The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-09-26
CONFLICT OF COURTS.
1t Nav Result From y. P. Re
ceivers' Latest Move.
AN APPEAL LIKELY TO FOLLOW.
Opinions in seattle on the suit-fves
and His Counsel on the Way Out
What Ives Thinks.

The resignation Of TIRE Northern Pacific
receivers came as 3 suf prise 70 the friends
Of the Ives parry. who have o@Sn watch
ing the proceedings closely in this city.
bat they Do not scrupls 10 express me
opinion that ifs object Is 70 avoid. u pos
rfble the necessity 81 obeyinE Judge HAN
ford's order that they file answer IN ne
court here on or before October = showing
cause why they should not be removed Tor
misconduct and abuse of the trust COM
rnitted 70 them. Some think that possibly
they expect the court for the Eastern dis
frict Of Wisconsin 10 refuse 70 accept the
resigna tons. In that way they would Sc
cgre from Judge jenkins an opin-
ion that his court has turisdicti2n
OF the entire road. and that the receivers
ought 10 60 on and administer the prop
erty under the direction Of that court. BY
the move, the receivers might have an APP
peal taken from the judgment OF the court
and 10 have tie matter thrown into the
circuit court Of appeals for the Seventh
district. and then % have IL certified 20 in
the supreme court OF the United States.
The resignation Of the receivers VIII be
passed upon by Judge Jenkins tomorrow.
end II II should not oe accepted and the
court should hold that the receivers were
Ia duty bound 10 continue IN their trust
which IS asserted BY Ives friends 10 be
the object ~ the petition. there would at
ceivers would be given an excuse for con-
tending that they would not be In con-
tempt Of Judge HanfJrd's court by failing
70 answer here.
There Is little question that the proceed
inKs in Judge Hanford's court will BE-
conducted Independently % any order made
IN Judge Jenkins court The inquiry 70
be made here concerns property wholly
within this district and the court IL is
urged. VIII not ignore charges of mIscon-
duct and breach Of trust Mr. Ives pres-
dent Of the road. stated In the New York
Tribune a few DAYS ago that the charges
10 be made out against the receivers CON
cerHed the misuse Of hundreds Of thous-
ands or doliars. aad among other items he
mentioned an expenditure Of si0 90 10 Sc
cure tho election OF a certain United States
senator.
There IL another opinion that the reslc-
nations handed in to Judge Jenkins have
resulted from compromise. and that the
step has been made with one eye, or both.
On Wall street If such IS the case, the
differences between the two factions Will
be adjusted IN a short time.
President Ives Michael cordozo. counsel
for the second mortgage committee OF the
Northern Pacific, and Lawyer Howard
representing Elihu Root counsel for the
third mortgage committee started from
New York city for Milwaukee and Seat
lie yesterday. Mr.. Ives before his DEPART
NiiN NiAtss ~ an ASAbAidl-
ed Press reporter:
In reference TO the resignation OF the
Northern Pacific receivers two or three
explanations occur 20 me- The first is the
helief on tho part of the receivers that
the evidence which would he nrodtleed at
Seattle In support OF my charges against
them would be so strong and convincing
mat they would be unable to refute It,
and therefore would be discharged An
other reason that suggests itself Is that
they have thought that by bringing the
matter 10 an issue in Judge Jenkins
court before the time appointed for the
trial in Judge Hanford's court they might
secure an order or decision from Judge
jenkins which would be favorable 10 them
or obtain from him the appointment of
receivers OF their own, who would be in
sympathy with them. or possibly their
own reappointment. with the assurance
from Judge Jenkins that ne would sustain
them TO the full extent Of his authority
These are the reasons that occur TO me
at the moment
'lnasmuch as I have been trying for two
years 70 secure the removal Of the receiv-
ers. chiefly on the ground that they were
the nominees and agents of the men who
wrecked the property. Il is not strange
that should be glad 10 hear OF their res
tgnation. No matter what reasons they
may give, ! think a large portion Of the
public will believe that they resigned be-
NhA1f AtfA AatN 4AaN UNDERTAKE Inc TASK
OF refuting my charges
II wish II understood that I have no
personal ill~will toward any one OF the re-
eeivers. They were appointed at the re-
quest OF party OF INSCRIPTIONS wreck
srs. and were Obliged to either continue
the same methods OF management or be
false 20 the men VINO secured their ap-
pointment While not charging them with
having made money Improperly. 10
charge them with having squsndered large
sums belonging IA the trust estate in an
Illegal and improper manner. and believe
that one reason why they are unwilling n
file their accounts IN Judge TIanford's
court Is that they are afraid % submit them
- the scrutiny OF impartial expert ac-
countants"
None Of the loeal attorneys Interested
In the case either for the trustees. receiv-
ere or Mr.. Ives will talk about g. rxoopt
to say that The resignation came as a sur
prise and that they are not advised as %
What VIII be done. The only information
bearing on ttc case was received from =
IL FILES. who announced merely that no
had received 4 letter fr0m Silas W Pet
tit written IN New York September %
ana stating that he would BE IN this city
October 7. accompanied rs friends ana
probably By Mr.. Ives
Among thc visitors - this city vcstc~-
day were n. ! Crowley and J. NJ Ashton
of Tacoma, who appeared in che case dn~-
ing the hearing before Judge Gilbert ana
Judge Hanfar1