The evening world., 1903-03-11

There was a conference this afternoon
at the law Offices of Guthrie, Cravath &
Henderson. at No. 10 Wall street. to
discuss the charges against the Metro
politan Street Railway Company. which
have been filed with the Dfstrict-At-
torney.
There were present Mr.. Vreeland.
President OF the Interurban Company,
lessee Of the Metropolitan; Stephen Lit
tie, special counsel. retained to investi-
gate and report on these charges; De-
lancey Nicoll n a members of the
firm in whose offices the meeting was
held. At its conclusion Mr.. Nreeland
gave out the following statement:
The charges referred to in Mr.. Vree-
lands abatement purport to be based
upon the reports of two expert ac-
countants. Distributions jerome has
called upon the company for the pro-
duotion OF It's books.
Officials OF the company have In
formed Mr.. Jerome that they will fur
nish him with any or all the informa-
ton he desires at any time he may call
for II.
The principal charges made by the
experts reports are chat some OF the
officers or directors of the company have
issued false statements of It's financial
condition: declared dividends when they
should AVE levied assessments. and In
certain statements Of the company's con-
dition over-estimated it's and
has either undervalued or entirely
omitted mention Of enormous liabilities.
Say Deficit Became Surplus.
The most startling statement is that
on June 30. 1901, the company claimed a
surplus OF IS, 4O3, 49,. 50. while both of the
experts report that on that date instead
Of being a surplus there was an actual
deficit OF SIS. 97i, $3.50.
Both experts declare that this differ
ence was created by the company omit
ting mention of liabilities arproximating
$40. 900, 900.
The interests bringing the matter to
the attention Of the Distr!ct-Attorney
hrst employed John c. Hertle to make
an investigation Of the company as an
expert accountant. Mr.. Hertle was
head OF the Commissioners of Accounts
Of Greater New York from 1898 10 1902.
Since then he has been practising his
profession as an expert accountant. He
Is President of the New York State
Society OF Certified Public Accountants,
His report was 30 startling that his
employers were not content to accept
1t alone, and unknown to him they en-
ployed Max Teichmann. q certified pub
lie accountant of Baltimore. to go over
the same work. Mr.. Teichmann is Pres
ident OF the State Board of Examiners
OF Public Accountants OF Maryland and
President of the Maryland Association
OF Certified Public Accountants.
His report. as filed with the District
Attorney. corroborates that made by
Mr. Hertle. although he did not know
that Mr.. Hertle had made N investiga-
ton.
Mr.. Vreelnnd's Statement,
The charges hled with the District
Attorney are absolutely false from be-
ginning TO end They were prepared
without n other information n such
as is contained in the reports of our
company and Its constituent companies
to the State Railroad Commissioners. to-
Sether with one or two statements to
the Stock Exchange upon application to
list securities. The hgurss shown In
these reports and statements were an
scrupulously distorted and perverted Tor
dishonest urposes and in the Interest
OF an organized bear aid upon the Sc
~curlties OF our company. nj OF an at
tempt by certain persons TO extort
money from US as n consideration Tor
the withdrawal Of attacks.
THE directors and officers Of the Met
ropo!itGn Company have for several
weeks known all about the efforts which
are being made to circulate these ma
liclous reports regarding our company