New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-09-05
BRAYTON IVES AROUSED.
HE MAKES LIVELY STATEMENT
ABOUT NORTHERN PACIFIC.
A CORRECTION OF MR. CRoMwELLs ALICIA
TIoNs-THE REAL QUESTION AT Issue
SERIOUS CHARGES AGAINST
THE RECEIVERS.

read in The Tribune yesterday the statement OF
william Nelson Cromwell in which the counsei Oh
the receivers laid claim victory in the decision
OF judges Hanford and Gilbert. Mr. Ives prepafed
ard issued a statement. which is as follows ,
1t was not my intention 10 say anything az pr
about Northern Pacific matters put Mr; CIoii1-
well. with his usual recklessness OF speech rs cor
rected. The decision OF the court az Ssa's - ~, ~
Tourt AZ Wilwaukee sitting In district in which
part OF the Northern Pacific Railroad was located
ought not 10 be regarded as the court OF primary
court sitting AT Seattle in State where larse
nized as the court OF primary jurisdiction. Inc
decision OF the Court Is also important IN ls-that
power to displace the mortgages OF the Northern
Pacific road and give priority 10 receivers csr run
ed!ed by appropriate acton OF the courts sitting n
the DISTRICTS in which the Northern pacc H0a e IS
the road authorizing the issue OF receivers certl-
Gates were entered not at me nd i't as W cromwe
has sad was done. but in April last without notice
10 The 'e State Of Torh thu Dakota and am advised BY
the clerk OF the court sitting at Fargo under
telegram dated August r. that no such order is OF
It is only proper to add that have not made any
attack in my affidavit the certificates. What
have said has been IN reply to remarks OF the re-
ceivers' counsel
This decision is also important as IT breaks up
the judicial comfy" rule. which has stood FOR
eighteen months as a barrier in the way OF our
iessness. effrontery and improper methods has no
parallel In the history OF American railroads.
THE REAL POINT AT ISSUE.
The real question at issue is this: Shall the same
parties who have wrecked railroad continue 10
run II for their own benefit under the protection
OF a United States court? In inaugurating this
scheme to perpetuate the wreckers In power Henry
Willard in July 1898 selected William Nelson Crom-
well counsel and directed him 10 prepare a bill
for the appointment OF Henry c. Payne who was
associated with him in Milwaukee street railway
matters as sole receiver. Mr.. Cromwell. acting as
Mr. Wizards counsel prepared the bill and other
papers necessary for the appointment Of Mr.. Payne
as receiver and arranged 10 have the appointment
made in the Eastern District Of Wisconsin, a dis-
wa VAS oca Wch To o f a heme esss cakes cory
Iovt nd others nferegted in the Northern Pacific
Railroad objected. these gentlemen insisting that
Mr. cakes and Mr. Rouse be appointed with Mr..
have a representation among said receivers This
finally agreed to, and the three receivers APP
pointed thus virtually perpetuate the power OF the
William Nelson Cromwell. Mr. Wizards private
counsel. Immediately appointed one OF the
counsel for the receivers and soon thereafter made
general counsel At the time Mr.. Cromwell! was
made general counsel he was counsel for the Adams
| COMMITTEES. These positions clearly antago-
nstic Mr.. Cromwell was appointed general coun-
sci FOR the receivers almost entirely on account OF
| his connection with and influence over the Adams
Committee. and as such has been intrus ed by the
( their legal and great part Of their business,
matters In the former investigation we developed
the fact that the receivers mad claim Tor soi0'V"
expected
the general counsel for the receivers and who had
been for many years Mr.. Wizards private counsel
Mr. Cromwell assignee Of Decker Howell & c..
made settlement with the Northern Pach.c
toba Railroad. in which he Obtained from Mr.
Willard and all others connected with the railroad
of this $4,000 and of other claims.
In addition to proving these facts a the hearing
at Seattle in october. We expect 10 show that the
receivers have paid on account OF and FOR the oene
and apfG a
and that the court al Milwaukee, through It's re-
ceyeas puIGnasea MIN me ru tb ,rnose Of m
posing upon the litigants and the court in another
ccvcrs spent large amount of the trust estates
funds in the recent Montana capital fight; and that
| William Nelson Cromwell at a retainer of $1,000
and salary of $4,000 year to take charge OF the
! knew that he had had no experience in handling
| such business.
ONLY FEW OF THE CHARGES.
| These are only a few Of the charges which will
be brought forward and relied upon in october next
at Seattle for the removal OF the receivers. In
addition these facts propose TO show that Mr..
Rouse has been yachting most OF the summer. Mr..
Payne has been looking after street railway mat,
ters at Milwaukee and junketng in Alaska ana
other points with Judge Jenkins ana pd that NJ Mr.
ont apparently disturbing himself about the afalrs
Of the road or the trust estate; that the receivers
! draw salary or $8vD year each ana are eAss
| pending altogether for lawyers fees. outside Of
those in the regular ofnp.Oy or the trust estd'",
about $3.50 900 annually. | have no doubt that
| by and through the appointment OF resident re-
cevers and allowing resident and local counsel
along the line OF the road TO handle the business or
the recevership and thus dispensing with many
useless and valueess offices. a saving 10 the trust
estate of at least $4,000 annually can be Effected
Messrs. Turner. Mcclure & Rolston, solicitors for
the Farmers Loan and Trust Company trustees Of
the Northern Pacific mortgages. took hand in the
fight by issuing a statement declaring that there
was absolutely no decision affecting the standing OF
the receivers or the VALIDITY Of the receivers GER
tlhcates." They quote from Judge Glberrs opinion
! in which the Court holds that in any view OF the
the receivers az the present time and nave
been since their appointment the lawful appointees
of all the of the jurisdiction IN which the
property OF the Northern Pacific Railroad Com
pany Is situated. They are the receivers OF the
railroad. and none OF their acts done within the
scope OF their authority and under tho orders OF the
courts which have control over SAID property are
invalid"
Mr. Ives declares that the first person 10 question
the validity Of the certificates was ex-Scna Tor
Spooner. who. in his plea az seattle tired 10 bolster
up his case by declaring mat the removal OF the
! receivers would carry With it the conclusion that
the certificates Issued by them were invalid.
All IN all Northern Pacific matters are getting
hotter daily They have now gone 80 FAR that II
was reported yesterday from a vDurce undoubtedly
authentic that the charge would be made in Octo-
Der that $1,000 had been contributed TO the cam
/ palgu fund % "A United states Senator.