New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-04-23
RAILROAD INTERESTS.
MISSOURI. KANSAS AND TEXAS.
FINAL DECREE IN THE MERCANTILE TRUST

FINAL DECREE IN THE MERCANTILE TRUST
COMPANY's SUIT ENTERED AT TOPEKA.
Topeka, Kan, April o.-Thc final decree in the
suit of the Mercantile Trust Company OF New-loTk
against the Missouri Kansas and Texas Railway Com
pany and the Missouri Pacific Railway Company to
forccosc the Missouri. Kansas and Texas second or
general consolidated mortgage was entered mere l"
day. Alexander Il Green. of New orh, represented
the Mercantile Trust Company simon stcrne, H.
Ellcry Anderson and Charles +. Beach. jr, OF New
York. represented the Missouri. Kansas and Texas
and Dillon & swayne Of New York, the Missouri
Pacific Railway Company. There was also in attend
ance formidable array of local counsel The decree
Itself Is an extended document reaching 10 100 ioos
1t begins with the usual finding, Of fact, which give
the court jurisdiction. Then follows recital oi
the several mortgages upon the property of tho
Missouri. Kansas and Texas Railway Company the
particular paragraphs upon which the trustee relies
for force losure being set out at length There Is
next included specific description OF the several
lines of railroad in Texas, amounting III all 10 w.
miles. upon which the mortgage now 1orccioscd'
although I'm general a second mortgage, IT, In point
Of fact. first mortgage. Then follow rccItas OF
the bonds issued under the mortgage and statement
Of tho several mortgages. 1t appears that inc o'i'
amount due for principal and interest upon account
Of the general consolidated mortgage Is *3o]o"'ooo'
and Interest from the first day OF Dcccmpcr 1901
The decree then proceeds to declare the MlsSour,
Kansas and Texas Railway Company insovcnt order
ing it pay into court FOR the benefit OF the holders
OF tho and ) per cent bonds, the said sum OF
$50 1913 $50. and that In default Of such payment
within thirty days the Missouri, Kansas and Texas
Railway Company shall be absolutely forcclosed
Provision IS then made for sale of the property Tor
the appointment Of commissioner To SELL
for advertising the property at topeka,
st. Louis and Ncw-York and for tho confirmation
Of the sale in the ordinary course In such cases. II
appears therefore from the decree just entered that
the outstanding stock and bonds are certain to be
forcco-ed and barred hv early sale OF TINS erea
prop.rt It T., however. understood that but
mail proportion Of the securities affected BY this
decree stu outstanding and II l. believed uial inc
greater part even Of that small minority VIII come III
al once.
The amount Of the mortgage TO the Union Trust
Company i -l4,o11oOO and this sale Will Oh couSt
be- subject to the encunbrancc well a to certain
other similar underlying first mortgage, WHICH, no"
ever aggregate only small auOnnt. The SAFE mere
provided practically terminates the foreclosure anu
cOnSumfnaies the reOrgtnztOn proceeding, WHICH
have been pending for the last two years H. rspert
10 this important and valuable property. IL IL. IN inc
outcome. essentially a triumph Tor ule Missouri
Kansas and Texas Railway Company ina -nuch a.
the OlcOtt plan Of REORGANIZATION Is substantially tn
work Of the ofhccr- and dirctory Of the MISSOURI;
kansa, and Texas RAILWAY Company. The ldDor- OF
Mr. ulcott. 81 the Central Trust Company OF Nc"-
\ OTi and his associates on the Reorganization COM
ng tbs property from H. financial cmbafra, 'mcnt'
and "a 1cng 10 on such sound financial hasl, A.
enable n 20 take high rank among IN" tr1uN lnc7
oi tho West The outlook T. now every way most
encouraging.
\ deere. forcclosing the Union Trust Company
mortgage in such shape a 20 allow tine olcOu Com
mitce pay OF: the principal and interest Of those
bonds also entered to-day.