New-York tribune., 1889-12-19
ANSWERING ATTACKS.
HOUSTON AND CENTRAL TEXAS REORGANI
ZATION.
PUBLISHED STORY ABOUT THE ASSESSMENT

PUBLISHED STORY ABOUT THE ASSESSMENT
C. p HUNTINGTON NOT DISTURBED.
The stock of the Houston and Texas Central Rail
road was at no real value when the plan OF reorganza
ton agreed after many meetings Of the credit
ors. In the parlancc Of Wall Street, it had been
wiped out" but the plan seemed to be reluctant
to admit the fact, and shareholders permitted
TO take their proportion OF stock in the new company
on the payment Of S73 share The assessment was
so large that 1t excited considerable comment and more
or less disintercsted opposition In suit pending
in the courts it has been shown that the calculation
Of the assessment could not be disputed and that IL
any errors were made, they were in favor OF the
shareholders Persons supposed TO be interested in
the suit have attempted recently try the case in the
newspapers. 1t was said yesterday in published
cx parte argument that the whole matter would be
brought before the Governing Committee of the Stock
Exchange, Of which C. p. Huntington is a member
and it limited that the penalty imposed on him
would be something not easily borne President
william L. Bull and Secretary George W. Ely, Of the
Stock Exchange, said that no complaint about the
proposed reorganization had been made to them off,
caily or informally.
Frederic p. olcott, Of the Central Trust Company,
who calculated the assessment, said that in effect Mr.
Huntington had given the stockholders call the
new stock at 73 until next July. The street
rumor that a difference in the assessment had been
made between the Southern Pacific Company and out
side holders of the stock was treated as absurd.
President olcott said that only small amount of
stock had paid the assessment but he expressed the
opinion that great many shareholders would assent
to the plan befoi the time expired
Mr.. Huntington said that he haA not read the news
paper attacks upon him, he had been too busy. He
referred the reporter to his counsel remarng when
get thing into proper shape l turn it over TO
the lawyers and that's what l have done with the
Houston and Texas Central"
Charles H. Tweed, counsel Of the Huntington In
terests, said: A newspaper has got to make liv-
ing, and why should you Interfere with t7 There IS
suit by Michael Gernshem now in the Supreme
Court before Judge Patterson to have the decree OF
sale Of the Houston and Texas Central set aside.
fancy that the Judge Is an industrious gentleman
shall have the decision suppose, too. that
there some people who have stock who would be
willing TO sell 1t at a price. But the Morgan COM
pany doesn't want it, 1t has got too much already.
1t holds about "a 100000 out Of the @7,7OOOOO. we
cannot help il il the assessment was so high. The
Central Trust Company figured 10 out and unfOrt'
unately 73 per cent the result. IL was simple
matter Of adding the floating debt and funded Obll
cations together, and dividing the result by the
amount OF stock Yes. do agree with the statement
published, that it would have been better If the suit
hadn't been begun by the plaintiffs"
1t reported yesterday, that an order for hearing
has been granted by the United states Court, In
Florida, in an action begun by Houston and Texas
Central stockholders to enioin the enforcement Of
the assessment.