New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1883-04-19
HANNIBAL AND ST. 10. SOLD.
Mr.. GOULD GIVES UP HIS CONTROL.

The directors Of the Hannibal and st. Joseph
Railroad Company met yesterday, but they re-
manned in session only short time. They were
told that the control of the road had passed into
the hands of the Chicago, Burlington and Quincy
Railroad, and therefore, after the minutes of tho
previous meeting had been read, they adjourned
finally. 1t had been expected by some persons that
at this meeting the directors would decide upon the
building of the extension from Quincy to Chi
cago, about which there has been 0 great
deal of talk recently. 1t was known that
responsible contractors had offered to build the now
line at considerably less than $4,000 mile. and
that bonds to that amount would be taken by equal
y responsible subscribers. Several of the directors
of the company were anxious that the new line
should be built under what they
considered favorable contract. and tho
that the real control of the road had
passed out of their hands resulted in the immediate
dissolution of the meeting before any definite ac-
tion could be taken.
Jay Gould and few friends have
held control of the company since Last
September when they bought almost the whole
Of the common stock from the brokers of John K.
Duff, of Boston. Mr.. Duff had successfully "cor-
nered " the common stock nearly year before, and
had forced the price to 800, but in accomplishing
the whole of the stock. His brokers car
ried it for him year, when they sold
it to Mr.. Gould and his friends. The Chicago, Bur:
lngton ana Quincy Railroad had made several
offers for tue control of the property, but nothing
had been done. After Mr.. Gould secured the stock
it entered into negotiations with him, which after
many Interruptions were ended Yesterday,
THE TERMS OF THE SALE.
The Chicago. Burlington and Quincy Company
takes the stock at cost and interest, abont
A. the preferred stock at face value II pays fox
these in its per cent bonds, which now selling
Just above par. Mr.. Gould and his friends
hold about 10000 shares of the com-
mon stock, and it is understood to be a part
of the present agreement that all holders Of the pro-
ferred stock shall have the privilege of accepting
the conditions of the agreement. Persons promi
nently ident iied with the Hannibal aud St. Joseph
Railroad expressed no doubt yesterday
about the success of the sale. They
said that their only fear was that ths
Chicago Burlington and Quincy might yet retreat.
One of the directors of the company said that the
agreement was not "copper-fastened" and might
tumble to pieces at any moment.
Jay Gould said last night: 81 consider the
sale effected; 1 do not how is
can be stopped. 1t is greatly to the sd-
vantage of both parties. The Hannibal road nat
uraly belongs to the Burlington Company, and tho
latter's acquisition of it nsu-es perfect harmony
between the Burlington line and the South westesa
system Of railroads.
About the Burlington stelegraph liness Oh,yes.
the Western Union had a contract with 1t on its
eastern end and new contract for term of year,.
covering all its recent extensions has been entered
into The transfer Of the contract OF the ST. Joseph
Road establishes perfect sympathy between tho
burlington and the Southwestern systems III nss
only railroad but also telegraph matters. The said
is a good thing for ali of u.s."
some of the directors of the Hannibal and 81.
Joseph Railroad expressed considerable ndlgnatiel
at the sale of the stock. They refused to say moce
than that the sale had been made and that an iae
recent talk about the proposed extension 10 Chicago
had been designed 10 affect the price az whlch tas
large stockholders could sell their holdings Charles
f. Perkins, president Of the Chicago, Burllngtoa
late tonight on business connected with tue SAFE
POSITION OF THE HANNIBAL ROAD.
The pool history Of the Hannibal and st. joseph
line has been varied one, without producing
important changes in the relations between tho
Southwestern railroads. Stretching in a straight
line from the Mississippi to the Missouri River Tia
road has occupied position which would enableit
to annoy seriously Its neighbors tho Wabash
system on the south and the Chicago, Burlinston
and Quincy system on the north-by entering into
any contest over through rates between Missouri
River points and CHICAGO and other places furtser
east ward Iu each OF these contests the Hannibal asd
ST Joseph Company has obtained concessions ffuai
the other competing lines which it could not have 0o-
tanned if it had not occupied ITS independent saec-
illa-hke position. IL its lines had been more ex-
tended its interests would have been more IN bar
Inony with its rivals; but as 1t was the road
was enabled to secure frequent increases IN iss
percentages in the various pools, because IL vas
recognized as line separate IN character from the
rest of the Southwestern system. weli-intofmed
railroad officer said last evening" 10 the ea.eas
a,.I hnn a
enabled to control the aggresslons of the Wabash
by using the Hannibal and 81. Joseph againsss
il as q direct power, the acquisition oi tue ro>e
will be an important gam 10 IT,.
THE HISTORY OF THE DUFF CORNER
One of In, notable features of Wall Street IN tho
simmer of 1881 was the corner in Hannibal and
81. Joseph common stock. Its price rose from 9ds
10 1871 in one day. and it subsequently advanced 10
over 800. John X. Duff, of Boston, whose father
was the virtual creator of the Hannibal and nt.
.Joseph Railroad, originated the corner" Tho
purchases of tho pool ran up to about 9O,00O
shares. This gave the members of the pool prac-
tical control of the company Amoae
the settlements made by The ths sufferers
according to common report, that by james X.
Kcene ut about 80. Russell Sage was reported 10
have lost "a great deal of money, and Amos H. Hop
kins, now the second vice president OIL ,Is uvula @
Southwestern system OF railroads carried his losses
to the courts but subsequently, made private sos-
tlement The broker employed by Mr. Dun 10 con-
duct his operations was W. j. Hutchinson, and ons
of hi, transactions grew the controversy which
ended in his expulsion from tho stock Exchange.,
The nool enforced its settlements and then ies
with large amount OF stock 10 carry; -. III ma, iass
ates at AZ With the sale came the necessary
changes i'm this board of directors and the suese-
ournt dealings the stock were small In anount,
at Iigurcs that were practically mado by the pas-
chaser.
BosroN, Mass, April Is The purchase of tho
Hannibal road ~sill call for $9.000,O0O OF the
Chicago, Burlington aud Quincy per cent bonds.
the annual interest on which-4f50, ,000-added 70
the interest guaranteed, 1904 $40. makes tue Chi-
cago, Burlington and Quincy's annual obligations
on account OF this purchase 81 100000.
Boston, Apr lS.-President Perkins, OF the CHI
cago, Burlington aud Quincy Railroad was seen oy
representative of The Advertiser. and ia authority
for the statement that th proposed purchase by hs
road of the Hannibal and ST. Joseph road was con