The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-07-02
TO HARNOyIZE ALLPARTIES
The Committee Of Central Directors
Gone to New York for That Purpose.

anu AgA A1AAAAGl@N VI ~ "A a. aAA0AAAea- a
Interests into Some Reorganization
Plan Some Appeals Which May be
Made From Justice Jackson's De-
oisions-The Litigation Which Re
mains Unfinished The Debentura
Suit Still On.
Receiver r. NJ Conner and Capt. Evan
p. Howell left last night for New York,
where they will meet Col c. Il Phinizy
tomorrow.
They constitute the committee APP
pointed by the board of directors at its
meeting last Wednesday, for the purpose
of going TO New York TO make some ar
rangement for the carrying Of the floating
debt until the CentraIs property is sold
under the decree Of the court, and TO see
if some plan of reorganization cannot be
provided which will harmonic all in
terests.
The floating debt to be provided for, in
cludes among others, the Speyer loan,
which was taken up by the HOllins syn
dictate, amounting TO -, SOO,OOO, and
the well known 5000, 600 the total being
about 50 800, 600 1t is said that the com
mittee will endeavor TO make arrange
ments with the same parties who are
now carrying this debt, 10 carry it until
the property is finally Strengthened out
and organized on whatever new basis
may be determined.
WHAT THE COMMITTEE WILL DO.
Mr.. Conner said yesterday that no plan
of procedure had yet been determined
on, and he could not tell what will be done
until the committee h as conferred with
all parties interested.
I'VE 20 TO make some arrangement
Hr,.,4 lel.# ne oh
s., 300 600 which is due to-day" said he.
''As to what will be done | have no idea
as vet, After that has been arranged for,
it is our duty and purpose 10 make some
arrangement for an equitable reOrgan-
ization of the property"
''Will any attempt be made to revive
the HOllins plano he was asked
LAS to that | cannot say The state
ment of Justice jackson with regard to
it may to a certain extent restore conf
dence in it. We shall meet with the gen
tlemen forming the committee and confer
with them. IL is our purpose and duty
TO seek to harmonic all interests, and
whatever course is pursued or whatever
methods adopted will be with a view to
that end. The action Of the court in re-
moving Injunction from the 40 900 shares
of stock held by the Terminal Company
will no doubt tend to harmonic that in
terest with the others. Some plan of Re-
organization will have to be formedall and
whatever il is, it must be harmonious
one so far as all interests are concerned"
MUST BE REoRGANIzED.
A director of the Richmond Terminal
Company is quoted as saying that there
is little tear of the Georgia Central prop
erty being sold. A reorganization plan
will be perfected which will be accepta-
BILE TO the Central security hol-
ders and also to those of the Richmond
Terminal Company, thus averting fore
closure
The property must necessarily be reor-
gained and bought in by the security
holders, other securities to be issued on
the basis of the old securities, the earn
ing power of the property being pri-
marily considered.
OF course the property will not be sold
for cash to be parceled out among the
security holders, but the course men
toned must be adopted, and it was no
doubt in the mind Of this court, at the
time this decision was rendered removing
the injunction from the ~ 600
shares, that this action would go
far towards harmonizing that interest
so far as a recognizing plan was con-
cerned.
WILL THEY APPEAL2
Just before the court adjourned night
before last Mr.. Daniel w. Rountree gave
notice that they would reserve the right
of appeal from the decision of Justice
jackson in regard TO the removal of the
injunction from the ~ 600 shares. The
attorneys for Mrs. ROwena Clarke and
the other stockholders were given ten
days in which to signify their intention
of appealing, and in case they saw fit to
do So Justice Jackson fixed the bond at
$500
Messrs Rountree. Patterson and Erwin
were in the city all day yesterday look
ing over the papers in the case and CON
ferring with regard to the matter, but as
yet they have come TO no conclusion with
regard to an appeal
They can appeal either to the UnitC1
States supreme court direct on certif-
cate of division of opinion between JUS
tice jackson and Judge Speer, which JUS
tice jackson said he would furnish, or
they can carry the case to the United
States court Of appeals at New Orleans
Judge Pardee, however, would not sit in
that event, as no Judge can by law sit in
a court of appeals, on a case, which has
once been heard before him and in which
he rendered a decision.
The question Of the costs in the case
may have worried the attorneys for the
stockholders 70 some extent, as under the
order OF Justice jackson their clients and
the intervenOrs would have to pay them.
or so much of them as have accrued since
March 2S, 1892, the date on which the
lease of the Central was abandoned by
the Georgia Pacific. 1t is said however
that the costs since that date will only
be nominal sum and comparatively
speaking very small.
THE POINT IN QUESTION.
In carrying up the case it is said that
no doubt the point that would be urged
strongest would be the construction of
the corporation clause in the state consti-
tuition for which Hon Robt Toombs was
responsible
Strange to say, the United States circuit
and district courts are the only judicial
bodies that have ever put any cOnstruc-
tion upon that section of the constitution.
In one instance Judge Pardee construed it
against the transaction of the Terminal
company to the effect that one CORPORA
ton had no right TO own q controlling
stock in another which would tend to de-
feat or lessen competition Justice
jackson has put another construc-
tion on it, and one which many of
the attorneys present believed the most
probable construction, and that is that
the legislature had no right to authorize
corporations to do those things. He CON
strued itmorc as a legislative limitation
and not as a limitation upon private
rights of individuals Or cDrflO1a tiOnc IN,