The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-04-18
ROWENA CLARKE AGAIN.
Judge Speer Speaks Of Her Bill in
Rendering a Decision.

he sustains the Exceptions to the
Masters Report in the Western
Union Telegraph Company's Inter-
vention, and Gives That Company
About $1,000 More Than Was
Awarded by the Master-How the
Lease to the Georgia Pacific Did Not
Affect the Central's Contract.
Judge Speer rendered a very interest
inc decision yesterday in the case of the
intervention of the Western Union Tele-
graph Company to recover from the Cen
trail railroad amounts due according to
the contract between the two corpora
tons.
According to the agreement, which was
entered into July "A, 1889, the Central
railroad was to be allowed franks for
messages to the amount of $40 per mile
per annum for the first 1000 miles of rail-
road and steamship lines, the latter being
counted as $50 miles. Above the amount
of 900 miles the road was allowed franks
to the extent of Sc per mile per annum for
eatt line controlled.
THE CENTRAL's CONTRACT.
According to the contract all the tele-
grams sent above this amount were to be
charged to the Central at the regular
rates. with a reduction of SO per cent.
The bill against the road from July 81,
1889. to Aug /, $780, was S11, 761 81, and
for the next year 12,035.39. On July /,
1892. however, the Central railroad was
leased to the Georgia Pacific The mas
ter found in the case against the Central
railroad for the two bills above, after
deducting from the latter the amount
for July, 1891, and the amount for
that month, and from then to March 4,
1892, during which time the road was
under the lease to the Georgia Pacific,
the master found against the Richmond
and Danville railroad. The amount of
that finding was about $1,000. The lease
was l0-year lease.
After summing up the case, Judge
Speer rendered his decision against the
Central railroad for the latter amount,
as we'll as in the case of the two bills
which the master reported against the
Central. The decision is as follows:
THE MASTERS FINDING.
This finding is based upon the fact that
the lease of the Central to the Richmond and
Dauvile was well known to the telegraph
company and the master concludes that the
e
1891. we're rendered upon the credit Of the
Danvlle company. He finds, therefore, in
favor of the interVenOr for the charges for
teegraphlng an eriOr to the lease, and against
the intervenor and in favor Of the Central
railroad for the telegraphic charges incurred
in the operation of the property after the
lease. Exception is made by the Westeg n
Union telegraph Company, and intervenor in
sists that II is apparent from consideration
OF the evidence set out in the exceptions and
in the master report that under the terms
rrstfs iEafg 10 fwn1 Poll n
and Banking Company and the telegraph
company that the former is liable for all the
teiegraphlc services rendered, including those
rendered during the operation of the Central
properties by the Richmond and DanVllle.
BROUGHT RUIN AND DIsMAY.
This case is a signal instance OF the disas-
tiers inflicted upon the Central railroad prop
critics by their unlawful surrender to an ire
spOnSlUle and insOlvent management. These
properties, so far as the contract Of lease ex-
pressed were transferred to the Georgia
Pacific, contesSedlY lnSolvent corporation.
They were. however delivered by those rep
resentativos of the Central railroad who eff
fected the lease not to the Georgia Pacific
but to the Richmond and Danville. and the
most scrutinizing consideration Of the vast
ana intricate record OF the litigation
which resulted, failed to disclose
that this transfer of perhaps $50 00D,0O0 of
property to the Richmond and Danvlle was
ever expressed either in a verbal or written
contract. 1t was an understanding an
understanding which has brought ruin and
dismay to thousands of people once happy
ana prosperous, many Of whom are, as a re-
suit, now reduced to AFFECT poverty. The ad-
vantage given to the Richmond and Danville
BY this secret understanding and the injury
10 security holders of the Central was stu
pendous and incalculable.
WHAT THE RowENA CLARKE BILL DID.
1t does not appear even that the lease to
the Georgia Pacific was ever assigned to the
hammond and DanVille. In the light afforded
~ Iue record, 1t Is now incontestable that the
central properties were leased to one in
solvent corporation and 60 Instant delivered
10 another. The Richmond and Danville,
therefore upon the face of the proceedings,
assumed no obligation whatever, for the Cent
lal or to this or any other creditor, and while
u was held out TO the public as the lessee. the
GonVeyances Indicated no lease to it whatever.
inns feature OF the remarkable transaction
seemed to afford one of the numerous, indeed,
6uyera0undant grounds for the equitable
aetIol OF the court under the bill of Mrs. Ro-
"eua nj. Clarke, in order that the mask might
pe stripped from the parties, and their true
Colhtenance and attitude made to appear.
and 1t was the bill of Rowena NJ Clarke
when placed the misconduct and illegality of
tut IeSSees In such plain light that they could
NOT resist the averments of the bill instantly
sSLrendered the properties, submitted them
e5!Nts TO the jurisdiction of the court and
ASKED an account to be taken to finally adjust
.ns matters IN dispute between the two cor
RoTatlons This claim of the Western Union
Telegraph Company is one of those matters.
IT is true that this bill has been dismissed for
want OF equity and the costs have been placed
.pGh the stockholders who brought it. While
pernapS we may not at this stage insist that
tle OIL possessed any equity whatever we
may at least be justified IN saying that to be
wholly without equity it has certainly exhib-
aJeo larger degree Of effectiveness and sue
,eSS IMAM any other bill thus deficient of which
Iue history OF litigation has afforded the prec-
euent' The proprieties were by it recovered
c5tu restored to lawful custody. BY one exer-
mt OF the power, insurance money to the
@iitounI OF ABOUT $50 600 was regained; by an
".uef' the southern Express Company was
.atsed TO pay into court large sum- which
S5V awaits distribution, Although the bill
"Heh recovered il has been dismissed under
.e, another, million dollars worth of steam
fIIp stock held by the defendants, an
s .Ie4 Qlta6le and cxtortionate pledge for a
stored to the uses of the propertv. Imnor-
ANY equities yet await adjudication with re-
e"Iu TO this pledge, but the bill on which il