The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-04-13

sisting him Indirectly. AS the rights of the
] Terminal company had come up before m
before, let him continue"
Then Mr.. Adams said: "WhRt possible
! Televance has this argument to the casel
| The Terminal has appeared before this
court two different times in this matter,
and there are many orders in this case, and
they have never been questioned. These
| LOCO shares were disfraEchised only for
the election OF directors. This company
| suddenly threw up their lease of the Cen
tral. laboring under heavy obligations,
largely due by them.
Then this auxiliary bill was filed pray
Ing for the appointment Of a receiver. The
right OF the receiver grows out of the
Rowena Clarke bill as well as the auxiliary
bill. There is no judgment of this court in
regard TO q reorganization pan. The recr
oTds don't show it. The court never com
mits itself to any particular plan, and this
court has not done so. The contract referred
10 was made TO take up the Speyer loan,
which had the same right rs is given HOllins'
syndicate. The Speyer syndicate had the
right to sell the securities at private sale
and to sell them TO themselves. So in order
TO have this debt taken up such a contract
had TO be made.
1T wiped out other contracts which were
still worse. / respectfully insist that this
argument ought not TO have been heard at
Wis ZINC AOE tt4o lbSo VI u o.
attack upon judge in his absence"
MR.. LowEEY's ANSWER.
In reply to the remarks Of Dir. Crawford
Mir. Lowrey. in behalf Of the reorganiza-
ton committee, said:
trust that since your honor has seen
the hand that turns the crank you will be
cautious. l ask the pardon OF Brother
Tompkins for calling him crank, but he is
turned by men in Wall street. | don't in
tend to answer Brother Crawford, bus there
are few things thai impinge upon the
memory. One hundred aud sixty per cent.
Is large sum, to be sure. How he arrives
at his conclusion / don't know. You take
bonds at per cent. Gud they ore rated at
80, and with the preferred stock they make
liz per cent in exchange for the securities
of the committee, instead Of 100. The Rich
mond end Dauville think they have not
enough under the reorganization plan.
1t will be found that those two
items are at the bottom nf the effort of the
Central Trust Company to displace Mr..
Comsr as receiver OF the Savannah and
Western. Brother Crawford wanted to
put me on the stand | don't know that l
care To swear to point OF law. He wanted
me TO tell you what would happen on July
l. The resolution passed in New York de-
cided that the road was solvent and only
needed credit and help instead of Teorgani-
Mr.. Conner to raise the money. and said
they would help him, and they did so with
out requiring any ouerOus conditions. The
Savannah and Western bonds held by
the Mercantile Trust Company cannot be
sold for fifty cents on the dollar.
THE CONTRACT NOT UNUSUAL.
"Mr. Crawford refers to this contract as
comforting upon us as a grGtuity all the
property. l will not 20 into q long argu-
ment 20 disprove bis statement, but | can
show that nothing was given this syndl-
cate except such securities as would be res
quired by O bank. My friend has spoken
OF this court and Of an absent court in
terms which 1 regret and deplore. The
court mentioned in its order no plan but
che reorganization plan, which was DON
templated and being talked about The
provision is q fair one AID perfectly indie
lensible.
In regard to the expenses, of course
they are Co come out of the securities Of
the company. If the reorganization fails
the securities deposited are returned to
the original holders without loss.
Does sanybody suppose that the redemption
of the property is TO be used for the private
benefit of these members of the reorganiza-
ton committee. These things must be
looked at with the eye Of reason and COM
mon sense"
THE SAVANNAH AND WESTERN AGAIN.
The argument brought up by the Rioh-
mond Terminal people had entirely dis
tracted attention from the point in question,
which was the petition for an Independent
receiver for the Savannah and Western
system. This was again taken up and an
affidavit was introduced by Mr. Lawton
from Mr.. Leopold showing that the original
markings of the Savannah and Western
cara were pveser on the inside and also
the original numbers.
Judge Tompkins said in conclusion. that
the Terminal intervention had nothing TO
do with the argument he was making or the
case no was presenting. He was not repre-
sentng tho Richmond Terminal any more
than Mr., Crawford represented the Central
Trust Company.
ave have nothing to do with any motions
toward putting aside auy orders, said he,
NOR DO | assent that this matter shall be
postponed TO see If a satisfactory receiver
for the whole property can be appointed.
We ask for an independent receiver now, as
we have a right by law to ask for one. |
desire to disclRim any animadversion upon
this court or anybody else. We have the
right under decisions to ask for a separate
receiver. Who protests against it' This
reorganization committee, and / can't see
their right to make the protest. The Cen
trial does not credit the Savannah and w est
eTn LOT CThulC OeilVeIed 10 tlab TOad.
II can answer that, )" said Capt. Cunning
ham. EVERY piece Of freight handled by
any line Of our road, is credited to that
line.n
Judge Tompkins admitted then that it
might DO so, but it didn't prevent the Cen
trat from gaining revenue from its leased
lines. He then took up the argument TO
show that the Savannah and " estern roads
were still Alabama corporations, ana that
the suit was properly filed in the Middle
district OF Alabama. ave submit the
case" said he, land think We should have
an independent receiver"
Judge Pardee then announced that he
would reserve his decision for consideration
OF the question.
THE MOTIONS TO COME UP LATER.
The motions introduced by the attorney
for the Richmond Terminal will Of course
come up for another hearing before Judge
Pardee, at some date arranged by tho at;or-
neys on either side.
The attorneys for the Central were taken
rather by surprise, and were not entirely
prepared to reply to the abatement made by
Mr.. Crawford, consequently but few ro-
marks were made in answer to bis Grgu-
meut. The case will be heard at New o.
leans at some date as early as car be agreed
upon by the representatives OF both inter
es.s.
Receiver Oskmau, Vice President Ruth
erford end Mr.. Crawford left last night in
their special car for New York.
Judge Pardse leaves this morning for
Ill