The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-04-02
Receivers Appointed For the Pitts
burg & Gulf.
SUNDAY MORNING CAMP
MOVEMENT OF EASTERN STOCK
HOLDERS HEADED OFF.
Company Could Not Pay Interest Due
Yesterday, Amounting to One
Half Million-Fight Against the
Port Arthur Canal Caused All the
Trouble.

Kansas City. April "A receivership
for the Kansas City, Pittsburg & Gulf
railroad was asked. tonight of Judge
Gibson of the circuit court by Charles
L. Grannis and other stockholders and
creditors. The application was granted
and Jurge Gibson appointed the fol-
lowing named officials of the road as
receivers: Z. L. Martin, vice presi-
dent; Robert Gillian, general man
ager, and j. Med. T1iuble, attorney,
all of this city. Considerable mystery
seems to surround the affair. Presi-
dent A. E. StillWell of the road, when
telephoned at his home at o'clock this
(Sunday) morning, denied any kncwl-
edge of a receivership. 1t is believed
the receivership is a friendly one.
The interest due today amounted to
S575, 200, and it could not be met. When
this fact became known a movement
was inaugurated to secure the appoint
ment of a receiver who would be spec
tally friendly to the eastern interests OF
the road. This move was checkmated
by the preparation of the papers Tor
the appointment of local receivers.
Judge Gibson was applied to late to-
night. The petition for the appoint
ment of a receiver was signed by Chas.
A. Braley, F. F. Silver and john i.
Eaton of the law firm of Trimble &
Braley. The outstanding debt of the
system is $23,000, 900 of bonds. The in-
terest due today amounted to S5l3,pp0.
The equipment of the system amounts
to $4,000 or $4,000 per month. which
consumes the earnings and diVerts
them from the interest fund.
The receivership does not involve any
N Of the PORT Arthur system
other than the main line Of the Kansas
City, Pittsburg & Gulf railroad. The
northern lines, Kansas City Suburban
Belt and the Port Arthur Canal & Dock
company. together with interests. are
said TO be upon firm financial basis.
The financial troubles that have in
volved the Pittsburg & Gulf are directly
attributable to the fight against the
completion of the canal, as 1t deprived
the railroad of terminal facilities at the
gulf for more than year, and COM
PEELED the company to make use of
Galveston, which necessitated giving
UP very large share of the revenue
that would ordinarily accrue to the
road
MIR. Martin said tonight: 1.-THE appli-
cation was made in order to prevent the
road from falling into the hands of
some one as receiver whom we know
nothing about, and whose methods os
handling the property could only be-
come known to the stockholders as
events brought the matter out. We are
certain we represent the sentiment of
the great majority of stockholders in
or scheme for reorganization and con-
solidation. L am confident N five or six
months the receiver will have the at
fairs cleared uD.'
c. A. Braley said: I received an in
: tQdaV thai
foot, when the interest was defaulted,
to secure the appointment of an eastern
receiver We then determined 70 keep
the road in the hands OF its friends and
i'll the place where il was originated. It
is a Kansas City enterprise, ana Kan
sas City receivers should control its
destinies.''