The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-06-17
1T CAN PARTICIPATE.
The CentTaI'S Majority Stock Given
Back Its Voting Power.

New York Side of Central Railroad
Affairs.
The news has been received in the city
that the decision of Justice Jackson dis
missing the bill of Rowena Clarke and
Others against the Central railroad, has
been affirmed by the United States court
of appeal at New Orleans.
1t is said that the decision of Justice
jackson has been affirmed in every point
dismissing the bill after the time at
which it accomplished its first object, that
of discovering the insolvency of the prop
erty and creating the receivership.
This was the original bill which created
the receivership of the Central railroad,
and in which an order was entered by
judges Pardee and Speer, DISTINGUISHING
the majority stock which is owned by the
Richmond and West Point Terminal Com
pany.
Under this decision, which is under
stood to be final, the Richmond Terminal
Company or its successor, which is to be
known as the Southern Railway Com
pany. will be entitled to vote the famous
Az. 600 shares of Central railroad stock and
participate in the affairs of the company.
AN IMPORTANT CONSIDERATION.
This decision will be very important
consideration in a project which is just
now being talked of in New York The
Richmond and Danville railroad has Just
been sold and is in the hands of new
company the affairs of the Richmond
Terminal Company and its receivership
are being wound up, and the new securi-
ties in these properties are to be delivered
according to the agreement which was
accepted by the security holders 1t also
remains yet TO sell the East Tennessee
road, which is now being advertised.
After these affairs are wound up by
Messrs. Drexel, Morgan & Co., 1t is
talked among railroad interests in New
York that this firm and others, who will
participate in the reorganization of the
Central railroad properties, will probably
formulate a sort of a traffic agreement
between the reorganiZed properties of the
Richmond Terminal Company and the
reorgauized Central railroad. 1t is under
stood, and said, that this is to be a con
solidation of interests rather than of
properties and while it is stated that it
is contemplated that they remain separate
properties, it is believed that there will
be a close traffic arrangement and an
entire harmony of interests between
them.
WHAT MIR. MILLS SAYS.
"Of course, " said Mr. George ]. Mills,
a director of the Central railroad, who
returned from New York yesterday on
the Kansas City, Reorganization is
talked of extensively" Mr.. Mills did
not go to New York on railroad business,
and attended none of the railroad meet
ings that were held there, but he had
good opportunity to learn in casual con-
versation what was going on.
From all | could gather" said Mr..
Mills, Il understand the different inter-
ests are working toward some plan of or
ganization which they hope and expect to
put into effect in the early fall, by Octo-
Der or November. But as far as / can see
at present nothing definite has been &C
complished.
"New York people inform me that
many in the south have mistaken i'm
preston as to the strength of Gen
Samuel Thomas and Mr.. T. f. Ryan, who
are supposed by great many to be pre-
pairing plan of reorganization as near
to their own interest as possible. 1t is
the general impression that the New
York Life Insurance Company, Drexel
Morgan Il Co, and other concerns of this
character and strength, which own large
amounts of Central railroad securities,
will be power with which Gen. Thomas
will be unable to cope, should these CON
Germs see fit to dictate any terms, which
they will no doubt do
II understood from what / heard that
the basis Of the reorganization is likely to
be ) per cent security, though I heard
nothing as to the amount likely TO be is
sued Some parties seem to put it at Sl5,-
100000, but whether it will take that
amount don't know / do know, how
ever, that with a per cent. security the
fixed charges Of the property will be re-
duced by so large an amount that it is be-
leVeQ il will easily earn them
What did you hear with regard to the
southwestern railroad.' Mr. Mills was
asked.
Il heard very little, if anything. more
than what YOU published this morning IN
the report of the meeting in Macon ," MIR.
Mills said. alt seemed that those inter-
ested in the reorganization Of the proper
ty Will be willing to give the stockholders
aguarantee of per cent, on their stock
This. as | understand IL, means that the
reorganization committee is to take up
the tripartite Indebtedness and give the
stockholders guarantee of this amount
under lease contract similar TO the one
now in force. "
HOW IT Is LOOKED UPON.
do you think the Southwestern stock
holders would be willing TO accept this?''
We'll, 1T may be considered a very fair
proposition, but l don't know how the
stockholders in general may look upon it.
1, for one, would accept it gladly. pro
vided the guarantee is good and salts
factory one, and backed up by response
bic parties. have no doubt that there
are others who will view it in
the same light. The news had
not been received in New York
when left that a rehearing had been OBJ
tanned before the court of appeals in the
case of the Southwestern railroad 1t
may be that if an agreement is reached
the litigation would be stopped
"How are the debentures viewed by the
people interested in reorganization
SECURITIES TO BE FAIRLY DEALT WITH.
well, as / say, heard nothing def
mite, but the impression is thai every Sc
curity will be dealt with fairly / know
that there are friends OF these and other
junior securities who are in position to
do them much good, and they are using
their influence. To all appea RANGES things
look much more favorable for our people
down here than they did some months
ago"
a letter was received in the city yes
terday from MIR. Frank II. Miller, stating
that the judgment of a .1irmance of the de-
clsion of Justice Jackson in the case of
the Southwestern railroad, of June 5,
1874. had been set aside, and pending q
position for rehearing filed
by the Southwestern Railroad Com