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1 THE MORNING NEWS,
2 EaTABUH*I>IjO.IKCORPOBiTKDISBB. V
j J. H. KdTILL, President. (
CENTRAL’S BIG FIGHT.
IHE HEARING POSTPONED TILL
MARCH 24.
Strong Folnts Made by tbe Counsel
On Both Sides—MaJ. Bacon's Inter
vention Proves a Meet Formidable
Document-Messrs. Lawton & Cun
cirgham Claim Exemption or tbe
Central From tbe Anti-Lease Pro
vision of the New Constitution.
Macon, Ga., March 14.—The hearing of
tbe hill for an injunction sad receiver
against the Central Railroad and Banking
Company, tbe Georgia Pacific railway. the
Richmond and Danville and tbe Kiohmond
and West Point Terminal Railway and
Warehouse Company was postponed to-day
by Judge .Speer until Thursday, March 24.
The bearing will be in Maoon and Judge
Pardee of New Orleans is ex peoted tube pres
ent. An order was issued by Judge Speer to
day continuing the temporary receivership
of Gen. Alexander until after the hearing.
Although the case was not heard to-day a
good beginning was made in one sense of
tbe word. Enough was developed to show
that the greatest legal fight in Georgia
over a railroad question is now
on, and also to give the
newspapers considerable for publication,
and thep.iblic considerable food for thought.
It is evident that a great many railroad
6ecrets -.re about to be revealed to the cold
gaze of an unsympathizing publio, and the
prospect is that tbe people will learn a groat
many things that they never suspected
about the railroad companies. The events
of the day of public interest were the inter
vention by Maj. Bacon and the filing of
tbe aoswer to the complainant’s bill by
Messrs. Lawton & Cunningham. Maj.
Bacon’s position in the case was unknown
until he himself announced it in court.
maj. bacon’s interests.
His declaration that tbe amount of stock
represented by himself is more formidable
than appears in his written intervention is
variously interpreted. He is believed to
represent large interests, but of what
cbaraoter and in what direction is not
knowu. He brought with the oase a point
of law which Is entirely new to it, and, if
eztablished, entirely superior to any point
made upon any similar case in this state,
not excepting the point made by Messrs.
Lawton & Cunningham that the constitu
tion of 1877 does not and cannot abridge the
charter of the Central railroad, which was
granted in 1835, and if it appears
to do so is inoperative as regards
the Central railroad. Maj. Bacon's
point 1b that under tbe comity existing
between the states a corporation cannot be
chartered to do in one state what- its charter
expressly forbids it from doing in the state
in which it is chartered, and that tbe
comity between the states only permits a
corporation to conduct the same operations
in other states that it is chartered to con
duct in the state of Its incorporation. It is
simple, yet great.
THE TERMINAL 8 CHARTER.
The Richmond Terminal Railway and
Warehouse Company is incorporated under
s charter obtained in the state of Virginia
to buy, lease and control and operate rail
road and steamship lines of all descriptions,
but is expressly forbidden by
its charter to control, lease or
operate a competing line in the
state of Virginia. The question is can it do
in Georgia what it cannot do in Virginia
without a charter from this state? Maj -
Bacon says not.
Judge Harden and Mr. West of Savannah
represented over 6,000 shares of the minority
stock, more undoubtedly than was repre
sented by all the attorneys for the complain
ants combined. It was notic -able that they
sat in perfect silence while the questions
which arose were being discussed by the
other attorneys. Mr. West said last night
that they would await the proper time to
make known the wishes of their clients.
Most of the Savannah delegation leave
for home to-night.
•Mr. West leaves for Atlanta to-night.
Messrs. Lawton and Cunningham will re-
Osin in Macon over Wednesday.
OPENING OF THE COURT.
The two hours session of the oourt
this morning was very interesting
The court opened at 10 o’olock
■fudge Speer presiding. Judge Pardee
o! New Orleans was not present. The court
room was filled with (lawyers, railroad men
wd newspaper men. Among those present
* ere Capt. Harry Jaokson, assistant gen-
e ral counsel of the Riohmond Terminal
Company and Richmond and Danville rail
tosd; Lawton & Cunningham, representing
■he Central Railroad and Banking Company
*td the receiver; Judge A.Pratt Adams,and
Traoy Baxter of Maoon, representing the
■oagusta and Savannah stockholders;
osaph Ganahl of Augusta, representing the
southwestern stockholders; F. H. Miller
' Augusta, representing the Carolina rail
r , ads of the Central; Maj. Joseph B. Cum
ttll 'gs of Augusta, representing the Georgia
railroad ana Central railroad and
“ouisville and Nashville; Maj. A. O. Bacon,
Y intervenor, D. W. Rountree
p Atlanta, and J. Lamb
eir y of Charleston, representing
r '- Clark of Charleston; Marion Erwin,
Francis S. Herseltine of Bos
™n - Judge Harden and C. N. West of
av armab, representing a number of
■■ mority stockholders; A. Minis, represent*
J IR s<!Vt 'ral minority stockholders of Bav
nah;F. G. dußignon, representing the
■-■■it-ieru Express Company; Judge Lyons
p acon > °f the counsel of the Central;
client Alexander and George J. Mills of
Ha * 3uatl ’ *-"• hi- Phlnizy of Augusta, U. B.
ell I ° f Au,er ‘ cua , and Capt. E. P. How
tij '< AUarita - directors of the Central rail-
aaiuer T. M. Cunningham of the
r&1 an * t - There was an evident antie
g ,n °f a huge legal battle. Judge
lj-v tntere< * the court room shortly after
]*,. ° Clt a:i< * the court was opened by
B - 1 / Marshal Avant. Judge Bpeer an
_ Y'-'ed that the court would entertain
■WUOQf,
ERWIN JOINS THE plaintiffs.
