The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1894-08-10
PACKING HOUSES WIhL CLOSE

1874. Franchise and property overStated,
81 100, 10. Total, $6.273.4 79.
| The remainder of the $7,2S5,620 being
| ST. Oh. 141. was created by similar entries
during the period of June 30, 1898, till
appointment of receivers.
! The oversta tements by years are as
| follows: Year ending June 80, 1891, ST.
629,0S6 \ Tear ending June 80, 1892, ST.
449,635 Year ending June 80, 1898,
/ 81, 1874, 1853. Year ending 80, 1894, $1,O12,
al. Total, $7,2S5, 260.
/ The st. Louis & San Francisco rev
enue account has also been overstated
$205,S79, for rebates not deducted.
President Reinhart, in his reply. de-
clares the earnings of the Atchison
system for the period named amount to
about S1S0,000, and then goes on to
point out the errors into which he
claims Little has fallen. He says:
Il find LOO 900 Of earnings of the
Atchison system deducted from its in
come account under the agreement
with the st. Louis & San Francisco in
1887, as shown in annual reports and
properly credited to the st. Louis &
San Francisco Railway company, is
owned by the Atchison, Topeka &
Santa Fe Railway company. In other
words, Mr.. Little ignores $1,100,000 of
actual earnings of the Atchison rail
way and gives them no place in his
statement of earnings of the system.
[ also find that Mr.. Little refuses to
| include a balance of $457, 1893 Omitted
States currency subsidy due from the
Mexican government to the Sonora
railway zone of the Atchison auxiliary
companies), which is an undisputed
claim recognized by the Mexican gov
eminent.
Il also find an item of $4,000 cover
ing earnings on freight on through
billing for the last week in each month
has been ignored by Mr.. Little, not
withstanding the fact such item was
fully explained to him. I further find
I Mr.. Little has either overlooked or re-
fused to recognize 81, 332, 900 of interest
earned from January l, 1890, to De-
cember %, 1898, on advances made by
the Atchison and San Francisco COM
panies to the Atlantic & Pacific COM
pany, which, with the interests so
earned, is an asset of these two COM
panieS and which an adjustment of the
accounts Of the three companies named
must be treated as an asset of the At
Gibson and San Francisco companies,
belonging to their income account
"Still further do 1 find that Mr.. Lit
tie has not included about 81, 500, 900 of
profit earned by the company on its in
vestment in terminal properties. The
items of S1,612, 10 and S152,95l, making
an aggregate of 81, 765, 061, which Mr..
Little also refers to, We're proper debts
to the franchise and the property ac-
counts, for the reason they represent
expenditures made out of the revenues
OF the reorganized company subse-
quent to October l. 1885, but which an
piled to the operation Of the property
prior to the date of reorganization and
should have been cared for under the
torty-two mortgages represented under
the old company. This asset was used
to offset charges which affected the
other side Of the income account, and
as Mr.. Little himself has stated in his
report, in the end the effect of the in
come account will be precisely the
same
''The items have mentioned more
than cover the alleged overstatement
/ OF income for the period of Mr. Titles
examination by about $500, 900. Mr.. Lit
tie states that on the 30th day of June,
1893, the company did not have on
hand the amount of cash shown by
books. 1 desire to state most emphati-
cally that's on the date referred to the
company actually had on hand in cash
and cash items the amount stated in
its report on that date
The reorganization committee, after
the reading of President Remnants re-
port, adopted a resolua11n referring the
Little and Reinhart statements to a
=.
chairman of the general reorganiza-
ton committee, Mr.. Fleming. Of the
London committee, and Mr.. Luden
representing Hope & Co., of Amster-
dam. with instruction to report to the
committee with the further action sub.
sequently taken in the premises.
Two members of the reorganization
committe, who desired to withhold
their names from publication stated tc
a reporter for the Associated Press
that the general opinion was thai
President Rienhart had not explained
satisfactorily the charges made by Lit.
tie.
An Associated Press reporter saw
President Reinhart after the adjourn.
ment of the committee, and asked if he
had anything to say beyond what was
in his statement to the committee. Ir
reply Mr.. Reinhart said:
81 regard my statement as a com
plete answer to Mr.. Little's charges
and at present prefer to say no more
l probably will have something to say
at a future date, and will be glad tc
give it to the public through the medi.
UNI Of the Associated Press
Theodore w. Myers, chairman, OF
the Atchison protective reorganiza.
ton committee, has addressed a letter
to Colonel ]. ]. NfcCook, in which he
says that it was not the intention OF
himself or the other members of the
protective committee, in the letter OF
the 9th inst. to President King, to re-
fleet in any manner on Mr.. McCook'
character and he expresses regret or
the part of the committee for any in.
justice which may have been done tc
I la