New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1878-01-10
THE COURTS.
ERIE'S LAW SUITS.

THE OPPOSITION 10 THE RECONSTRUCTION SCHEME
The motion on behalf of William Zaggel, an
infant NEUTRALITY-SUSPICIOUS. Of the Erie Railway Company
decree the sale Of the Erie Railway under
foreclosure vacated aud be allowed to come in and
Defend was finally submitted TO Judge Daniels yester
day. Judge Comstock on behalf of the Farmers Loan
and Trust Company argued that the foreclosure did
Zaggel wrong all the property OF the Erie Rail
way In Niagara County. covered by the mortgage,
and offered 10 have the decree amended so that 1t should
be without prejudice tn 2aggels rights A. T. Lanning,
Buffalo, rejected this offer Reclaimed that his client,
ward of the Court should he protected by the Court
notwithstanding any negligence OF his guardian, aud
the Erie Railway had property not included in the
words, all other property" in Niagara County Oh
which his client had lien. Judge Daniels reserved MS
decision
Two petitions OF similar character were then pre-
scented, by Albert DE Betz and MOritz Levin Dor
chard of Antwerp, and Jules Leyiia OF Paris, repre-
seniing $3.50 secoud consolidated mortgage bonds
first consolidated mortgage bonds. Both pray that the
petitioners he made parties to the acoD and allowed to
an affidavit OF Mr.. Jewett read denying
waste extravaganza purpose TO serve his in
Turner read the OF the Farmers Loan and Trust
Company to the petitions setting up belief I taa pom
by cable they believe that Ietz and BOrcard IRE persons
"wner Of 81 600 Of bonds only has long been Mc"nrys
agent, and recently failed Tie Trust Company denies
that any OF the rights Of those not joining in the recon
structiGn scheme are impaired in the proceeding mn
Mr.. Macfarland read . long answer by the Erie Rail-
way, giving In detail III, history of Mr. hcIsnry's con-
nection with the Atlantic aud Great Western Railway
Company. and the Cleveland, Columbus. Cincinnati aud
Indianaios Railroad COMPANY AMI his attempts TO con-
troll the Ere Railway Company IN 1873. claim
ng.hat hs PURPOSE was 10 lease the other roads 10 me
Erie Company The gives letter Uf McIicury's
dated February 49, 1873. IN which he says: We must
have in the board men o action rather than men OF cS
science whom You trust with our secret pro-
gramme and who will pledge themselves aDso-
expenditure. Now. Thurman. Ranney, Cisco
Morgan land perhaps Wale) are not calculated
for the purposes req fire" The Waite mentioned
IL now Chel Justice Wae. The answer quotes mum
her OF letter, from john Livingston anu john Harold
the latter Mcirnry's agent to show that Mciicnry OBJ
icct IL 10 break up the reconstruction IN order iti-
claimed. To prevent the prosecution OF claims AGAINST
him II also shows that the majority oi the MORTGAGE
bOnIhOdrrs has acCcdcd 10 the reconstruction scheme
and that Than majority OF the stock voted for The
present directors
The formal account OF Mr.. Jeweit. receiver OF the
Erie Railway Company from May -, 1879. 20 December
81 1876, tiicd with tuc County clerk yesterday.
This different account from that of tie receipts ana
expenditure az Mr. Jewctt for the Erie Railway COiE-
pany, which has been flied down to October last.