The morning times., 1896-10-16
.BOWsANDsT0CKsATO ODDS
Elkins-Widener Syndicate Is
Fighting Washington Money.
BELTLINE VS.. W. K. sGHOEPF
BondhoIders Protest Against Receiv-
er's Certificates-Ecking ton and Sol
diers' Home Line to Follow Suit
Claim That Proposed Scrip VIII
Seriously Affect Present Securities.

Seriously Affect Present Securities.
There is promise of. battle royal be-
tN .en ILe pun4..uiuers and .us s.o.nnMuefs
OF The Eelt Line and the Ecklngton anu
Soldiers Home Railway, separately ana
individually.
luis eten. history that Mr.. w X. Schoepf
Was appointed reeeiyer.of the roads on the
tuted be Cephane and Others. IL is also
known That u rev people bought up the
very large FerceREttnEe @ q the stock these
There an other Owners "a Sto,A VINO
reside in Washington, but the mass of the
siocS Is held by the Central Trust Company
of New York.
on the otDer hand, the trustees for the
bondholders are the American Security
aud Trust Company. OF this city;
1t will be recalled that the lexington
Road was Obliged 10 remove the overhead
trolley from New York avenue, after
long agitation OF the question In the
newspapers and after several specific
charges oi violation or the overhead wire
pruBiDiJory act mad been mace and sus-
lained in the police court. Mr.. schocpf
himself having constructvety done
time" vicariuusiy Tor one OF the trolley
poles.
;. SOME OF IT'S PROMISES.
When the trolley was knocked out and
DOWN, the management informed the pub
| iic that 1t intended to equip Its roads
there was a goo. deal OF talk apou. electric
aud air motor apparatus.
On June 10, this year, an act was passed
by Congress giving tile lexington ana Belt
| Line tile power, and requiring them to
exercise IL witiIn q period winch has not
yce expired, 10 equip these roads with
| the compressed air motor.
Pending the carrying out or this re-
| quiremenI OF Congress tie road went into
! the hands OF Mr. schCepr as receiver, and
among the first or his administrative acts
| was Tue suggestion, either of hin self or OF
the stockhuiding trolley syndicate which
| lie represents, that the funds to be used
| in experimenting with the air motor
should he raised In what the Eoirihoiders
| regard as an extraordinary unbusinessl ike
manner. The idea was conceived that
.l,re should oe. Issred receivers certifi-
ca.cs, Whose value is TO he based on the
same property witch gives value 10 the
! bonds. for Obvious reasons tifs KIND OF
| business would not lie acceptable to the
bondlolders.
The. objections OF the latter might have
\ been assuineu, out. in order TO- make an
| issIe Mr. Riuout, the attorney for Ar.
| Schoepf, and presumably the 1t .vkholders.
| asked for Il rule on the trustees of the
| Ionds 10 show cause why they Should not
! accede 10 the receivers certificate scheme
| or Idea
BONDHOLDERS GET ToG ETHER
| The -ncndholders appointed a coILnttee
soine tine ago of which Mr.. C.. r Williams
| was chairman, To report on tie situation
| 10 u meeting OF the tUuanolders, which was
| auuounceI u tie hCli yesterday afternoon
| ut the rooiEs OF the American Security and
| Trust Company. The meeting was held aud
| the coiBniisIee repeF.ed. Mr. l.. johnson
Davis was called 10 the chair aud pre-
| sized.
| In substance the report counseied re-
/ si:iance 10 Tie Issuance or the RECEIVERS
] ccriifica;es To take precedence or the eX-
| iS.iDg bonds.
| Tnu tias,ceS We're directed to preserve
| a., r2.l-N uf tie properly aiG u 4 assets
conveyed to them by the first mortgage,
| - g. N!IciI Ire tends wee issu,u. me
| trustees were further authorized TO defend
| by counsel this mortgage and the Under
| lying property OF all kinds.
The report also recommended that indi-
| tI.Ii t,t'ttioiuciS sEotiu Lave me IrNi-
| lege ofemployiH. personal counsel 10 repre-
sent them. The counsel thus provided by
| the trustees and by individual hondholders
viii be hearu uri the return to- tie rule on
the trustees 10 show cause why the re
ceiver's certificates should not lie issued.
| tistsrJljs 4ieing reterna bic on The 22dlnstant
before dHdge Cox.
r. ECKlNGToN HOLDERS TO ACT
T. The Lohlautsi.rs ur the EcSington and
/ tSoldlers' Home Railway viii NEST today
v hen as thcir Interests appear 10 De ident-
it:ii Httii vuos= ot t4i,: Dvts t-.ue- r,fdu;uiu-
| ers, similar resistance may be advised.
| OIc OF tn; Do.,uii,1ierS q. Ine Itcsington
| road was present at the meeting yester-
| day, but DID noV LaAe part IN The olscus-
| sion.
| The statement was also made yesterday
| thai before reJurn day the Stockholders NH
meet and agree on further plan OF
| action.
| The roads appear TO be in the dilemma
| of having suggested a plan or raising funds
| that has r.tI>,-d TINS storm on the part
| of the Don,!hUlderS-
The latter assign among other reasons
| for nunooncurrenc. in the plan that the
| bIs,ny of the receivers certificates on
property which now sUsuains the bonds Will
| decrease the value of such bonds; and
| Furthermore that What viii decrease tile
| value OF the bonds will pertoroe decrease
thevaiue ofuhe STOCK in which latter respect
| they are apparently acting for the benefit
| of the stockholders also.
The stockholders evidently do not see it
1 this way. Their desire appears To be To
| make a change for the better in the motive
not naturally opposed to any such progress
| but they are opposed TO raising money
by plan that Will lessen the value of the
| bonds.
OPPOSE THE AIR MOTOR.
| One of The bondhoiders said that il the
| air motor business proved a failure, and
| he was eviueDuy OF the opinion that 1t
| would, the experimental funds would be
money poured into the Potomac, and the
| holders. He is well posted with objections
| to the air motor system, one OF which
he graphically stated by saying that he
| aid not tn,nk that>Ihe pubic would sit
| with any comfort on the safety valves OF
| compressed to the Intensity OF two thou
SAND pounds 10 the square iuch He ad-
mitted that air motors had been run sue
| cessfully, but the risk was always there
! under the intense pressure.
| he was asked what oGner way there was
| periments with the air motor, to which he
| replied that perhaps some OF the unpaid-in
stock might fill the bill.
| 1t is, therefore, probable from the issue
| so far made up that the proceedings on
| the return to the rule will be very inter-
esting. 1t will be q campaign OF educa-
| Wideuer syndicate OF stockholders may,
| eau, or must do to the bondbolders.