I_ ( ’ r - r win announced that be would in
hY.T a motion In behalf of Francis R.
•“tin* of Boston. Maj. Bacon an
toaT , ' 1 tt* be represented himself and
oilier inter seoors. Mr, Erwin read
fljc iUoftiing
the motion in behalf of Mr. Herseltine of
Boston, who owns 125 shares of Central
railroad stock and eighty shares of South
western and Mrs. Rebecca Hereeltine, own
ing 103 shares of Central. Mr. Erwin an
nounoed that be would aot with Mr. Perry
and Mr. Rountree.
The next motion made was Maj. Baoon’s
intervention. It was a very lengthy paper
and occupied nearly three quarters of an
hour in the reading. It was by all
odds the most interesting feature of the
session, and was listened to with intense in
terest by the lawyers of both sides and
the spectators. The purport of the inter
vention was not known until the motion
was road in full In oourt. It proved to be
the strongest possible paper against the
lease and in favor of a reoelver, and bris
tling with strong assertions of facts and
points of law. He indorsed and averred to
the original bill filed by Mr. Rouutree, and
took a position against the Richmond Ter
minal Company, specifying it as a monopoly
controlling the majority of the railroads of
the state, contrary to the constitution of
Georgia, and attacking tbe "pretended"
lease as illegal.
ENDANGERED THE CHARTER.
He said that the directors of the Central
railroad had illegally arrogated to them
selves powers not conferred upon them by
its obarter, and had become liable to
be deprived of the charter of tbe Cen
tral railroed, and had made such
action by the state extremely probable.
He attacked the holding of tbe 40,000 shares
of Central stook by the Richmond Termi
nal as illegal and use as in violationof the
constitution of tbe state of Georgia, by de
stroying competition. He attacked the cor
porate existence of the Terminal company
in the state of Georgia as unauthorized,
and averred that the Georgia Pacifio rail
road had Illegally turned the possession of
the Ceutral over to the Richmond
and Danville and the Riohmond
and Danville has taken possession
of all its personal properties and pa
pers, and has, in utter disregard of the
stockholders, effaced the numbering and
lettering of the care and rolling stock. He
claimed that the Richmond and Danville
had appropriated the revenues and
devoted the same to the treas
ury of the Riohmond and Danville.
"An application was made to the president
of the Central railroad by your orator for
a copy of the contract and the reply came
that he knew nothing of it.” Maj. Bacon
charges that the property has been per
mitted to run down and become depreciated
from lack of repair; that freight that be
longed to the Central has been delivered to
other roads; that while the number of trains
on other roads have been increased they
have been decreased on, the Central and
large numbers of the citizens of this state
have been thrown out of employment
thereby.
THE SECURITY INADEQUATE.
He declared that tbe lease was not only
illegal, but the security for its performance
is utterly inadequate; that the Geo rgia
Pacific Railway Ootnpauy is au utterly in
solvent corporation and the Riohmond and
Danville and the lliehmond Terminal cor
porations of very doubtful solvenoy; that the
disDOsltion of its administration was to
utterly wreck and bankrupt the Central
railway. He said; "Your orators, not in
tending to include all of tbe directors of the
said Richmond Terminal Company, aver
that some of said directors whose names are
set out in said original bill, are the foremost
and most notorious railroad wreckers of
this hemisphere, who have been many years
engaged in the gathering of untold m illions,
many of their transactions in that regard
being of almost continental magnitude, and
your orators charge, upon reliable informa
tion, that it is the purpose of the coat rolling
directors in said Terminal board, by the
moans and use of the Illegal contracts and
acts and devices herein complained of,
to utterly wreck the said Central Railroad
and Banking Company, to completely de
stroy the value of the capital stock of the
same, and thereafter by the well-known
and often-repeated methods, to become
themselves the owners of the property after
the process of insolvency and subsequent
reorganization of the company; and your
orators charge that the potent and resist
less agency by whioh this disastrous result
is intended to bo accomplished is the block
of said 42,200 snares of tbe capita) stock of
tbe Central Railroad and Banking Com
pany thus illegally held, by which said
Terminal company, without the possibility
of question or successful opposition, selects
and dictates the eleotion of the
directors and all other officers and
employes of the said Central
Railroad and Banking Company,
and absolutely dominates and commands
every aut of said railroad company; that
the pretended lease is not only illegal and
void, but it was never the design of the in
genious manipulators to turn over the Cen
tral to the Richmond and Danville; that
under the charter of the Richmond and
Danville, in Virginia it is denied tbe right
to lease any competing line in the state of
Virginia, and, therefore, it is assuming
powers in Georgia that it is denied in Vir
ginia; that the revenues of tbe Central were
used to supply the deficiencies of other
roads; that the stockholders of the Central
were not consulted in making the lease;
that your orator has declined and refused to
roceivs the dividend on bis stock; that it is
a great wrong to tbe other shareholders of
the Central for the Terminal to hold 42,000
shares of the Central illegally;};that the
Richmond Terminal is not authorized by its
charter to lease a competing railway in the
state of Georgia and had no corporate power
to indorse a bond to seoure the lease of a
oompetiograilroad company.”
