New-York tribune., 1893-12-29

AVAILABLE ASSETS.
Cash ,. s5Ssai5 5S$ai6 $ $
M @if Sro 1aS Solvent Companies and niivluais 23o
Balance being net floating debt including IN
and rentals accrued d.........'.'.'' "37"o 10
g. ~
| Mr. Wood declares however, that he is in
formed and believes that the financial condition
on September 80 1893 was. far as concerns
! the available assets not correctly reported; that
| large part Of the assets alleged to be available
were and are. I'm fact, worthless. and that the
! actual deficiency, to compare the liabilities with
the assets actually available is much larger
| than shown by the report. and is indeed more
| than $1.500.0O0
THE PRESIDENTS REPORT.
The report cf the president for the year end
ing December 81. 1892. the complaint says.
showed that the net floating debt was s3SOS53 5S.
and that during the nine months ending Septem-
| Der go 1898 this increased $2j3176 81 Mr.. Wood
saws that for three years the road has been
at loss the loss increasing each year. The
loss for the nine months ending September 30,
1893. as shown by the report 10 the Massachu-
setts Railroad Commission. was S249.903 So Ac
cording 10 the presidents report TO the stock
holders for 1892, this so-called operating deficit
amounted to only $50 43O o. but the return TO
| the Commissioners made last September. de-
clared that the profit and loss deficit increased
in 1899 from s417773 "a to ss32 455 IS. and that
the actual loss from operating the road in 1892
was s414Gs2 "a, in addition to $3l7,s2S which
| was wrongfuy charged as additions or improve
ments when it really spent in operating
the road.
The company declared that in 1892 it had
earned $s1s2 "a. applicable to dividends on the
preferred stock. Mr.. Wood says that this state
ment was untrue. the accounts having been de-
lberately falsfed by reducing the amount due
to connecting railroads The amount Of this re-
duction was $.Osl2 "a. SO that the apparent sur
plus was only S1.Ol4 II. The operations OF the
road for 1891 were really carried on at n large
loss. for the road falsely announced that it had
spent on improvements 1894 22i which was actu-
ally spent in operating the line. In fact the
property had been allowed to deteriorate in value.
An unearned dividend Of $4,000 had been paid
on the preferred stock. che actual profit and
loss deficit was increased in addition to the
sums SS0Sl2 "a and $&422i. by the further sum
Of sl29. 2iJ 1G.
THE EQUIPMENT SAID TO BE POOR.
The complaint also charges that for three years
the road has neglected to apply the sums Of
money needed to keep the road and equipments
in efficient repair. Money which should have
gone for this was paid out in dividends Mr.
Wood said that for three years the directors had
managed the affairs in entire disregard Of the
interests Of the company and its creditors. and
some of them had used their positions 10 iurther
their private interests at its expense
For the six years ending November /, 1891;
the road paid per cent dividends on It's preferred
stock, although the operation showed deiicit
upon its books of account. II Is charged that
for the benefit Of certain directors preferred stock
was frauduently issued IN large amounts ~ from
$50 10 s7j a share.
The floating debt. it Is set forth. has been in
creasing since March ana IS now S2.393,9i' %, a
large part of which is overdue. The operation OF
because of the leniency Of the creditors interest
on the frst-mortgage bonds on july ], 1873 ana
on the seconds on August l. was paid with Dor
rowed money. Many Of the creditors. including
some railroad companies, are now urgently ue-
manding payment Of the money due them, the
affidavit saws On January |. the interest on the
nrst-nortgage bonds, 100000, will be due, ana so
will be amounts payable under leases. ihte1gst 1g
on the seconds will be due February l. The
available cash is less than 100000, the bill says
OTHER AFFIDAVITs
In his aNidavits ex-senator Thomas c. Platt
said that he was director in the company and
was familiar with It's affairs the corporation
was hopelessy insolvent, and would certainly
default in the payment Of the interest due on
its nrst-mortgage bonds on January !, 1894
The deponent further said that he was presi-
dent of the United States Express Company.
which owned 5000 shares or the common slock
Gilbert b schley made affidavit that he was a
member Of the firm Of Moore & Schley, bankers.
who owned 15 900 shares OF New England com
mon stock; he was familiar with its affairs. and
believed that a receiver should be appointed to
prevent the dsintegraton Of the property.
Another affidavit was made by FREDERICK H.
Prince. of f. H. Prince & Co, Boston. director
in the road His firm owns 100 shares OF the
preferred stock $4,000 II the per cent ter
minal bonds and $4,000 Of the second
mortgage bonds. and besides has lent the road
money Mr.. Prince also said that a receivership
was advisable Judge Wallace directed Mr.
Platt as temporary receiver 10 take immediate
charge ef the road. and to conduct the ordinary
business until the hearing on January 10. The
courts intention was to interfere IA little with
the affairs as was consistent with the prescrVa-
tion of the property Mr.. Platt gave the bond
of 100000 his sureties being II. O. Armour and
Senator Brice
PRESIDENT MLEOD WINS.
In spite Of the appointment OF a receiver for
the New-York and New-England Railroad, a
few minutes before the opening Of the special
meeting Of the stockholders on Wednesday 70
vote upon his project to lease line to be built
to this city. a. y. Mcleod, the president OF the
company, his point by majority Of over
1870 900 votes. When the polls closed at p. III.
on Wednesday afternoon, Mr.. Mcleod needed
nearly 900 more votes 80 ratify the lease Of
the projected Ncw-York New England and
Northern Railroad. through which It expected
to get into this city. When the polls were closed
on Wednesday, Mr. Mcleod announced that they
would be opened again yesterday and kept open
until a majority of the stock Of the road had
been voted. Yesterdays vote, together with
that Of Wednesday, gave him 14l OG9 in favor OF
the lease. and there were cast against # 69s3
shares. This gave him clear majority Of lS3-
08G. The appointment OF n receiver before the
lease had been ratified by the stockholders. In
the opinion Of many. destroyed the legality OF
the lease but Mr. Mcleod maintained that II
perfectly sound
The attachment of SSjO.O00 which was OBJ
tained In Connecticut on the rolling stock of the
road late on Wednesday did not seem to disturb
Thomas c. Patt. the receiver, in the least He
said that this attachment had been secured on
a traffic arrangement and Il would not inter
fere with the operations Of the road The motion
to make the receiver permanent will be argued