The Kootenai herald. [volume] (Kootenai, Idaho) 1891-1904, 1895-09-28
Receivers Tender Their Resigna-
tons to Judge jenkins.
ATTACK BY PRESIDENT IVES
Cannot Continue in Suhjecnon to the
orders of Two or More indie.
pendent Tribunals.

Milwaukee, Sept. 24-aenry c. Paine,
Thomas +. Cakes and II. c. Rouse, re-
ceivers of the Northern Pacific rail- |
road, rendered their designations to
Judge Jenkins today.
Judge Jenkins will take the matter
under advisemenD and will decide on
Friday September 81.
The designations give a complete his
tory of the appointment of the receiv-
ers and dwell upon the subsequent lit
igation. Reference is made to the at
tack upon the receivers by President
Ives in the Washington state courts.
The proceedings are set forth and ex-
cerpts made from the opinions of
Judges Gilbert and Hanford.
The receivers then proceed: "Your
receivers manifestly can not admins
ter the trusts with justice to the parties
! interested or themselves if subject to
the orders and instructions as to the
general administration of two or more
| Independent tribunals. We can not
abide, nor can we ask our sureties to
abide the danger Of differences of opin-
ion between courts, each assuming to
be controlling as to the expenditures
of the receivership in the general adj
ministration, in view of the immensely
of the sums involved"
The letter then states that they are
willing to answer any of the charges
which are or can be made against the
receivers administration. 1.-THE order
of the United States circuit court of
Washington renders it necessary for
us on or before October 2 next, not only
to answer, plead or demur to the
charges there filed, but to give within
that jurisdiction each a bond of $780,
600, and to file in that court full, just
and true accounts of their receipts and
disbursements, since the date of the ac-
count of the said receivers last re-
ported on by A. L. Cary, master as
aforesaid, of all their receipts and dis
bursements, acts and doings since that
date and hereafter from time to time
monthly"
Continuing the report says:
We deem it for the best interests of the
estate that we should promptly resign our
trust to this honorable court and such
, other courts as may recognize its pri-
mary jurisdiction 20 appoint receivers
who will owe nos duty technically or
, otherwise. to any court not recognizing
such primary jurisdiction, and who will
therefore be able to deal with separate
4 receiverships over portions of the line,
should such unfortunately be created
, within the embarrassment of the alleged
contumacy. double receivership and
the operation of the system in sections
can not be otherwise than a calamity to
the trust, estate and to the public.
l In conclusion the letter says that a
e road like the Northern Pacific can only
r be administered as it has been done,
through single court. The receivers
hope that the conflict Of jurisdiction
: and appointment of separate sets of re-
$ ceivers. which will greatly increase the
expense of the road and demoralize the
service, may be avoided.
= The general report of the receivers
e Of the Northern Pacific showing the
a condition of the property which was
ordered by Judge Jenkins, was filed in
the United States court at Milwaukee
: September 10.
At the outset the report states the
C condition of the road at the time the re.
ceivers took hold The total indebted.
: ness including the mortgages, was $21,
677, 725, and the annual fixed charges
$40, 421, 025. For the years ending June
80, 1894 and 1895, the report states tina
the expenditures under maintenance
n of way and structures were decreased
+ 1927 per cent, while the maintenance
and equipment expenses were increas
ed but sc per cent. The expense of con
) Quoting the transportation department
:. has increased 1856 per cent. The oper
ating expenses for the year closing Jun
}, so, 1894, decreased $2S6,4 against de
crease of $251,745 for 1895.
f. The earnings for 1895 were SIT .434 $50
lie against $16547,2 O9 the year before. Tn
n operating expenses for 1895 were $11,
lie S19, $50, against S11, SIG 100, while the ne
II earnings for 1895 were $6,115,29S, agains
81, 731 ,OS9; the net earnings per mile 70
1895 being 1880 against $1O52.
y During the next five years, the re
"A port states, it win be necessary to re
lay about $4,000 miles Of steel rail at
N cost Of about s4OOO,O0O 1t would ais
100 be a good idea to continue the replaC
at ing of temporary wooden structure
tn with permanent earth fills or ste,
li- bridges. This will cost about 100000
IN Summed up, the report continues, pro
e. visions should be made for extraord
nary expenditures in the next five year
,F Of 80 900 900, in order that the propert
may be placed on an equal footin
sh with it's rivals for economical opera
ton.