Referring to the claim ot $840,000 of the
Georgia i’aclfic against the Central he said
that it was made up of oar mileage and
other running accounts for whioh the oper
ating railroad was responsible by the term*
of tbe lease.
MAJ. BACON’S PRAYERS.
The Intervention closed with the follow*
ing prayers.
1. That a permanent receiver be ap
pointed.
2. That tbe lease lie decided illegal and
that the same be delivered up to be can
8. That tbe ownership of the 43,200 share#
of Central stuck of the Terminal company
be enjoined from voting the same in any
election for directors or otherwise.
4. That the shares be brought Into court
aud that a decree be bad that they be sold
SAVANNAH, GA., TUESDAY, MARCH 15, 1892.
by a commissioner of the oourt to persons
legally authorized to bold the same, and
that the proceeds of the sale be paid over to
the Terminal company or to any other per
son who shall be shown to have a benefloial
interest in the same or the prooeeda thereof.
5w That the defendants account for all
moneys and property of said railroad in
which they have come in possession.
Maj. Bacon dedred to know it his distin
guished friend, Mr. Erwin, would allow him
to come in on bis case. Mr. Erwin bad pre
viously demanded that the application be
raid.
Mr. Erwin was willing that the interven
tion should be allowed to oome in, but that
the parties represented by himself and Mr.
Rauntree be allowed to remain the princi
pal parties to tbe oanae. Maj. Bacon an
nounced that he had qnite a number of
other stockholders whose allegadoos he had
not had time to prepare, and that his ap
plication would be supported by a much
more formidable array of stock thau the
six shares mentioned in the bill.
Mr. Rountree desired that tbe answer of
the respondent be filed and the documents
requested in the bill produced before further
proceedings in the ca-e
Capt. Jaokson replied that the Richmond
and Danville was only served (Saturday
afternoon. It wes an impossibility to secure
the documents desired, they being scattered
over three different states, in time for the
hearing.
Mr. Rountree considered that the bill re
quired an anewor from the Riohmond and
Danville.
Mr. Erwin oalled upon Messrs. Lawton &
Cunningham to present their pleading.
"May it pleae your honor,” said Mr.
Cunningham, “we are here in response to
an order from this oourt, to appear at a
hearing of the bill filed, and we do not see
that we are compelled to file an answer at
present. There is anew bill introduced
which we have not had time to examine.
We don’t consider it neoessary to fiie an an
swer at present. We may not file at all."
ALL LEFT WITH THE PLAINTIFFS.
Judge Speer announoed that the respond
ents hud been called on to show cause why
the petition should not be granted. No
answer had been made and it was for the
plaintiffs to sav whether or not the case
should oontinue.
Mr. P-ountree announosd that the com
plainants were ready.
Capt. Jackson announced for the Rich
mond Terminal that they were not ready,
anew bill with oxteusive charges having
been introduced and time not having been
allowed to secure the papers required in
the bill. Cape. Jaokson announced that
every paper in the possossiou of the Rich
mond and Danville company would be
presented to the court if sufficient time
were allowed.
Mr. Rountree was anxious that the attor
neys of the Ceutral railroad should make
some answer.
Mr. Cunuingham replied that on account
of the thirty-two separate allegations of
Maj. Baoon’s bill he was not prepared to
make au answer, if that bill should be in
cluded. If the court so desired be was
ready to go ahead upon the original bill
filed by Mr. Rountree. Mr. Cunningham
said that be had understood that Judge Par
doe of the oirouit oourt would be present
and sit at tbe bearing, and on account of
the importance of the case he would request
that the court appoint such a time when
Judge Pardee oould be present, when both
sides should be ordered to have their plead
ings printed and presented to the oourt.
Mr. Erwin insisted that the Central’s at
torney should make au answer in some
form.
Mr. Lawton discussed this point at some
length.
THE JUDGE’S DECISION.
Judge Speer said that he thought there
was no doubt, owing to the Importance Of
the case and its magnitude, that uo grave
injury could result by a reasonable post
ponement. The property was already iu
the custody of the oourt, and was being
carefully managed, it was presumed. Judge
Speer said that ne had attempted to secure
the assistance of Judge Pardee to sit with
him at the hearing of the case, and had re
ceived an answer saying that if the case
was postponed a week or more he might at
tend. Judge Speer said that he should,
therefore, postpone the hearing for a
limited time, and appointed Thursday,
March 24, for the hearing in Maoon.
He directed that the attorneys for the re
spondents file their answer for the informa
tion of the court, with the privilege of
enlarging as they saw fit on account of
Maj. Bacon’s intervention.
This compelled Messrs. Lawton & Cun
ningham to file their answer. It was not
their intention to dp this until the final
hearing of the case. ’ The reason for this is
obvious after reading the answer. It gives
some valuable aud rather startling infor
mation as to tho inside affairs of the Cen
tral, the Richmond Terminal and the East
Tennessee, and also some important history
with regard to a previous lease of the Cen
tral that seems to have been entirely over
looked of late. It is a very able dooument,
and to a lay observer seems to cover tbe
case thoroughly from their side. A full
synopsis of Messrs. Lawton & Cunningham’s
answers is given further on.
