, and little discussion
between counsel In regard 10 the In which the
argument should be heard FIRST INDUCED
Judge Brady decided that no would not hear motion
TO change tho place Of argument but that the
should proceed at once. Tho morning session
occupied with tho argument Of Judge Ashbel Green
on behalf OF the parties 10 tho Monroe county suit
In the afternoon Mr. A. j. vandcrpoel continued the
argument Tor vi McHenry. which ne attacked Ro-
cciver Jewctps action since his appointment. Ex-
Judge Comstock concluded the part OF the Eric
Railway, defending Mr. Jewett. The case lasted until
five o'clock, when Judge Brady took tho papers
serving his decision. Two other motions growing GU
OF the to be argued before Judge Daniels
THIS morning
Squirt COUNSEL.
Mr. Mcfarland, at tho beginning Of the proceedings,
announced his intention Of moving that the hearing
OF tho motion to restrain McHenry DO argued before
another Court. He protested against tho arrange
ment OF which ne accused side OF trying 10
bring all the motions before Judge Brady. 1--WE DO
not understand the practice OF the atornoyson the
other side of putting these motions in the Same
Judicial hooper, " said he. This remark brought all
the lawyers tho opposite side their feet, with
objections and demands for explanation. Judge
Bradys face was very much flushed, and he seemed
doepy offended The counselors lbaaily their
seats, and Judge Brady, with bowed head and in so
low tone OF voice that il scarcely audible said
he cit deeply wounded at the nsinun,ion cast by Mr.
Mcfarland, and that II the Grst time In his long
judicial career that such remarks had ever been
addressed to HIM. Mr. Mcfarland apoogizcd fcr the
expression he had used, and SAID hc not acnd
anything offensive by tho remark Judg, Brady SAID
that he would not entertain any such motion as tho
counsel proposed TO make
JUDGE GREEN'S ARGUMENT
Judge Asbbel Green then began tho argument on
behalf OF Mr. McHenry Tho question before tho
Court, he said. "a simple appca lou on behalf OF
tho Farmers Loan and Trust Company for u tempo
rary injunction pending the suit which they mad
brought In this district TO restrain tho further prose-
cuton OF prior suit brought in the county of Monroe
for the removal primarily OF the trustees OF the
Farmers Loan and Trust Company, and Incidentally
for the foreclosure oil the mortgage AS matter Of
strict judicial right branch of tho Court could
orjoin tho further transaction Of action brought
before another part Of the Court but should
only BIO done in extreme and where there
was no other remedy. Tho motion OF the
other side was practically to dismiss the
Monroe county suit one Of the purposes
OF that suit
trustees IL was not matter of ind nerencs Tint the
Farmers Loan ana Trust Company should become
plnntH from beng defendant. Hc wanted tho course
OF justice TO proceed without interruption inter-
ference Counsel referred TO Mr.. Dorman b. Eaton
having recognized this principle and beng for-
lunate posscssor oil tho filth mortgage He also held
the printed argument OF cx-Jcdge Comstock bis
hand and said that he had doubt that the FL gsh
public recognized that brief the judicial
ton OF OF the most eminent jursts had
been produced IA this country, because the great
majority OF Engish ght mat pcr on
went to argue that the various plans OF ReccivW
Jewett had been agreed TO simply u matter
determination and therefore werc not binding They
were not adJudcaia ln support OF this no quoted
decision OF Mr.. Comstock, when he was judge, IN
similar matter. Then he said, Judge Consiock iclt
himself ut liberty - inquire whether IA thing was
necessarily decided where the point had been
recognized by counsel inquired into by Court
All the orders which Mr. Jcwett had been obtaining
adJudicata against the parties Interested
but merely acted upon by consent, aud could DO
opened This Is what they propose TO do They pro-
IN the language OF counsel the other side, had
odor that was not pleasant TO hostrils polite.
