The herald., 1897-01-10

affairs is the formation of a new syn
dicate. comprising practically all of the
leading banking houses andrepresenta-
tive foreign banking interests to take
measures for the protection of the prop
erty in the event of the failure of the
funding bill. and decision on the part
of the government to sell the property
under foreclosure. subject to the lien
of the first mortgage bonds. The pro-
lection of the Kansas Pacific is also
covered. The capital subscribed aggre-
gates S40900.000, and the syndicate
operations Will, as in the case of the
previous $1O,000.00O agreement, be con-
trolled by Kuhn, Loeb & Co. and the
Mercantile Trust company. The original
members Of the $40, 900, 900 syndicate are
given the option Of raising their sub
scriptions pro rata. If the funding bill
should not be passed and il an attempt
should be made to foreclose, the syndi
cate stands ready to buy in the system
and pay off the government lien. II the
funding bill should pass the syndicate
subscriptions will, Of course, be largely
reduced. No formal limit of time as to
the duration CT the syndicate agreement
has been made, but it is tacitly under
stood that it's operation terminates at
the close of the present session of cor
gress. If no action has been taken one
way or the other in this session, a new
agreement will be formed. subject u
whatever conditions may then arise The
new syndicate is in the interest of the
Union Pacific reorganization commit
tee. which controls practically all of
the bonds sold by the government to pay
off the maturing currency skies.
HANLEY ACQUITTED.
CHICAGO, Jan. 9.-The jury in the
case of General Traffic Manager j. 7.
Hanley of the Santa Fe, charged with
violating the interstate commerce law,
rendered q verdict of not guilty today.
The jury retired at o'clock last evening,
with a charge from Judge Grosscup, in
which even the strongest partisan of the
persecution could not fnd'a word to lean
upon. He told the jury to be cautious
about giving any weight to the evidence
of participant in crime. John G. Tay-
lor, former live stock agent of the Santa
Fe road, was the one sole witness against
Hanley, and he failed to corroborate his
story. He admitted his own part in re-
bate transactions, and the defense pre-
sentcd a number of witnesses to show
that Taylor frequently informed his as
sociates that he alone had control of re-
bates. This was the only defense At
torney Forrest made. Judge Grosscup
told the jury it was a pertinent defense.
The jury reached the verdict within ten
minutes after it retired.
AFRICAN CAPITAL.
OAKLAND, Jan. 9.-It is announced
that the Corral Hollow coal mines, with
all the railroad property and other ap-
purtenances, have been sold or con-
tracted 20 be sold to the London Ex-
ploration company, an immensely rich
concern, which owns mines in all quar-
ters of the globe. The report is that the
price to be paid is SIS, 900 600, though that
figure may prove to be considerable of
an exaggeration. Among representa-
tives in this country of the London con-
Germ are Henry Buffers and Captain
Thomas Mein, two returned African
ders" They are the parties who turned
the attention of the Exploration COM
pany to the Pacific coast. Buffers and
Captain Mein investigated the Corral