The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-12-28
NEW ENGLAND GOES UNDER.
,op,s LATEST SCHEME coLLAPsEs
,yp THE COURT TAXES CHARGE

Ia. Hoo. rso~a. &. rIsu Appreciated Ts--
-.,.r, Rse,iysria ThIs state asa wInias-
- mar, .. Csansetisut-Pissty or Debts.
,.,Hs Moasy, the erouua for Astieu.
uv,xr Dec. 27.-Mr. Boardman OF the firm
q tracy. Boardman 4 Plat OF New York ap-
Us.,,sd to-day before Judge Wallace OF the
Ii,r,,sI states Court aud asked that tenn
s,,,,s receiver be appointed for the New York
- New England Railroad Company. Judge
wallace APPOINTED Thomas c. Platt one OF the
Istre,t5rs OF tho company.
u psrerrIng TO this appointment Judge Wal
H.. said: The papers In the case have been
I,,ssn to New York. where they will be filed to-
| Az vith tbs Clork Of the United States Circuit
| Court. The order appointing TEN rorary re-
| ..i,.g wa, granted pending the application for
/ armament receiver. and to save the property
.rd prevent disntegration as q result Of at
Itaehments upon the rolling stock and other
1 ,,orerty O! the road. My order is returnable
| Isfore ne in New York on Jan. 10. when the
i ,us.tion Of the appointment Of permanent
/ ,e,siyer will he argued. The bondholders
,bsrsholders aud creditors OF the com any
c.o be present at that time. and will be
heard"
| Ths application for \ receiver for the New
York and New England company was precipi-
i ta;.I tya falling out betw cen President Nc
i cod and his imm ediate associates IN the
1 MANAGEMENT. II was decided upon last Friday
1 night not on Tuesday evening. as was pub
4 ll.hed 10 some quarters yesterday. The rup-
n ,urs referred 10 was the outcome OF a small
HUE unsuccessful deal in the stock which
Iva. unIertaSon at the instance OF Mcleod.
line directors and their friends who went into
this pool to bull the stock. claim that tho
M
represented to them By him. and that he pro-
cecded to sell out uron the pool stock he had
previously acquired as soon as 1t began opera
Ityr~
Il q no decline In the price OF the stock that
Ibeganiten days or more aRo alarmed them.
AMI. in consequence, purchases were made
Ivlin good deal Of caution. and finally sus-
pended altogether before anything like the
,nouut called for By the pool agreement had
been accumulated.
] further decline In the price provoked In:
Ieuries Of President Mcleod, who professed
Ignorance OF tue source OF the selling and OF
he cause f,r the same. ] asst Friday: however;
the COMPANY for money to N eet the interest on
the 0rst mortgage bonds due Jan. !. abbut
dot t''T ABOUT ss50Uo0 was Also disSiosei
| 81 that time. The gross and contingent liabili-
part ofthem being on account Of the Efforts OF
the company to secure line into Providence.
i Those directors who have taken an active In
| terest In the affairs OF the company were sur
| Irised at these revelations, and apparently
came, to the conclusion that the pool to
TO Market ths Would " cnabe
hun to unload stock which he had bought at
s Their hs hs
Indicates that various other interests prompt
followed their example In some quarters
| succeeded In getting out OF his long stock In
time to put out line Of shorts at iairly high
those who think they Know Know s. netting about
| tne matter that lie has lost heavily by tho
| However that may be. his associates had lost
faith in him and believed he had been guilty
Of treachery, hence they set to work at once
They argued that l. they did mot get
nLe Mr. Mcleod would, and they felt that
s"e ypupert T and It. @ 0hf .y W we
jIined in this moyemen: by some OF the credit
:rs who have not Yea appeared In the proceed
rcS.uteT rSeodCrc WSoa Of lie tn,e 90
State! Express COMPANY. which holds CON
EnGland road: He made. application, how:
ever. as - holder Of the securities OF
Judge Wallace On Tussday but w ostns 10 a 10
returned 70 this city Tuesday evening and re.
When tho hearing to make Mr.. Platts appoints
IN ent permanent takes place on Jan. 10. the
bis continuance is not likely to provoke pro.
tracted arguments.
Receiver Plat had nothing to say about his
] Fl the compsny Of late. its understood that
snme to M TcLsna sssn a sdad sosp h
Ing his praises. has not yet lost con.
the rscsivershiD did MT GAUSS much sG.
element on the stock Exchange. though the
hS IL SsS agfsd esS
the close n part OF that loss was recovered.
pad the street had begun 70 take 4 more live;
.boHn re S.R a Gsns5s Electric than had
The meeting e sfoSthPdsrs Of the New
seS ys't;s,dsSS In the otiiGss o. the
fecslSsr had BEEN sppointeds COUPLED aeT " With
ne TACT that such result was gener-
ne. 'f FrssisSt Mefs ssf after RSs n Sssna
haf heen called to order read a. statement in
. sn9 he %n d that he had pG4s ss q S5s
;sas lie t sad l sha.to meet these d snaH ss
l sai been all paid on ~ sSb6;"sapent eaEnipgs
n.et July interest payments. he said, had also
been returned from net earnings He urged
TIE ratification Of the lease and con;lpded by
saving that he had never interested himself
I ths securities OF the company except with
ths intention Of enhancing their Intrinsic
800 ahN anus inultVSA'' hho Sieult VI hho
company.
Al O'clock the number Of votes cast was
luN, $50 In favor OF the lease, Of which Mr. Me-
sod voted proxies on ~. iS5 shares and a.
kNi against II. Mr.. Mcleod then announced
that the vote had been SO light that an adjourn
n-nt would be taken until . o'clock day.
when the polls would be opened again. The
assent OF $4,000 shares 10 necessary " q rati-
tcation OF the lease.
The New YORK and New England Railroad
Company Is the successor TO the old Boston.
Hartford and Erie. and was chartered by the
stAts % Connecticut in 1873. The Boston.
hartford aad Erie was chartered in 1853 as
scccessor OF various incomplete lines, among
which were the Norfolk County Railroad.
thaueIsd IN ls4I. the Boston and New
York Central and the Hartford. Providence
And IishktL The CONSOLIDATED company
Snhertook TO open = line from Boston to the
HUDSON River, and 10 a connection by ferry
nm the Erie Hallway at NeWbuTgh. Bonds
y the amount Of S2O.OO0OOO were issued un-
Ser what Was afteTwArd known as the BeTdsll
2nTtgage, IRON the name OF one OF the trustees.
. The Boston. Hartford and Erie having de-
IAultsd In the payment OF interest on its bonds
the contrary was declared insolyent and the
Iuad was onerated for eighteen months prior
y April. 1873, By the trustees OF the IN ortgAEs
A. that date II Was turned over to the New
York aud New England lailToad Company
shieh had been organized by the Berdell bond
holders.