The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-08-18


OF Mr.. shoup TO Recover $4,000. 900,
Lost 10 the Company by the Alleged Mis-
MANAGEMENT OF Willard and His Conrreres.
PHILADELPHIA. Aug. 1I-Suit will soon be
brought against certain directors ofthe North
ern Pacific Railroad to cover S10.0o0.0o0
claimed to have been lost to the company
through the mismanagement OF Henry Willard
and his follows.
The plaintiff will be Mr.. Shoup Philadel-
phian, 1t Is said. who has been Northern Pa
cinc stockholder for many years. but 1t Is be-
lieved that he simply represents the commit
tee-Henry Clews and Brayton Ives OF New
York and Jay Cooke, Jr.. OF this city-who made
such q thorough Investigation OF the COM
pany's affairs last winter
Read & Petit OF this city havo been retained
as counsel In the proceedings and were busy
to-day preparing the necessary papers When
asked rs TO the name OF their client and the
exact charges he makes against the Northern
Pacific management, Mr.. Read said pleasantly:
1T Is a rule Of our office not to discuss the
affairs OF our clients outside Of it. cannot
say anything as to our client or as to the par
ticulnrs OF this action"
1t is understood however. that the firm have
addressed letter to the Northern Pacific d.
rectors asking permission to bring suit IN the
PAWN Of HbsS 81 AND &
gate Hoyt. with the understanding that the
sorn By sA tSe stookhoIdeP WSem Read Petite
represent.
Il this request is refused. as It is supposed it
will be. then suit will be brought in the name
OF stock holders.
The charges made that the company is the
mismanagement involving breach OF trust
on tho part Of the directors named will be based
Hnf tnn n " N
Mite mlttee. Sessrs n SieSs Ives sna COOKE Who
In their. report charge that q number Of
eRssfS and ! Norhsrn wS the
sially had been unloaded upon the Northern
the great financial benefit OF the directors.
This policy was pursued until tie IN No G
these unprofta6ie branches.
sxte4s. Fl millions pi dollars" tia. tie chief
under the roads" that "the leading spirits
ofthsir position should. and must. have known
the financial status OF the Wisconsin Central.
we're also Northern Pacific directors h who
benefited by it :" and finally. that their gain
Pacific"
Wall street was surprised yesterday by nm
official encouragement that John p. Rocket
Ter ia not a director Of the Northern Pacific
Railway Gompanys,, M. Rockefeller was
the retirement of Henry Willard from the
Board and the fact that he has never quail;
yesterday. 1t now appears that Mr. Rookie.
Teller wrote a letter to the com pany on July II
declining to serve but the letter was NOT acted
upon until yesterday's meeting Of the d.
other meeting subsequent to its receipt.
The Board. which met yesterday. had two
Interesting COMMUNICATIONS to consider be-
sides that from Mr.. h9eksfeer. One was the
the other was the request from the attorneys
OF the PHILADELPHIA stockholGer referred to
yesterday in THE Sun. Mr. Schoup. who asks
that suit be brought against certain OF the
directors for mnlfeasance In office.
Receivers Cakes Payne. and Rouse filed
their bonds in the United States Circuit Court
yesterday. each in the penalty Of $4,000. with
the American Surety Comreny as security;
ga aries. The reduction is to be 10 per cent on
salaries from $1,000 to $1,000 q year Is per
cent. on those from S. 900 to SO ooo and 20
per cent. on those Of $4,000 and over