The morning call., 1893-12-28
STOPPED BY RECEIVERS.
An Application to Head Off the
the Reading Man.
LAID TO FINANCIAL DEPRESSION.
The President of the Pennsylvania
Line Offers an Explanation of
the Present Trouble.

AIBAEY. n. Y. Dec. 27.-Boardman of
she law firm of Tracy, Boardman & Platt
appeared before Judge Wallace of the
United States court this morning and
. asked that d temporary receiver be ap-
pointed for the New York and New Eng
land Railroad. The court granted the re-
quest. and: appointed Hon. T. c. Platt,
Gus of the directors OF the road. 1t is
understood he is of the party opposed to
President Mcleod. who is also president
and receiver of the Reading road. 1t is
supposed Mcleod is seeking similar action
with reference to the New England road,
and that in the appointment of Platt he
was outwitted. Frederick II. Prince of
d" Boston ia among the leading spirits in oppo-
3 sitiou to Mcleod. The application for q
receiver is based on the mismanagement of
the road and its Insolvency. The order to
show cause why a permanent receiver
should not be appointed was made return
able January 10.
The appointment caused virtually no
surprise, as il was we'll known that
definite steps looking to such result had
been taken last night 1t was said that a
conference was held at the Fifth-avenue
Hotel and at q late hour the deter
mination was reached 10 ask for receiver.
The conferrees were: Thomas c. Platt and
T. II. PTiDce,directOrs of the New Eng
land Combany; A. B. Boardman and
Frank n. Platt, of the law firm of Tracy.
BoaTdman d Platt. and some capitalists in
terested in the securities of the company.
BoaTdman left for Albany on the midnight
train to make the application for the ap-
pOintment of a receiver.
One of the capitalists who attended the
conference said the conference was really
. little meeting of the committee appointed
some time ago TO raise the money required
TO pay the interest due January 1. Two
hundred thousand dollars was required
for that purpose and the committee had
been unable TO secure it. Response to the
applications of the committee had been
very slow. under the circumstances. and it
became necessary that application be made
for the receiver. 1t did not follow. how
ever. that the application would be mimi
cal to the interests represented by Nc
Eeod, although it was not believed that
Mcleod now held any more stock than
was necessary to qualify him as director
and president of the company.
A meeting of the stockholders of the
New England was held this afternoon to
vote on the question of ratifying the lease
TO the New England Company of New
York Of the New England and Northern
Railroad. Mcleod was present, and made
a. statement explaining what had been
done since his connection with the road as
president. Voting on the question of the
lease will be continued tomorrow, when
-if is expected sufficient votes will be re-
ceived to ratify the lease.
While the voting was going Oh to-day
the announcement was made that Platt
. lad been appointed receiver, and Mcleod
tnimcsl to him.
1--WE shall see. however" he said,
"Whether the road continues in the posses
sfon Of the receiver. l was elected presi-
dent last March, and found an empty
treasury, overdue and unpaid vouchers,
and many pressing creditors. On the
next day after my election an attachment
was placed on a large portion of the
rolling stock. Several members of the
board and myself promptly came to the
relief of the company, and the attach
inents were released and sufficient funds
provided for the pressing claims, and ad-
yances were made TO meet the July in :
teresl..
"In the face of the most rigid econ omy
the earnings have fallen off owing to the
general business depression. Under nor
nal conditions the road ls amply able 10
sustain ITSELF
At the stockholders meeting to-day Nc
Leod earnestly advocated the ratification
of the lease of the Norwich and Worcester,
which includes the control of the Norwich
l. 1f.,.a 3
England company's indebtedness amounts
TO S26, 80, including bonds. mortgage
notes and contract liabilities. also float
ing debt Of $650.000 and S20. 900 of
common stock. In his address at the
stockholders meeting to-day Mcleod said !:
81 say to you emphaticslly l have never
interested myself in the securities OF your
company in any way except with the ex-
pectation of enhancing their intrinsic
value and thus, indirectly, the credit of
your company. | believe in the property.
as | always have, and if this unfortunate
year for all railroad companies had not
overtaken US at the time when we were
struggling to establish our credit and put
the road and its rolling stock in condi-
tlon to transact your business econom-
lcally, safely and satisfactorily to the
public, the result of the years operation
would have shown that the road had not
only earned fixed charges but handsome
surplus besides.3
The New England Teceivership move
Goes not affect the Reading road. Nc
Leoo connection with the latter having
ceased when he removed from the receiver
AMP OF the Reading some time ago.