The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-09-24
THENEW CENTRAL DEAL.
THE REHABILITATION SCHEME
VERY LITTLE UNDERSTOOD.

ceiver and Return the Road to the
Stockholders Causes General Sur
priss-The Retirement of Mr.. Conner
Looked Upon With Distrust-His
Attitude IN the New Turn of Affairs
Unknown-The Men Who Are in the
Movement.
The announcement in yesterdays MORN
ING News that steps were being taken for
the immediate rehabilitation of the Cen
trail, and for securing the discharge Of the
receiver and the return Of the road to the
hands Of the stockholders created a great
surprise among Central security holders In
Savannah. The announcement was not
only unexpected, but the plan by which
this great work Is to be accomplished was
not understood.
The fact that It was stated that Mr..
Conner was 10 be asked TO retire and Col.
Phinizy substituted in his place created
some distrust, and the statement was
doubted. The public is in the dark as yet
and VIII await more information before
giving expression 60 its views.
LITTLE KNOWN IN SAVANNAH.
Nearly all the Central directors ana
others likely to be acquainted with the
situation are out of the city. and no one was
found who was willing to be quoted. Sew
eral we're found, however, who had some
fragments of information.
AS announced in the MORNING News
several days ago, a syndicate COM
posed of a number of the lead
ing bankers of the country has been
formed, with Rollins & Co. Of New York at
the head to provide for the Centrals in
debteduess. They propose to take up the
Speyer loan, pay off the floating debt, pay
the back interest on the bonds and debent-
ures and otherwise put the road on its feet
financially. To do this will require several
millions Of dollars, but the houses repre-
scented by the gentlemen compos>
ing the committee having the matter in
charge are amply able to furnish the
amount necessary to accomplish what it is
proposed. If the committee named
In Yesterdays MORNING News has actually
taken hold Of the work as it is said it has,
there is little doubt that it will be successful
10 establishing the Central upon a firm |
basis.
Mr.. GARNETT's FIRST MOVE.
Mr.. J. K Garnett, director of the Cen |
trial. has been engaged for some time in the |
formation of syndicate with this purpose |
in view, and recently presented statement |
of the Centra's financial condition to vari- |
GUS New York bankers. Col. Phinizy has |
been associated with him, and they appear |
to have been successful in their efforts.
Business men Of the city returning from
New York recently have reported that it
was understood there that Rollins & Co. |
were preparing TO head d syndicate for the
purpose OF taking up the Central's debt.
Speyer 81 Co., it was also understood we're
considering plan of reorganization by the |
issue of S4O, 600, 900 of per cent. bonds aud |
$4,000 900 Of preferred stock which at rs they
proposed to exchange for Central securities. !
This plan, however, did not meet with |
approval.
understood were requested to be |
present at the meeting in New York this |
week, and the majority were present. The |
plan of rehabilitation presented is generally |
believed to meet with their approval. Mr.. |
Conner left foF New York early in the week |
in company with Cashier T. NJ. Cunning
ham Of the Central bank, and was present |
at the meeting.
OPPOSED TO A REORGANIZATION.
Since the annou 1cements of the continued
postponements OF the time for making pub
lie the plan of reorganization for the Gem
trial, upon which committee has been en-
gagged in New York for several months,
the idea has grown that there were
difficulties in the way OF reorganization
which the committee was finding it hard to
meet. The fact is, the idea of a re1rganiza-
ton has been regarded coolly by the stock
and security holders from the very begin
ming, and it was doubled il any plan could
be presented that would meet with general
favor.
1t is believed now that the difficulties in
the way of a reorganization are almost in
superable except with the most power
full financial backing. 1t is intimated
that there has been for some time opposi-
ton in the Central board to any plan of
reorganization and it is said this difference
has caused some warm discussions at the
meetings.
MR.. CoMER's POSITION UNKNOWN.
Mr.. Corners position in the present crisis
is unknown. 1t Is certain that the result
however, will in no wise reflect upon him.
Mr.. Conner has repeatedly said since he was
placed at the head OF the Centrars affairs
that he would never allow his personal
inclinations to stand in the way
of the Centraps interests, and whenever any
man or body of men were found who were
able and willing to restore the road to a
sound financial basis be was ready to step
down and out, or lend his assistance; in
fact, do anything that would forward the
undertaking.
Mr.. Conner has devoted his entire
time, t. the exclusion OF his private
affairs, to STRENGTHENING out the tangle in
which the Central had been left,
and placing the road in tho soundest
possible condition under the circumstances.
He has accomplished a great deal, much
more than those uuaCquainted with the Cen
trails affairs have any idea of, and Is &C
knowledged to lie better acquainted with the
condition Of the affairs of the system and
more capable of conducting them to a sue
cessFul and satisfactory status than any
other man. No word Of objection TO the
proposed plan has been beard from Mr.
Conner, and 1t is possible that be does not
look upon it with dlsfavor. II the plan
meets with his approval he will undoubtedly
say SO.
SUCCESS HIS REWARD.
Mr.. Conner probably has as little per-
sonal ambition, so far as the Central rail,
road is concerned, as any man corrected
with its affairs, and be would not hesitate
at any time to step aside for another il by
doing 80 he could advance its iuterests He
has labored increasingly since his connection
with the road for its restoration and. as he
has said himself If his efforts should meet
with success the only reward he desires Ia
the knowledge Of that fact.
Mr. Conner has been engaged for the last
several weeks 10 the preparation of a state
ment of the condition Of the Central to be
submitted TO Judge Speer, with view to
the proposed reorganization, and in con-
sequence is In position to give accurate in
formation to the rom T1iftaa ne -, Tho oorr