The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-05-02
NO DEAL Within L. & N.
PRESIDENT Conner DENIES TIE
Truth OF THE RUMOR.

New Facts Developed Concerning
the Disputed Claims Of the Rich
mond and Danviile Against the Cen
tral-The New York Conference and
It's Results.
President Conner OF the Central railroad
returned yesterday morning from Macon,
where be was in attendance upon the United
States court at the hearing Of the answer Of
the Richmond and Dauville to the rule is
sued against it by Judge Speer to compel
the payment Of the insurance received
upon the Macon depot, and the release Of
the New England and Savannah Steamship
Company stock held in escrow to await the
arbitration Of the claim Of the Richmond
and Danville against the Central.
The insurance money, as stated in yes.
terdsy's MORNING News. was ordered
paid over at onoe. Judge Speer reserved
| his decision az to the stock. There seems
to be little doubt that the original order
upon the Riohmond and Danville to turn
over the stock will be carried out.
THE ELLEN n" RUMoR.
President Conner says the report that has
been recently received that a deal has
| been perfected by which the Louisville and
| Nashville secures control Of the Central
| is as baseless as ever and without the shadow
| of foundation. He has not bsen in confer
eDce with President Smith Of the Louisville
and Nashville, as reported. II President
Smith has been in Savannah lately nobody
| seems to know IL.
J The evidence given in the hearing before
| the United States court In Macon brought
| out some interesting facts about the dis
puted claims between the Richmond and
Danvills and the Central which are not
| generally known.
| When the Richmond en- Danville start
Gen. Alexander aud tne directors OF the
| Central with its claim for $40, 900, which
| amount 1t claimed to have expended on
| back accounts since assuming charge of the
| Central, 1t ooolly demanded as a
condition before il would meet any other
obligations OF the Central, as il had agreed
TO do. that the New England and Savannah
Steamship Company stock be hypothecAted
with that company, in other words, turned
over TO 1t upon which to raise money.
HOW IT CAME ABOUT.
This demand was refused by Gen. Alex
ander and the directors. They agreed, how
ever, to put the stock in escrow with the
Central Trust Company OF New York to
avoid an arbitration of the claim, the COR
rectness of which was disputed by the Gen.
soon as Gen Alexander could make out an
itemized account Of the value
OF the floating assets and
similar properties turned over to the Rich
mond aud Danville and the exact amounts
due by the Central at the tins. No item
lied statement ues presented by the Rich
mond and Danville, simply a general claim.
At meeting OF the Ceutral directors, Gen.
Alexander, as president. and 4. P. Howell
and c. H. Phinizy, directors, wore ap-
pointed committee Of arbitration to meet
| President Oakman, Vice President Ruther-
ford and Gen. Thomas of the Richmond
and Danville to arbitrate the account.
THE NEW YORK CONFERENCE.
At the time appointed for tho arbitration,
Gen. Alexander aud Capt. Howell met Gen.
Thomas and Mr.. Rutherford. No account
| was presented by the Richmond and Dan
vile but the itemized statement made up by
Gen. Alexander was examined and discussed.
| No agreement waa reached, but Gen.
| Thomas declared that the Richmond and
Danvile had no claim against the Central
that according to the terms of the lease it
took the road as n running business and IL
the road had owed 49, 900, 600 or more the
Richmond aud Danville would have been
Obliged to pay it. The Richmond
and Danvile representatives agreed TO
release the steamship company's stock il
Gen. Alexander would give them a memo
randa letter agreeing to adjust such
claims as might exist of the Richmond and
Danville against the Central and turn over
to them 100000 of Mobile and Girard rail-
road bonds to secure q claim OF 1924 900
expended by the Richmond and Danville
in the construction Of that road.
THE CENTRAL's OFFSET.
As the auditor Of the Richmond aud Dan
vile had acknowledged an offset held by
the Central against the expenditures OF the
Richmond and Danville upon the Mobile
| and Gisard railroad, Gen. Alexander refused
to give them the $4,000 of bonds asked
or to give tho memoranda letter asked.
The Richmond aud Danville representatives
would not agree to increase the stock OF the
steamship company. but it was understood
that the claim Of the Richmond aud
Danville was practically dead and would
be dismissed, and Gen. Alexander 80 stated
on his return from New York.
The fact that Gen. Thomas acknowledged
the claim OF the Richmond and Danville TO
be worthless, and that the company was
willing to settle practically for 500 900 OF
Mobile and Girard railroad bonds to guar
antee the payment Of claim for Sl24 900
against that road, which was inclnded as
one Of the Items OF the $40, 900 claim, was
br ought out in evidence.
THE RICHMOND AND DANvILLE's OFFER.
In further support OF the fact that the
Richmond and Danvile recognizes the
flimsiness OF its claim against the Central IL
was said yesterday upon pretty good au-
| buOIlbf ouab ~ uhs linus du Ou6T 70 the
Central to drop the claim and release the
stock if the Central will agree to pay its
debts in this state amounting 20 about
$3.50, 900.
1t would seem from this that they are
willing to accept about one-fourth Of the
original claim in settlement 1t understood
also that this offer was refused.
Capt. Cunningham made the point in his
argument in reply to Capt. jackson, coun-
sci for the Richmond Terminal, that the
same parties who made the lease of the
. Central for the Richmond and Danville
were the same parties who had been prac-
ticRlly in control OF the Central for four
years past and that it was in their power TO
know exactly what its expenses and &C.
counts were, aud that II they did not know
what its Indebtedness Was they should have
,, known. They could have secured state
ment at any time by asking for it.
HELD UP BY HIGH WAYMHN.