New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-02-26
IN WALL STREET.
THE FEATURE OF A TRYING wEEK.
MR.. M'LEOD's ANOMALOUS POSITION - lA-h
ABOUT NORTHERN PACIFIC RI
crIvERSHIP LAUGHED IT.


ways nnprecedentcd features OF the SITUATION nave
added 10 them the coneoling fact That 10 one
credit has been asSaled and 10 trouDc h"N W."
suggested I'm The fashion which usually prevails W
times ~ doubt and disruSt. There mas oeeh en'h
urolonc ea anxiety over the silver question that
COMM ston houses well as the banks nave "''i
pursuing conservative policy That leayc' tn" heavy
losses which hive been suffered through Inc N''
week OF depression, ia fall upon men aD" 10 Dear
them without the confession of Insolvency Even
Yesterdays renewed liqndatiops br0ssht lorth ITO
story Of possible trouble.
The stock Exchange floor was covered through the
two aSsrs Of the short session with busy and
anxous brokers. The fluctuations In prices, now
ever. Indicative of the power of the bears III
one property or Of the bulls IN another. y" con
certed movement in values evident. although
the declines more numerous than the adVaic'''
and a feverish unsettled feeling prevailed me
prominence of Philadelphia and Reading was srs-
tanned bat the dealings In American sugar hcHhin|
we're hardly secondary in Interest. Reading S'o'h
suffered from the continued negligence Of men WI"
should take steps establish the reputation OF te
company's receivers "A plane with that OF Caesar"
wife. and the net loss Of The day was IL per
cent. American Sncrlr was still the football OF
complicated speculation and the price rngh from
III TO us 346I17 Ia the final quotation showing
an absolute gain OF than per cent. There
sharp declines I'm Of the other industrial
shares, with National Lead conspicuous with fall
Of nearly per cent. The stock Of N"w-iGrk and
New England opened up al 30a3O IS. but SubSc-
quently fell to 19a 20 "a. the final change being
a gain of "a per cent. The most sensational de-
cline in Northern Pacific preferred. which was
"raided' vigorously By the bear party, closing with
q loss Of points al 36 II.
The weakness OF the stock market as a whole was
surprising IN view Of the acknowledged large extent
of the short interest and the lack Of developments
In the way OF news. The fall in Northern Pacific
was accompanied by rImors wt,ch find no crcdencc
amcns those persons best acquainted with the COM
panys affairs. The word "reccveIship" has got into
print but the idea Is laughed at by everyone except
the operators for a fall. This sort OF talk would
doubtless find listener, If the criticisms of tile in
vcstigatng committee Of the stockholders upm the
management had not struck responsive chord In
Wall Streets >ccptical. cynical mood. 1t is said
that persons who interested creditors OF the
company yesterday received renewed assurances that
there ground for doubling in any manner IN"
solvency Of the property or The security OF all
temporary loans. Tho members of the committee of
Investigation are pronounced in their favorable views
OF the merits of the property. but there is much curl
osy as TO the amount OF real Interest In the stock
held by Of the members Of the existing manage
ment against whom the Clewslves committee has
directed it, condemnation.
As to the affairs OF the Philadelphia and Reading
RAILROAD nothing In the way TO be OBJ
taned nom the person who should have some facilities
for securing information The delay Ct the receivers in
giving any information the financial condition oil
the company increases the growing dstruS a. 10 'he
possible SERIOUSNESS of the Si'uatcn 1t Is. oil c0uiS
expected that the receivers will not commit themselves
70 any detailed statement until careful and thorough
Investigation Is made but the feeling Is strong IN bank
ing circles idea IF the state Of tn" treasury
might properly BE- outlined for the protection OF STOCK
holders and creditors. II j. beginning 10 BE- feared That
the influence Of the president and receiver ~ y NC
Leod may have something do with the silence oi his
co receivers Th, notion stimulates the Indignation o'
.,.l i mi ,
the place Of receiver His unfortunate management ii
Is commended sufficient ground outside Of other con
siderations to render him inappropriate In his present
place But the public is in the dark Us to the extent
tn which Mr.. Mcleod NAV have used
the resources Of the Reading Road 10
sustain his outside RAILROAD ventures. J.
probable that Mr. Mcleod has had shadow OF
authority al least. In anything that he may have
done in this direction. but there are insnua'lonS III
reputable quarters that this may not be The
case The remedy lies In the hands Of any creditor
or stockhoder who has the courage 10 undertake
fight. The power OF the court TO review It's action
in the appointment of Mr. Mcleod receiver Is not
,,ost,on.d In legal circles John r. Dos Passes.
whose knowledge of corporation law IS generally con
ceded. has already expressed Ills opinion tMt pro
ceedngs for the removal Of Mr.. Mcleod are fuliH
Unsuitable as matter Of law. besides adding his con
domination TO The general sentiment in financial
circles aga ~, surface improperly Of president
whose policy or methods involved his company In
bankruptcy being promoted TO place wher" his or
rors Of judgment might find complete trultae"
There + little doubt that before long movement
Will be set on foot TO force Mr.. McLeod's retirement
The reluctance Of Speyer d Co.. III" bankers VINO
advanced the funds which President Mcleod used 10
nav the Interest on the preference income bonds. 10
take the Initiative In such proceedings does ho
please every one. There is no on" who believes 'h
the firm would have lent money to Reading Il IL
drtaInrd that Reading then was insOlVeht. II MI
Mcleod made misrepresen at!ons as TO the coh1ltion
n the floating debt OF Reading the bankers TO whom
,bcv were made are considered proper persons 10 call
N. attention Of the courts to the position OF aHalrS
II Is suspected that the reluctance OF the hrn may
be due 10 the necessity for obtaining absolute V'rh'"
lion Of any Misrepresentation. There Is aircany Oh
foo, n. movement In Philadelphia to have one OF the
stock houses Of high standing undertake an inveSg
,,op for the benefit OF security holders. lie weak
ress a., this movement however. lies in the fact that
the Information that may be- Obtained may come from
one receiver who IS already misruotcd Inc sentiment
among bankers and men Of finance Is That any pro
ee.d,ncS In the matter should be taken by Interests
concerned in the property and having reason to
doubt the integrity OF statements made by MI NC
Ieod before he became one Of the receivers.
at cannot be 10 the interest Of the stockholders
and hondhoders OF the company" said John r. Dos
Passos Yesterday for MIR. Mcleod TO serve In the ca
nacity Of receiver. When this do not want 1t
M be understood that have any personal feeling In
tie matter for | have not. | only look upon ii a'
matter OF prOpricy and matter OF law the ac'ioh
of the court in appointing him receiver Is one that
can he reversed. My own judgment Is that the bond
holders and sockl odcr might reasonably require that
II s1onId DE reversed. am not aware OF any or
ysnlzed movement looking 10 this end. In fact. 1t
may occur TO Mr.. Mcleod himself shat the position h"
o..u,,os * one Of great cmbarras Smcnt as viewed
from TIE standpoint have indicated. and 1t may be-
tina, ne will see the improprety Of holding an ono"
which MANY may justly or unustlv think H. is not
warranted In retaining In The light oil me events Vi
the last two weeks
The rally I'm the price OF New York and New-Ens
land was not accompanied by any developments ns 10
An. cortrol The transfer books OF the company may