The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1898-02-13
KANSAS PACIFIC SALE
Uncle Sam Holds For His
Price Till He Gets 1t.
NOT AS IN GROWERS DAY
Who Always Bought Dear and
Sold Cheap.

st. Louis, Mo, Feb. 12.-There will be no
2ostponement of the sale of the Kansas
Pacific railroad, set for February 16, II
and IS. Ex-Governor George Hoadley Of
New York, special counsel for the gov
ernment in the Union Pacific cases, ar
rived in st. Louis Friday for the purpose
Of asking the United States district court
10 postpone the sale and allow the govern
ment the privilege of redeeming the claims
of the first mortgage bondholders on the
eastern and middle divisions. He was also
10 ask for the appointment of a receiver.
BY this means it was exected that the
government would be able to obtain a
better price than the reorganization COM
rnittee had offered.
Mr.. Hoadley was met here by attorneys
presenting the reorganization commit
tee and the stockholders They all held
d conference. The representatives of the
reorganization committee offered to in
crease the committees bid to an amount
equal to the principal of the governments
Indebtedness. The offer was accepted.
The gentlemen appeared before Judge
Sanborn in chambers today and an
nounced that they had reached an agree
ment. The sale will therefore go on.
Washington, Feb. 12-Atorney General
Grigs today received dispatch from
Judge Hoadley, the government legal rep
resentative in the matter of the sale Of
the Kansas Pacific road, stating that an
arrangement had been affected by which
the Union Pacific reorganization commit
tee would pay the principal of the govern
ment's lien in full
The telegram from Ex-Governor Hoad-
ley said that the representatives of the
Union Pacific reorganization committee
had guaranteed that the government
should receive at the sale of its interest in
the Kansas Pacific road on February Is,
not less than IS, 303, 900, the amount of the
principal of its claim. Thereupon the at
'orney general wired authority to accept
the guarantee. The acceptance of the
proposition does not, however, prevent
the government from accepting any bid
in excess of the guaranteed amount. II
the two transactions by which the govern
ment has disposed of its liens upon the
Union Pacific and the Kansas Pacific
roads. it received total Of $64, 751, 223. OF
this sum S27, 236. 513 is the principal of the
debt of the Union Pacific and S31, 221, III,
the full amount of the accrued and unpaid
interest to the date of sale. From the
Kansas Pacific the government realizes
SC. 1903. 600, the principal losing the balance
Of interest amounting to s6,624, 107 The
amount realized from the two sales is
about 500. 900 900 in excess of the amount
the government offered to take during the
last part of the last administration. AS
10 the Kansas Pacific, the officials regard
the outcome as eminently satisfactory,
inasmuch as the sum realized, when taken
in Connection with the first liens, which the
government would have been compelled
to bid in order to protect its own interest
represents, in their judgment, the full
value of the raod. This settlement of the
matter releases and returns to the treas
IVY the 100000 deposited with the court
in order that the government might be
qualified as a bidder at the sale; $7,5l5,255
deposited some days ago for the purchase
of the first mortgage bonds. and S6,3O3,O0O
which the reorganization committee has
agreed to pay. The entire amount which
thus will be added to the treasury's avail
able cash is S14.7lS255.
Trademarks and labels of standard
goods are sometimes ingeniously imitat-
ed. Remember this when you go shopping.