The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1893-12-30
THE RAILWAY WORLD.
TRUE STORY OF THE ATuHtsoN
RECEIvERsHIP.
Mr.. Reiuharps Statements Were Per.
fectiy Correct-Chines. Prisoners IN
Bond for transportation 10 Hong
KonE-Notcs ana Personals.

The yltriolie comments reported Ms be.
Ing made by the English papers on what
II calls the misleading statements Of
President Rcinhart OF the Atchison rail-
way syatem as to the position OF that
company in regard 10 the payment Of l,a
January interest appear to have been en-
tlrely uncallcd for
The papers making tho comments take
It FOR GRANTED that Alr. Roinharts pur.
posely mislcd the public when he said
that the money was In the bank 10 pay all
the january Interest, They assert the be.
lief that the money was not In the bank
as reported and that these misleading
statements were made while all arrange
ments for the filing OF the bill of the
Union Trust company FOR appointment OF
receivers were already completed.
The true story OF the Atchison recciv-
erShip develops the fact thar Mr.. Rein
harris statement was exactly ana abso-
lutely correct and that sufficient money
was IN the bank to pay M interest
chnrges The reason II was not SO used
was simply question OF policy which
the management decided IN The negative.
The Atchison's interest account has been
20 arranged as TO practically all fall IN
January md July. Earnings We're good
the first part OF the year and there was no
difficulty in meeting the July payments
In July gross earnings fell off more than
three-auarters of a million and the most
rigid economy in all departments became
necessary. This policy extended to every
thing except the pay rolls, 1t being deem
ed the part OF wisdom TO maintain har-
mony among the employees by keeping up
the old rate OF wages In spite OF the
closest economy net earnings showed
a decrease every week, and In the fall IL
became n question whether or not there
would be enough surplus earnings 10 meet
the January interest payments. in Mo-
veirber II became manifest that this
could not be done IL cash were paid for
operating expenses. But one course was
open, and that was 10 obtain the interest
money Mt all hazards, leaving II to the
directors at a final meeting what dis
position should be made of this money.
AS a consequence the pay roll was put
back a month, and, wherever possible,
current expenses were met with promises
to pay rather than with cash. In this
way the interest money was obtained
and President Reinhart took the trip TO
England 10 try and raise money enough
to square up the pay roll and current eN-
penses. His mission was Mt least tenn
porary failure. AT a subsequent meeting
of the directors II was decided 10 put the
road into receivers hands II three or at
least two friendly receivers could be APP
pointed. Judge Caldwell at Little Rock
would not agree 10 the three receivers
propose9l, but on his agreeing to Messrs.
Reinhart ana Mccook the committee &C
cepted Mr.. Wilson and the three were
appointed
Except for some OF the security holders
who may suffer in the reorganization,
tho recelvership al this time Is distinct
benefit to the Atefison system and 70 the
public. 1t Will give the receivers a chance
to improve the physical condition OF the
pr,perty and thus add 10 its value and
earning power. This work has been nearly
at a standstili during the year. as there
were small earnings; 70 apply 10 such pur-
r1ose