New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-06-22
BIG UNION PACIFIC SUIT.
SEEKING AN ACCOUNTING FOR UNION
PACIFIC, DENVER AND GULF.
ACTS OF THE ADAMS MANAGEMENT AND THE
COLLATERAL TRUST OF 1891 ATTACKED.

ACTS OF TIE ADAMS MANAGEMENr AND THE
COLLATERAL TRUST OF 1891 ATTACKED.
Iohn Evans Ex-Governor OF Colorado. in behalf
Of himself and other shareholders of the Union
Pacific Denver and Gulf Railway Company through
his counsel George w. Van Slyck, has begun an
action in the supreme Court against that company
the Union Pacific Railway Company It's receivers.
the Central Trust Company. the American Loan
and Trust Company, the Mercantile Trust Com
panv and others for the purpose Of compelling
| an accounting from the Union Pacific Railway Com
pany Of certificates and shares Of stock OF the
value OF over hundred million dollars
Charles Francis Adams the president OF the
Union Pacific Railway Company In 1859. ana also
one of its board OF directors. Granville NJ Dodge
was also one Of the board OF directors of that
road and also at that time the president OF the
Denver, Texas and Fort Worth Railroad Company
which was then In the operation and control OF d
number of comparatively small roads running IN
the vicinity OF Denver Ex-Governor Evans was at
that time the vic--presldcnt OF the Denver, Texas
ana Fort Worth Railroad Company, and "A large
holder Of stock of the Denver. Texas and Gulf
! Railway Company. and also a director In several
OF the smaller roads He complains that the
| Union Pacific Company, In order TO secure the
possession and control OF the roads operated by the
! Denver. Texas and Fort Worth Company. ana %
combine ali the roads owned and controlled by
both COMPANIES entered into an agreement Of con-
consent Of the stockholders Of the different roads.
The agreement was entered Into on April }, $50.
the terms being FOR the operation Of al the roads
In harmony. The bonds OK the different companies
were . be- exchanged for consolidated bonds 10 De-
guaranteed by the Union Pacific Company Adams
and his associates were elected ~ fiji the offices
IN the consolidated company. and were also officers
In the Union Pacific Company. practlca.y Ming
tho same offices IN both companies Lacy con-
/ tinuei to 10 this year after year Evans a'eses
/ tina, the Intention was to obtain control oi the
/ property Of the consolidated company. The capital
stock Of the consolidated company was TO be issued
/ party Ia exchange for the capital stock Of the
| other constituent companies. under the agreement
J Of consolidation Notwithstanding that the capita
! stock OF the Denver Texas and Fort Worth Com
| pany had been partly issued In exchange for the
! capita, stock Of the Guf company, the Cnl''st
! Hofr1,i COMPANY, and the capital stock Of The
/ uet-namel companies had been surr"rd'rei 10 inc
/ h. rn,rreL mat Nn9os and hi, associates caused
rart OF mo consolidated stock - be ISSUED IN OK
change fJr the entire capita stock ~ IN p'lF''
company. ant ~ h"inf s't'' 49, ,., - - -
/ ~ o." cl-sJ hated company 10 "Nchans" Tor &c
tvi' n,r,cI when hai b,~n surrendered and can
| c-iel. and uuaWfp.ly issued consolidated Stock ~
3D.. number % Bless satr,s, 10 De- voted upon ID tne
interest - thr Inln Pacific Company. when tn,'
/ cured d majority of thr clpitt S."'k "t ID
! clu.,lI lated clupIry. Bonds were l--a'd 10 iHe
extent of e. ".'D. without The sl'jrc' u'us suD-
/ mI''.l % me ~'orkau.lers ana WoI'khbe OK.
/
ehtr~ Ir'N . MORGAN < CO., a. Fi.' e.s, ~, /.
8, ,-aJp bonds .rl ceruhclies Of the Gun company
/ - il.e amount % yL-I ~.
+, j. saarsl 'nai ss g3r s of 'ng l G''i; ,S ani
/ Company were taken Improperly and without CON
.il'r ttlpr. AMI that in Srpi'mn'r lNJi 'n,
| racne Company cNe'n'eI a trus' 10 pleNf. Hii,
/ pau d Co.,. conveying %.NAt"p bonds ~ m" uIi,
CONN., Iu; arI certificates f'T fhhr'' "6fr's" M 3
s2l''- a.! 9sG nIa' III r'ti hs ,ni n' ~ 81 ST.
! COLORADO '"1ift 'yhPtl I'D ..'' ~, "a "a 90,
r- .f and other bonds ~ inc vl.ur az S,"rNH par,
/ $50. c.r'.nc,ie. And -narc, 81 .iock ia other cor.
o. ~
q ....rlus c'r'-'u lrlMis~,rj notes ma j.. Dy w.
/ Union Pacific Conn., ans t9 ih' am un' ~ Ei"..""
h,fl. .1 an, hands x the trustee may De- sold col
| lI..sr.y. ami in ne Interest 90 the Union FAcNe
! Company. anal bat 'le property ~ uc duli com
| ,.r.-i go TIE bonds ami be- therefore asks for an
/ injunction 20 restrain al ;he parties mention
f'u n any nay Interfering 4" in me IiSp 3si'o' 10y
| She bands ur selling ii'n. am NAT ttlr mon .
! cnc Company m1y he competed 10 r"nI,r m no
counting - - deaines with the ,,ock atd rs con
! Tho suit. II Thought IA railway citc."s, was
part - ne erorts whicn hive ben made 20 seclr,
3 separation of ne Union Ilclr Denver am III ~.
/ affairs q 'hc Union Pacific have appareniy r"iche
tag ~ner' orr'Kup 81 M r INK - a,rraiT
PROTECTED hy separate rr'ely'rsh!p am \ j. gen.
| orally upiorsiori tha' efforts 20 -"cur' lniep-nI"n
/ Company "tl b." made ah1Ii JIY t".-' ~.
. cc,Ilnts meunc. the Inou faci"c Ivnptiy M''n
tango ~ N1rauor when n,i 9'S "',.,h '' s Ice
different branch lines. ana ton'f1i'rI "I ""h'' -
tom. bar V.iI strike AZ the collateral iris' esito
l.-hsI o. l.y. lu spite OF thr opp sliion ~ JAS
g. ,1, III reeyp. Iioi'crs ~ bonds Of many Of
ff. branch .'n,H ~ me system assert mat men
securities would Doe ~ value u me nrancncs a." -
don't OPERATION nuf Wifh view % iuiurr 'pinblnh
'pu with other companies rival 10 ~" mon fh
b"nihd'icrs have air~ady prepared agreement
fJr protecting th"lr Interests