| THE PLAN REORGANIZATION
Mr. Green then took up the project OF rc0rsaniza-
ton, going into the history Of thc Erie Railway In
August, 1879, no sa,a. gallant knight, yclept
tanner, by the name OF Morris, across
The water Ho wished iorsooth to protect his fellow
cvuntrymen against this giant known tho
terror all The Eng isnncn Erie VINO for years
had boon swallowing their substance, und, tn his
''lce uI,' had all the time taxing the money
OF the Euglishmeu. lie found here friend Jewest,
who according TO his own affidavit, when somebody
Quo The knigh put his lance rest, by icgeu-
demain known TO wuchcraft this giant suddenly
transfer med into golden goddess. and SO Mr. Wua-
Kia went back to England With the plan oil reoraalr
zlii0n. Then, order oil the Court, tho
was permitted 10 take such action as 10 might deem
advisable to complete tho undertaking. II
undertaker's JOB 10 bury ia the gave deep
that II could not DO rcsurrccted all opposinon
to the system oil conAcripoD VIII ich had
been practised upon the bondhoIders. Then, IN tho
lace Of the principle that all the bondho should
be paid alike, Mr. Jcwott obtained order 81 THIS
Court That the coupons upon these bpnds should be
paid only those WAC placed honsclv.s hands
OF the scii-constitutcd reconstruction commattee and
intruscd their fortunes the trustee that bad
been appointed, but 10 those who proposed usurp
/ the functions OF boh trustee Court 1t had been
asser,cd hat the majority the dholdcrs
govern ana Direct but cinsc ned That tho right OF
bondhodcr was just as potential as the rights OF
ali the others. Tho request OF the other side that HIS
Honor should give his the plan Of rcorganl
za,ion could DC SUPPORTED by no judicial
( clare the meaning oi contraciS not 10 alter
or change them Tho plan. nc commended,
was an attempt 10 create new contract The
coupons, which by the terms OF the bonds pay
able at certain days were To be- funded and their pay
mcnt postponed. The rate oil interest oi same was
to be changed. The English were nattcred by titles
therefore Mr. Jcweit was always the Hon. Hugh
Judge Jcwcu ttorc. way as they
had their N. P'sandQ. q s--Metroloiitan Policemen
and Queer CRITICS
ATTACHING THE RECEIVER.
Mr.. Nandcrpoci next bvgan Argument In behalf
OF Mr.. McHcnry. 1t tnorc WIS who
served credit no SAID, trying to rescue the Eric
property from the wreckcrs VINO wero destroying II
that was his client From Tho the receiver
| was appointed there mad been n ghost before him
ana lie constant terror lest should be com
PEELED TO restore his ll.gotton money mo tho
treasury The stockholders had thanked Mr. Mcienry
tor hts libtrulity ana gene rosIty trying
rescue the company from the difficulties winch sur
rounded 1t. lie Farmers Loan and Trust Company
had been appointed trustee, Out had not IailhIuiy
performed Its trust. 1t vas the OF the Farmers
Loan and Trust Company, but the hand tho hand
OF Mr.. Jewett. inJuy, 1871, sia. Watson retired IRON
the presidency OF tho company IN which he had re-
ceived salary Of $4,000 year, md Mr. Jcwetl
elected president agreement III Il no szould
$3.50 000$ 600 down and $I26, 900 IN notes SUIT
was commenced 10y the people OF the state to forfeit
the charter OF the company, but that cid not trouble
Dir. Jcwett, Tor he had MS securities his pocket
But when these malconcnts, as tlcy had been called,
concluded that tho transaction m rcicrehce 10 the
salary grab was dishonest and cosnmcnc,sl acton
Tor IT'S recovery Mr.. Jewctt was aroused. He had
interview with the directors, hich resulted IN tho
Attorney General taxing charge OF the sus against tho
company. IL must have seemed strange ~ His Honor
that tue rcceivorsbp had p,IlcD into Mr.. Jcwetps
hands without his desire. Nj. Jowot, with his III
sottcu moucy ia his pocket, wanted a receiver APP
pointed who would he rDtrtly Satisfactory TO himself