The evening world., 1894-09-15
TRUST STOCK APPROPRIATED.
Suit for Accounting Begun
Against Sage and the
Gould Children.
HOW THE GAME WAS PLAYED.
Action Brought to Secure the Stock,
Which Was Said to Be al
most Worthless"

Suit has been begun in the United
Slater Circuit Court against Russell
Sage, George ]. Gould, Edwin Gould.
Helen Gould and Howard Gould, as ex-
ecutors of the late Jay Gould, by l.. j.
Morrison, attorney for John quincy
Adams, of Quincy, Mass, asking for an
accounting of 81 ,OO0. 900 worth of railway
stock trust bonds. The papers ask that
Russell Sage and George j. Gould be
removed from the trusteeshp of the
consolidated mortgage of the Kansas
Pacific Railway Company. that Sage
and G. Drge Gould be enjoine1 from in
terfering with the trust assets and that
q receiver for such assets be appointed.
The complaint, in detail. alleges that
on May 1, 1879, the Kansas Pacific Rail-
way Company executed deed of trust
to Russell Sage and Jay Gould, as trus-
tees, to secure certain obligations known
as Kansas Pacific Consolidated bonds,
and as collateral security conveyed in
trust to Sage and Gould 10000 shares of
the capital stock of the Denver Pacific
Railway and Telegraph Company.
The complainant states that, trusting
in the honor of Sage and Gould, he
bought 5000 worth of these bonds.
He continues in this manner:
And now, your orator shows that the
said Jay Gould and Russell Sage were
false and pitiless to their trust, and
conceived the scheme of taking to them
selves the Denver pacific trust stock
and approprlating 1t themselves"
"They did" states the complaint, 'in
TO cover their abstraction with some
show Of authority employed certain
wort HESS devices"
"They concocted a purely fictitious
suit which they brought in the name OF
the Kansas Pacific Railway Company,
controlled by themselves, against them
ieges no more in substance. than that the
Denver Pacific trust stock was Of but
little value, but that the mortgagor
company would like to have IT.
"On such allegations and within seven
day s." continues the complaint, they
obtained a paper signed by then In
cumbent Of a New, York Justiceship,
purporting to allow the mortgagor COM
Pany to take the property of the bond
holders. Thereupon the trust tsock was
passed through ths mortgagor. COM
and It, or Its proceeds. were taken by
Gould and Sage and have ever since
been retained as part Of their individual
The complaint in continuation states
that these devices are null and void. and
give no color of legality to the acts OF
spoHatlon committed by Trustees Cor
don and Sage They are accountable
Tor the trust property and its proceeds
In all exceeding a sum OF 81 600
the nortgagor or successor Railway
company paid the interest on the bonds
until Nov. /. 1893, but the latter Com
pany has been since then insolvent, ant
Is now in the hands of receivers ap,
government; The Company is now ir
Default on the coupon Of the Con ol!da
tior Bonds which fell due May /, 1894
Formal demand has been made or
russell Sage and George j. Gould, as
trustees. under the cor solidated mort
gage, to institute proceedings in equity
70 recover from Russell Sage and the
executors of Jay Gould the trust funds
80 distracted, but they have not com
complaint.
IN conclusion, the complainant pray.