The morning news., 1892-03-15

by a commissioner Of the court to persons
legally authorized to hold the same. and
that the proceeds OF the sale be paid over to
the Terminal company or to any other per-
son who shall be shown to have a beneficial
interest In the same or the proceeds thereof.
.. That the defendants account for all
moneys and property of said railroad in
which they have come in possess ion.
Maj. Bacon desired to know il his distin-
guished friend, Mr. Erwin, would allow him
20 come in on his case. Mr.. Erwin had pre-
vioasly demanded that the application be
read.
Mr.. Erwin was willing that the iuterven-
tion should be allowed to come in, but that
the parties represented by himself and Mr..
Rauntree be allowed to remain the princi-
pal parties to the cause Mai. Bacon en-
nounced that he had quite a number of
other stockholders whose allegations he had
not had time to prepare, and that his ap-
plication would be supported by much
more formidable array of stock than the
six shares mentioned in the bill.
Mr.. Rountree desired that the answer of
the respondent be filed and the documents
requested in the bill produced before further
proceedings in the case
Capt. jackson replied that the Richmond
and Danville was only served Saturday
afternoon. 1t ives an impossihlity 60 secure
the documents desired, they being scattered
over three different states, In time for the
hearing.
Mr.. Rountree considered that the bill re-
quired an answer from the Richmond and
Danville.
Mr. Erwin called upon Messrs. Lawton &
Cunningham to present their pleading.
MAY it please your honor" said Mr..
Cunningham, I'VE ara here In response to
an order from this court, to appear at a
hearing OF the bill filed, and we do not see
that we are compelled to file an answer at
present. There is a new bill introduced
which we have not had time to examine.
We don't consider it necessary to file an an
swer at present. We may not file at all.n
ALL LEFT WITH THE PLAINTIFFS
Judge Speer announced that the respond
ents had been called on to show cause why
the petition should not be granted. No
answer had been made and it was for the
plaintiffs TO say whether or not the case
should continue.
Mr. Rountree announced that the COM
plainants were ready.
Capt. jackson announced for the Rich
mond Terminal that they were not ready,
new bill with extensive charges having
been introduced and time not having been
allowed 10 secure the papers required in
the bill. Capt. jackson announced that
every paper in the possession Of the Rich
presented to the court If sufficient time
were allowed.
Mr.. Rountree was anxious that the attor-
neys Of the Central railroad should make
some answer.
Mr.. Cunningham replied that on account
OF the thirty-two separate allegations Of
Maj. Bacon's bill he was not prepared to
make an answer, il that bill should be in
cluded. II the court so desired he was
ready to go ahead upon the original bill
filed by Mr.. Rountree. MIR. Cunningham
said that he had understood that Judge Par
dee OF the circuit court would be present
aud sit at the hearing, and on account of
the importance Of the case he would request
that the court appoint such a time when
Judge Pardee could be present., when both
sides should be ordered to have their plead
tngs printed and presented TO the court.
Mr.. Erwin insisted that the Central's at
torney should make an answer IN some
form.
Mr.. Lawton discussed this point at some
length.
THE JUDGES DECISION.
Judge Speer said that he thought there
was no doubt, owing to the Importance Of
the case and its magnitude, that no grave
injury could result by a reasonable post
ponement. The property was already in
the custody OF the court, and was being
carefully managed, it was presumed. Judge
Speer said that ne had attempted to secure
the assistance of Judge Pardee to sit with
him at the hearing of the case, and had re-
ceived an answer saying that if the case
was postponed week or more he might at
tend. Judge Speer said that he should,
therefore, postpone the hearing for a
limited time, and appointed Thursday,
March "a, for the hearing in Macon.
be directed that the attorneys for the re-
spondents file their answer for the informa-
tion of the court. with the privilege Of
enlarging as they saw fit on account OF
Maj. Bacon's intervention.
This compelled Messrs. Lawton & Cum
ningham TO file their answer. IL was not
their intention to do this until the final
hearing of the case. The reason for this Is
obvious after reading the answer. It gives
some valuable and rather startling infor-
nation as to the inside affairs of the Gem
trail, the Richmond Terminal and the East
Tennessee. and also some important history
with regard to previous lease of the Gem
trail that seems to have been entirely over
looked Of late It is very able document,
and to a lay observer seems to cover the
case thoroughly from their side. A full
synopsis Of Messrs. Lawton & Cunningham's
answers is given further on.
IMPORTANT QUESTIONS
Judge Speer said that as the case was one
of UNUSUAL importance, great care and
Judgment should be exercised in the
preparation of the arguments by the coun-
sci on both sides. He would take the liberty
of presenting for their consideration the
following questions, to which he hoped the
attorneys on both sides would give their
special attention:
/. Is the lease absolutely void, as charged,
and not merely voldables
g II it should be held void what DISPOSE
tion should be made by the court of the cor
porate property in the hands Of its tenn
porary receiver3
8. Would it be competent for the court,
before final decree, to restore the property
to the present board Of directors of the
Central Railroad and Banking Company,
assuming for the purpose of inquiry that
board is legal and not illegal as charged IN
the bill, or would the election Of another
board be legal necessityl
4. IL the lease be void and not merely void
able has the Central Railroad and Banking
Company any security for the payment Of
dividends. or for the safe keeping of its
money or for the preservation of its prop
erty; and if, in such case, there is no such
security, would it be competent for the
court to exact adequate security for the
purposes mentioned, with a view to avoid
the expense of a receiver, and would the
lessees be willing, and II willing able. to give
security to pay the dividends aud protect
the property as It Is stipulated In the leasei
PUBLICATION SUGGESTED.
Mr. Erwin made motion that as the
officers of the court had not been able to
reach number OF the officers Of the Rich