Savannah morning news. [volume] (Savannah) 1868-1887, 1884-03-31
JUSTICE DONE TILDEN.
One of the Campaign Stories of 1876
Nailed-The Railroad Must Pay the
Sage of Gramercy Park.


One of the Campaign Stories of 1876
Nailed-The Railroad Must Pay the
Sage of Gramercy Park.
In the case Of the Chicago and Alton
Railroad Company against Samuel j.
Tilden, Louis FL. Meyer and Adrian Iselin,
long pending in the United States Circuit
Court, says the Chicago Herald, Judge
Drummond entered a final decree at
Chicago Thursday. confirming the report
of James Emott. of New York, to whom
the matter was referred some time ago
for adjustment. Tilden, Meyer and lselin
are the surviving three of six trusteeSap-
pointed as long ago as 1850, under an
agreement between certain creditors OF
the Chicago and Mississippi Railroad and
the Chicago, Alton and st. Louis Kali
road. Under this agreement, in Septem-
Der, 1862, Tilden and Meyer purchased the
assets Of the st. Louis, Alton and Chicago
Railroad Company, which had previously
belonged to the Chicago and Mississippi
Company, and in November OF the same
year recOnVeyed the same property to the
Chicago and Alton Railroad Company,
which corporation had been organized for
the purpose of the sale. This conveyance
was subject to certain conditions. Inc
new company was to pay for the property
in bonds issued for the purpose, and.t
trustees were required to determine the
amount of an issue which would be sutfi-
Gent to pay the debts outstanding against
the property. The report of Mr.. EmOtt
shows that the trustees, in securing the
performance of these conditions, rendered
valuable services for which they are en-
titled to compensation. This they did re-
ceive in July, 1888, in the shape Of
quantity of first mortgage bonds issued
by the new corporation. 1ilden received
twenty $1,000 bonds, Meyer, fifteen $1,000
bonds, and each OF the other
trustees five of the same amount.
Tilden and Meyer were appointed
trustees of the preferred first
mortgage sinking fund bonds, and of the
income bonds as well, and their counter
signature was the mark of the anthem
tielty of every bond. This state of affairs
lasted twelve years, or until 1919, during
which time the two trustees were also in
strumental in perfecting the retirement of
the bonds as they became due. In 1910
all Of the bonds had been retired, but
balance of $27. 900 in cash and $4,000 in
securities remained in the hands of
rilden and Meyer, who showed DISPOSE
ton to hold on to these funds for their
services. The Chicago and Alton Com
pany objected to the charge, and out of
this difference arose the present suit.
Mr.. EmOtt finds that the trustees were
estOpped by limitation of time from
claiming the enumeration asked, but
that they were entitled to $4,0S9 each as
commission for countersigning and certi-
flying $40S9,O00 Of bonds; $500 each per
year for twelve years previous to 1870, as
trustees of the sinking fund mortgage,
and counsel fee of $4,000, with interest
since 1876; in all, $36,952 30.
Pursuant to this report, which was con-
firmed by the court, the defendants retain
the $27, 756 SO now in their hands, in part
payment Of their claim, the balance to be
paid them by the Chicago and Alton Rail-
road Company within ten days, all other
property of the company in their hands to
be given up. They are also to turn over
all books and documents relating to their
business as trustees, and are Unidentified
in the sum of $4,000 against loss by any
claims preferred against them as trustees
bY creditors of the COMPANY,