The sun. [volume] (New York [N.Y.]) 1833-1916, 1892-11-27
GEORGIA CENTRAL LEASE.
president OAKMAN TAKES THE FIRST
STEP TOWARD ITS CANCELLATION.

He Demands That the Members OF the Syn.
dictate Refund the Money Paid for the
Securities ofthe q corxia Compuny-Fraud
and Misrcpre sentatiOn Alleged.
President and Receiver W. G. Oakman OF the
Richmond Terminal Company Yesterday sent
the following letter to Messrs II. b. HolliAs Il
Co.. Lehman Bros. August Belmont Il Co.. T.
W. Clarke & Co.. Isaac l. Rice. 1nman. Swan Il
Co.. Kessler 4 Co.. John {. Calhoun. j. 4 S.
Wormser. J. & ". Seligman. Scholle Bros. Pat
Calhoun. and HeidelbRct. lckelheimer x Co.:
On Oct. 20. 1888 q committee OF four direc-
tors ofthe Richmond and West Point Terminal
hallway and Warehouse Company. assuming
to act for the company. signed written agree
ment with Messrs II. E.Holins & Co.. Emanuel
Lehman. August Belmont 4 Co.. L. W. Clarke
e. Co.. Isaac l.. Rice. lnman. Swan 4 Co.. and
Gustave L. Kissel by the terms OF which it
was declared that the Richmond and West
Point Terminal Hallway and Warehouse Com
pany bound itself to purchase from the said
subscribers and the association they repre-
scented and acted for.
First S12.O 100000 or 100. 900 shares OF tho
capital stock OF THE Georgia Company" and
pay for such stock in cash at tho price OF $35 a.
share. and
''Second-s1 100000 OF the Collateral Trust
Bonds OF the said Georgia Company. and nay
forsuch bonds in cash at the rate OF $3.50 per
bond. with accrued interest from the aturity
OF the last coupon. and to pay cash therefor on
or before Dec. l. 1888. and also within three
months thereafter to either purchase from the
said associates and those for whom they acted,
and pay cash for the remaining 100000 OF
Georgia Company Collateral Trust Bonds at
thu same price. or to procure the absolute
guarantee OF tho Richmond and Dauyille
railroad Company, to 10 endorsed on such re-
naming s3.WO.Op0 tonds.
THE agents Of this company thsn in office
assumed TO carry out the pretended agrees
ment made b. said committee and proceeded
to pa, out the moneys Of this company to ac-
tho said collateral trust bonds Of the Georgia
Company at the prices named.
Sseh you and zach Of
stocks and collateral trust bonds Of the
cred Over to TITS coin panys oilsers: "sA us'V-
The EichWond ana Nest Point Terminal
the Southern District OF New YORK. and each
the funds Of said COMPANY under such circum.
stances; that the said alleged contraeto Of Oct.
never legally appointed. and had nc. power 70
bind il 10 such, purchase Of the snid
s st%fss a that this company lad mo no
cor;orate power under It's charter isd to purchase
bucn serurlIIts. IIldt VNrTb uIIect'lS 81 inc
company we're your associates and made UNI
lawful and fraudulent profits under such pre-
tended contract and out OF the proceeds Of tho
said pretended purchase Of such bonds and
stocks from the:us selves you. and their other
1ssociatos: that tho said contract and pur-
chase OF stocks were imposed on this COM any
by divers, OF its directors BY means Of
representations which were false and
practices which were actively and con-
structivsly fraudulent: That such pay
mcnts for said stock and bonds were misap-
preparation Of the trust funds OF -aid CORPORA
lion: that said contract was Illegal. iraudu-
lent and void; that said payments were and
each Of them was illegal. unauthorized and
ira nduient. and that said company and said
receiver disailirm and repudiate the said con-
tract and he said payments.
For such reasons this company and Its re-
ceiyer hereby notify you that they demand an
Immediate cancellation Of such pretended.
but invalid and fraudulent. contract. and each
and every purchase of said stock and bonds
aforesaid and the return forthwith by you Oft the
moneys OF this CORPORATION which you then
received FOR your stocks and honds OF the
Georgia Company which YOU then surrendered
to tho officials Of this company and interest
on such moneys from the date you received
theoi t. the present time.
We hereby tender luck t. you the bonds
and stocks OF the Gcorgin Company then re-
csived from you and the come and dividends
thereon and interest on condition. that you. at