The New York herald., 1878-07-04
RAILKOAD TROUBLES.

THE KANSAS PACIFIC RoAD-A CIRCULAR TO
THE BoNDHoLDERs FROM Inxan COMMIT.
TEE.
As published In Saturdays HERALD trouble has
com menced between the subscribers 10 the pool Tor
the reorgxni ization Of tue Kansas Pacific Railroad
Company and the Denver extension bondnoldcrs. II
seems that an agreement had SUBSTANTIALLY been
reached between these parties and everything com-
picted with tho exception oil drawing up the legal
papers. Que OF the terms OF The agreement read as
follows :-'At tho expiration OF i've years sooner,
ut the option OF the pool, cash pay
ment equal to eighty per cent OF tho
amount Of their bonds and unpaid interest
TO 10 paid to tue Denver extension bondhoIders
seutng TO tue plan OF reorganizalioo" Notwithsand-
Ing this c,andcstine meeting OF the pool neid
Lawrence, Kan, on June 90 1878. wnsn they deter
mined pay tho Denver extension bondnoiders only
seventy live cents the dollar Among tho parties
present this msstng were Jsy Gould, Sidney Dillon
John ID. Perry, Robert Carr, Carlos Greeley, J,nn
r. Usher and ID. U. Eigcrton The pool claim that this
action taken because they understood that the
Denver extension 0ondholders un able TO comply
with tnsir agreement made by the bondholders' CON-
mtee OF reorganzatioa, TO ucpost with the United
States Trust Com any all the outstanding Denver ex-
tension bonds oi the ks1sas PscInc hallway.
THE OPPOSITION Forms
The committee OF tho Denver exteos,on boudhoidcrs
VINO nave been watching the movements o. the pooi
any promise 10 deposit AL the outstanding bonds.
rhey cam that tins Is odly prcsxt OF the pool ior
ae ring the terms Of the srrsngems"t hrst entered
into Win the bondDolders. The circular says that
the OBJECT Of the pooi an attempt to get possrrs
Of portion OF the bonds aud certificates AZ 81 4-l0
per cent oi their lace value, and 10 compel the re-
mainder 10 accept iorty per cent or whatever
BY tho pool by means of toe Deposited bosds. The
com believe that u is the interest Vt uoad-
holder. 70 press tue pending SUI. ., Adsipnns Ms,,
ai. 10 nna decree c foreclosure aud saic, s.d,
such SAL TO be prepared 10 purchase the ro'd iran
chises anu property eovered oy the morigas securing
SAID bonds. They reques, the bondnodcrs 70 deposit
their bonds wi,h trust company sud To ap
point a parcnasing commitce 10 act Tor them.
Tucy have made arrangements with tba Uutsd
states Trust COMPANY receive and keep
safe all the ponds, coupons aud interest
cerncales sent IN csrtincacs thereof or
without expense " the bondnodcrs The comm ittec
rs ct s ao asv" 20 yoU
tue valuo OF thu bonds la the Market IN oroer
them IN at loss than .nsr Ies' va,as. When . ma
to the United states Trust Company meeting
VIII be called Of tho depositinS Sondhoders
who small draw up a plan of reorganization, and
submit tho same to su6sequsnt mcct'ng, al winch
purchasing reorgahizstivn committee shall DO ap
pointed, at whose Disposal tnc bonds IN the rrust
Company shall for all purposes Of ioreclosure and
zson, bc placed. Tho expenses OF every nature
anl KIND, including those OF the Trust Company, arc
TO be paid by the reorgsuized company fhis circuar
Holmes. sccrs,ary of tue Commit,ee OF Niue OF tue
irt mortgage bondnoders OF the Kansas Pacific
Railway.
ST. LOUIS, ALTON AND TERRH HAurx.
A sixty day note ior s37, ,5oo which deposited
with the Bank Of North America for collection, and
which given W tns ST. Louis, Alton and rerrs
Haute Railroad Company BY the Indianapolis and 81.
LOUIS Rairosd (hc lessen OF insj tor the April
rcntai, went to protest yesterday. rho st. Louis,
Alton ssd Terrs Hauts people hold another note Of
the sane amount for the May rental when will Isll
due August The lndtsnapoi,s aud ST. LOUIS
Railroad Company tine lsssseh gate notice two weeks
tnst tncy wouIa not pay inc notes unless there
was a reduction Of she renal from S4s0,0oo 10
$500 600
Attnc 81. LOUIS, Alton ana Terrs Hauss Compsny's
ofccs yesterday was stated that the notes Tor tho
Juuc rental should come forward on July but thnt
NO turther remittances were expected, called for
IN the contract. meeting OF the officers OF the 81
Louis Alton and ferrc Hsuts Railroad viii be held
snor,Iy, wbcp n's expected that SUIT viii DO coin.
ncnued againxf the Indianapolis SUD ST. Louis Rat
road ttuc sscl and slso against shsir guafsntors,
tho Pttsburg, Fort Wayne aud Cuicago and tne Glove
land, Cincinuati CoIuADus anu Indianapolis railroads,
70 recover the lace value 0f Ne netsa