Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1897-10-25
POSTPONE THE U.P.SALE
Government Wants II to Go Over Until Deem
Der 18th.
REORGANIZATION COMMITTEE OPPOSE.
Would Rather Bid In for tho Full Govern
ment Ciaim-Thls lray Give the
Government All Its Money.

New York, Oct 25-The Union Pa
eiiic reorganization committee made
the following announcement:
THE attorney general has notified
this committee that he proposes to ask
the court for an adjournment of the
foreclosure sale of the Kansas Pa
ciiic and Union Pacific railway prop
erty to December 18th. so as to post
pone final disposition until after Con-
gress shall have met.
This action is no doubt taken to
free the administration from embar-
rassnent.
"The reorganization committee. has.
however, reached the conclusion that
the interest Of the security holders
represented by 1t and of the syndicate
furnishing the funds to finance the
reorganization, require sale without
amy further delay. In this situation
the committee contemplates so as to
gain prompt possession OF the Union
Pacific line, TO oppose any adjourn
inent of the sale OF the main line and
to bid 1t in II need be for the full
amount Of the governments claim, the
additional sum involved In this being
about eight million dollars.
AS TO the Kansas line, the fore
u VIZ HIsl lehS upon the sub
sidized divisions of the Kansas Pa
cifc railway will he energetlcally
pushed, and when these foreclosures
snail have been accomplished, the re-
organization of the Kansas Pacific
lines Will be completed as planned.
All allutments under the plans OF
the Kansas Pacific holders. and
amounting to about fifteen million
dollars In new bonds and twenty mil
lions In preferred stock, will remain
reserved for the reorganization OF
the Kansas line.
The amount of new first mortgage
bonds TO be issued for the purpose OF
the generalization of the Unio1 Pa
cltc line VIII not exceed seventy mil
lion dollars and of preferred stock
itty-hve million dollars. No change
IN the plan of reorganization is in
volved in the scheme"
POSTPONEMENT CAUSES
SURPRISE.
Omaha, Neb., oct. 25.-Judge Cor
nish. special commissioner for the sale
of the Union Pacific and Judge w. II.
Kelly, general solicitor of the receiv-
ers' had their first news of the post
ponement of the sale from the Associ-
ated Press this morning. They were
both very much astonished and de-
cIlned to say anything further than
pete surprise and completely
upset them They had no
plans in connection with the
postponcment. They We're in consul
tation with General Manager Dick
inson at the time they were told
MIR. Dickinson also declined to talk.
JUDGE sANBoRN WILL DECIDE.
Washington, oct. 25.-Attorney Cen
eral Mckenna was shown the Union
Pacific reorganization committees
statement and asked IL he had notified
the committee of his intention as
had said that Gov. Hoadley speclnl
counsel of the government, was dI-
rected last week to make q communl-
cation to the reorganization commit
tee. He also said that application
would be made to Judge Sanbnrn at
81. Paul for the postponement of sale
not of the main line only but also Of
the Kansas division lines. He had |
reasonable assurance that there |
would be bidders other than the re- |
organization committee.