The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-01-05
pKFxxsx OF rar ArcaIsoS.


STAKE me0f ~ Eesefyere n to sne @sA
arensns Of ths Company
NV yozK- Jan Am official state
rneEs has been issued by the receivers OF
the Afchison Company. declaring u false
thai General Solicitor Peek. and Wilson,
one OF the receivers, said the Atcnison
vas known TO be insolvent last August,
and that papers we're drawn IN anfieapa-
ton Of . rsceivership The statement
says:
The financial condition of the company
.as clearly and accurately given IN tse
statement OF the directors issued Deccm-
Der -, showing that IT'S Western accounts
we're normal The condition OF the sys-
tenn, including the 81 Louis d san FRAN
cisco, Atlantic 4 Pacific, Colorado MIG
land and all the other auxiliary
companies. II a. giTsn in ias direcsors
s:sssnsns OF D.csmbs T.ns.s wn sSa
time loans and notes With co.,
lateral due from December. 1888. 10
Jane, 1894 as S. 800 90. and the total
coupon interest and other nxed ooilg
tons due January / IS s. Syo.Vu since
the appointment Of receivers the loans
he'd intact for the company. This prac-
tacally leaves the Atcssson. for itself and
ali auxiliaries. In addition TO the noas-
ing debt above stated, owing $50
90. being the aggregate amount
Of interest due January 1. 1884
Upon the return Of President Reinhart
from Europe ne Was confident OF the abal-
ity Of the company to pay the interest
January l. and gave expression 70 his be-
lief without hesitation The condition OF
the negotiations was such tnaf ne saw no
reason TO change his views until the alter
noon of December Is, when il became
known TO the officers OF the company that
Chairman Magoun could not possibly
survIve moro than few days This
fact added many complications 10
the situation. and upon the same
day. from advices received from abroad.
Relnhart became satisfied that the COM
pany could not raise the money necessary
TO pass January I. A meeting OF the
directors was convened, and they deter
mined IL TO be their duty to take such
steps IS might best conserve the interests
of the .ompany's stockholders. bondhold-
ers and creditors and prevent disintegra-
ton of the system, and not oppose the ap-
posntment of receivers If asked for by
those whose interests it would be to pre-
serve and protect the property a. q whole.
'.On Monday, December IS, the officers
of the company became satisfied that q re-
ownership was necessary TO protect the in
terests of the road. On the afternoon Of
the following day. December Is, counsel
representing the Atchison and St LOUIS (
San Francisco companies. and with the
consent of trust companies, trustees
of mortgages covering all the prop
critics OF the companies, began
preparation OF the necessary papers,
which were completed December II. on
which day counsel lett for the West TO
submit the papers to Judge Caldwell at
Little Rock Prior TO Tuesday no sug-
gestions were made nor papers drawn up
or steps of any kind taken toward the APP
pointment of receivers. Under ordinary
circumstances il would not be important
to state these facts, but Misrepresentation
have been cahled also coupled with the
names of the officers of the road. that
render il desirable that the entire facts DO
stated and known. -. w. RKIyHARTj
"J. J. MccooK,
~. c. WILSON.
Receivers"
ALsrouERouE. Jan. L-Judge Collier To-
day placed the Atlantic & Pacific in the
hands of Joseph w. Reinhart, John I.
McCook and Joseph w. Wilson as receiv-
ers on . suit brought by the Mercantile
Trust Company, New York The bill al
leges that IS. 600 of second mortgage
bonds are nov due, with interest At 6 per
cent, and sl65. go interest, due March 1.
is unpaid. The floating indebtedness 10
$4,000. The court orders the receivers to
file bonds of 81. coo each. and authorizes
them to operate the road and take posses
sion of ali the property.