IMPORTANT QUESTIONS.
Judge Speer said that as the oase was one
of uuueual importance, great care and
judgment should be exercised in tbe
preparation of the arguments by the coun
sel on both sides. He would take the liberty
of presenting for their consideration the
following questions, to which be booed the
attorneys on both sides would give their
special attention:
1. Is the lease absolutely void, as charged,
and not merely voidable?
2. If it should be held void what disposi
tion should bo made by tbe court of the cor
porate property in the hands of its tem
porary receiver?
3. Would it be competent for the court,
before a final decree, to restore the property
to the present board of directors of the
Central Railroad and Banking Company,
assuming for the purpose of inquiry that
board is legal and not illegal as charged in
the bill, or would the election of another
board be a legal necessity?
4. If the lcasa be void and Dot merely void
able has the Central Railroad and Banking
Company auy security for tho payment of
dividends, or for the safe keeping of iu
money or for the preservation of its prop
erty; and if, in suoh case, there is no such
security, would it be competent for the
oourt to exact adequate security for the
purposes mentioned, with a view to avoid
the expense of a receiver, and would the
lessees be willing, and If willing able.to give
security to pay tbe dividends and protect
the property as It is stipulated in the leato?
PUBLICATION SUGGESTED.
Mr. Erwin made a motion that as the
officers of the court had not been able to
reach a number of the officers of the Rich
mond and Danville and the Terminal that
service be perfected by the publication in
the Savannah Morning News as toe most
suitable medium for that Durpose.
Capt. Jackson said tbatjtbat would be un
necessary, as he would guarantee that every
document requested by the bill, and which
was in tbe possession of tbe o mpailos
named, would be presented at the bearing
March 24. This was satisfactory and Mr.
Erwin’s motion was withdrawn.
Judge .Speer requested that the attorneys
on both side* would Ale their pleading* with
tbe oourt a short while before tbe bearing,
for tbe hotter information of tbe oourt and
tbe accelerating of tbe he 'ring.
A short recess was then taken, after
whioh other business o' ii r Importance
was considered by the corn .
ANSWER OF THE CENTRAL.
The answer filed by Messrs. Lawton •&
Cunningham fs a very full legal document,
of which the following synopsis is made:
Ihe answer first shows that the bill should
be dismissed for ten different reasons, of
which the obief reasons are because the
Central Railroad and Baukiug Company,
under its obarter, has the power to maze
the lease to the Georgia Panfio Railway
Company; because tbe plaintiff, Mrs.Clarks,
has participated to tbe lest dividend; be
cause tbe Central Railroad and Banging
Company is the only party haring the
right to complain of tbe illegality ot the
lease: because no necessity is shown for the
appointment of a reoelver, even if tbe
allegations of fact and law set out In the
bill are true; because under the bill of the
oomplainant full relief oanuot be
granted; because tbe Ocean Steamship
Company, the Now England and
Savannah Steamship Company and
the Savannah and Western Railway Com
pany, the Moutgomery and Euraula Rail
way Company, and tbe Savannah and At
lantic Railway Company are not parties to
the bill; beoause this court is wit iout
jurisdiction in the premises, and because
uuder the law it is a matter between tbe
state of Georgia, whioh oreat.'d the corpora
tion , and the corporation itself. A state
ment is then made as to the facts in the case
and the lines owned, leased and controlled
by the Central railroad oompnny. The
third section of the answer admits in a gen
eral way the major part of tne allegations
of tbe bill ns to the lines, property and
business conducted by tbe Riohmond and
Danville railway and Riohmond Terminal
Railway and Warehouse Company so far
as their knowledge goes.
competition denied.
It says that the Riohmond and Danville
touches the Central railway at only two
points in Georgia—Atlanta and Augusta;
that tbe Richmond and Danville does not
compete with the Central for auy business
l etween any points in Georgia. The sixth
item of this seotion denies that the Rich
mond and Danville and West Point Termi
nal Railway and Warehouse Company con
trols, by stock, ownership or otherwise, the
lines composing the East Tennessee, Vir
ginia and Georgia railway system asset
forth in the sixth section of tbe bill, and al
leges that the East Tennessee, Virginia and
Georgia is an independent corporation
controlled by its own board of directors,
and that a majority of the stock of this
company is not owned or controlled by tho
Termli al company, and that the East Ten
nessee was, at the time of the lease, and is
now, an active competitor with the Rich
mond and Danville railway aud with the
Central railroad for state and interstate
business.
The seventh, eighth, ninth and tenth
items of this section admit tbe facts alleged
as to the leases of the Georgia Pacifio, the
Richmond aud Danville and tbe Central
companies and the officials of the Central.
The eleventh item admits that the Central
aud tbe Riohmond and Danville and their
controlled lines are competitors with each
other to a certain extent for interstate busi
ness, but not for business within the state,
THE EAST TENNESSEE A COMPETITOR.
