New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-12-11
THE WABASH INDEBTEDNESS.
WHERE WILL THE LITIGATION ENDi
VIEWS OF REPRESENTATIVE OF THE MINORITY
STOCKHOLDERS.

VIEWS OF REPRESENTATIVE OF THE hiNofhii
STOCKHOLDERS
.rBY TELEGRAPH TO THE rRIBUSE-1
CHICAGO, Dec. IO.-On OF the daily newspapers
published long article this afternoon respecting the
Wabash Railway litigation, with the statement Of
legal representative who it is said speaks for the
minority stockholders 1t is declared that owing to It's
financial necessities the Wabash Company before it's
application tor receivers had executed its notes and
other commercial paper to the amount OF "a OOOooo
OF this g. so, 600 had been guaranteed by
Could Sage. Dillon and Humphreys
Tho same authority asserts that the situation a.
respecting the future OF the road Is n)w as follows
The general mortgage and collateral trust mortgages
have been rorcclosed at St. Louis the Wabash prop
erty has been purchased by committee presenting
the owners Of the collateral and general mortgage
bonds and the preferred and common stock proper
title the property OF he Wabash Company subJrct
10 all prior mortgages Is now Possessed by the Pur-
chasing Committee This committee ho Sevrr. BY
OF the decree OF the sale not entitled to pos
session until the receivers certificates and otber
court indebtedness amounting to $1,000 0OO 10
paid. The committee has this amount at Ito dsposai,
derived from an assessment OF the collateral ana
general mortgage bonds and Inc preferred and common
stock. The Purchasing Committee, however. hnd
themselves in this attitude that, 10 addition TO the
court indebtrdness before stated, there is over
$4, 100000 OF past due interest unpaid upon prior
mortgages east OF the Mississ ppi River. lhe COM
mtire las funds with which TO pay this interest
bren asked 10y the Purchasing Committee to make
concession in regard to the by funding their
past due coupons in lieu OF receiving cash. lie
amount OF the prior mortgage debt Is about
$27 600 600. Holders of $11 100000 Of these
securities have consented to the Purchasing Commit
tees plan the holders of 600 600 have opposed to
it, upou whose application the pesnt receivers have
been removed, ard tho other $l3OU0, 600 OF PRIOR
boudhoders have not yet been heard FROM"
The paper declares that decision Esues that the
Waoash system IN consequence of the decision Will
probably dstegrate of necessity and be resolved 10
its orr ina condition of independent roads and that
in such event, the holders the securities repre-
senied by the Purchasing Committee, will find them
selves practically unsecured by tangible property
Henry Crawford, attorney for certain bondI olders
of the Wabash. ST. Louis and Pacific Railway. IN
accord ance with the opinion gwen by Judge hresham,
has taken prelimDar actnn Ia the United States C-
cit Court at Springfield. looking tor settlement for
the non-assentine boudholders. pet'iion hts be'i
filed asking the Tor order to compel the rr-
chasing Committee 10 perform the ooDditoDs OF the
purchase aud pay into this other court having
jurisdiction of this mortgaged property the sum OF
$3,6OJ,OJO wher-with 10 pay all the preferential
claims Mr.. Crawford WIS absent in New-i ork ye--
tcrday. 1t is undcrstood that case OF further
refusal OF the Pun chasing Committee to comply with
such order ia etitioned seps will be taken
in the Springfield iorecose the mortgages
OF 1857 aud 1870