The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-04-12
The Richmond Terminal People
Spring a Sensation.
They Ask That the CeltFaTS Re
ceiTeF Be Discharged


Motion Made Under the Rowena
Clarke Bill During the Progress oil
the Savannah and Western Case.
The Arguments in the Savannah and
Western - The Terminals Action
Motions Unexpected and Everybody
Surprised.
The Richmond Terminal people have at
last displayed their hand, which was hidden
until they appeared before Judge Pardee in
the United States court yesterday. Their
Intervention, which fell like a bomb into
the court, asked for the annulment of the
receivership Of the Central Railroad and
Banking Company and all the contracts
made under it, on the ground that they
were illegal from the beginning.
The Richmond Terminal officials stated
when the Central first went into the hands
Of the courts that they would be heard
from, and when Receiver Oskman, Mr.
John Rutherford, formerly vice president
of the Terminal, and Henry Crawford,
Esq, attorney for the system, APP
peared on the field Monday night
the MORNING News predicted that
they would figure somewhere in the pro-
ceedlngs-and they did.
1t Is needless to say that the move OF the
Terminal was q surprise. The Central at
torneys knew that the Terminal officials
were here for a purpose, but exactly what
IL was they were unable to find out until
the issue was sprung in the speech of Mr..
Crawford just after MIR. Lowrey had COM
pleted his argument in the Savannah and
Western case in behalf of the reorganiza-
ton committee
THE SAVANNAH AND WESTERN CASE CALLED
When the court convened yesterday
morning the attorneys representing the
Central railroad and the reorganization
committee, Gmong whom were Messrs
Denmark d Adams, Lawtou q Cunning
ham, Mr.. Lowrey Of Lowrey, Stone &
Auerbach, and Col. william Garrard we're
present, and also Hon. Henry b. Tompkins
of Atlanta, representing the Central Trust
Company of New York in the case of that
company against the Central, in which ap-
pllcatlOn was made for al indie
pendent receiver and separate fore
closure of the Savannah and Western
railroad. The Terminal officials were ais
there and listened with interest to the argu-
ments bidiug their time to spring the sur
Judge Tompklns opened for the plaintiff
stating that the mortgage on the Savannah
and Western contained the authority for
the trustee TO seek foreclosure. His
client, he said. asked that a
receiver independent from Mr.. Conner be
appointed. He based bis argument on t1e
statement that the Savannah and We or
is q competing line Of the Central and That
the Central is using the property Of that
road, OF which 1t keeps no account aud for
which It does not pay. He said also that
the rolling stock of that road had been ap-
propriated by the Central and the letters
5. and w. had been era~'1 He produced
Atfidavits stating that i. - q competing
line.
CAPT, CUNNtNGHAA'5 ANSWER.
Capt H. C. cunningham made the leading
argument for the defense. The Savan-
naa aud Western, he said, ia not an Ala
bama but Georgia corporation with IL
ceuse to operate in Alabama; that, there
fore, the case was properly brought here.
Competition between the two systems, he
said, exists only in connection with the
Savannah, Americas aud Montgomery
road. The separation, he said, would be
disastrous 70 the Central as well as TO the
Savannah and Western, and to the bond
holders of that road as it would cause the
road to lose large part of its traffic, es-
peclaily 20 Savannah, aOd also the use of
the Ocean steamship lines.
number OF counter a1idavits were in
troduced stating that the Central had Kept
strict account with the Savannah and
western. that conjunction was best for the
interests OF both roads, aud that d plan OF
reorganization was on foot by which the
property was 10 be put on a pay
ing basis. lie reed an affidavit
from Jacob SchifP stating that he had
studied the Central system thoroughly and
realized that it was best for all concerned
that the roads should remain together. Also
an affidavit from the Mercantile Trust
Company and others, representing 20, Sos, OOC
OF Savannah aud Western bonds, stating
that the conjunction Of the roads would
best subserve the interests Of all concerned
JUDGE ToMPKINs' REPLY.
Judge Tompkins replied that he would
Insist on the appointment, as the Contra
Trust Company controlled tue majority OF
the bonds as trustee, and there was plainly
competition between the systems as shown
By the sta ements of Maj Shellman.
Capt. Cunningham argued that the re-
ceiver, whoever he might be, should be one
who represented the courts in whose hands
the road was, and where il was being ad-
minlstered III the interests of all concerned
1T seems 20 me from the Shellmsn affi.
davit,h interrupted Judge Pardee, that il
would be to the interest of the Central 10
have the Savannah and Western put out
es the Central wonld derive more revenue
apart from the Savannah and Western
Their interests are mutual" explained
Capt. Cunningham, land the combination
benefits both roads. as you will perceive by
consideration of be affidavit Both road
gain corresponding advantages. The road
can be operated more cheaply in connection
with the Central. Every endeavor is mad,
by MIR. Conner TO foster the interests OF tn,
system, and much OF the Centra.'s money
has been spent ON If, especially when il
tunnel was burnt OUT cutting the road il
half"
THE JUDGES JOKE.
81 thought the road was already in fou
pieces, and how then could it be cut in half
asked Judge Pardee. and the court smiled
ell, may 1t please your honor, in fiv
pieces then," replied Capt. Cunningham.
Col. Ga rard made a strong argument il
behalf OF the reorganization committee
He said the road was III four separate parts
and he asked what could q receiver 70
such dsjointed system accomplish. Their
10 no competition between the roads. h
said, except In correction with the Savan
nah, Americus and Montgomery. Mr.. Co
mer. he said, bed administered the affair
Of the road impartial!y.
That's not the question )" answered Judg
Pordee, but rather as 10 WI ether a ma
can properly serve two masters, as both tA
Central and Savannah AID Western.n
There Is no competition between Their