The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1897-07-30
UNION PACIFIC RAILROAD
Decree Of Sale Of tho Property
Under Foreclosure Proceedings,
TO BE SOLD TO HIGHEST BIDDER

A Master Appointed, and He WIN Sell
the Main Line and It's branches
From Council Blums to Ogdcn-Date
of sale Not Fixed.
Omaha Neb July 80. - DEGREES OF
sale of the Union Pacific railway under
the foreclosure proceedings instituted
against IT by the United States were
passed uGon by Judge Walter Sanborn
in the United States court here yester-
day The entrance Of the government
decree drew forth a vigorous debate
between Ex-Governor Hoadley, special
counsel for the United States, and
Winslow s. Pierce, counsel for the re-
organization committee. The debate
was upon the right of the court to re-
serve to the United States all rights
Of the government not explicitly stated
in the decree. It was decided in favor
Of the government
The upset price under the first mort
gage will be S5O.637, 455. Judge w. d.
Cornish, of ST. Paul win act as special
master in the matter He will sell the
main line, the 1,0Sl miles of road from
Council Bluffs to Ogden and its inn
mediate branches I'm this city. The date
Of sale win not be fixed until 20 days
shall have expired. the court giving
that much time to the United Pacific
railway to redeem the property. The
date Of sale and other matters con-
nected with the sale will be fixed by
Judge Cornish. Similar DEGREES will be
entered in Council Bluffs and later in
the states of Wyoming, Colorado, Utah
and Kansas
The entrance Of the DEGREES Of sale
drew together an assemblage Of as
many prominent judges, attorneys and
counselors as ever met in Omaha
Three Of the receivers Of the Union
Pacific system were in attendance,
oliver w. Mink, John w. Doane and E.
Ellery Anderson.
The attorneys in the case spent an
hour correcting the copies of the de-
cree to conform to the changes made
by the court and the papers were then
filed. 1t DEGREES and orders that all
the property and rights of the com
pany shall be sold at auction to the
highest bidder upon the mortgaged
premises at the freight station of the
railroad company, in the city of Omaha.
on a date to be fixed by the special
master.
1t provides for double sale, to wit:
The subsidy bonds of $27, ,235.512. with
interest amounting to $3O.525 .43O. maxi
ing a total of $57, $40, ,43O the upset price
being $4,000. O0O The other is the sale
of $15.645, 65O.S9 of the Union Pacific
sinking fund, which cannot be sold for
less than par value.
The receivers Of the road are ordered
TO file within ten days Of this decree
an approximate statement of the
amount of money in thir hands. the
amount of moneys due to them and all
their liabilities due from the operation
Of the mortgaged premises. Prospec-
tive bidders are equired to deposit fve
days previous ~ the sale 81, ,0OO, 900, and
the successful bidder must deposit five
days after sale IS per cent of the bid.
No bid will be accepted for a less
amount than $50, 0,637 ,435.
The purchaser may pay in cash. or
cash and first mortgage bonds. De-
ferred payments must he paid as fol-
iows twenty-five per cent within 80
days after confirmation of sale: 25 per
cent in 40 days % per cent in so days,
and % per cent in 60 days. The money
received from the sale is to be used
first for the payment of the first mort
gage bonds, and second, if there be a
surplus to the payment of any debt
due the government. The purchaser
pays all costs, compensation Of master,
balance due receivers on unpaid in
debtedness of receivers, etc. The de-
cree in favor of the United States is
similar in form to the one for first
mortgage bondholders, except that it
provides for a sale of the property
subject to the prior liens represented
i'm the other decree.