The Irish standard., 1909-07-10
WABASH MUST :.
PAY $4,000
RAILROAD LOSES SUIT IN THE
COURTS OVER QUARTER OF A
CENTURY.
INTEREST DOUBLE THE PRINCIPAL
Case Involves 1869 Issue Of Bonds and
lnterest.-lf Amount is Not Paid
Terminals Will be Sold
by Sheriff.

Interest.~n Amount is NOT Paid
Terminals Will be Sold
by Sheriff.
Cincinnati, Ohio, July S.-By a de.
cision in the United States Circuit of
appeals the Wabash Railroad company
will be compelled to pay over three
quarters of a million dollars, the
amount of interest compounded and
the principal of $4,000 for bonds sold
James Compton, of Toledo, more than
third of a. century ago. These $780,
900 of bonds are part of an issue of
100000 Of equipment bonds made by
the old Toledo and Wabash Railway
company, Nov. 1. 1862.
The Compton case, with others,
brought by bond holders has been be-
fore the United States supreme court
twice. The present occupant of the
White House passed upon the case
once when a United States judge. An
attorney general Of the United States.
w. H. H. Miller, was once special
master in the case. Walter r. Gresh-
am, secretary of state in Cleveland's
cabinet, once passed on. the case
when United States Judge. Judson
land cabinet and now governor of
Ohio, has been an attorney for the
Compton side for 80 years, and his
associate is John G. Milburn. Of Buff
falo, in whose home President McKin.
ley died.
Compton died several years ago and
his widow. Ellen Compton. executrix
Of her husbands estate, has continued
the suit, although it is said that the
present owner of the $4,000 bonds ia
Wall Street firm.
Railroad Must Pay.
The Wabash railroad company must
now pay the principal and interest on
the Compton bonds or suffer its Tole-
do terminals and Ohio branch of it's
system to be sold 10 satisfy the lien.
| In 1866 the Toledo and Wabash rail.
way company was consolidated with
three other roads and became known
as the Toledo, Wabash and Western
Railway company. Prior to 1873 the
consolidated lines defaulted on the in
terest on the equipment bonds of the
old Toledo and Wabash road. In July
1880. Benjamin f. Ham secured 6
Judgment and lien against the whole
consolidated lines for the bonds which
he held The decision was given by
Judge Walter @. Gresham in the Unit
ed States court at Indianapolis. The
supreme court of the United States
reversed the decision in 1885, holding
that there was no lien on the console
dated properties.
In 1883 the Ohio supreme court
granted James Compton lien on the
consolidated roads for the old bonds
he held, under the Ohio statutes. This
case later came before Judges VIII
liam H. Taft and H. H. Lurton, sitting
as judges of the United States circuit
court of appeals in 1890. They sus
tanned the Ohio supreme court deci
sion as to the lien, but could not agree
as to the form of remedy. The u. s
supreme court also in this case up
held the Ohio supreme court decision
notwithstanding the lien granted by
Judge Gresham in the Ham case wai
declared void.
Back to Ohio District.
The Compton case, being remandet
from Washington to the United States
circuit court of the northern district Of
Ohio, w. H. H. Miller, of indianapolis
who was attorney general in Presi
dent Harrison's cabinet, was appointed
special master to ascertain what prop
erty was covered by the lien 10 years
ago.
In the meantime, the Wabash, st
Louis and Pacific railroad company
had been placed in the hands Of fed
eral receiver, and in 1889 the present
Ntigant, the Wabash railroad company
took all the properties. Special Mas
ter Miller found profits to pay Comp
ton, and mis- report was upheld yester
day in the United States circuit cour
of appeals by Judges Lurton, Sever
ems and Knappen.
The Adelbert college Of the Western
reserve Of Ohio, together with Others
in st. Louis and New York holding
$500 900 of the bonds, obtained from
the Ohio supreme court In 1906. de
cision that Compton must divide witt
them proportionate1y any proceeds O.
a sale of the road on his lien. The
Wabash road carried this case to the
United States supreme. court and thii
time set up the defense that the Ohio
courts had no Jurisdiction in the case
and the road was sustained. This nov
leaves holders of 100000 Of bond,
without powers to collect q cent.
Omaha Trial Postponed.
Omaha, July 8.-The trial Of D. w
Woods, Fred Torgenseu. James Cor
don and Jack Shelton. charged Will