New-York tribune., 1884-01-16
THE ONTARIO AND WESTERN
AN APPLICATION For A RECEIVER.
CHARGES THAT TIE COMPANY is HoPELESsL' ''''
p,ppAssFD-wIAT THE OFFICERS SAY.

RARRAssFD-WHAT THE OFFICERS SAL
An applcation was made yesterday 10 JuuEe
Wallace of the United states Circuit Court Dy JOIN H.
Dos Passos for an order 20 show cause why "i''''
should not he appointed for the New norh' VntNo i'
w., poti,,av Compapv The order was granted and
was made rcturnable Friday The compaht OH Nn''
tho arnIication was based is made by Richard H. ChP
a, as Jerser t,tv and John b. Roed. OF PhipSburg
Penn If rectcs that the railway company mas cap''i
s,ocl NJ $50 600 OOO-$5S 100000 common STOCK ana
GO ooo 600 prcferred siocand that 1t owns ana opereS
n line Of railway from MiddleOwn to Oswego ana con-
trolls several branch railways, and owns the necessary
eoupments to operate the line. It Is also stated iha
the railway company leases line OF railway
from, Nddlctowu y. Y, TO Ncw-Durham. n. j., wllch
was leased by the North Eiyer Railroad Company Wcn
has been succeeded by the New York West Shore ana
Buffalo Railway Company. Under this lease the Oh'"'lo
and Western Is bound to pay TO the West Shore an hh
rental Of 25 per Of the gross earnings OF the e
line which was guaranteed be equalto 100000 yearly
"Tbe defendant company" the complaint continues
entered into contracts with said North River Ran
road Company, and the NewYor West Shore ana BUFFALO
Railway Company which succeeded to the rights oI tlo
former company for the construction Of the line OF the sd
North River Railroad Company and by reason Thereon e
pended large sums OF money, amounting IN the aggregate
to many millions OF dollars and said defendant became
and is largely indebted great number OF persons ana
cornoratons and has at the present time h0atng IT.
debtcdnes largely in of 100000 OF which more
than the sum OF S2j5 600 Is past due and th
beyond the current receipts said defendant derives from
operating its said line OF railway the said defendant mas
no money In the treasury and resources whatever 10
meet its obligations and pay It's present and malur-
ing debts; that its credit s entirely gone and that su
defendant has become and is wholly insolvent ana
disabled ransactng its financial business ana OF
successfully operating its railroad
The companauts say that they partners in business
under the name OF Richard II Chapman Co.. ana that
in November December and January they Furnished tAe
defendants coal the value Of over 100000 for whch
they have not been pd They also aege that there are
large accounts unsettled bctwcen the defendant company
and the North River Construction Company, which
has become insOvent and for which receiver has beeh
appointed The complaint further AYERS That the appoint
mcnt Of receiver for the North River Construction
Conpauy has rendered the financial onltiou OF the de-
fendant company hOpeessy embarrassed That II can
not permanently continue to transact business with any
safety upou is ow account The West Shore Company,
tbe North River Construction Company and the ontario
and Western Company, the complaint says are all pract
caIlv controlled and managed by Edward f. Wnslow ana
Horace Porter, and tho complainants believe that
the property of the defendant would be
Injured bv its further continuance under their
control The complanans therefore ask that receiver
he appoint to take charge the railway and that an in
junction DE issued restraining the company IRON dspOS
ing OF its property.
Mr. Dos Passo. said he did not think the application
ior a receiver would meet with amy strong opposition
It's understood the lhcaton for tie appoint
mcnt of n receiver has been made in the interest OF the
Ontario and Western Company. Conrad y. Jordan,
treasurer of the company, yesterday de-
mandcd that ex-Judge Green, receiver OF the
North River Construction Company which built both
tuc West shore and the extensions Of the ontario ana
Westcru Railroads, should at the annual meeting o
the latter company to-day the proxies previously glVn
to General iISlow He also demanded the resiatlOns
of General Wslow and Theodore Houston aS officers oi
either tne Norm River Construction Company or the On
ario and Western Notice To this effect Mr. Jordan sen
t. the trustees the preferred stock OF the ontario ana
Western Company and to the president of the stock EX
chance, who read Mr. JOrtan's letter before tho
hoard. Mr.. Jordan afterWard SAID that
be placing OF the North River Construction Company
i'm e hands Of "a receiver lnI The surrender 20 II by the
West shore Company of $10,OO0O0O income bonds III SCI
emeut of the debt the Construction Company were
great wrongs to the Ontario and Western ROaI.
"Th, has ruined the credit of this company, MI.
These officers to control tie management unless
they shall resign their places III the West shore ana Norm
River Construction cOinpani q. They have shown tna
thry cannot there nd 10 Justice TO TINS company
shall report To the stockholders at tGeir meeting tOOr
row the facts OF the matter
General WusOw said that he unable 10 account Tor
the position taken by Mr. Jordan In reasonable way
il the stockholders did wish him to leave H. In re-
gard 10 Mr. JOrdans complaints That, a. treasurer OF the
cOmuanv he did not know its real con lt0n and that AN
assistant treasurer had been appointed, Mr. Ninslow
merely replied that the action OF the officers was un-
dOu!tcdy wise one.
ExJudgc declined to say anything about the On
tarlo and Western Road.