The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-01-11
THE SALE OF THE NEWS
DECREE ENTERED AND EIGHT
WEEKS ADVERTISING ORDERED.
Appeal bond of $4,000 in Event tn.
Case Goes to the High
err Court.

decree was entered in the Superior
Court late yesterday evening in which
Judge McMaster approves the order provid-
ing for the sale Of the Indianapolis News
TO the highest bidder. The order as finally
agreed upon by the attorneys presents a
rather perplexing situation One paragraph
instructs the receiver of the newspaper ito
proceed with the execution Of the order
with all possible dispatch" while the last
paragraph of the document shows that the
defendants except to the order and pray
for an appeal to the Supreme Court, which
appeal is expected to act as a supersodeas
against the order and prevent any steps
being taken toward disposing of the News
plant pending the litigation in the higher
court.
The matter came up about o'clock yes
terday evening in Room l. Superior Court.
Charles w. Smith and Byron X. Elliott,
representing Major w. j. Richards. the
plaintiff in the litigation, and Ferdinand
Winter, counsel for Delavan Smith and
Charles r. Williams, defendants, were pres
ent. The attorneys, in accordance with the
instructions of the court, had been trying
to agree on an order of sale, but had been
unable to do so, and they came before the
court to allow it to adjust the points on
which cousel differed. AS to the order itself.
there was but one point on which the at
torneys could not agree. This was in re-
lation to the length of time the newspaper
should be advertised for sale. Attorney
Winter thought that the "notice by publ
cation" should run for at least ninety days.
Charles w. Smith and Byron X. Elliott
held that thirty days would be long enough.
Mr.. Winter insisted that this would not be
themselves as to the real value of the plant.
He pointed out that the property would
probably sell for $500, 900 or 100000, and he
thought that men who were about to make
bids of this magnitude should have plenty
OF time in which to look about them and
inform themselves thoroughly on the char
acter of the property they contemplated
LAS far as that is concerned" remarked
Mr.. Elliott, lit seems to me that the value
of the News and everything else relating to
this litigation has been pretty thoroughly
advertised already"
The situation is just this with Major
Richards, said Mr.. Smith. His right to
withdraw from the partnership is conceded,
and it is a year now since notice of his in
tention was given. 1t seems to me hard
ship that he should be compelled to remain
longer in his present situation
Judge McMaster said that it was his de-
sire to prolong the matter no longer than
was absolutely necessary to subserVe the
interests of the trust. The court then said
he would fix the time of publication at
eight weeks from the date on which the de-
cree was entered. This would make it
eight weeks from yesterday.
The question as to what the appeal bond
should be in the event the defendants con-
tinued in their determination to take the
case to the higher court then came up, and
in this connection there was some discus
sion as TO whether or not the News was
depreciating in value by reason of the liti-
cation. Mr.. Elliott said he had understood
that many of the heaviest advertisers of
the city were hesitating about making their
yearly contracts with the News on account
of the uncertainty of the future ownership
of the paper. Mr.. Winter asserted that as
far as his information went the paper was
running more columns of ads this year
than it did last year. Mr.. Winter suggested
that there would be no possibility OF Major
Richards suffering loss even if no appeal
bond was demanded. because when the pa
per was sold the purchase money would all
be paid into court for distribution by the re-
eeiver I'm my, opinion, continued MT
Winter, "the indianapolis News is as pros
porous to-day as it ever was"
Mr. Winter said he thought an appeal
bond of $1,000 should satisfy the attorneys
figure hardly sufficient and suggested that
the bond be placed at $4,000.
YES" said the court there may be con-
tingencies arise pending a settlement Of the
case by which loss may be suffered. I think
a bond of $4,000 should be given" Mr..
court announced that fifteen days would be
given the defendants in which to file their
bond should they desire to appeal the case.
The decree provides that 1.-The sale of the
Indianapolis News shall be made a public
auction and that the sale shall be made at
the south door Of the courthouse, at p.
m, on a day hereinafter to be ordered"
The announcement of sale is to be published
on Wednesdays and Saturdays of each al
ternate week for eight consecutive weeks.
Advertisements are to be placed in the In
dianapolis News the Chicago Tribune, st.
Louis Globe-Democrat: the Cincinnati En-
quirer, New York Tribune, Boston Herald
and the Philadelphia Ledger. BY the terms
of the decree, the purchaser must pay one
third of the purchase price in cash, the re-
mainder to be paid in four equal INSTALL
ments, payable in three, six. nine and
twelve months from date of sale, the same
to be evidenced by the notes of the purv
chaser. bearing s per cent interest. The
court is to be the Judge not only of the
amount of the bid. but the character and
sufficiency of the security offered The de-
cree provides that before the receiver shall
consider the bid of any prospective pur-
chaser the latter must deposit $4,000 cash
in either an Indianapolis or New York bank
as an evidence of good faith. The decree
J1ovides that the receiver shall give the
fullest information concerning the property
in question to all who desire to bid on the
plant After the sale the receiver is to pay
all the expenses of the trust, including
reasonable amount for his own services.
The receiver is then to pay to Delavan
Smith 46 2-3 per cent. of the funds in his
hands. Charles r. Williams is to receive
10 per cent. and Major Richards is to have
AZ l-2 per cent. The decree also provides for
the payment of the taxes on the News plant
for the year 1899 by the purchaser.
Some who are familiar with the News liti
cation say that ii is not at all certain that
the defendants will go to the Supreme Court
with the case. Should they decide to accept
the lower courts finding there would be
nothing to stop the progress of the sale and
the plant would be advertised for sale with
i'm 4 very short time. In the event Of an APP
peal the next question to be raised will be
whether the appeal bond is to stop further
rlFFFFr In