New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-03-01
pFCEIVERS FOR THE B. AND O.
,rS TROUBLES CULMINATE.
,,rsrDENT COWEN AND NICE-PRESIDENT
MURRAY APPOINTED.

,c-,oH TAKEN BY JUDGES GoFF AND MORRIS.
or- THE UNITED STATES CIRCUIT COURT. IN
BALTIMORE AFTER LONG MEETING
OF THE DlRECTORs-THE STOCK
DROPS BELOW ALL PRE-
vIous RECORDS.
Baltimore Feb 29-The Baltimore and ONO Rah-
.o,1 company is in the hands of receivers. Judges
cor and Morris Of the United States Circuit Court
49, evening appointed John X. Cowen and oscar
g Murray 10 take charge of the affairs OF the cor
,o-a,ion. which is OF the Oldest in American
railroad history. -
NJ Cowen has been president OF the road since
.srIv in January. when he succeeded Charles r.
,,.o- For wears Mr. Cowen had been chief coun
a. n, the road Mr. Murray steps from the place
A, e,st vice-presiden,. TO which he was elected only
q few weeks ago. into Joint receiveTship win MI
Cowen Mr.. Murray for some years was third VICE
nresient OF the Big Four system, and represented
ina, corporation and the Chesapeake and ONO IN
the Joint Traffic Association.
From early morning, when Baltimore and ONO
stock broke far below all previous records. rumors
that receiver would be appointed were hearu IL
the best-informed financial circles number OF
sockbrokers ani financial institutions having an
interest in Baltimore and Ohio property sent mes
ssngers 10 the United States Court at frequent
intervals during the day. ana were apparently -e-
ueyel when theylearn.1 that no application for
,eceiversh!p hal been made up 10 the hour "hth
the clerk closed the Offices 10 the public.
President Cowen denied himself to all visitors ex-
cep,,ng directors Of the company. who came 10 MS
of9ca IN answer 10 a call. No one would give the
.ughtAst Information as the object OF the meet
,ng but It soon became known that there was
trouble in the air The New-lork ana ioGe'sh rep
resentatives of the company were well Teprescn'eo'
four OF the five directors arriving carry III 'he
noon. ~
rho rresonce IN tho city Of Judge Nathan Goff. OF
,he United States Circuit Court. which became
known shortly after noon. was also consioereo sig
n!hcant as portondinE some important action ne
street was filed with rumors until the long CONFER
ence and board meeting in the Baltimore ana Univ
Jeu,dnr me TO an end after o'clock this evening
When the directors h!ed out Of President Coweh
nrvate offices and some of them went 10 the Ciii'eu
states Circuit Court in the Postohce Bucihs' 'heIe
seemed TO be doubt that the old ana until rece'''y
highly valued Baltimore and Ohio property Win
which the name Of Garrett had for so many years
h.an linked was about TO pass into receivers hands
Judges Gof and Morris were locked IN the'r ohces'
and no one except the Baltimore ana ONO oiiiohi'
and attorneys was admitted 1t required only iew
minutes TO transact the business in the Judges
private quarters and al o'clock the announcement
was unoficlally made that President Cowen ana
Vice President Murray had been appointed receivers
OF the company. <
At II o'clock tonight Mr.. Cowen emerged from
,he presidents Office and gave the press the fol-
course OF preparation for some hours
A committee composed of the New YORK direciors @
OF the Baltimore and ONO RaroaG SoilPu gI Winding
been FOR some time engaged on pan Iol ,i1 iua,e ah
the floating debt oI the company ana 10 pao1a & tha
a.ona beef upon the part Of the committee and
Ire members Of the syndicate VINO nav ,,pd he
s sdonssi lS time to meet the conpanys require
fnents ..,.~,.o, bowever IL was found 10
be ine dent out all the details rs oS OF fae
plan without the aid Of the court, ann d0T cnn 1
heca
pany and the Mercantile Trust Company OF Hew eSn
a35s aSTS Iss eopany 'a begin e fer The
appointment OF receixeTs Mmo ,sn consumma,oa
pr9Ps5y 5Sn anq oq I With that in view
Trust she s3ci oPRea to Of 'Sf MaTaSd
ana upon It's application two receivers ma pd Os
appointed namely Messrs. Johh w. No"e" "''- O
car tnr G "a the comm encement of the suit how;
he whole matter was laid before the Board
If directors of the company and they Unanimously
passed resolution a1tnor,Zg fT yor mf The Mer-
camille Trust Company for the amount OF the uspe 10y
evnaicate. and aisc consenting 10 the appointment
Of tfceTeTs iv Ws taken aftsr full deberatlon and
after the presentation Of the whole case 70 'he III
Tho Board at the same time passed a res2iuoiosh 1as
reauesting the New-York members OF the boaru'
nancy Messrs Louis tizgeTal pays anf Wa a.
Read. who have been preparing pa" Io' trn ,.oc
ciosi,re OF any OF the companys mortgages. TO or
ganize themselves as committee WIN poWer p ~
add their nOlnDtr, OF 70 "SSo, ~ To-,
comnIttee in London FOR the protection OF the N
teres;s of AL the security ana shar'hO.utiS WIN
a view TO the Immediate REORGANIZATION OF INC coi
-. nd ia affairs AS stated, these RenteilcN
~ rebabilitation OF the company and its hnances
NV will continue In this effort ana they expect -
have aDpoInted in London another committee M ol
sacr,,,v and shareholders to cooperate "!lh tHeh
in tho presentation of plan when VIII nav ior
a., the extngllishment OF the entire noatlhR
AM ~ The company and the furnishing of rev
espi capital d and the pacing Of the companys finances
upon nara heH Of Directors and the officers of the
.onnanv greatly regret the necessity OF asFlhe ths
,rp,nan;io, SO,ip; of the court but the demands upon
~ comnany were pressing IL was lHPosfp, i'.
~ deaf With the subject Of read)usthehl
o.,,na ,ba deay which arises from recelVersilP
soa ~. adminIstration of the property uhder '"e
orders OF a judicial tribunal. Ao,,,, ,bo nnh,ic
nre,etent rumors spread through the p,ioIIc
80 70 The effect that the report CT me hotu :,
H., c,enhen Little, did not cohnTh 'iie ,.n
r. comnany's accounting oflcers In1ne 70 @
I,ca,e under date Of FEBRUARY I'D a., Ir,,,o,s
thet foundatIon; the contrary, NJ. Letir - .
ann,na.top fully confirms the report OF tH tons
nar~s accounting officers made fcpTualS ,S a. 20 20
- ,Le cornnanv's floating indebtehneSs ~ A. -
There "a no basis whatever for such !ui"o'' "e'O
Sore nassing through the puoHc Pi'"'9- u. =.
NJ, Cowen states that in regard 10 'h@ 'o'
nartment OF the company every opi'sa,' - y,
orrnorv IN rs employees will be. under the oiuei VI
49, novr, fulned TO the letter. TINS depai a.,
under the courts order, Is cohiu.u1, rade in The
,raa nder Tho company All Cepos!ts t,dIe ~ a
s.xnc f,nd are absolutely protected ana an or -, ho
,,one - emnloyes under the relief feature a. % ,s
carried cut and all payments Hleuc P''S''
no receivership had taken place.
THE EFFECT on THE STOCK EHCHAN"T' L.