The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1893-07-20
THE OTHER SIDE.
,uneE JOSEPH SPENCE QUALITIES AS
RECEIVER OF THE PLANT.
The Water Works Petition in the Federal
Court an Able Document, But They
Are Kicking Brick Wall
Male Talks.

Judge Joseph Spence made his bond
yesterday morning, and filing it with
Clerk Hart of the United States court,
fully qualified himself as receiver OF
the Austin Water, Light and Power
company and entered upon his duties.
He issues card this morning, which
may be found in another column OF
this paper, wherein he states that no
change will be made in the employees
of the water company, and rates 1or
water will remain as before, which is
to be interpreted that the SO per cent
raise don't go any longer. Judge
Spence's bond was for $25, 900, and he
secured as his bondmen Messrs. E P.
Wilmot, Ira H. Evans, A. M jackson,
Jr., Jas. r. johnson.
THE OTHER SIDE.
In reference to the appointment OF
Judge Spence as receiver OF the water
works by Judge Mccormick of the
federal conrt, the following brief syn
opsis of the prayer for a receiver as
fled by the waterworks bondholders,
would be of interest. The bill was
filed by Attorney Holt of Houston in
the interest of Sam B. Huey of Phila-
delphia, James B. Fry of New York,
and VIM. G. Shaw OF Baltimore. After
reviewing the state of affairs relative
to tie existence of the present COM
pany the bill asserts that there
is no cause tor complaint against
the present management. mat
everything is moving smoothly
there are 20 current debts outstand-
ing and no occasion i'll the world for
any receivership save that 1t Is prayed
for solely as means OF protectlng
their interests from what they term
combination that has formed III the
city to rob them out of their plants
and jeopardize their financial stand.
ing. The bill reviews tn situation OF
the past year or so relative to the dis
cussion of the city council ana the
water works annent the water ana
light matters.
1t further cites that the company Of
ficials would not be permitted to dig
up the streets to repair water mains,
claims that the city of Austin openly
threatened to arrest, fine and I'M
prison, as the case may be, any agent
or servant of the water company VINO
tried to uncover the mains on the
streets. That the water company
is virtually denied control over their
own system of works; claimed that
CITY of Austin refused and still refuses
to pay debt due for water, whereby
revenue of water company has been
greatly reduced; that in furtherance
of the aforesaid unlawful consplracles
and ordinations a number of int1u-
entail citizens of Austin are using
their influence to induce the ofnclais
of the state of Texas to institute suit
against the said company upon the
false pretense that the charters nave
been forfeited and to apply for and
obtain the appointment of letelver
to take charge of works, which
amounts, in substance, to practlcai
,confiscation of the property OF SAID
company and impair II not destroy
the security of the mortgage bonds OF
the said company.
The petition further requests tha'
as the bondhoders throw themselves
on the mercy of the federal court IN
this their exceedingly criticsl position
thew pray for fair minded, unbiased
receiver. who will meet justice alike
to all The petition is an exceedingly
able document and dweils strongly on
the issues of conspiracy TO take
away their works and wreck tbem
financially. The bill is hled as
against both the City Water mpany
and the Austin Water, Light and
Power company.
AN INTERVIEW.
During the course of talk with
aptain Male yesterday relative tc
he present state of affairs, STATES
MAN reporter was informed una
the bondholders of the Austin water
Light and Power company would re-
organize as soon as the necessary ar
rangements could materalize ana says
Captain Male, 81 will be president o
the company. The stock holders VII
bring about the reorganization IN Jus,
"a short a time as possible. We VIII
take the property of the company oul
of the hands of the receiver and VIII
Establish it on firmer basis thar
ever. This will not be long either
for we propose to hasten matters al
much as is consistent and possi pie
The cartain was also in receipt OF
telegram f1om the bond holders WIN
desired to know who Judge Spencc
was? They expressed no objection Z
the gentlemen in question, but de
aired to know why it was that Cap
tain Male was not appointed receive
instead of the present incumbant. ~
captain informed them that neithe
he nor Mr.. Lacy Wicks, who hs'
been spoken of in relation to the re
ceivership, were eligible, being at
taches of the present water company
That Judge Mccormick had state
positively that he could not an
would not appoint an employe o
member of the present CON
therance of the assertion Una
the Eastern stockholders have ralse
no objections to my management an
have no fault to find Herewith, ca
inform you said Captain Male ina
If was at my instance that the OIL
~ oOtITtd ask IN