New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-08-31
PROTESTWABASH-
PITTSBURGH PLAN
d DissenterS Call Re
organization "Despic-
able and Unfair"
RECOMMEND SALE
OF COAL LANDS
S27.9OO.0OO Out of S30,236,0OO
e Bonds Is Subject to Plan,
However.

Twenty-Five dissenting bondholders
~ the Wabash-Pittsburgh Terminal
Railway Company met yesterday to pro
test against the terms Of the reorgani-
zation plan. The lime for deposits
and for the payment Of the first install
ment Of the amounts payable under
the plan expires st the close OF business
to.norrow. The time for the with
drawal Of first mortgage bonds repre-
scented by certificates of deposit eX-
pired Yesterday The reorganization
committee announced that there re-
manned unwithdrawn and subject to the
,l.n of reorganization approximately
s97 900 600 bonds out of total issue
of S3O.236 900. About 100000 OF she
second mortgage bonds have also oeen
deposited under the plan.
Daniel B. Ely, who acted as chairman
OF Yesterdays meeting. sald mat the
bondholderS he represented wanted
notifications made 10 the reorganlza-
ton pIan. or he would insist upon a
Humiliation Of the property IN whole
or in parcel He objected strongly 70
the right Of the second mortgage Dond-
holders TO participate m the reorgsnl-
cation. on the ground that the company
obtained very little real money ior
those securities. Ely declared that ne
al one time had written 70 george D.
GouId in an effort 10 learn the exact
amount. but he never received reply
Among the objections to the plan
outlined BIZ Flv was the feature pro-
vidinc that the first board OF directors
should be named by the reorganization
committee. he proposed that the com
pany have ten directors, each repre-
senfing one-teuth Of the bonds. He
slso recommended the selling of the
coal lands on the ground that the
courts may later hold their operation
illegal Ely asserted that he could sell
them for 100000. which would pay
of the companys claims, leaving
eightv-fve miles Of railroad practical
~ free OF Indebtedness Instead Of
$500 q 81 900 bond, he claimed that the
assessment should be no larger than
$50 or 500 q bond.
Haste On the part Of the protesting
bondholders was urged because of the
alleged claims Of Wabash-Pittsburgh
Terminal rOteholders, which must be
met before December !.
Albert Rathbone. of counsel for the
REORGANIZATION committee, attended the
meeting and was heckled for the delay
Of the committee in formulating a plan.
What did you DO in the seven years
The company was in receivershlpY p he
WAS asked lie was also told by the
protesting boudholders present that the
rlan presented by the reorganization
committee was "desplcable. lnequlta0le,
haysh. unfair and oppressive
II was finally decided that a commit
zee o. FIVE should be selected by Mr..
Ely % represent the minority bond
holders A member of the Philadelphia
brokerage firm Of Charles Fearon Co.,
rhlch is also opposing the reorganlza-
Ion plan. attended yesterdays meet
irg. but he left without saying whether
he would cooperate with the Ely con-
lngeut.
II was announced yesterday that the
court 80 Pittsburgh on August "a had
authorized the W burgh Ter
minal to enter into "a contract with the
PENNSYLVANIA Railroad for the con
struction Of q connecting track between
the two roads. 20 be known as the
Bridgeyi connection The Importance
az this connection. marking as 1t does
The end Of one ~ the old Gould-Cas-
satt ieuds, lc- 10 the fact that il will
give new and independent outlet for
the Terminal Railways coal and will
make the company independent Of its
heretofore main connection. the Wheel
ing d Lake Erie.