The herald., 1895-03-31
RECEIVER WALKER TALKS
He Says There Was No Stealing
Done
Hard Times and the Scattered and UGwieIdy
Condition Of the Bonded Indebtedness
Caused the Failure

California by a special train composed OF
six private coaches yesterday morning.
They are now at San Diego and will stay
there today, coming to Los Angeles to-
morrow morning.
The visit of this party will no doubt
have very important effect on the reor-
ganization scheme of the Sante Fe system.
Just at present the road is being man
aged by Receivers Walker and McCook.
but probably within the course Of several
months the system will be taken out of
the courts, new board OF directors
selected and the road conducted on bust
ness basis.
Before this reorganization is effected.
however, those interested in bring
ing about new condition of affairs
want to see something of the property in
this part of the State, and it was for that
purpose that the party was organized.
Mr.. A. +. Walker, one of the receivers
of the road is acting as the spokesman
and general head of the party. At least,
when there is any speechmaking to be
done, whether to the newspapers or the
public he is put forward to do it. This is
the same MIR. Walker that made himself
famous as an interstate commerce COM
missioner, the man with the howing
whiskers that in their luxuriance almost
rival those of the wonderful Senator
Jones, the statesman OF Butte.
Mr.. Walker is a man OF affairs. who
does not believe in wasting time. He IS
the sort of man who turns pleasure
trip into one of business, and goes sight
seeing with the same zeal that he used to
display in the punishment of the roads
that failed to line up to the interstate
law. And he knows now to see things,
too, and how to remember and make use
of what he has seen.
well, sill, what is it I can give you
News ?" he queried, when Herald man
was presented to him at San Bernardino
Yesterday. "Well, there isn't much. |
suppose you want to know who is along
In the first place. there is Mr.. Edward
King of New York and his wife and
daughter. Mr.. King is president OF the
Union Trust Company of New York and
also chairman OF the reorganization com
mittee. With him is his counsel, Mr.:
Wheeler H. Peckham, also of New York. y
1t would not be out of place at this time
to interrupt Mr.. Walker to explain who
Peckham is. He is regarded as one of the
soundest corporation lawyers in the United
States. and it was not so very long ago
that President Cleveland nominated him
to a vacancy on the Supreme bench. But
his corporation affiliations were against
him. Besides the Hon. David B. Hill.
Senator from New York, got out his little
hammer and knocked Mr.. Peckham's
chances of confirmation in the head. AS
a result, Mr. Peckham staid with his pri-
vate practice. and is consequently enjoy
ing an income about ten times as large as
though the ermine had been permitted to
drape his shoulders.
Personally he is typical old bachelor,
who seems to be afraid to open his mouth
when there are any ladies about. But let
Mr. Walker resume.
"Then there is Charles C. Beaman and
his wife and two daughters OF New York.
Mr.. Beaman is the counsel for the New
York reorganization committee. He is
associated in business with ex-senator
Evarts and Mr.. Choate.
Mr. Rossington and his daughter OF
Topeka are also with us. Mr.. Rossington
is Western counsel for the Santa Fe sys-
tenn. Then l AN here. l believe | am
at present, president OF the California
Southern, as we'll as receiver. Mr.. J. J.
McCook, the other receiver is on the
train.
George R. Peck and daughter are
of the party. He is the receivers coun-
sci. Judge Hawkins joined us in Ar
zona. Besides there are some other rail-
road men among them, Captain Sterry, the
Atlantic and Pacific counsel.
Most of the party left New York
week ago today. Sunday was spent in
Chicago and we made brief stops at To-
peka Albuquerque and Santa Fe. Here
at San Bernardino we have been visiting
the shops. All of us were very much in
terested in Manager Wade's oil burning
Several of them are now
being used on the road and number OF
others are being converted. They appear
to have been very successful.
1.-The object of the visit is to inspect the
Santa Fe system. You know the New
York Union Trust Company is conduct
ing the foreclosure negotiations and most
of the party are interested as creditors of
the road. We've got lots of lawyers along,
too.
1--WE receivers are simply managing the
road until these mortgages shall have been
foreclosed. Then a board of directors and
executive officers will be selected. | think
this will occur in very few months now.
Oh, no, there is no opposition on the part
ter of negotiation between them and the
creditors. The California Southern, which
we are looking at now, is owned by the
and is subject to the first and
second mortgages.
"What the reorganization committee
wants to know is what amount of busi-
ness this section is giving us, and what it
IS likely to give u.s.
How is It that the Santa Fe could not |
earn enough to meet its interest pay
nents and keep out of the receivers |
1ands?" was asked.
"There was no stealing" quickly re-
Piled Mr.. Walker. ''No misappropration |
of funds. guess the hard times were as
much responsible as anything else. The
may have been a trife loose.
Then the bonded debt was larger than the |
road could carry. Its indebtedness was in
IN unwieldy shape, and the interest could |
not be paid. When reorganization is
effected | think the road can handle the |
question better. For instance. the fixed |
payments will probably be reduced from
81, 900, 900 to 5000, 600 a year. / think |
that the Santa Fe system is paying !
proposition properly managed. and with |
is bonded Indebtedness in manageable |
shape, see no reason why. after reorgan-
zation is effected, the road should not |
oay."
At Redlands the whole party stopped
or an hour and were driven about the or
lnge orchards in the vicinity. The rate
If speed of the train as long as daylight |
asted, was rather slow. in order to per-
nit of the travellers taking good look at |
he country. After visiting Los Angeles
he train will go north and return via
ogden, the Colorado Midland and the St.
Iouis and San Francisco roads both of
which belong to the Santa Fe system.
General Manager Wade met the train at
3arstow and conducted the party to San
Diego.
First time in Los Angeles harmonious
hn Nd tI,A