New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1883-11-11
THE COURTS.
RAILWAY COMPANIES ENJoINED.
A TRANSFER OF LAND AND A PROPOSED ISSUE OF
BONDS SAID TO DE FRAUDULENT.

TRANSFER OF LAND AND PROPOSED ISSUE OF
BONDS SAID TO DE FRAUDULENT.
Judge DOnOhue in the Supreme Court Cham
Ders yesterday granted temporary injunction,
bic on November 49, In the action Of Marshal r. Van
Nostrand against the w0Fleans, Baton Rouge and
Ycksbrg Railroad Company, the New Orleans Pacific
Railroad Company, The Union Trust Company and WILL
lamb. and WillamM Barnum, William NJ Scott John ].
Flanagan, Willis Gaylord Samuel c. Pomeroy and others
stockholders and bondhoders Of the railroad comDa
MES in question. The plaintiff stakeholder and bond
holder In the New Orleans Baton Rouge and Vicksburs
Railroad He alleged that by act Of Congress In 1871
100000 OF public land were allotted TO the
road. The company then mortgaged this land
and its other franchises % the Union Trust Com
pany trustee to secure Sl2OOO,OOO Of bonds
Issued by the road Messrs Gaylord, POmerOy and Elan
agan then the officers Of the company. william H.
arnum, the complaint declares, In 1880 arranged with
the New-Orleans Pacific Railroad Company for the
veyance TO 1t Of the lands given to the other company by
the Government, and he to have compensation for
his services in large share Of mortgage bonds which
were TO be issued by the Pacific Company
the basis of these lands. He Is said 70 have
made an agreement with Messrs. Gaylord Flan-
again. PomerOy and Scott, and Others unknown,
by which they resigned their positions officers of the
Baton Rouge and YicSsburg lines and Mr. Barnum and
his son, William NJ, became respectively tho president
and secretary Of the road At meeting OF the directors
OF ths road, II IL further asserted while there
the two BarnuIns as president and secretary convey
inc lana 10 the New-Orleans Pacific Company on
any terms which they might make The land was so
Yeyed, ana the conveyance approved by The Land
Commissioner at Washington Mr. Van NOstrand charges
that this transaction fraud, mat real cOnsera
ton given the Baton Rouge and Ncksburg Company
and that the only purpose I'm the matter assist Mr.
Barnun in making money through his contract with
the other company. contract was then entered into
between the Pacific road aud Mr. Barnun for the issl-
by him Of from 81 100000 to SJ0O0OOU of bonds
mortgage the land, Onehalf Of which Mr. BarQum
to receive The Pacific road then executed the mort
gage Of which Ashbel Green and John f. Dillon trus
tees and plaintiff charges that Is proposed to issue
bonds accordingly. He also declares that by the transfer
the land from road the other and by the sale to
the Pacific road OF the franchise OF the Baton Rouge and
Vcksburg road for $2jOWhch Il asserted have taken
pacetha road deprived OF AZ of It's property aud
II the New Orleans Pacific road allowed to issue the
mortgage bonds contemplated the plaintiff aud his fellow
bOndhOers would be deprived Of security for their bonds,
and the stockholders would have no Interest at ALL
II is also alleged that under arrangement, the
ture OF which is unknown to the plaintiff, the Union
Trust Company had agreed to cancel and surrender the
mortgage held by IT, and the plaintiff therefore asks that
the Court declare the transfer Of the land fraud and
compel It. reCOnYcyanCe to the New Orleans Baton
Rouge and NckshurY Company to restrain the issuance
OF the mortgage bonds and enOn the Union Trust Com
pauy from cancCing surTenleT1ng the mortgage hcd
by IT, II any all 81 these things cannot be done then
the plaintiff prays that the defendants be compelled 10
pay the damages suffered by him lie also asks FOR re-
CCiYcr