Evening star., 1896-10-27
THE POOR MINORITY
Belt and lexington Stockholders Are
Frozen Out.
SECURITIES CONSIDERED WORTHLESS
This Much Seems Assured in the
Wrecking Of the Roads.
THOSE AIR MOTORS AGAIN

"They are frozen out. Their holdings are
worth no more than circus poster"
That was the cool and unambiguous
statement of a prominent local fnancier
this morning. when Star reporter asked
him where the minority stockholders Of
the Belt and lexington railroad companies
were in the crushing process now in opera
ton between the millstones of the ma
jority stock and bondholders Of the
two corporations The announcement was
made with a complete knowledge Of all
the transactions that have hitherto marked
the history of these properties and an in
Innate familiarity with those now in pro-
gress, and the speaker was aware that
the freezing out suggested in such an Off
hand manner indicated the loss to widows
and orphans of cherished possessions. and
to hundreds of others who could i'll afford
it, substantial portion of their property.
1t is easy to tell how this freezing out
has been accomplished when the history of
the management Of the properties Is re-
counted, but tie public Is too familiar with
the events that have transpired, both re-
mote ard recent, to need their repetition
now. The Star of last Saturday recited
how the valuable properties were given into
the possession of the big Philadelphia syn
dicate, composed Of Elkins. Widener and
DClan,e and every WashiHgtonian knows
hcw rutblessly that syndicate proceeded to
utterly ruin their value and usefulness TO
those who had invested their money IN
them and the public which was compelled
for so long to patronize them.
Only "a Miracle Can Intervene.
So the inevitable has come unless some
thing unforeseen happens to prevent the
completion of the conspiracy. 1t was said
in The Star Saturday that the Belt line
capital stock was s5oo,0OO, of which s2c3, 600
had been paid in, and that 1t was ques-
ton TO be legally determined whether the
stock could be regarded as paid up.
The declaration Is now made that 1t can
not be regarded as otherwise because the
certificates issued to represent the shares
contain the clause that the stock Is paid
up. Whether this is right or not appears
to make no difference to those engaged in
completing the wreck Of the road and It's
companion company. The only point now
at issue seems to be how soon the prop
critics will go under the hammer and be
sacrificed in one way or the other. 1t was
hoped at one time in the very recent past
that there might be some unity of action on
the part of those financially interested in
the companies by which the equities Of ali
concerned would be protected, but now the
possibility of such an understanding is too
remote to be worth consideration. The ma
jority bondholders care nothing for the
minority stockholders. and from present
appearances care as little for the majority
stockholders, because they distrust the lat
ter with a vehemence there Is no conceal
ing.
Conference With Mr.. Hambleton.
There was conference yesterday even
ing at the American Security and Trust
Company between Mr.. T. Edward Handle
ton, representing the ma tority of the stock
of the Belt and lexington roads, and sew
eral representatives of the bonds Of the
Belt Line. Mr.. Hambieton Is the senior
bankers, of No. . South street, Baltimore
He was anxious to try the experiment with
the Porter compressed air motors. and be-
leved that the request OF the receiver for
authority to issue certificates to meet the
expense Of making the experiment should
be allowed. but he was not equipped with
any satisfactory information about Mr..
Porters Intentions, and 1t Is said that
letter from Mr.. Porter himself was equally
unsatisfactory.
The suggestion was made that the re-
ceiver should visit P.ttsburg. and ascertain
to certainty what Mr.. Porter was act
ually doing or intended to do. and then
state TO the court il connection with his
request the facts as he found them; but
this was not acted on, and, indeed, nothing
definite was reached at the conference.
The Points Mt Issue.
The bondholders appear determined to
allow no securities-receiver's certificates
or anything else-to intervene as liens on
the roads between their bonds and the
properties. and the majority stock seems to
be welded to the idea Of experimenting
with compressed air, and will hear Of moth
ing else. Some of the bondholders Of both
companies favor the issue Of receivers GER
tificates for the purpose indicated and 1t
is well known that the committee repre-
sent.nS the lexington bondholders recon-.
mended that 5000 worth be issued to test
the Porter motor, but the holders Of the
major portion of the s2DO,OOO of lexington
this respect. and will legally fight to pre-
vent it being carried out. Some of the mi
nority stockn olders of both companies
favor the same thing, but as they are
cred by the big parties to the controversy.
Another Receiver Wanted.
There is feeling predominant among
those who are interested in the controversy
that the retirement of Mr. w. Kesley
might lead to a more comfortable feeling on
the part OF all concerned, and perhaps bring
about unity of action among those whose
equities are now threatened which would
afford them protection in no inconsiderable
degree. Mr.. Schoepf has always represent
ed the Philadelphia syndicate in the roads
heretofore, and 1t is well known that he
looks upon Mr. Dolan as his chief advisor
In all matters, no matter their character
1t has been erlphatically stated that the
Fhiladelph.ans are no longer interested in
the roads, but no one can find out specifi-
cally'who is associated with Mr.. T. Edward
Hambietcn in the ownership of the major
ity stock. Mr.. Harnbieton himself will not
dfvulSS this, and 1t is not unnatural!y be-
heved that Elkins. Widener and Dolan still
have their fingers in the pie. The endeayor
to have Mr.. Schoepf removed, however
does not seem to be getting any more uni
ted support than other efforts of the in
terested parties, because each of the sepa-
rate bodies of stockholders and bondholder.
seem to have candidates for the succession
to the receivership II a vacancy exists.
Walter Marshall Sent Down.
Walter Marshall, on complaint of Rosa
Bennett of 122O d street northwest, re-
ceived in the Police Court today a sentence
of ninety days in iail for carving com