The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-02-02
10 GO BEFORE JUDGE PARDEE.
OPPOSITION To DIsCHARGING THE
CENTRAL-s RECETS ERS.

Hrouuu& 1 pom ~ nAfA AAN AEAtAANA q
MessrS. Thomas aud RYAN VIII Be
opPosed-A CharEe Of Collision
Claimants Want the Property To
Remain VITA thr Court Until Their
ClaIus Arc >estled-JudEe Mac
noncu aud Nir. Charles y West
Nuu Present Nauicrous objections
- sae T,etitiou-
-ce-s IS sste---- zc--z 90 D. q lively
rrc- nser-s --E D-- A. Hl-lee in
\sw l-ssz-s ----r----w cTc- tle petition
q dismiss --e -ect-Fe-s-1- and t-rn over
TIE assets r-v -- -rs la-ts % the receiv-
srs 90 MssS-s. Thomas ana RYAN. the pur-
chsss-s 90 the properly cs rhe Central
RaEroad and Ranking company.
Gen. samuel Thomas. Mr.. Henry Craw-
Kord. and Alr. A. r. LAYTON, Jr.. went
down 10 New Orleans Friday night. Judge
a II. NacD0neu, Of the firm Of Mac
Doneu x Gordon. is also there, and Mr.
Charles y West, representing other
claimants, Will leave for New Orleans
this morning.
ssr west represents the Eatonton
branch railroad. which has a claim for
rental for about $4,000 against the re-
ceivers and also Messrs. J. ID. Weed and
Harden West & McLaws. who have a
claim for $1,000. Representing these and
other claimants he will object 70 the
surning over Of the assets 10 Messrs.
Thomas and Ryan on the ground that no
proper notice OF the procedure mas Deeh
served on the parties at interest, ana tnat
the former petition for the same lhlhs
was never filed anywhere, but was pfac-
1t is learned that he will also oppose
ahe petition on the ground that the re-
ceivers have never filed any account OF
their stewardship, and il would there
fore be improper TO discharge them. IN
addition TO this 1t is claimed that MesSrs.
Thomas and Ryan, the purchasers, are
nOn-resdents, and that the jurisdiction
OF all claims against the Central under
the order applied for would necessarily
be sent to the place of their residence.
As "a final and comprehensive objection
20 the order asked for il is stated that.
Thomas and Ryan have already sold their
purchase of the Central railroad property
TO the new organization of the Central or
Georgia Railway Company, ana nave
taken mortgages for a large sum over and
above the purchase money paid, for which
sum they have filed claim against what
Is known as the overflow property.
Mr.. West, II is understood, also alleges
that even II Messrs. Thomas and Ryan
should be the proper parties TO whom to
turn over the assets now in the hands OF
the receivers, these parties have failed up
10 the present time to deliver single one
of the securities to those VINO went INTO
the reorganization, in exhange Tor their
receipts and his clients and others eN-
press the fear that If they are delivered
In the event the receivers are discharged,
they may be unsatisfactory. THESE are
said TO be the objections in the main That
will be interposed by Mr.. West against
abe petition before the court,
Judge MacDonell who, for his firm, Mac
Donell & Gordon, and w. 7. Hardee, Esq,
represents about $4,000 of claims against
abe Central and against the receivers, VIII,
fl is understood, make similar allegations
On his petition 10 the court He represents
j /. Sanders, a judgment creditor OF the
Central Messrs. Butler and stevens, who
have a claim for cotton not dellVeredi
Francis NJ. Crosby, who has a S5UOO cam
for personal injuries, received while IN the
employment Of the receivers; Messrs. j.
II Stewart & Son, who have claim TOT
wharfage and damage to cotton, and ;.
X Platshek, the owner of one certncate
of indebtedness of the var value OF $lVO
which did not enter into the reorganiza-
His objections 20 the discharge of the
receivers in behalf of these clients are
interesting The allegation IS made that
tisement of the overflow property of the
Central railroad which includes all other
property not specifically described, there
Is included 1895, Is cash in the hands OF
the treasurer, and S208, SOI.50 cash on de-
post with the Mercantile Trust Company,
besides a lot Of valid notes, accounts and
other property the value of which is es-
minated at various large sums, The claim
IS made that no notice is given Of the
description OF all OF TINS property, ana
that such assets are thoroughly well
known to the receivers, the purchasers,
the reorganizers between all of whom
there is concert of action and mutuality
of interest. The attorneys for the old
Central the receivers, and for the new
company. the same firm, are also men,
toned.
1t is charged that there is a conflict OF
interest between the Central, the recelV-
ers, and the new company, but That an
are being united into one harmonious in
kerest of swallowing up the assets of the
Central railroad at far less than their
true market value, and to the detriment
of the petitioners, who are bona tide cred
ators. 1t is stated that If such sale Is
consummated under the vague and gem
eral description, and the same is con-
firmed. the right and possession of the
most valuable assets of the road will be
sacrificed for a mere song, and will be
transferred to Messrs, Thomas and Ryan,
or TO the new company, without any ade-
quate equivalent being paid into the reg
sstry of the court for distribution to the
creditors under the decree of Oct 10, 1898.
The claimants say that under such cir
cumstances they would be relegated to
other proceedings to attempt to set aside
the decree as having been procured by col
fusion. Other objections made to the
granting of the order asked for are SINH
lar 20 those made by Mr.. West in behalf
of those he represents. They ask that the
sale of the assets as described in section
IL of the description be deferred until fur
Their order Of the court. They asked also
that in the meantime the receivers be re-
uuired to make a complete report to the
court of all the assets of the Central rail-
road and Banking Company, with which
they have had to deal. that every party
at interest be served with a copy of such
report and that such creditors be given
thirty days or other reasonable time af
ter the filing of said report in which to
traverse the same, so that all issues form
ed may be judicially tried and ascertained
before the final discharge OF the receivers.
From the appearance of these allegations
which 1t is understood, have been put be-
fore the court, the contest will no doubt
be a warm one. The sales of the overflow
property by Special Commissioner w. r.
Ieaken in Savannah, Feb. 4, Atlanta, Feb
s, Macon, Feb. 6 and in Eufaula. Feb. s.
will probably not be interfered with, as
Hfaa
selves have been abandoned, the claims
being against the proceeds. and Mr.. Lea
ken viii sell them on the dates named un-
less enjoined by the court.
CENTRAL's DECEMBER EARNINGS.