The twelfth item admits that the Central
and tbe Eait Tennessee are tsompititoi-s tor
buslnees in tho state, and that tbe competi
tion between these companies is sharp, and
that the competitive business is competed for
by both companies, and i hat this competi
tion is in no way controlled by the Rieh
mond and Danville or the Termi
nal oompany. and that the Cen
tral and East Tennessee |have
distinct officers and agents at all points in
the state aud elsewhere who oompete and
strive for the business at their respective
points; that there is no competition between
the Riohmond and Danville and the Cen
tral between Rome and Savannah, or Rome
and Brunswick, or Rome and Maoon, or
Rome aud Albany, or between Atlanta
and Savannah, or between Atlanta and
Brunswick, or between Atlanta arid Al
bany, or between Atlanta and Macon, or
between Macon and Savannah, or between
Maoon and Brunswick, or between Macon
and Athens, or between Macon and Gaiues
ville, or between auy other points in the
state of Georgia. None of those points are
reached by business, but not for the
R.ohmond' and Danville and its
operated and leased lines and by
the lines of theCential. There is strong
competition, rays the auswer, made by the
East Tennessee running a competitive line
to that of the Richmond and Danville and
the Central’s lines, tbe said East Tenuessee
being in nowise connected with or controlled
by said companies. “This defendant,” says
the answer, "says that whether said bill Is
oollusive or not it does not know, but it re
spectfully suggests that is impossible for the
solloltor of tbe complainant in said bill, who
has sworn positively to the truth of the alle
gations therein contained, to know whether
said bill is a collusive one or not, and,
therefore, this defendant says that Baid
averment of said bill is not a collusive one,
should be treated as an averment not sworn
to by the oomplaiuant, and therefore os not
proved as it should be under the rules of
this count. ’’ [This is a pjint on Mr. Roun
tree.]
STATUS OF THE GEORGIA ROAD.
The thirteenth item denies that tbe Rich
mond and Danville, through iu control of
the Central, has control of all the competing
llnee between Maoon and Athens, alleging
that competition with the Georgia railroad
still exisU, tbe latter road being controlled
entirely by a board of managers appointed
by the Louisville and Nashville " and the
Central, who have always managed it
entirely and without any reference to the
wishes or desires of tbe Central; that the
said Georgia railroad is entirely independ
ent of both the Richmond and Danville and
Central and is in nowise controlled by
either.
The fourteenth item denies any knowl
edge whatever of the formation of the
Georgia company, but believes and alleges
that when the 42,000 shares of Central was
acquired by the Georgia o mipany there
was no connection whatever between it and
tbe Terminal company, and that the latter
had no interest in, and was in no wise con
neoted with the Georgia company until the
latter part of the year 1888, when the stock
holders of the Georgia company sold their
stook in it to persons in tho interest of the
Terminal oompany. "And this defendant,
further answering, denies that the Kloh
moi and and West Point Terminal Railway
and Warehouse Company controls a ma
joritv of tne stocks of the East Tennessee,
Virginia and Georgia Railway Company or
control said company." It is denied that
the lease was made to defeat competition
and enoourage monopoly, and avert that
the lease made June 1,1821, between the
Central Railroad aud Banking Company
and tbe Georgia Pacific is a legal and proper
lease in every respect, and that to declare
tbe lease void would be to inflict a great
loss upon tbe stockholders and to destroy,
perhaps, a valuable property to iu owners.
RIGHTS OF THE CENTRAL.
Tbe fifteenth item admiu that tbe Central
is a Georgia corporation and has uo rights
except those conferred upon it by iU
charter, or allowed by tbe laws of the state.
It denies that art.ole 4, section* 2-0, para
graph 4 of tbe oout: itutiou of the Hate of
Georgia can or was Intended to abridge and
change in auy manner whatever any of the
right* conferred upon the oorp <ratlou by
iU chart -r, whioh was granted to it long
before tbe constitution ot 1877 was framed
and (to quote tbe auswer) "said constitu-
tion, if it impairs any of tbe rights, immun
ties, franchise or privileges ot the defendant
corporation, it entirely inoperative and can
have no elfeot upon the same."
The sixteenth item says: “This defendant
denies that under its charter it has no power
to lease its property to tbe Georgia Pacifio
Railway Company or any other railroad,
but avers that said lease it entirely legal
and entirely within the power of said cor
poration to make, and does not violate
either the publio policy of the state cf
Georgia or the law of lu execution."
The seventeenth item denies that any of
tho property of the Central bas been di
verted from iu use to the use of other Hues
of railway of tbe lessee company. It denies
that its engines are being used on other lines
of railway. It denies that tho lessee com
pany is neglecting repairs on tbe roadbed
of its lines, but that the lines, as a general
thing, have been improved and are now lu
as good oondilion ns whan turned over to
the lessee. The latter part of the item says
that the action of the Central directors with
regard to the claim of the lessee company
for $840,000 is a complete answer to rhe
averm mt of the bill as to the fears that
tbe bill will be paid,
Tbe eighteenth item denies that the Rich
mond and West Point Terminal Railway
and Warehouse Company is insolvent, or
that the Riohmond and Danville is insolv
ent.
A FORMER LEASE.
