New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-06-17
RECEIVERS FOR DANV1LLE.
SEEKING A FRIENDLY COURT.
ACTION OF RICHMOND TERMINAL SECURITY
NEUTRALITY-SUSPICIOUS. ARRANGEMENT OF
A GEORGIA COURT.

NOTWITHSTANDING AERA1GNMENI VI
A GEORGIA COURT.
A new turn was given yesterday to the Kaleidoscope
J OF Richmond Terminal affairs. ia'T"a 10 t'c Po"''
OF desperation by the tactics OF the persons VINO com
posed the premiership OF the Central haiiroao oi
Georgia. formerly part Of the Terminal system inc
Richmond and Danvlle security holders have taken
radical steps for self protection. The Richmond ana
Iapvlle is the principal system which Is controlled
| by IN. Richmond Terminal Yesterday, upon appl-
| cation OF william r. Clyde J. c. Maben and W. H.
Goadby Of this city, Judge Fond Of the United states
! District Court at Baltimore placed t'e l1c1mohd
and Danvc In the hands OF receivers. The receivers
appointed were F. W. IIuidckopcr aud Reuben Foster
Mr. IIudckoper for some years Nce-prr8ldent OF
! iLc Richmond and Danvillc and was Its active mall
ager at the time Of It's highest prosperity Mr Foster
has for the last fifteen years been the representative
OF the company AZ Baltimore the point rom "nich inc
system derives ts heaviest business. ana no ms D'ch
the manager Of It's terminal and water lines AT that
city.
The men who secured the recevershtp have been
active in the recent efforts to rcOrganze the Rich
| mond Terminal. which finally resulted IN DreNei'
Morgan & Co. agreeing to examine Into the company
affairs with n view TO undertaking the financial re-
| Mobilization OF the company The urn agreed oh
Nav - to look into the matter. and few days amer
ward Samuel Spencer, It's ralrOad expert, left TINS
city on n tour OF Inspection. Mr.. Spencer returned
| Yesterday after having travelled over about o,ooo
miles OF road. going west to Memphis, north 10 I'm
| cinnnt south to Brunswick and Meridian, ana e"St "
West Point. Va. Mr. Spencer declined TO discuss tie
result OF his trip but there strong impression
I'm Wall Street that IT'S results were not dsco'ragnS
TO the prospect Of Drexel. Morgan Co. attempting
the work OF reorganization. What effect the Dan
vile reccivcrslp muy have must be matter OF con-
! lecture. The proceedings were taken without us
| knowl.dgc but the men who instituted them declare
That the reccivcrship Will In w!o Interfere with
40 Wall
ignorance Of the action taken by aessrs. clyde
| Maben and Goadby.
The former efforts q rcorganlze the Richmond Ter
rnlnal we're interrupted by the placing OF the Georgia
Central In the hands Of receiver on March a. ten
eral F.. p. Alexander first appointed receiver bnt
subsequently H. VI. Conner. Of Savannah was appointed
| IA lis place. These proceedings were the beginning
OF q campaign against the Richmond Terminal In It's
relations 10 the Georgia Central which finally cnl'
minated In SAT- for n rcceycrShp Of the Richmond
and Danlille. This application was 10 lie heard DO
ro the Georgia cour, at Macon % day. and the friends
Of the pr sent management were fearful that the prop
criv would De placed In tile hands. MessTs clyde.
| Naben and G0adby last evening. In explaining me
reasons for their action I'm appealing to the Baltimore
court, said that the emf Tasscd condition OF the Rich
mond aud Danylllc " has been vastly aggravated ana
rendered much more dangerous through The uupre-
ccdcnicd and ~ Is believed, absolutely Illegal action
Of the Fedora; Court Tor the Eastern District Of Georgia
the complaint OF parties GINNING 10 NC
c,tcd In the Georgia Central Railroad Company prop
erty the control Of which had been publicly bought
and for over TWO held without challenge or MS
putc ly the Terminal Company and since july l7"l
publicly operated by the Danvllc Cmpnny' MesSrs'
Cjytc Mabcn and oOadby then rccilc the following
causes Of complaint:
THE purchase Of the control Of the Georgia Central
Railroad Company and the loses incurred In lis opera
ton amount 70 more than IA" total floating debt which
+, the present cause Of the embarrassment OF the
Richmond and D,nve. and consequently Of the
Terminal Company. Under this state OF facts the
above mentioned court 81 the Eastern District OF
Georgia. at the request OF one Mrs. Rowena Clark
fwho according 10 the public press. SAYS she never
heard Of suit until after II brUnghD. owner OF
niy shares Of Georgia Central stock at 10 ocock at
night and without notice 10 any one seized the Georgia
Central Railroad Company and placed II In TIN hands OF
is receiver In violation II TIA" charter provisions OF
IA. Georgia Central Railroad Company, this court
ordered an election Of directors for said company to be
held. and, at the same ume by an order which ex-
pcricnc.d counsel say unparalleled In the history OF
law dlsfrancLscd the majority Of the stock Of the
Georgia Central purchased and owned by the Rich
nond Terminal Company, and required that at this
election all representation Of such majority OF STOCK
should not ony Dee denied but that board should be
cls ted who should be- entirely satisfactory To the court
This court also subsequently mad" a further order
That stock 81 the New England aud savannah steam
ship Company. which had been paced by the Georgia
Central Railroad IN security for @cO).oOO
advanced Ia IL by the Richmond aud Dnnville Company
Ia meet H. maturing obligations In January last,
after the Richmond and Danvlllc Company
had declined to advance further without
security, should be returned to the Georgia
Central Railroad Company by the Richmond and Dan
VILE Company without repayment Of the advances.
This done although sworn report. made by Mr..
Williams formerly auditor of the Reading Railroad.
di-nten.,t"d and competent accountant, and also
swon TO by Captain Green. general manager Of the
Richmond and Danylllc and filed with the court.
showed that the Georgia Central was indebted 10 the
| Richmond and Danv" Ia amount exceeding 81
3OOUO. The court grated order upon the Rich
moid aud Danvllle at the snt Of the Georgia Central
and it, managers, which the court had appointed
a. rcccvcr,. return this security without con
sheraton except the issue In It's place Of receivers
certificates to an amount less than quarter Of the
value Of the stock taken from the Richmond and
Danvll and which receivers certificates being issued
withont the bondhodcrs being before the court, are,
we are advised. invalid ard worthless
The court also ordered that the Richmond and
Danyillc show cause June II. why the cnrc Dan
willie property should not also bc seized by this court
and put Into the hands Of receiver. Being advised
that none these apparently arbitrary acts Of this
court ATE legal aud that they cannot be sustained. and
feeling that thcy would not he justified either In tlis
| own int.r,, or the Interests Of the other security
holder, in leaving anything further to the action
| Of this court, the application was made 10 Jndec
| bond and /. ". Iuidekoper and Reuben Foster
AS "A result appointed receivers OF the Richmond and
Danvillc CDmplny.'
The statement further says: "Thc parties mailing
the appi eaton juds. Fond not only had the past
action Of the Georgia Court indication Of what
IL wonid do on the 18th Inst In the matter Of granting
a rcceiver,hlp for the Richmond and Nnvlc Com
rs,iy Int also had other evidence which Induced
them 20 believe that II receiver would bc appointed 10
the Interest OF the Georgia Central Company and ~
avcd such "A calamity and the consequent further
| th, v,
ulr.e prolSrte, took the only ctuI,c which seemed
open Ia them certainly Ia stop such hostile action
This appointment of receivers by Judge Bond l. not
,uly not IniuIcnl 10 or In Oplost any phn for