The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1883-06-26
RUrTER AND VANDERBILT.
A Man Who Will Make His Iark--Why
Vanderbilt Retired.
New York Special.

Vanderbilt Retired.
New York Special
Whatever may be said against President
RutterS early career, he seems to be bound
to make his mark in railroad circles. He is
not stock speculator, does not care straw
where the price of New York Central goes,
and means evidently to make his reputation
by rescuing the road from the sem-dilapi-
dated condition to which the parsimony of
W. III. Vanderbilt brought it. Mr. Wander
blt, when he sold out his stock undertook
certain unwritten obligations that
dividend as long as he remained
its presi dent. He knew, however,
that with the constantly increasing competi-
ton and the immense capitalization of the
road this could not be done very long. In
TACT, as FAR back as year ago he advised
young friend who crossed the ocean with
him, and was of considerable use initiating
him into the mysteries of good manners, not
t o buy Central around these prices" be-
cause the stock was likely to become sooner
or later six per center" 1t is immaterial
to Mr.. Rutter whether the company pays
or per cent. He has already started upon
a campaign of i'm provement and it is esti-
mated that he will spend between 1913 5000 900
and $4,000 900 upon the road. That will
lead, of course, to the issue of new equip
ment bonds, and to a corresponding increase
In the fixed charges of the company.
The sudden and unexpected way in which
Mr.. Vanderbilt skipped out of the preSi-
dency of his road is fully accounted for by
his unwritten obligations toward those upon
whom he saddled his stock. Besides the
syndicates which he made work off the
stocks at home as we'll as abroad, he has en-
ticed his best friends into buying them.
From men like Marvin, Eastman and Foster
Dewey down to every bar-keeper and stable
boy about McCombs Dam, everybody was
loaded with New York Central and Lake
Shore When he had sold out he dropped
the presidency, and thus washed his hands.
But no one, with the possible exception of
Mr.. Rutter, knew anything about the plan
till it was consummated-not even Mrs. Van
derbilt or Chauncey Depew.
w. H. Vanderbilt drove unconcernedly
out on that memorable Friday, and the first
man he told that he had sent in his resigna-
ton was the first horseman he met on the
road-a former cattle-dealer. Together with
the resignation he sent in through his son
Fred. to the different boards the tickets to be
elected, and next day gaily departed on his
pleasure trip for Europe. Mr.. Gould and
Mr.. Sage were then on the Mexican border.
and when the news reached them they saw
at once that the market must be sustained
If panic was to be averted. Orders were
Immediately sent not to let Central go
below 100 or Lake Shore below l09
and it is prabable that these two men
and their board-room followers have
now more Vanderbilt stock on hand than the
whole of Vanderbilt's family put together.
1t must be said, however, that they were sub
stantially assisted by the plucky and enter
prising W. K Vanderbilt, who, not knowing
what the intentions of his father were, was
buying the stock all the time his father was
selling. Hence the row between the two,
which is said to have broken out when the
elegant old gentleman skipped and found his
son loaded with stocks. This page of secret
history of Wall street is torn out of the note
book of man who has always frst-class
sources of information regarding Wander
bits stock gambling transactions.