New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-02-22
FOR WISCONSIN RECEIVERS.
-rs1oN OF JUDGE LACOMBE IN THE
NORTHERN PACIFIC CASE.
--n,vcs YESTERDAY IN THE UNITED
STATES CIRCUIT CoURT-TIIE PREVI-
Ol'S LITIGATION.

OUs LITIGATION.
r.o rae, NJ the Farmers Loan and Trust Com
vooainst the Northern Pacific Railroad Com
- was called in the United States Circuit
Cur, before Judge Lacombe yesterday after
80, When several months ago. the resigna-
.,,,s Of Thomas F. Oakes. Henry c. Payne and
Henry C. Rouse, receivers or the Northern
pacific Railroad, were brought to the attention or
nudge Lacombe, It was announced that Edward
W NcIenry and Frank G.. Bgelow had been
ennointcd by Judge Jenkins. Of Wisconsin. to
succeed them. these appointments being after
xard confirmed by Judge Sanborn, OF Mime
sofa. Counsel for the Farmers Loan and Trust
Company and for the General Reorganization
Committee of the stockholders asked Judge La
1ntnbe TO confirm the appointments also. the
Northern Pacific Company. as a corporation op-
posed action as to the acceptance OF the three
designations and the appointment Of Messrs
Bigelcw and McIIenry
Delay was declared to be desirable In order 70
insure unity of action in the management Of
The road Vice-Presdent Donald Mackay made
AFFIDAVIT before Judge Lacombe that the pro-
,eedjngs were based upon erroneous statements
regarding the company's property in Wisconsin
Me also alleged that the receivers who hau o.
fered their designations had disobeyed the orde1
NJ Judge Hanford Of the State Of Washington
vho had directed their removal from office, they
having handed in their designations IN the course
Of the proceedings for their removal
Herbert b. Turner, for the Farmers Loan ana
Trust Company. said that Judge Hanioro hau
refused TO accept the designations OF the three
receivers but had peremptoriy ordereu 'hel'
,erovaI and appointed in their places single
receiver-AndIew +. Burleigh.
Judge Lacombe, when these facts were pre-
oented to him at one of the early hearings sa'u
he could not accept the designations OF the Three
receivers and that the appointment or 0theI re-
ceivers at the time would only tend sun iui ,he'
70 mix I'D matters. Finally. after many CON
ferences the question OF court Juilsud. oni
Uhch had also arisen. was settled sausia ny ny
20 all concerned, and the nearing was u0'
set down for yesterday
THE HEARING YESTERDAY.
,,org tho nar;ies interested present In court
Yesterday were Henry Stanton and Silas ".
pettit counsel for the Northern Pacific COM
many. w ]. Curtis and \. II. Joline, represent
;rg the old receivers. Cakes, Payne and Rouse
william NJ Underwood. counsel for Receiver
:lureigh and Receiver Bureigh, Generai behJ"
min H. Brstow ana General Burne't. ,.
The hearing was upor a motlon u! ~
T. Turner for the Confirmation OF me aPP 'a r
,nent bv Judge Jenkins Of +. G.. Bigelow ana r..
81 McHenry as receivers in the place oi Wy
three who resigned. The Farmers Loan a an
Trnst Comnanv he said irdorsed the appoint
mi Of Bgelow and McHenry. Counsel re-
erred TO the opinion Of justice Brown OF the
limited States Supreme Court, recognizing Juase
Jenkinss court as being OF primary Jursdic'iSIn
in the case. He declared that excepting tIie
coupon certificates and claim by the Ainel a,
Exchange Bank. the Northern Pacinc oo cTeu ,S
represented in this city were about SooVVo' anu
asked that the receivers bonds be hXeo a'
100000 49,, ~,
sias w. Petit said he did not oppose the ap,
continent Of Bigelow and McHenry' Du' asker
that they be confirmed as receivers ,os ,,s
vtth r H. Galloway and Andrew f. Burieigh;
The second mortgage bondholders or the rVau
S,sra represented by F. Nathan. who argued IN
favor of the appointment of only two receivers
RULING OF THE COURT.
rudrs I.acombc at first reserved decision. but
~ 4:45 o'clock he handed down decision as
follows:
.'In view of the order heretofore made by Mr.
Justice Brown. while assigned to this circuit l
am prepared TO sign an order in similar form TO
that made in the court OF so-called primary
:urisdict!cn consolidating the two suits. accept
ing designations Of the old receivers ana APP
-ointing the new ones-but with a clause pro-
viding that there shall be kept within this juris-
diction sum of money not less than SloO,ooo. 70
crOyide for the claims OF any creditors mere. ana
further providing for the service Of papers upon
such receivers in any case begun here mas
much as the new receivers nOn-res.dents
and this Court has therefore no means OF enforc-
ing their complianc" with the above terms OF
PERSONAL process. they shOuId give bonds In the
sum of 100000
BY this decision Judge Lacombe signifies his
Intention TO confirm the appointment Of Frank
= RipeloW and Edward w. McHenry as receiv-
Crs in place of Messrs Cakes. Payne and Rouse
Resigned. This has already been concurred in by
Eli excepting the judges Of the State Of Wash
inCton and the matter will be argued In that
district before Judges Hanford and Gilbert in
Seattle on March ..