The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-03-29
NOT A SOLVENT ROAD
Mr.. ThurstOn Denies a Statement
Concerning the Union Pacific.
Argument i'm the Suit of the Gulf Com
pany Against the Receivers
General Railway News.

railway case before Judges Caldwell and
Sarborn at Omaha, yesterday, attorney
Hobson started to show that the Union
Pacific was not a bankrupt road, but that
on the 1st Of January OF the present year
II was in fiourishing condition. When
he began to quote figures to sustain his
contention Judge Caldwell interfered and
inquired why. if the facts were stated,
Mr.. Hobson did not bring proceedings to
have the receivership set aside. The attor-
ney replied that he was not attacking the
reeeivership. but he wished to show that
the road was perfectly solvent and there
fore able to carry out the contracts en-
tered into with the Gulf company. He as
serted that there had been no failure
the part of the Union Pacific to pay in
terest obligations on the main line when
due. He alleged that when such default
was imIpinent George Gould and Russell
Sage went down into a fund set aside for
such purposes and brought out enough to
meet the requirements of the case. He as
serted that it was necessary for them to
take $4,000 from this fund Jan. 1 to meet
the obligations due. He challenged the re-
ceivers to show that they made a single
report since their appointments as to the
condition OF the trust imposed on them
There were but few sensational features
during the afternoon session of the court.
Mr.. Hobson completed his argument. and
then attorney Patterson made the closing
argument on behalf OF the Gulf Mr..
Thurston then. opening his final appeal to
the court, declared the statements of attor-
ney Hobson in regard TO the solvency of
the Union Pacific were without any founda-
ton in fact. Mr.. Thurston had nearly COM
pleted his argument when the hour for adj
Journment arrived, and he will close the
case in snort order this morning.
Suits Against Illinois Counties.
In the United States Circuit Court in as
d. sumpsit by Edward ID. S. Shepard, OF New
York. against Hamilton county, Illinois,
for $4,000 and against Gallatin county. ILL
nois for $4,000; by Walter NJ. Jackson, of
New York, against Johnson county, Illi-
nois, for $4,000 and by VIM. L. Foster. of
Boston, Mass, against Johnson county,
Illinois. for 5000. all suits to compel pay
ment of PRINCIPAL and interest on railroad
aid bonds issued by these counties in 1872,
payable in 1892. The bonds of Hamilton
county We're issued in aid of the Louisville
* southeastern railroad now the Louis
Vile * Nashville road; those of Johnson
county in ED of the Cairo & Vincennes
road, now part of the Cleveland, Cncin-
natl Chicago * st. Louis railroad, and
those OF Gallatin county in aid OF the
Springfield q Illinois Southeastern, now
the Baltimore & southwestern road. All
the bonds nave been adjudged valid in
these courts in suits on interest coupons.
The l., ID. ~ w.
r. b. +. Peirce. who is one Of the trus-
tees of the Indianapolis. Decatur & West
ern. is of the opinion that the road will be
bid in by the frst-mortgage bondholders
The illness of II. B. Hammond, president
of the road, who is largely interested in
the second mortgage bonds has caused a
change and will doubtless prevent the car
rying ont of the programme as intended
by Mr.. Hammond and his friends. Should
the road be bid in by the frst-mortgage
bondholders, and If the Cincinnati Hamilton
* Dayton chooses TO carry out the deal
which was negotiated when il was thought
holders might be put in execution, il is pos
sible the nrst-mortgage bondholders may
chat some OF the c. Fl q D. people are
not now as strongly in favor of taking con-
troll OF the road and guaranteeing the inter
est on the bonds as they were few months
ago.
The n. & q. Asks for $4,000. 600.
Ii is understood that the Baltimore &
Ohio Railroad Company has about COM
pleted negotiations for new loan. Rumors
have been circulated for several weeks that
the Baltimore q Ohio was negotiating a
loan in New York and London for ten mil
lions. The Baltimore & Ohio has made
large expenditures in the purchase OF new
OF old lines. Included in these improve
ments are the tunnel and new bridge at
Harper's Ferry and the cutoff at Relay.
While these improvements were costly,
they viii add materially to the value of
the road in the way of quicker train
service 10 Harper's Ferry by giving the
assurance that no danger may be here
after feared from foods in the Potomac
river.
Personal. Local and General Notes.
The net earnings of the Chesapeake &
Ohio for February show decrease or 80
c1S
The rate from Indianapolis TO Kansas
City Is now 1870 or 60 cents below the
tariff OF years past
Frank Reed, general passenger and tick
ct agent OF the MOnon, returned yesterday
from his Florida trip.
J. F. Boyd has been appointed agent OF
The Vandalia at Sedalia. and is succeeded
al Jevett by F. l.. Ferguson
The directors OF M Delaware & Hudson
rod have decided ~ issue the 100000 OF
stock to the stockholders at par.
The rate on coal from the Pennsylvania
mines 10 Buffalo viii be reduced April
To- 81 a ton, which is % cents less than the
old rate.
since the 1st OF January the Missouri Pa
,-s6- has earned 81, $50 decrease as
coTnpared with the same period In 1888 or
N,657f9o.
+ A. Barnard. general manager of the
Peoria & Eastern, has gone 10 CINCINNATI,
10 he present at the marriage OF {. {. r.
fent. OF the Baltimore Ohio.
The statement OF the Norfolk & Western
for the year ending Dee. 81 SHOWS gross