The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1891-07-16
PLAN OF REORGANIZATION.
The Westinghouse Electric Company Greater
81 600, 900 Worth of New Preferred Stock.

The Westinghouse Electric Company Creates
$4,000, 900 Worth of New Preferred Stock.
PITTsBURG. July 15.-At a meeting of the
stockholders of the Westinghouse Electric
Company to-day it was unanimously de-
cided to accept the plan of reorganization
recently proposed. The following new board
of directors was elected: Charles trancis
Adams, of Boston; Lemuel Bannister. of
PittsburG; August Belmont, of New York;
A. NJ. Byers. of Pittsburg; Charles Fair
child. of New York; Marcellus Hartley. of
New York; George w. Hebarb. of New
York: Henry b. Hyde. of New York; Bray
ton Ives. of New York; George Westing-
house. ir., of Pittsburg.
BY the plan of reorganization adopted
S4OO0.OO0 of 7-per-cent. cumulative pre-
terred stock is created, of which $780, 900
has been taken at par by the reorganiza-
ton syndicate to care for the company's
floating debt ana provide additional CAPT.
tai. The asserting STOCKHOLDERS give up
40 per cent. of their stock. aggregating
over 90 $4,000 par value, for the use of the
company and are given upon the 60 per
cent of stock which they retain at per
cent. preference over the small amount of
non asserting stock remaining out.
Business Embarrassmenrs.
CHICAGO July 15.-The work of attach
ing the property of the :. X. Howell Lum-
Der Company, which was begun yesterday
at Omaha. at Atchison. Kan, by the First
National Bank. of this city. W Us completed
here to-day. when {. NJ. Charnley, repre-
senting he bank. took possession of the
property in this city on claim for S200,00
The firms attorney saws 1T can
pay dollar for dollar and have a
surplus of S5O0.OOO left. Last March
the company scheduled it's assets at
g.. 100000 aud its liabilities at 100000. The
blame for the embarrassment is laid at the
door of s. r. HOwell's brother. who man.
ages the Atchison branch.
Some months ago Mr.. Howell, as presl-
dent of the company, was indicted by the
federal grand jury for violation of the in
terstat g. commerce law. The charge was
that the company or its agents had bribed
the weIghmasters of various roads to GER
tify to false weight Oh shipments of lum-
ber and many rumors we're given publicity
in connection Herewith. one being TO the
effect that the roads which were alleged to
have suffered from these alleged false
weights bad forced the company to pay
large sums In damages, the aggregate being
put as high as S250.O00. Mr. Howell to-day
admitted that these rumOrs were an ele-
ment in the trouble. as they had damaged
the cOmpany's credit
PITTSBURG. July 15.-Suit was entered to-
day by the Fidelity Trust Company as as
signee of the Lawrence Bank. against all
the directors OF the Gefunct institution
since the incorporation. for the recovery of
$50. 600 paid cut in dividends. The bank
was in existence thirteen years, and. it is
alleged. paid out semi-snnual dividends
which were in every case in excess of the
net profits of the bank. Under the incor-
poratiOn act this Is not allowed. andIthe as
slgnee seeks 10 recON Ell the amount paid on {
in this way. The bank failed In November
1889. with liabilities of over 81 $4,000. Ii 10
still hopelessly insolvent
BATTI 4 GREEN. Neb., July 1.-THE doors
of the Farmers n DroSers' Bank. of this
place. were closed tins morning No state
ment of the liabilities ard assets has been
made The bank has n capital OF So. 600