Omaha daily bee., 1896-09-26
BRICK POMERoY's DREAM.
His Hole I'm the Rocky Mountains
In In

His Hole I'm the Rocky Mountains
Again In View.
The dream of the life of the late "Brlck
Pomeroy-a tunnel through the Rocky
mountains-comes again in public view
This time it is in the courts, through litiga-
tlon. Mr. o. L. Snyder, a Buffalo lawyer
was at the Hotel Normandie yesterday, re-
ates the New York Herald, and gave me the
particulars of the trouble, which, it is
thought, may result in the indictment of
certain officials of the Atlantic & Pacific
Railway Tunnel company, at Denver, Colo.
Proceedings only have been begun. A
meeting Of eastern bondholders was held on
Thursday night at the Hotel Normande and
the charge was made that some officials of
the company had deliberately planned to
acquire the tunnel by allowing the taxes to
run in arrears and then have their agent
buy in the property. According to the laws
Of the state Of Colorado property sold for
taxes that are three years in arrears Is past
redemption.
Mr. Snyder had been in Denver investi-
eating, and made his report on Thursday
night Suit is begun" said Mr.. Snyder to
me, against A. S. Whitaker, secretary and
vice president, and b. +. George, formerly
vice president and contractor. The suit is
for foreclosure of the bonded Indebtedness,
and another suit is to compel an accounting.
The suits are in the names OF Mrs NJ. E.
ioyt and others. The attorneys in Denver
Riddell, StarkweatheT and Dixon of Denver.
Here is a telegram from them dated Sep
tember H."
The telegram stated that the suits would
be begun tomorrow, meaning Saturday, Sep
49, Mr.. Snyder said that Whitaker was for
merly POmeroy's bookkeeper and secretary,
and is man without means, George was a
contractor, and in the old days was wealthy,
but all he owns now is house worth about
$40 600
were supposed to look after the interest of
the stockholders. They allowed to be sold,
for SIS, property of the company for a claim
of unpaid taxes, Tney bought the tax title
from persons for less than 81 900 Instead OF
turning II over directly to the old company,
they organized a new one. They sent out a
circular marked private and confidential to
the members OF the old company, requesting
them to buy additional stock. If they did
not they would be frozen out Eighty per
cent OF the persons are too poor to buy a
dollars worth OF additional stock"
Mr. snyder showed me a circular which he
sent out on July IS, in which he stated that
without the knowledge OF Mr.. PomerOy or
the stock or bond holders the Cash lode, the
Bonn lode the Sonora lode and the Great
west lode, lying across the face of the tun-
mel so far made, We're allowed to be sold for
taxes in 1890. Upon investigation | believe
the tax sale and purchase to be fraudulent
and void II can be set aside and the prop
erty redeemed for the benefit of the bond
and stockholders of the company
Entrance could not be obtained to the tun-
mel unless the company owning the property
sold for taxes gave PERMISSION Mr.. Snyder
says it was the business OF Whitaker ana
George, as officials of the company, to see
that the taxes were paid up The lawyer
charges that part OF the taxes were paid up,
but that the taxes OF this particular section
of the country which covered the entrance,
were purposely left unpaid and Mr.. Pom.
eroy left in ignorance Of the fact When
the sale took place IL is alleged that the
officials bought in the tunnel and then held
1t until Mr. Pomeroys death, when the "pr-
yate and confidential" circular referred to
was sent out, on July 3, asking the bond and
stockholders to contribute TO buy back the
tunnel from the unknown owner.
The bond and share holders on August 26