New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-12-21
C. H. AND D. DROPS LEASES
Directors Order Fere Marquette and
C., c. and L. Contracts Aau,ulIed.

AT meeting OF the directors of tie Cincinnati.
Hamilton and Dayton Railway Company held late
yesterday at the Offices OF J. P. Morgan 81 Co. at
tended by Judson Harmon. receiver of the Cincin-
natl Hamilton and Dayton and the Pere Marquette.
It was voted to annul the lease Of the Pere Mar
quette. Immediate steps will be taken to sever all
connection between these two roads A suhse-
Quent meeting of the directors of the Pere Mar
ouette acquiesced in the opinion that this lease
should annulled as Illegal but deferred definite
action it until a stockholders meeting in De-
troit-
Yesterdays meeting followed conferences between
Mr.. Harmon officials of the Erie, which is operat-
ing the Cincinnati. Hamilton and Dayton and rep
resentatives of the Morgan firm Mr.. Harmon was
closeted for hours with George +. Brownel1. head
Of the Eries legal department, and Francis Lynde
stetson. considering legal points. It said
officially that the payment of interest on the Sc
curities of the two lines would be met In January
The following statement of the action taken by
the directors of the two roads was made public
last night
A meeting of thee directors of the Cincinnati,
to-day, and a resolution was passed resembling.
revoking and annulling every resolution and con
tract adopted or entered into by the Cincinnati
ling or pnrportihg to authorize the lease of the
railroads of the Pere Marquette Railroad Company
State of Ohio. and are beyond the corporate power
OF the company. and are illegal The president
and other proper officers of the company were
authorized to take all steps which may be legal
proper and necessary to carry this resolution INTO
property received or held by the Cincinnati, Hamil
capitaI sock Of the Pere Maronetfe RaiIroad COM
pany. Judson Harmon, receiver of the Cincinnati
Hamilton and Dayton, was requested to apply to
the courts for authority to take such action as
may be suitable and proper to carry out the pro
the Pere Marquette. or its receiver. of all the
rights of the Cincinnati. Hamilton and Dayton
Of the PeTe Msrq1etfe a Railroad broad % e1i'1'
A communication received from W. A Brad
r.. Chicago, Cincinnati
Louisville Railroad Company. and as a consequence
directors Of the CINCINNATI Hamilton and Dayton
taken by the Cincinnati Hamilton and Dayton in
The acquisition Of any interest in the property Of
vile were beyond the corporate powers Of the Gin
illegal. the directors rescinded and annulled any
and all actions and obligations to this end in con
ch1icag3 Cincinnati and L9usve It was also re-
taken IN the premises and that no bonds or con
Chiosgo Cincinnati and louisville be Executed oe
delivered. and that all bonds obligations con-
tracts prepared for execution or delivery be can
Receiver Harmon is to be requested to take such
officers Of the company TO take such action as may
be deemed suitable from time TO time to protect the
The board of directors Of the Pere Marquette also
resolutions previously adopted by the Cincinnati.
Hamilton and Dayton Railway directors. The
board decided on advice of counsel that it was the
sense of the board that while the lease referred TO
by the Cincinnati. Hamilton and Dayton was Illegal,
and should be determinated IN of the existing
relations between the Cincinnati. Hamilton and
Dayton and the Pere Marquette and because of the
fact that the board not advised of the attitude
of the stockholders of the Pere Marquette with
respect to the lease and its cancellation, It
decided to lay the resolutions on the table and call
meeting of the stockholders of the Pere Mar
quette 10 be held in Detroit. on February 81. at
Il m.
The Pere Marquette board also adopted a resoIu-
ton on advice of counsel that the purchaser of
the capital stock of the Chicago, Cincinnati and
Louisville all transactions in connection there
with be declared rescinded and annulled The
officers of the company and the receiver noti
fed to take any such action may be necessary
and proper procure the cancellation OF any and
all bonds obligations
Reports had been current earlier in the day that
the complications would be untangled. It ex-
pected that some arrangement would be made for
the separation Of the Cincinnati. Hamilton and
Dayton and the Pere Marquette Railroad men
prophesied that the Erie probably would again
lake the Cincinnati. Hamilton and Dayton proper,
relieved from its entanglements The Pere Mar
auette. they believed would be taken by the Mich-