The sun. [volume] (New York [N.Y.]) 1833-1916, 1894-01-03

TIE Juses Des,ses An I-perts-s Fes.ts ~
Favor ~r eh~ Reestwser

TIE Jusss besides Ar I-perts-. Ps,sss ~
Favor srth Receivers.
PHILADELPHIA. Pa. Jan. 2-JudRe Butler. IN
the United States Circuit Court this morning.
handed down an opinion in the proceedings
brought by Isaac l.. Rice against the Phila-
delphla and Reading Railroad Compsny's re-
ceivers. the trustees, 10. sending the matter
to Special Master Crawford for the hearing OF
the testimony, but only on several points In
the petition. The opinion Of Judge Butler
divides the subjects Of the petition intotwslve
different classes.
AZ to the fret. which relates to the Boston
and Maine and the New York and New Eng
land stock matters. the Judge says.
As respects the allegations contained in
sections 4 to 20. do not deem reference
necessary. in so far as they relate to the acts
or conduct OF the receivers. In the light OF
their answer and Of what was said at the hear
ing see nothing blamable in the acts and
omissions imputed to them. The. payments
made tn the brokers' employed by Mr.. Mcleod
were justified by the circumstances in which
the property OF the company was placed. The
r,ronsrty was pledged oy Mr. ,, Mcleod 10 pig
could not iprobnbly. have been saved In an
other way than that pursued. The payments
actions. nor does II appear that the receivers
ratified them in any other way"
upon this subject, which is the great burden
OF the petition. is that the Judge think, the
investiRated with q view Of ascertsinins
whether no Is probably accountable IN respect
to ssd ssea hs
second matter which IL the only other ono of
any great Importance in the petition. namely,
that yhe s"S Ssid fens to the q
Wv hIsS aqn fncine descdedy to the a Be:
lief that the receivers were justified by the
ew II t6s large Dd
fact alleged that the petitioner was not af-
iorded an opportunity Of belns heard before
proofs rs may be offered"
iers to the Master is the allegation in respect
to the receiyers' failure to comply with the
respect to IN inventory and the accounts. as
refer this subject to the Master for inquiry
All the other subjects. such as that the re-
ceiyers Disseminated in favor OF the Lehigh
sompsnv ' Of 81, 70oo0o Of income scnds ~ that
OF the purchase OF 10000 cars made by the
com pany i'm mediately before the appointment
CT ns tSs sna others 81 ike S
ths ns Matter A. all sss{n IN Tsgssd to some me
formations. and, in view Of the respondents
denial. feel no hesitation in refusing refer
ence."
With respect to the allegation that Mr.. Har-
ris had promoted the adoption OF the late plan
OF REORGANIZATION, the Court said what he did
was in pursuance OF the order OF the Board OF
the company. and that, as President OF the
company. he had right to promote scheme
Finally. the Court said In decided terms that
IL would hold the petitioner responsible for the
payment OF the costs OF the inquiry IL he
failed altogether; and partially to the extent
Tho result OF the decision will be to give Mr..
Rice further opportunity, but now at his own
expense, of reiterating the many times ro-
Boston and Maine aud New York and New
England stocks.
The Penusyivnnia Acquires the vsndaiia.
TERRE HAuTE. Ind, Jan. 2-Ths Pennsyl-
vania has at last secured control OF tho Terre
Haute and Indiana polls Railway. better known
as the vandalia line. which has been an inde-
pendent part OF the Pennsylvania system from
to st. Louis
The election OF Messra James McCrea. John
f. Davidson. and J. T. Brooks. respectively
First. Second. and Third vlce-Presidents Of
the Pennsylvania Company as directors OF the
Terre Haute and Indianapolis yesterday. is
to- day Pres ident w. X McKeen OF the Wanda
liza said: Yes have sold part OF my stock,
and ultimately the road will go into the hands
OF the Pennsylyania- ] haye meant that It
tenn" President McKeen sold his line sew
eral years ago to Henry s. Ives but. after nay
ing S7OOo 900 as the first installment, Ives
failed and McKeen took back his road. and
much litigation over the matter. hut McKeen
won.