New-York tribune., 1907-09-27
". S. STOCKHOLDERS WAIT.
Meeting to Take Action on. city
Rail7cay Failure Postponed.

! While no formal meeting of metropolitan
Street Railway stockholders, who hope TO pre-
vent the passing Of the Z per cent payment
guaranteed by the New York City Railway
Company. now bankrupt. was held yesterday. F.
! J. Lisman Of No 80 Broad street representing
/ some of the "non-assenting" stockholders. and
George s. Graham. of Philadelphia, who repre-
| sents others, were in conference several times.
| The formal gathering has been postponed until
early next week when in all probab blity Mr..
| Lsman will announce that he has accepted the
chairmanship of a stockholders protective COM
nlittee, and will present plans which will have
been formulate At present several under
| discussion. Various courses open TO the stock
holders include, according to lawyers who have
studied the situation:
Suit against the Metropolitan Street Railway
directors for funds misconverted
Action against the Interborough for the re-
1nainder Of the s15,000oo0 promised by that
company to the New York City Railway Com
pany.
Action TO supersede the receivers Of the New
York City Railway Company by others
Lawyers are also considering whether the
New York City Railway Company has not al
| ready violated its lease Of the Metropolitan
Street Railroad by confessing insolvency, thus
permitting some action by the METROPOLITAN
Street Railroad stockholders TO take over the
mana cement of the property in defiance of the
provisions Of the lease.
Neither Mr.. Lisman Mr.. Graham would
discuss Metropolitan Street Railroad affairs yes
terday. saying that it might be to the detri-
ment of their clients 10 talk at this time. The
understanding in Wall Street is that the most
probable course for the stockholders to pursue
is 10 bring suit against the Metropolitan d-
rectors for alleged misuse OF funds. James w
ch har in he 0F ba
Vreeland libel suit, that some S30OOOO0O Of the
Metropoitan's funds had been diverted from,
their proper
Action to srpersede the receivers by others
could be brought only If charges were pre-
ferrred against the present receivers. and that
course is getting little consideration More
thought is being devoted to the question of
bringing receivership proceedings against the
Metropolitan Street Railway, but the special
laws which govern railroad bankruptcies are so
full of peculiar quirlSs that this course seems 10
some of the stockholders to be of doubtful wis
dom. The one of trying 10 seize the Metropol-
itan Street Railway property on the ground
that the New York City Railway Company has
violated its lease appeals to some of them more
than the additional receivership proposition.
Clarence II. Wildes, Of the minority stock
holders had something to say yesterday about
the Interborough's contention that payment of
the S1,2Do.ooo OF the promised Sl3.GO0.C0o
not be enforced. He said:
Reasoning from cause TO effect, if the 81
oOo00O due the Metropolitan under the May
agreement by the Interborough- Metropolitan
paid, the finances of the former company
would be greatly strengthened and a receiver
ship under these circumstances might have been
avoided. J have yet TO learn that solvent
debtor. the Interboroush- Metropolitan claims
ii is can evade lis just obiga tions incurred be-
fore the insolvency OF the company to whom it
owes money. 1t is manifestly the duty of those
who have been placed in charge OF the New
York railway system to collect all just debts
and | have doubt that this will be done"
There was meeting of the directors Of the