New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-09-07
A SNAP RECEITERSHIP.
EVANSVILLE AND TERRE HAUrE IN THE
HANDS OF THE COURTS.
OUTCOME OF FRACTIONAL CONTEsTs-THE NEW
YORK DIRECTORS DENY THAT THE COM
p\Ny IS INSOiYENT-THE ACTION
nENOINCED As A TRICK.

DENOUNCED AS A TRICK.
The friends and directors Of the Evansville and
Terre Haute Railroad astonished yesterday
at receiving Geographic dispatch from the com
panv's counsel at Terre Haute Ind, announcing
that George j. Grammar president OF the COM
pany had been appointed receiver Of the road
The action was brought by the Sullivan County
! Bank which is a creditor OF the company TO the
amount of $4,000. Intense Indignation was eX-
pressed at these proceedings which were denounced
! by d. J. Mackey and other NewYork directors as
fraud and trick
A meeting OF the board Of directors was held In
the afternoon at which thu step for the receiver
ship was declared to be 'unwarranted. reckless
and destructive OF the interests OF the stockholders
| and creditors Of the company. and was taken
without notice TO the company or the COUNSEL ana
| without proper presentation OF the facts 1t was
also resolved that this board records its solemn
and determined protest against this unwarranted
and unnecessary step denies the allegations OF It's
insolvency. alleges THAT IL is entirely solvent anu
competent In every respect 10 perform It's functlons
pay its debts and hereby instructs It's executive o
GERS and counsel to take immediate steps to cause
said r-ceiv-rship TO be vacated and the suit in
question TO be properly answered and defended
The directors appointed y. j. Mackey. president or
the board and f.. Il. Huston. vice-president OF the
company. the committee to resist the lertr
Haute proceedings and secure a vacation OF the
order for the r.ceivrrship az speedily possible.
~ 4 fractional quarrrl which has divided the man
agernent At the last annual election, in October,
the Mackey interest lost control Of the property
and Mr.. Grammar chosen president When the
Stock Exchange hous" OF II. l. Nicholas x 20
failed in the panic last July the Macley interest
succeeded I'm securing block OF the stock whch
Was sold out loan, and 7. w. Evans H. ].
Nicholas and frman Clark resigned as directors
being succeeded by W. II. Tilford and ii. NJ. TIL
ford. " New-York, and f. d. Huston, OF Evans
VILE g. c. Baldwin retired chairman OF the
Finance Committee and d. J. Mackey took his
place The directors were supposed 10 rep
resent the Standard Oil interests which were back
ing Mr. Mackev and the Mackey party through these
changes came into fun control again. The receiver
ship proceedings are looked upon step taken
to secure protection Of the Grammar interests.
II Is strongly suspected that back OF Mr.. Gram
mar * Il rival railroad company DESTROYS or secur-
ing possession OF the Evansville and Terre Haute
II was limited yesterday that this company is the
Cleveland. Cincinnati. Chicago and St Louis. COM
monty known the Big Four" The banking
house Of Harvey Fisk & Sons promptly issued a cir
cul.r 10 the stockholders OF the Evansville and
Terr- ITaute in which the Mackey party Il vgor-
ously attacked. The circular in substance makes
the following statements:
The financial nsnas during last has been
in the hand, ~ romni;f" ~ directors h~at"d BY an
ON cr known the dent % the bUaid. while the
cement uilroid ba- ben IN The hands of the
nfr-idant Of the l,nN. The roai
Ms but the nn>ncai m'Lae~rent ha- ben
unfortunate. tr'.~t~ 81 the company have Lcn
.ub,rdnsird those 81 ohrr c"mplIie, The .ndpr>'
nnt u Evansville and Tenn. auc has been pliced with
ont cons Iteration. A. far aware notes 81
Peoria Decatur Evansville 'or $1,000 given In pay
mrnt for the Cbcago sud ohio Ehor fo'd. settrn at
h> ocen s"mltrc via Louisville. Evansville and st
Ioui, by receiving certain OF H. second mort
gige bonds IN payment ioi advance, anOGat-
ing To sG95 COO. The r,pn,,nic ana T.tre uaute
oi has paid eNcr,,ye d, l-nd in order TO enhance
the speculative value Of the ,tpcA. Nowhs;andhg these
dividends Of the IN notes hNr
been g\rn current -uppt aud the proceeds 0f bond,
Withdrawn the company pay for betteiment.
have been diverted to other The roitnC dot
amounts. nearly ascertain. 70 over sGO0.oVc
with possible further Obligation Oh account % Endorsements
On the these facts "Nr appealed 10 the stock
holder, ~ s-,irins q change ot management
although now that the COMPANY j. under the protection or
the court VIII be ur.nr opportunity Tor dNcf>oa
~ IL. funds We warn boldhOdtrs To lee frightened
into pa ;ios with their bonds n stockholders join with
- to securs directorate pl-ds,d the best
Interests company expect Ia announce there
the floating debt la, b--n arranged and the
frsriyrrs ti.chsrpei.
The next annual meeting of the Terr- Haute
Company will be held October ;. and there is
expected 10 be sharp contest for controH
Terre IIaute. ind.. Sept. j-On complaint OF IN"
Sullivan County Bank. Judge Briggs yesterday APP
pointed George j. crammer receiver Of IN. Evans
vile and Terre liaut- Railroad II is charged that
the Lake Erie and -. Louis (air line), Peoria
Decatur and Evansville. and Chicago and Ohio
railroads. owned principally 10y D. j. Msckaye. are
controlled by the SAM persons tnat control the
common treasurer into whose hands the earnings
of all these roads are PAID. The treasurer Is
Mnchaye. The Evansville and rerre iiaute Rail
road is indebted 20 th- sullivan Bank TO the
amount of xGO O, and In Sullivan county alone its
debts are nearly $1,000.