The morning call., 1894-01-18
NICARAGUA CANAL
Meeting of Construction
Stockholders.
A Plan of Reorganization Is Referred
to Committee to Investigate
and Report.

The Pacific Coast Nicaragua Construction
CompaDy's stockholders met yesterday to con-
81 der proposition from New York TO reorgan-
iZe the company The recognizing committee
represent only per cent of the stock person
ally, but control, it is said, nearly 10000
shares counting treasury stock. The proposI-
tion Is that each stocS holder shall receive one
share of the par value OF 500 In return for ten
shares of the old company. and by the payment
OF So 90 share for every ten shares resigned,
he shall be entitled to receive five shares of the
reOrganiZed company.
certain number of stockholders are dlssat-
isfied with the aclion OF the reorganization COM
mittee. and ask aid in starting a more repre-
tentative and thorough movement TO secure the
full interests OF the present shareholders.
They assert hat the total Indebtedness of the
construction company, excepting S250.000,
owing TO the Maritime Canal Company. which
can be adjusted without cash. is S347. .455 90,
While the assets amount 10 $50, 1856. 700, con-
sisting OF stock and obligations for first mort
gag bonds of the Maritime Canal Company.
They further state that the project of the re-
organization committee Is loose, uncertain in
future action OF the United States should be,
what at present it is not free from conceal
ment; that there should be valuable properly
besides the aforementioned dredges, etc., of
which much has been allowed to perish; that
m.ny OF the debts and claims were excessive,
and that the new corporation gets and proposes
uotulUE out what Ine ola one dlToduy has
A. L. Williams. who was IN the chair, asked
those present TO give their opinions.
Captain Merry said that European capital
could be obtained by tile company II it resigned
lis United States charter and relied on Its State
charter, thus permitting the representation of
European money on the board OF directors.
He also said that the valuable concessions on
which their assets depended were In danger OF
lapsing, and that two European syndicates
stand ready to take up the work.
M. NJ Estee made a motion. which was car
red, that the chairman should select COM
miItee of five TO inv sttgate the propositions
and repori TO the stockholders. Mr.. Williams
then appointed Louis Gerstle (chairmap).
James q. Fair, Captain A. H. Payson, William
Babcock and Captain w. l.. Merry. TO whom by
a unanimous vote were added A. P. Williams
ana Nj. Nj. E. ee.
It's a curious fact, considering the action of
the reorganization committee, that one of the
firm of Hubbard g. Sillman OF New York Is
member thereof. 1t may mean nothing, but 1t
seems as If the Southern Pacific were getting
in some fine Work on the construction
company for the purpose OF being in position
TO combat the interests OF the North American
Navigation Company and the Traffic Associa-
tlon.
Among the shaI ehoders present at the meet.
ing were CaUtain w. l.. Merry, K. j. Crane s.
Foster, J. Z. Merrill, Charles Holbrook, e. K
Porter, j. q. Fair, r. Waits. Gustav Niebaum
A. p. Williams. Q. l.. Taylor, Nj. f. Herman
and Louis Gerstle.