New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-07-02
THE REASON fOE A RECEIVEBSHIP.
RESULT OF A LAW DECISION oNA LEASE.

THE INDIANA, BLOOMINGTON AND WESTERN con
THOvERsY WITH a LEASED LINE.
CINCINNATI, July 1.-The United States Cir
cult Court for tho District Of In ana at Indianapolis
this morning appointed e. r. Henderson. now general
MANAGER TO be the Indiana Bloomngt and
Western Railway Company in Indiana
This step was taken by tho company because Of tho
attitude Of the Cincinnati sandusky and Cleveland rosd
The Indiana, Bloomington and Western is paying and
has paid the latter company $4,000 year moro under
its lease than the sandusky Company earned on an
prior the lease Prior the lease tho latter
company did not earn Its fixed charges
C. w. Fairbanks. general solicitor of the l. D. and w.,
the affairs of the company have been conducted in
prudent and conservative and that the friends
the company have stood ny faithfully through the
dcpreson and that tho friends Of the property
feel that has excellent prospects for tho future In the
West
The United States Court Cincinnati this afternoon
appointed Mr. Henderson receiver for the company In
Ohio.
Tho negotiations for an amicable arrangement be-
tween the Indiana. Bloomington and Western and the
Cincinnati sandusy and Cleveland Railroads. regarding
the new lease relations enforced by the recent Chic
Supreme decision having failed tho former com
pany decided to protect its interests by securing re-
ownership of the whole property The company ye.er-
day issued explanatory circular to bondholdcrs and
stockholders Of which .he principal poins appended:
Your boerd OF directors have felt constrained In your
interest and for your protection to assent to the
OF at So s Uf ss CT ss
controversy with its lessors the Cincinnati Sandusky
10 be % In the
under their an ,ar In sxeess % @ tns
company pay without encrosching upon the revenues
bsefe Ge" e ohio in
nent in our favor; from this jndment an appeal was
something over year since, when We had every e1-
pectation OF this favorable decision being affirmed but
-. r.h nhn in fha
Organization 6f the conrt rendered argument nsces
sary. which resulted in reversal OF the Judgment in our
favor and the entry OF Judgment against Us. We
deem 1t odr duty TO You to take every easurc IN our
he Federal courts; and In the meantime to protect
your property and revenues against embarrassment aud
seiznis for an unjust claim. their applica
ton to lust obligations ia the order Of their priority
we are'adyised that the step nov taken Is the most
the Cincinnat saudusky and Cleveland was negotiated
the height of very large tonnage and high
been more disappointed in tho results which have
Rs,0S 81 aegS s S
a ayays % ss s G n
Cleveland still possesse, the ability to continue the
same rates OF payment; although. taking the whole
rentals paid have far exceeded the earnings ln al
dton to largo expenditure which have made for the
betterment and Improvement OF the leasei property
ELEVATED ROADS AND KNIGHTS OF LABOR
There is a rumor among the employees of the
elevated roads thai the company Is working quietly to
destroy the Influence OF the Knights OF Labor upon Its
lines No Official declaration mas been made but fore
men Others may be supposed to represent the
policy of the officers OF the company said to have
iptmated OF late those of the who ara already
Knights that II they wish TO continue In the companys
employ, Will he wise for them sever their connec
u on with the knights OF Labor within twenty day
Those who yet Kuighs IL Is said. have recelvf
warning that heir usefulness TO the company viii
copslderaby impaired II they join the order The men
upon these indications OF settled policy.
having Its object undermine the OF the great
labor organization Inquiry was made yesterday amons
the officers OF the company. but no confirmation OF tho
port could he obtained Colonel Hahn characterized
the report as "a falsehOoi.' Mr. Galloway, the vice
president Of the company said that there desire
10 beyond the faithfrness OF tho In the dis
charge OF their duty e. n the do their work. SAID
he that ia all ask, bot dol't want any quarrel
fellows continually stirring NJ discomfort
among the other wOrkmen." Russell Sage said Your
statement the first have heard OF tho matter There
truth In the report"