Pawtucket tribune. (Pawtucket, R.I.) 1890-189?, 1893-12-29
LIVELY LEGAL TILT. |
Rhode Island Receiver
For The n. {. Road.
HART MEN SIOE-TRACKEO.
Judge Colt Appoints Platt Also Fol-
This State.


United States Circuit Court room yester-
day afternoon between representatives Of
the New England road factions.
II was the desire of the william r.
Hart faction that the hearing for the ap
pointment OF a receiver in Rhode Island
should be heard before Judge Carpenter.
To their surprise they found Judge Colt
awaiting them, and in accordance with
his right he could assume Jurisdiction In
Rhode Island. Application was therefore
made to Judge Colt for the appointment
Of a receiver.
Each faction came from Boston with
the express purpose Of forestalling the
other and obtaining action by the Judge.
w. X. Loring, representing the Hart fso-
tion, addressed the court. Judge Colt
stated that he had received notice that
the other party was to be represented. and
he would therefore wait.
J. M. Ripley, local counsel for the New
York and New England, said that he did
not propose TO mix I'm the affair, but that
he wished to see both sides have fair play.
He had not been informed officially Of
anything that he should do.
The court therefore, waited for Mr..
Strout, representing T. c. Platt. Mr..
oeiout w pun du diboI
the arrival Of the Boston train, and Q
telegram was received that he would reach
the city at 4 o'clock. The court, there
fore. took q recess until that hour.
Loring's Argument
When the court resumed Judge Colt or
dered Mr.. Lorlng to proceed. The latter
stated he represented Hart, Kingsbury
and Fitch, the chief trustees Of the second
mortgage bonds Of the New England
road. They had expected that . full hear
Ing Of the case would be held In Connsoei-
cut, as with the exceptions of Is miles that
are operated In New York, few miles In
Rhode Island, and not exceeding 30 miles
in Massachusetts,, the property Of the
company was located In Connecticut
whose entire length 1t traversed. IL was
proper then, he claimed. that q receives
should therefore be selected from that poS-
ton Of country where the bulk Of prop
srty lies.
Judge Townsend of Albany, he said,
had been asked to appoint Hart ~ ~
oeiver, who was trustee Of tho Burneil
mortgage, the foreclosure OF which made
the New England, and who had been the
president Of the road. IL was then found
that Judge Wallace had appointed Platt,
and that the matter had been continued
to Jan. 10. when the question of appoipt-
ing a final receiver should be settled. Tho
trustees of the second mortgages, he said,
did not know Mr.. Platt. They are In
formed he is not railroad man. He said
that writs of attachment amounting to
800, 900 were issued against the company
| In Connecticut; that writs were out In
Boston, and that attempts had been made
| TO see the bank accoun. OF the company
| In Boston.
strout Takes . Hand.
Attorney Strout In answering said he
| had been taken wholly by surprise and
| felt that he could not 20 on at this mo-
msnt. There has been periSd Of general
depression ~ business and the Now Eng
| land had been unable to meet demands
10 had been crippled by legal proceedings,
one OF which was the petition now pend
| ing In this city, enjoining the guarantee
ing Of the Providence and Springfield
bonds, amounting to nearly 81 100000.
In answer To question Of Judge Colt,
Mr.. strout said the bill presented to and
acted upon by Judge Wallace was drawn
up In good faith for and by Theodore y.
Ward, a creditor for a very large amount.
| The bill was based upon the insolvency at
the road and the peril which would fall
upon the road II the contemplated attach
ments were made. Continuing, Mr..
| Strout spoke of the rivalry that had eK-
| isted between the New England and the
| Consolidated roads for five years. The
controllers Of the Consolidated were very
| large holders OF the second mortgage
bonds OF the New England. The New
England must be guarded from the dan
ger which was menacing IL through the
| holding OF those bonds. That the road
will not suffer further embarrassment, IL
\ necessary TO secure efficient operation Of
the property and harmony In connection
OF directors. With the road properly man.
aged and protected the interests Of all
mortgage and stockholders would be
guarded.
He believed that things had been
operated In the interests Of Mr.. Hart,
and that II Mr.. Hart be appointed he
would, more or less, be under the influence
OF the second mortgage bondholders and
upon their attitude towards tho New
England IL was not necessary 70 COM
ment.
Victory For Piatt Men.
Judge Colt said that in this matter he
labored under great embarrassment
That IL was necessary that some person
be made a receiver was quite apparent, he
did not see his way clear to appoint either
OF the gentlemen at present. When one
court made certain appointment and
another court another, 1t was . matter
of comfy that the older appointment
should have prior claim and recognition,
and under that custom and rule he should
appoint as receiver Mr.. Plstt. However,
he would hear the case further.
The Hart faction were much disap-
pointed at the result of the hearing and
are still wondering how they we're side
tracked.