New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-07-25

NO LIGHT GIVEN on THE "OVERSTATE-
MENT OF INCOME"
MIR. LIrrLr's EXAMINATION rxrlxrsHrD-QrEs.

MIR. LiTTLEs EXAMINATIONS UNFINISHED rEs-
TONS AnouT REBATES UNANSWERED.
Security holders still In the dark as the
character of the disclosures made by stephen
| Little. an expert accountant. to the General Re-
organization Committee OF the Atchison. Topeka
| and Santa Fe Railroad. result Of his recent
examination Of the Western accounts of the com
| pany. All that is known with authority Is that
! he found the Income Of the Atchson from July
! 1852 10 December. 1896. to have been ovcrstated
| to the amount Of about T200,c0 II had been
hoped that the Reorganization Committee. at It's
meeting yesterday. would shed further light on
this Official statement. but disappointment re-
suited. The committee decided to take no further
steps in reorganizat ton affairs until Mr.. Little had
completed his scrutiny OF the books AT the Eastern
Office here. The only statement that could be OBJ
tanned from the committee follows:
MIR. Little has not yet finished his examination
OF the Eastern books. bat 50 FAR a. ne has eX-
amined them he finds reason TO change his
opinion already given as to overstatement II In
his final report before the end OF the next week.
Wall Street does not accept with grace this post
ponement OF a definite statement. 1t has
been asserted. with every appearance Of knowl-
edge of facts. that a large part OF the amount
found by Mr. Little 10 be IAN overstat"mcnt OF
income" was the result OF rebates to shippers In
the last four and half years which had not been
properly charged against operating EXPENSES. ON
this important point no Information can be- oh
tanned. but the assertions not denied officially.
Mr.. Little is quoted in an interview with CORE
spondent OF the Boston News Bureau rs follows:
Now have not said word about rebates. The
| newspapers have said that ! hnve not SAID what IL
II il rebates II should have been de-
Quoted from the gross income. u e. commits
sons ii should have been charged - expenses. but
have not yet said what II WAS. Ny deduction -
that the monthly statements and ne printed an
nual report have contained oycrstatepcn's during
this period aEgregating more than Np'.'N. This
statement applies of course 10 both gross ana h"t
income. This sweeping condemnation OF all West
roads Is TO my mind wholly wrong Livery r"aI
must stand It's own basis. When examine
AtchisOn | report exactly what NM Just ~ when
! examined Reading. reported Just Whtl ! ioun'
Reading $1(v.Er 20 the bad.
The sweeping condemnation" referred 10 10y Mr.
Little is IN. public comment that has been made
as to the extent % which other roads may cover
up rebate accounts In order % report larger earn
ings than exist The refusal 81 Mr. Little AMI the
Reorganization Committee 10 indicate the character
Of the Incorrect accounts un'arthcd by him IN m"
case Of m" Atchison leaves ground for speculation
in the minds OF the public 10 the extent IN which
improperly charged rebates ~ shippers figure In
the g. aoc) deficiency I'm A'chison's haauc" sheet.
A. IL stands the proper de- elton 81 this
amount would nearly wipe out the entire b1okk"rp-
INK surplus carried hy the Af,iis1n company. Wall
street does expect fll explanation OF 10" dl--
crcpnncy until Mr.. Iitfles Investigations ARE "ulei
but there many men who contend mat u l-
within the power of Mr.. Iittl" or the E'oreAnZa-
that aScr.bc the incorrect accounts % system OF
conc-alrnent Of rebates l. Wa declared !cstcr-
dav that Il was the duty - fhr committee % en-
tighten the public IT, FAR as possible. pending ih"
lie has finished his examination 90 ih~ Eastern az