The Helena independent., 1893-12-24
After Hard Struggle TO Make Both
Ends Meet the Santa Fe
Fails
The Total Liabilities OF the Com
pany at Present Amount
to $24O.OoO.OOO.
Intersst Duo Jan. 1, 1894, Can Not 10
Paid-Milos OF Track Involved
8,310.

In the railroad world happsasd to-day. The
Atchison. Topeka d Santa Fs aud the ~.
Louis d San Francisco railroads and their
branches. comprising shs Banta Fs system
proper, havo beon placed II the hands Of
three receivers. IN order being made by
United States Cirouit Judge II. g. CALDWELL.
In chambers, at $50 this evening. The
application was made BY the Union
Trust company. Of New York. trustees for
the bondholdsrs OF the Atchison. Topeka q
Santa Fe. ana the Mercantile Trust COM
COMPANY. OF New Yotk. trustess fer tho
of the s. Louis & San Fran.
cisco.
The Hrst intimation Of decisive action
was received at two o'clock this afternoon.
when tho special which left 81. Louis at
two o'clock this morning rsrived over the
Iron Mountain. with prominent railway
toned at once TO the federal court house
and woro soon closeted with Judge Cald-
well. The party included George F. Shar-
rett, clerk Of tho United States circuit
court of Kansas; Geo. n. Peck, general
solicitor for the Atch!son. Topaka d Santa
Fe; E. d. Kenna. general solicitor for the
ST. Louis d San Francisco; H. +. Merrill.
general manager and second yics-prssident
of the Frisco: Chas. B. Alexander and w.
w. Green, Of the hrm of Alexander q
Green. otNsw York. counsel for the Nor
camille Trust company. Of New York. and
w. A. Rossington. Of Topeka. counsel for
tho Union Trust company. Of New York.
They remained behind closed doors with
Judge Caldwell until $50 when an order
was agreed upon appointing three receivers
for the Santa Fe system. They ore ]. W.
Rsinhardt. president of tho Santa Fe; J: J.
McCook. general counsel for the Santa Fe,
and Joseph @. Wilson, olerk OF tho United
States district court at Topeka. the latter
being com promise receiver, the railroads
having recommended Reinhardt. MeCook
and George @. Nickerson. the latter g
director of the system. but who was OBJ
jeoted to BY com plainants. The receiver
ship met with NO rosistanGs on the part OF
the railS.oad companies and an agreement
was rESkly reached az --t ~"
Tho bills IN tho GASES showed the lines
heavily Involved with maturing obliRa-
tions comii,g on soon. and interest due Jan.
could mot be paid and would BIS fore
closed. In both cases oomplainants' bills
full and voluminous. The bonded indsbt
edness aggregates $232. GOO. 900. ss follows:
One hundred aud fifty million dollats fl st
mo tznge bonds; $4,000 class A second
mortgage bonds; $5000,O00 class second
mortgage bonds. Interest duo Jan. l will
aggregate nearly $3.OO0.O00. and the float
ing debt IL about $4,000 making the
total liability about $40. 00O. 600.
j. W. Rsinhart ana ]. j. MoCook, two OF
the receivers. are we'll known in rnilroa d
circles throughout the county. The othes
receiver, Joseph Q. Wilson. has twice becu
mayor of Iopeka and 10 considered very
level headed man. A supplementary bill
will likely be filed at To- eka Jan. s. whiot
will be tnntamount to foreclosure for the
bonded indebtedness, in which event thu
branch linss which have been ssppiuR ths
life blood OF the main line will Do lopps
off.
The orders in each Of tho two cases were
the Same and direct thnt tho receivers b.
authorized and directed TO take i'm mediate
possession o; all the railroad and its prop.
critics. including 8,346 miles OF operated
lines." and ,un, manage and operate them
the roads and conduct systematically thei
business. The rsceivers are ordered to exc.
cute each bond for $4,000 within the
next twenty days. and the order contains
an injunction requiring tho roads to be
turned over to The receivers.
1t Is made upon express condition that
all legal debts now due, and which were
contracted in the operation o. the road
and including damages and money anc
work furnished and done In the construo.
tiop, repair and eQuipment of the roads
shall be first lien upon upon the property
including all liabilities to persons or cor
porations who may become surety for tn,
company or endorse or guarantee for IT.