The twenty-first item brings the attention
of the oourt to the fact that lung before any
of the corporations named in tho bill owned
or possessed any of the stock of the Central
Railroad and Banking Company of Geor
gia, that William M. Wadley, its then
president, leased the road to the Nashville,
Chattanooga and St. Louis Railway Com
pany at an annual rental of 6 per cent., and
this lease waa then regarded by all the
stockholders of tbe Central as ono of
great advantage to tho corporation;
that the Nashville, Chattarooga and
Ht. Louis failed to confirm the lease, and
tnerefore the laase was not consummated as
hoped. “And tills leave," says the answer,
“was made by the said William M. Wadley
before the Central railroad system was
burdened with the Port Royal and Augusta
railway and the Port Royal and Western
Carolina railway, both of whioh are utterly
unprofitable; the interest of this defendant
in the former company having b<*n pur
chased during the administration of William
M. Wadley, and its interest iu the latter
having tie-in purchased during the ad
ministration of W. G. RaouL”
In conclusion the auswer reiterates tbe
assertion that the lease 6hould not be set
aside, that there is uo necessity for a re
ceiver should it be set' aside, nor any rea
son why tbe operation of the railway and
steamship lines should be taken away from
the Riohmond and Danville Company pond
ing a trial on tbs merits of the case; that
tbe defendant is perfectly solvent and has a
competent board of directors on whose
hands its property will be safe, and to whom
it should be retained if for any reason it
should bo takeu from the hands of the les
sees.
TERMINAL NOT SCOOPED.
It Is Claimed it Would Be of No Us* to
the B. and O.
Baltimore, March 14.—1n regard to the
story, from Atlanta, Ga., that tbs Balti
more and Ohio Railroad Company has got
oontrol of the Richmond Terminal, the best
information here is that there it nothing in
it. It is pointed out that there is no physi
cal connection of the Baltimore and Ohio
with the Richmond and West Point Termi
nal system, and it is asked, because of this
existing condition, of what use oould the
Richmond Terminal be to the
Baltimore and Ohio railroad
even if the latter owned every
share of the former, when one could not re
ceive from nor give to the other a single
pound of freight? Saturday, it was claimed,
it was the Norfolk and Western that the
Baltimore and Ohio was after. Hunday, it
it was the Richmond and West Point Ter
minal. It is said here that it would be as
rational to talk of the Baltimore aud Ohio
striving for tho Texas Pacific. What could
be done with it without a physical connec
tion?
president mayer’s denial.
Charles F. Mayer, president of the Balti
more and Ohio Railroad Company, made to
the Associated Press representative here an
unqualified and comprehensive denial thut
there i3 any truth of any kind, quality or
de ;ree iu the Atlanta story that “a deal has
been perfected by which tbe Richmond
Terminal property passes under the control
of the Baltimore ’ and Ohio railroad. There
is not a shadow of foundation in truth for
the report, or rumor, or story, or statement,
or whatever other characterization one may
choose to give tho dispatch. It is not true
directly or indirectly, remotely nor con
junctively. And if you can command
stronger speech or more explicit language,
pleaso use it to make plain thss fact. Ttie;e
is not a grain of truth iu the Atlanta story
to whioh yon call my attention.”
Other executive officers of the Baltimore
and Ohio Railroad Company are equally
unreserved in say lug "there’s nothing in it.’ i
oakman for president.
New York, March 14. —Vico President
Oakman, of tne Central railroad of New
Jersey, is himself authority for saying that
h has been offered the presidency of the
Richmond and West Point Terminal Com
pany. He said to-day that be had not yet
accepted tbe presidency, but it is thought
likely that be will do so, as tbe changes re
cently mads in tbe Richmond Terminal are
in accordance with his views. F. W. Olcott,
chairman of the committee which formu
lated plans of reorganization, would say
nothing to-day in regard to tbe proposed
new plan.
AU the principal interests in the Rich
mond Terminal Company will meet to
morrow In this city and the affairs of the
company will then be adjusted. What is
known here as the First National Bank
party, consisting of GeorgeS. Hcott, George
F. Baker, H. C. Fah estock and other bank
ers will oome to tbe front in Richmond Ter
minal affairs and will be given representa
tion on tbe direct iry. There is no fric
tion between any of the large
interests and everything is expected to
move harmoniously to-morrow. The Balti
more and Ohio-Richmond Terminal story
is ridiculed by every one here. It is stated
on all sides that there is not a shred of fact
on which the story could hang.
INMAN TO RETIRE.
New York, March 14, 11 r. m. —John H.
Inman, who has lor four years been presi
dent of the Richmond Terminal system, to
day announced that be would retire from
that place. Just when bis resignation
would take effect was not stated, but the
Tribw.e will say it was understood
that the change would be speedy.
There seemed to be little doubt that Walter
G. Oakman, who aas vice president of the
Richmond and Dauville before bs accepted
a similar place with tbe Central of New
Jersey, would succeed Mr. Inman in the
responsible and difficult post which he gives
up. There will be a conference of tho
Klcbmoud Terminal interests iu this city
to-morrow and tbe Issuance of the
plan of the Oloott ruorgauiz itiou commit
tee will not be much longer delayed. Mr.
Inman, in confirming the nqiort of his pro
posed resignation, stated that he had tried
to induce Jr. Oakman to accept the presi
de >oy <>f the uompsuy last November, but
be bad declined it at the Ume.
WELL EQUIPPED FOR THE PLACE.
Last Wednesday Mr. Inmau again pro
posed Mr. Oakman as the executive head of
tbe complicated Riohmond Terminal sys
tem, and urged him to take the place. Mr.
Oakinau, be laid, knew tbe Richmond and
Danville properties thoroughly, having beau
its first vice president for sevei al years, and
was in every way prepared to assume
the responsibilitiea of the place.
