New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-12-30
TO SAVE STOCKHOLDERS RIGHTS.
DUBUQUE AND SIOUX RAILROAD AFFAIRS.
PRESIDENT yrsup SAYS DEPOSITED STOCK CAN

PRESIDENT JrsUP SAYS DEPOSITED sroCh 0AN
NOT BE RECALLED-A CIRCULAR LETTER.
Morris K Jesup, president Of the Dubuque ana sioux
City Railroad Company said yesterday In reference 70
the companys affairs:
Tbe property was leased nearly twenty years ago 10
the Illinois Central Railroad for ninety years. OF our
ing the charter existence of the company 1he ILLINOIS
Central reserved the option Of ending the lease at the ex
piration Of twenty years by giving six months notice
that effect On April of next year the lease VIII De-
come perpetual notice shall be received from the
Illinois Central have been president OF the company
from the first and made the lease have no hesauon IN
SAYING that at 10 time since inc lease was
made has the Illinois Central operated inc
road to the satisfaction Of the directos ~
was the first railroad in Iowa. but effort has been made
to developt on tho contrary the Illinois Cenrsi mas
permitted other roads to buld into territory wmcn
should have controlled The Illinois Central promised 10
maintain the property respect but mas not uono
So and some time ago had a claim for something hAe
million dollars for what It called beterments since IL
began to operate the road it has complained constantly
tina, the road worthless and that 1t was losing money
nder the terms of the lease AT the same time IL wouu
not back the roa although 1t had been asked Soy
eral times II 1t would do so. Once asked tho i"oi'
Central TO the terms on which IL wouu surro"o'
the lease but the company would not name price ioi
giving up lease by which it protested to be losing
money.
"Ahont n vear n 90 the officers OF the Illinois Central
secured list of our stockholders through of the In
spectors election and since that time they have urea III
many ways disturb them. e. H. Hartman one OF inc
Illinois Central Board, has approached our stockholders
openly and urged them sell their stock because the
road was improbable and the Illinois Central wouiu
probably give up the lease at the end othe twenty years
The price stock has been depressed In the market
by means which bad know how to use and altogether
the most damaging reports about the company and Its
affairs have been set In motion. All the time MI Har-
rman has been picking mp the stock in small lots at the
.ltl k,axxy ~ oil fhaQa
at the time they occurred During absence last sum-
mer the stock depressed by large Offering OF It, but
when offered on my to take the whole amount at
the price which 1t had been offered found that Ill
spite liberal offers there stock for sale Mr.
Hartman TO conceal his plans from u.s. ana our
transfer books showed important changes until re-
Gently he sent down $4,000 shares to be placed In his
name have heard cannot vouch for the truth OF
the report that Mr. Hartman and Vice President Fish
have contracts to control OF the stock for the ILL.,
nois Central before time fixed for ending the lease
understand that nr Fish is good deal concerned over
when we discovered what was going on the directors
of the Dubuque and Sioux City. feeling that the
interests of the stockholders were in their trust de-
cided the stockholders 10 place majority OF th9
could reach IT, That the reason for the action OF
December and for the circular OF mat date w n
with Drexel Morgan Co trustees In regard 10 he
published opinion that these deposits may be recalled
think there Is dhculty in perceying that the OPINION
secured in the interest OF the Illinois Central III
John f. Parsons, who assures me that the deposits OF
stock are irrevocabe. No attempt TO withdraw any OF
been made but the object OF the opinion plainly TO
still greater dissatisfaction among our STOCK
holders. a.. .
pany would have been glad lie relieved OF the RESPONSE
bity by any fair means but cannot remain here ana
innocent ckh6ders sacrifice their interests Without
uttering warning IF the Illinois Central couid oni in
control of the stock the present lease would he annued
and they would make terms with themselves for the best
interests of the Illinois Central Company The minority
tOckh Old Of Ia
In regard TO the rnmors that the Illinois Central
pannnc 10 build an Independent line Mr. Jesup said IL
conclusion: THAT Is part of the of bluff and II
has been tried before At time when the talk about
II specially gave notice to the Illinois Cen
trail thai il any attempt was made to parallel our ne
would have the company enjoined have not heard
The following circular letter to the stockholders was
issued by the committee late yesterday afternoon:
NKw.YoRK. Dec 90. 1886
TO he Stockholders OF the Dubuque and sOur city Railroad
Articles having appeared in the public papers evidently
enana ing from hostile source npyng mat the are h
int OF the company we deem just to make the follow
dubuque and Sioux CITY Railroad are aware Is
sence Of any notice from company before the
h 81 AR 9 SS5 before this tat would
&c ma e. o o@ pS m the Ss to this
nor S Ge "a Savs BEEN informed that Mr.
ward H Hartman director OF the Illinois Central railroad
to believe private with tina, company 20 de-
Of Your to ct at af s the
holders for purchase their stock at price
value Deeming that such purchases
BY HIM successful would be p,eudica to the Interests
VIII bound protect and depreae materially the
held minority. TO the ext ent OF
MS thou ght II
advisable request all stockholders who willing to assist
the property to de-
post her stock with Drexe Morgan Co.. as trustees Tor
that purpose under the OF our letter to them date De-
cember 10 which has been sent TO every STOCK
holder. need scarcely especially
OF office O majority oil the
director expire FeDru 1888 that their OBJ
nselves but simply 10 protect
the interests them With this simple statement
the stockholders decide their own course OF
action in the premises.
NJ. X JRsUP.
JAMES a ROOSEVELT, Corri.tea
j. PIKRPONr MORGAN.
IoKRxzo BLACKSTONE