Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1886-01-10
RAILINGS.
What the Railroads Of the World are
Doing and Contemplate
Doing.
Something for the sragnate, the Bord.
holder, the knights of the rhro.tio,
Bon and Cord and the Ticket once.
Texas & Pacific receivers Confirmed.

Texas & Pacific Receivers Confirmed.
Special to the Gazette.
NEW ORLEANS, La, Jan. 9.-The case
OF the Texas & Pacific Railway company
came up to-day I'm the United States cir
cult court before Judge Don A Pardee
for argument ON further consideration of
the appointment of receivers. The COM
plainants were represented by William p.
Ballinger Of Galveston and the defend
ants by Judge James A. Baker
gree Of New Orleans and
John h. Dospasses of New York, repre-
senting a number of stock and bondhold-
ers. w. w Howe appeared for the re-.
ceivers and Samuel Dickson OF Philadel-
phia for the trustees of all mortgage
bonds. Messrs. Bayne DaSpasses pre-
scented petitions on the part of the bond
holders asking 10 be made parties with
the defendants. The petitioners
referred TO were the holders OF income
aud land grant bonds amounting
10 $lG8,0 New Orleans & Texas bonds
amounting 10 SLOT 900, bonds OF the
Rio Grande division amounting TO $780,
900 and 5000 shares of Texas & Pacific
railway stock. Mr.. Dospasses then
asked Tor the appointment of Mr.. William
Bond OF New York, formerly receiver OF
the Missouri, Kansas & Texas railway. as
a third receiver TO cooperate with EX-
Governors Brown and Sheldon, already
appointed. Mr.. Dickson objected Tor
the. present upon the ground that il
was unnecessary and because no
meeting OF the bondholders had been
called or committee appointed; that yet IL
was Impossible 10 determine as TO what
the view Oh the general bondholders
would be.
In reviewing the case Judge Pardee
said; al do not think that the court has
any reason 10 appoint receiver who
could not reside on the line OF the road.
My observation has been that whore rail-
r ads like the Texas & Pacific are
managed as far OFF a ST. Louis aud
wnere the managers are on the ground
when there is branch OF the ruad in
New York, it is still worse SO far as The
management OF the property is concerned,
and If should appoint another receiver
he would be expected TO live on the road
and devote himself 10 take care of the
property. If, after NEE ting of the bond
holders, it is found desirable to have an
agent on the line who should have facili-
tics for obtaining ali Information possible
with regard 10 the road aud were | asked
to appoint MIN | should do so with the
understanding that he should remain on
the line of the road, but 10 appoint as a
receiver aud allow hm 10 remain
East. While II might be- valuable so far
as reorganization is concerned, the
business Of the road would have
TO be carried on with power OF
lttornoy. have appointed receivers
with the understanding that they are &c
give their entire time 10 the management
OF the property SO far as raising capita
to improve the r0ad-bed Is concerned,
am IN hopes that the revenues will be snf
| ficient to make the necessary repairs. II
It comes to u point that money must bt
raised 10 take care OF this property
shall insist, as have always done, tha
the owners If the property shall have
an opportunity 70 say whether thel
want their property improved and takeI
care OF by the court, and IL they do tina
they shall have n ike opportunity TO TAX,
no receivers certificates issued, and
should probably insist in this case, II th'
question was presented OF raising money
ON debentures, that the bondholders who
are the real owners Of the road shall, IL
the main, consent"
x.-Governors Brown and Sheldon were
then confirmed az receivers. Their bont
was then fixed at 500, 00o, and they were
ordered to die their reports monthly.