The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-08-08

ohe OF the greatest legal battles OF the
decade was begun yesterday IN this civ
between the Northern Pacific Railroad
company. headed by Rravton Ives and taa
Northern Pacifis receivers and reorgani-
zation committee on the other side all
as the climax in grand race from New
York TO Seattle. in which Silas w Petit.
general counsel for the company. passed
the wire first. He got such a good start
from New York that although G. r.
Bum. assistant general counsel for the re-
ceiN@rs and ex-senator Spooner. attorney
for the Willard interests. started in hot
pursuit on special train. and Receiver
Henry c. Payne quickly followed on an
other, he arrived in time to file his appii-
cation before Judge Hanferd yesterday
for the removal Of the present receivers
on the ground that they have been false
TO their trust and the appointment OF
new ones acceptable to the American
stockholders. The whole proceeding. ac-
cording to Mr.. Petit, is the beginning
Of a struggle on the part OF the Ameri-
can stockholders and a large proportion
of the bondhoiders 10 prevent the con-
summation of the deal by which she con-
troll of the road is to be turned over TO
the Great Northern
When Mr.. Petit started out 10 exeeuts
his legal coup d'etat he realized the me-
cessity OF keeping for the time out of
sight of the receivers and their watchfaI
adherents. for Instead OF travelling on
a pass he bought ticket and had mis-
baggage checked 10 Helena, Mont. All
the Information the receivers could gain
| was that he had gone West. When the
train reached Helena, he Kept aboard.
and burTying on had twenty-four hours
start before the opposition had begun to
divine what his intentions were.
In the meantime. the members OF the
opposition had surmised that all was not
well. but the clever attorney had given
ha z1fF hv aIQf fxxa ~ hours
No sooner had they heard that Col. Petit
was rushing to the extreme Northwest
than they made preparations 10 follow
him. They are now speeding away to-
ward Seattle fast the finest loco
motives can run and literally are ami
hilating space in mad rush 10 Seattle.
MIR. Spooner and Mr.. Bum will arrive
this afternoon, and Mr. Payne VIII prob
ably reach here before tomorrow morn
ing. If circumstances favor him he viii
probably break the record for a run
across the American continent.
The Great Prize at stake.
In consequence of those steps. there
win he arrayed against each other in the
United States court at 10 O'Clock tomor-
row morning representatives OF combat
ants I'm the greatest financial battle ever
waged I'm the annals Of railroad history.
The move 10 oust the receivers Is based
on allegations OF misconduct. and the ap-
sauandering property but the real mo-
tive is TO suuf the aspirations OF James J.
Hnl and 20 place the Northern Pacific
forever beyond his influence. From state
rnents made by Mr. Pettit. appearing IN
these columns the American boudhoiders
and stockholders evidently believe that
there has been organized. with the con-
pivaucc Of officers Of tho court. con-
sniracy "a piunder the Northern Pacific
company and TO make its road hut
ing the receivers. Il is commended. they
viii also remove the danger
reason for bringing The proceedings IN
the United States court here is that the
Northern Pacific owns more property in
Washington than in any other state. Tue
attack on the receivers vs. based primarily
on iurisdictioual grounds, Mr.. Petit TAX
ing the position that Judge Jenkins, OF
tho TnitaH states circuit court for the
eastern district Of Wisconsin. had no au-
thorftv ~ the first place to appoint the re-
catvers fnasrnuch as the corporation has
not a dollars worth Of property IN that
district. and that the subsequent apDoinf-
-oents "a aucillarv. although strictly In ac-
cord with the principles OF comity recog-
nizad among courts Of different districts.
were IN truth fraudulent. In addition -
the above contentious. there are alle2s-
tions IN an affidavit made by President
Ives which n auhstanfiated. could hs
made the basis ~ criminal prosecution
against the receivers and their alleged
confederafes.
There were only a few persons in ths
court room yesterday morning when Mr..
Jsetfit accompanied hv Andrew r. Bur-
IeIsvh and = II Piles. entered y. q.
hughes Of gtrtTve Allen, Hughes e Ac-
Nftrkan was present as the represe utativs
~ the Farmers Loan and Trust Company.
/ ,be trustee for the hondholdarr. Without
anv fnrrnaIify other than that ~ being
admitted Mfr Petit made known hia mis-
/ sion. RE said;
Tho Proceedings I'm Court.
ssT ask for an order 20 show cause whv
an order made in this court on the 3ath %
| october. isa3, should rot b. set aside ana
st,ch other proceedings had in this case 40
may he according to Justice.
Mr. Petit then recited the history Of the
litigation leading up 10 the petition On
August Is 1890. one Winston. creditor "e
the Northern Pacific. fled bin asking
/ for the appointment OF a receiver. and os
4 that bill. nv consent ~ the company.
NIeearS Oak4s. Rouse and Payne were ap-
| r,ofnted receivers Two days later an or
| der Of Ike kind and based upon that order
/ was made IN Judge HaBfords court. T3fs
j hin Mr. PettH contends. was radically
aef.ctive In Minnesota. when subseauens
( proceedings were had. tho court Of its own
/ motion ordered is dismissai: bat ln oc-
ss.ter a default occurred I'm he payment ~
4 Interest tffs0n the mortgage OF the eoFg1-