Mr. Oakmau, when teen at his
office, said: ‘‘l have been asked
to accent the presidency of the company,
but nothing definite has been decided upon
aud will not be until the reorganization has
been fully effected." Continuing, the Trib
une says: “Tbe decision of the committee
to go ahead wUh their plan without the
Georgia Central met with favor and was
Instrumental, it is said, in gettiug
tbe additional financial backing.
The lease of the Georgia Central
with the Georgia Paoifie was never ratified
by tbe Richmond and Danville stock
holders,and, therefore, it was said tbe courts
must break it. Under the lease the Rich
mond and Danville guarantees 7 per cent
on Georgia Central stock, of whioh it owns
a majority. Bv gettiug rid of tbe guarantee
and yet retaining the ownership ot tbe
stook the Riohmond and Danville oan
operate tbe property in the majority in
terest," _
INTERSTATE OOMUIBOi.
Proposed New Provisions of the Law
on the Subject.
Washington, Maroh 14.—A compi-e
--honsive bill will soon be reported to tbe
House from tbe committee on interstate
ond foreign commerce to amend the Inter
state commerce law. A subcommittee, of
which Representative Kayner of Mnryland
is chairman, is at work upon the bill intro
duced last week by Representative Htorer
of Cincinnati to carry out the recommenda
tion of tho National Board of Trade. Hopro
seutative Htorer prepared bis Dili after oon
sultution with Senator Cullom and Judge
Venzey.ofthe interstate commerce com
mission, and embodied sovernl now sugges
tions beside those made by the board of
trade. Mr. Storer explains that the changes
in regard to procedure under tho law are
intended to accomplish the following three
things:
1. To make railroad corporations indict
able for violatio is of the law as well as their
officers and servants.
2. To make copies of the schedules filed
with the ponimission primafarle evidence
in hearings before the commission au.l in
the courts.
3. To make the testimony taken before
the interstate commerce commission of tbe
same force in oourts as testimony taken
before a master in chancery, find on the
condition thut it is to be taken upon legal
notice duly served upon the parties, and
with right of cross-examination.
ANOTHER NEW PROVISION.
Another new provision of tho bill makes
It mandatory upon the interstate com
merce commission to investigate
any complaint forwarded by
tho railroad commissioner of a
state at the request of such ooqimlssioner,
and authorizes the commission to institute
au inquiry on its own motion wheu It sees
fit. The bill of Mr. Stcrer, as introduced
into the House, re-enacts that part of sec
tion 10 which makes It an offense for a
shipper to accept disorlminating rates from
a corporation.
Congressman Lind of Minnesota has in
troduced another bill simply re-enacting
section 10 with this portion left off.
Hit purpose is to obviate tho difficulty
caused by tbe recent decision of the supreme
oourt in the Counseiman case that a witness
cannot be compelled to testify where the
evidence may be used for information by
the district attorney in obtaining other evi
dence against him, or in any other way to
his injury. Mr. Lind’s idea is to make the
acceptance of rebates no offonte so as to
leave the shipper free to testify and the
courts free to compel him to testify against
tbo guilty granter of rebatoa. Mr. Htorer
is inclined to favor this change, and it will
probably be incorporated in tbe bill as re
ported to the House.
NATURALIZATION OF ALIENS.
The Movement by Oongross to Rem
edy Existing Evils.
Washington March 14.—Representative
Oates of Alabama to-day submittod to the
House tho report the judiciary committee
authorized him to prepare to accompany
the bill to change tbe naturalization laws
in many particulars and make naturaliza
tion a matter Duroly judicial in
Its nature, to tie tried like a
suit in court. Tho report says in
part: "The loose manner in which
aliens have been naturalized iu many plsoes
of late years has boon most shameful and in
utter disregard of the requirements of our
laws, although they ore entirely too liberal
and inefficient in their provisions. The
naturalization of aliens, recently arrived
from abroad and knowing nothing of our
institutions and government, jusc before
elections with a view to making voters has
beou resorted to In several localities,
UNBLUSHING VIOLATIONS.
"In states where only a declaration of an
intention to become a citizen is the essential
qualification of an alien to make him a
voter, the greatest and most unblushing
violations ot tbe spirit of the law have been
perpetratod. Just before elections
are held, when there is a great
pressure of applicants~!Nor nat
uralization, backed by the different po
litical parties, judges give some personal
attention to these matters, but usually the
clerk adjudges the man to be a citizen of
the United States. No attempt is made to
ascertain whether witnesses brought for
ward are worthy or unworthy of credit,
A RIDICULOUS FARCE.
“What a ridiculous farce,” exclaims the
report calling attention to the statement of
one clerk, that any two witnosses were
generally acoepted as competent and
creditable to the number of ten
cases, but that he drew the line
on witnesses after more than ten applicants
had been put through. The milking
of citizens, says the report, which
should be a grave judicial proceed
ing, is left by tbe courts to
its mere ministerial officers, who runjthe
machine merely for the fees they oan make
out of It. If the making of citizens of this
great country is of no greater moment,why
not abolish it altogether and extend citizen
ship to all who come here?
RAILROAD COMMISSION CASEE.
Tbe Counsel for tbe Roads Ask a
Postponement of tbe Hearing.
