The morning news. [volume] (Savannah, Ga.) 1887-1900, 1888-04-10
RICE'S RACY REJ0INDER.
HE DENIES THAT THE GEORGIA
COMPANY WANTS TO SELL.

His Committee Not Working in the In
terest of the Norfolk and Western
Road to Scoop the Terninal-Bad
Faith Alleged in the Deal for the
East Tennessee, Virginia and Geor-
gia-
New YORK, April 9-Isaac L. Rice,
speaking for himself and his associates, dis
sects the circular which the present Terni-
nal directors have issued to the stockholders
with an unsparing hand and insists that it
is full of glaring inaccuracies and false in
situations He says: That circular init
mates that our committee is acting in the
interest OF the Norfolk and Western, while
the truth is that only one of our committee
has any interest in that property. The cir
cular also speaks of the Terminal territory
being invaded by the Georgia Central
NOT INVADED.
mo such invasion has occurred since the
present owners of the Georgia Central got
control of it, but was appointed from the
Terminal board to harmonize the relations
bet ween that company's lines aud the Geor-
gia Central while | was a member OF the
Terminal directory, which | succeeded in
doing, and rates were then advanced in the
have never thought of selling the Georgia
company to the Terminal. simply because
we have never been willing to do So but
We have been repeatedly approached by
several members of the present Terminal
board to know on what terms the Georgia
Company could be bought, and we have al
ways rejected such overtures.
HELD AS AN INVESTMENT.
1--WE bought the Georgia Company for
an investment and propose to keep it. In
answer to the suggestion of the circular
that we have any purpose of turning the
Terminal over to any rival corporation, we
insist that it is emphatically in that condi-
ton now. We claim that the East Tennes-
see, Virginia and Georgia is a vigorous
rival, and it is notorious that the ruling
spirits in that corporation dominate the
policy of the Terminal to-day. 1t is absurd
for the present Terminal directors to in
innate that the complaints of the manage
ment are chargeable to their predecessors.
ONLY FOUR CHANGES.
''At the last election there were only four
changes made, Messrs. Swami, Moss. Nc
Gee and Hall being elected to succeed
Messrs. Dow, Flagler, Christian and my
self, and the new members only emphasized
the powers that had previously existed
hence the board of this year is practically
the same as last The directors circular
claims that it would have been bad policy
for the Richmond and Danville to borrow
money last January to pay the dividend on
Terminal preferred stock, yet they did not
hesitate to force the Terminal Company
itself to borrow the money, thereby leopard
izing its credit while the Terminal owned
nine-tenths of the whole Danvile stock.
SHARP PRACTICE ALLEGED.
1.-THE Terminal suffered from sharp
practice when it bought the East TenneS-
see, Virginia and Georgia BY that purchase
the Terminal was presumed to get absolute
control of the Fest Tennessee. The special
committee which managed that negotia-
ton failed to protect the Terminal com
pany against cunning device which left
the real control of the East Tennessee &C |
tually in the hands of the people who had
sold it to US, and the committee bound the
Terminal Company to that arrangement
without ever referring the matter back to
the full Board of Directors for ratification"
Mr.. Rice concludes by saying: This is
only a mere outline of what we shall have
to say in support of our position when the
proper time comes"