Omaha daily bee., 1902-04-18
BELMONT STILL IN FIGHT
BE and Associates Refuse to Admit Losing
Louisville & Nashville Control.
EXACT STATUS REMAINS A SECRET
Morgan Interests said 90 Hold stock
simply as and Not for
the Beneat Of Any Out-
side Railroad.

NEW YORK. April 17.-Further progress
was reported today in the settlement Of the
Louisville & Nashville matter. GeorEe w.
Perkins Of J. P. Morgan & &C. and John
W. Gates. who claims control Of Louisville
4 Nashville. were in conference during
the morning AZ the Morgan banking house
II is assumed that the lines OF the agree.
ment between the Gates and Belmont par
ties were discussed. but on this and all
matters dealing with the situation Messrs.
Perkins and Gates were silent.
Samuel Spencer. who said yesterday that
the Southern railway had no interest in
Louisville & Nashville. also called TO see
Mr.. Perkins. He had nothing TO add to
his statement OF yesterday. A semi-ofncial
statement credited 70 a member Of J. P.
Morgan a Co. to the effect that Louisville
4 Nashville is now q Morgan road and
that its policy will be dictated bv Mr.. Nor
gan. was discussed by one OF the latter's
partners this morning.
Morgan 4 Co. will act as trustees %
the Louisville & Nashville road" said this
party. That is all we have been asked TO
do. and we do not propose to 80 outside
our province. We are to be the stewards
Of the property ard Will manage Il for the
best interests Of the stockholders"
Belmont Will Not Admit Defeat.
August Belmont had nothing to add TODAY
to his brief statement Of last night. II NAV
be stated. however. that the Belmont inter-
ests do not admit having lost control Of
the Louisville & Nashville.
The statement Of Harris, Gates a Co. that
they bought control Of Louisville 4 Nashville
implies that they actually hold physical
possession Of over 800. 900 shares Of the
stock, including the stock now out on time
contracts and deliverable some W 20 four
weeks Of. Efforts to get q DEFINITE state
ment from the Gates interests regarding
this phase OF the situation were futile.
One Of the latest versions Of the Louis
vile & Nashville situation is as follows:
The Gates holdings have been divided
into three parts. J. P. Morgan & Co. takius
one-third and Mr.. Gates and associates the
remainder. Morgan takes this part on
agreement that it be operated in harmony
with Morgan interests in the same section
Of the country.
Yesterdays move in Southern rsTway is
attributed to Mr.. Gates interest to Sc
cure an interest in that property. He is
reported TO have been informed that the
best way to get it was to 20 into the open
market. which be and his followers are
reported to have done to the extent of
about 200.O 600 shares.
Spencer Explains the Case.
ATLANTA, Ga, April 1s.-President
Samuel Spencer Of the Southern railway
sent the following telegram today TO S. NJ.
lnman, one of the directors Of the Southern
and a member Of the executive board:
y Louisville & Nashville situation /,
SIMPLY this; Mr.. Gates and his associates
apparently without any consultation wifi
any railroad interest in the south or else
where. and entirely on their own account
I DOlknI IN me nnnn mnHEaN 1~-. An--l.
Of Louisville & Nashville stock ana elaine
now 10 be a clear majority.
by reason OF a large short interest. grow
ing partially out Of the sale by the louis
Vile q Nashville company OF 5000 share
an authorized additional issue Of treasur,
stock-which was not listed and not. there
fore, a good delivery on the exchange.
serious corner was imminent. J.. P. Morgan
a Co. were appealed to TO use their in
huence to prevent such a disastrous condi
ton. After two days negotiations thil
the Gates stock will be- SePosited o With S1 aSf
placed under the control Of ]. p MorgaI
S an SI 2aj aS San i5fsSss ana an not as repressntinl
except to conserve in the best possible wal
the general financial and business situation
and avoid the serious complications whicl
have threatened.
The Southern Railway company has no
had and has no intent. directly or Indirectly
present or prospective. in the purchase 9
the stock or In its deposit as above witt
for the control Of the louisville a Hssh
Vile by any other railway company an
not likely 10 be-certainly not by the South
. ern.
: BALTIMORE, April 1s.-It was Iearne
today from a semi-ofnciRl source that tn
SeabOard Air Line railway figures in tn
general understanding reached in connee
tion with the Louisville & Nashville sale
This, It is stated, assures the contfnuanc
I of the friendly relations existing betwee
, the Seaboard and the Louisville & Nash
I vile.
1t is understood that conferences hav
D been held between the Morgan interest
. and representatives Of the Seaboard. Presi
! dent John Shelton Williams OF the latte
{ and President Samuel Spencer OF the South
ern railway were present at these confer
ences. II has been expected that som
understanding would be reached with th
, Seaboard with the idea Of securing it's co
operation with q community of interes
plan.
There is a disposition In local circle
; close TO the Seaboard TO think that IN
Gates party contemplated making a bid 70
! the Seaboard and that the Morgan plan Z
secure a general understanding intervene
, I and stonnad this mova