Washington, March 14.—1n tbe several
cases brought by tbe Georgia Ra Iroad Colli
sion against a considerable number of rail
roads, which involve the long nnd short
haul question, and which die assigned for
bearing at Atlanta March 24, tbe oouneel
fur the railroads have made application for
a postpone i eat of the hearing. The oom
miteion’s numerous engagements re tonlug
fsr into tbs futurs, are such *s to render it
uncertain when these case# can again bs
taken up for investigation if this ap-ilie*-
tion for n p stponeroeut made on behalf of
the railroad ouinpauirs Should b* granted.
No postponement ha* yst been ordered.
I DAILY. *lO AYE Aft. I
■{ 5 CENTS A COPY. V
/ WKLKLY,SI.2S A YEAR. >
HILL’S TOUR AN OVATION
CROWDS OF PEOPLE ALL ALONG
BIS ROOTS.
Speeches Made to tbe Throngs at
Every Station at Which tbe Train
Etopped—He Outlines tbs Prtnctplea
of tbe Party and Declares It the
Party of the People.
Roanoke, Va., Marob 14.—The train
bearing Senator Hill and party en mate to
tbe south, was met twenty-five miles die*
tantfmm Roanoke, Va, by delegates from
that enterprising city, who b iarded the
train early this morning to greet the dis
tinguished New Yorker aud invite him te
address their oitiiens during bis ten mine
utes' stop at tho station. The delegation
consisted of Hon. Waller P. Hubb, chair*
man of the demooratio executive oominit
toe, R. A. Briokner, president of tbe oity
council; H. L. Trout, president ot the First
National Bank; W. P. Dupuy, president of
the exchange, and H. J. Browne, editor ot
tbe Roanoke Daily Timet. Charles M.
Futternr. passenger agent ot the Norfolk
and Western railroad, introduced tbe dele
gation to the senator and the latter Analljr
yielded to their pressing invitation to make a
few remarks. When Roanoke waa
reached several thousand people were found
assembled, and the Roanoke Mnohlna
Works' Band played airs of welcome,
(Senator Hill's 10-minuto speech was and <voted
largely to a presentation of dear cratic prin
ciples. and a review of the good work of
the Democratic party in the state of New
York. He was warmly cheered at frequeut
intervals.
HILL’S SPEECH,
Senator Hill was introduced to the citi
zens of Roanoke by Hon. H. S. Trout,
chairman of the delegation, and after tba
cheers bad somewhat subsided tbe senator
spoke os follows:
Fsi.low Citizens of Roanoke— After travel
ing all night 1 am informed that I am stilt
within the domaiu of tbe Old Dominion. I am
pleased to meet you on this beautiful morning
on the soil of the slate which was the birth
place of yo6r Washington, Jefferson, Madison,
Monroe and other great statesmen who hare
made your country what it has been and what
it Is. [Applause.] lam pleased to observe evi
dences of the prosperity of this section. I asked
a gentleman upon the curs what your populatloa
Is, and he gave m i what I thought was a very
extravagant figure. He said: "Like Mr. Blaine,
we claim everything down hero." [Laughter
and cheers. | I believe that that, is tbe only
principle ot Mr. Blaine that you follow In this
tool ion of the state. [laughter.] I assume
that a majority of tula audience are friendly to
to the principles an i policy of the great party
to whioh I am proud to belong. [Obuers.] It is a
parly that was founded by one of your mos*
eminent citizens, llie great Thomas Jefferson
himself. It Is the party that has furnished to
the country the great principles under which
this land has prospered. It la the party of
plain people It Is tho party that believes in
home rule for the states and municipalities Is
ia tbt party that has always upheld civil liberty
and individual freedom. It is the party that
has ever maintained the right of trial by Jury,
the right of habeas corpus and the right of
every citizen to freely express bis own senti
ments. it Is the party that has always upheld
tbe freedom of the preat. [Cneers.l
1 need not say to you that ne aro proud of the
history of tills grand old democratic organiza
tion. whioh la nut founded upon sectional lines,
but which exists In every state and every terri
tory of this broad land. | Applause.]
DSUOCHACY’a PRINCIPLE*.
1 do not intend, upon this occasion, to enter
upon any discussion of democratic principles.
They are dear to you, aa they are dear to the peo,
pie throughout the land. We believe in an hon
est aud economical administration of publ.o af
fairs. W’e believe that no more money should he
raised for tbe support of the gorernm-nt than
is necessary for its actual administration
economically administered. We believe that
the place for surplus taxes Is in tho pockets of
the people and not in the federal treaeury.
[Cheers J
We be-ieve In the right of each state to regu
late Its own domestic affairs In its own way.
[Applause.]
We claim that right in the great Empire state
whore I live aud we freely oo cede that rigli#
to the citizens of old Virgluia. ["Good, good,"
and applause.]
I congratulate you upon the signs of the
times It is evident that a majority of the
people of this oountry believe in dem
ocratic principles. [Cheers anil ap
plause.] Although In the last national
election our candidates were def-sted through
the machinery of the electoral college you
have not forgotten the fact that they received a
majority of the popular vote. [Applause. I
Our principles were sustained. [Applause.]
Tney are vital to the success of this country.
They are essential pi the welfare of the people.
Wo are opposed to monopolies. We are in
favor of that course and policy that gives the
greatest good to the greatest number of people.
AN acONOMICAL AUHINIRTLATION.
The Democratic party legislates for all the
people; and while we are not able now to ac
complish much by reason of the fact that tba
Senate of the United Statrs Is republican and
the President is republican, we cau at least,
having through the House of Pepreseutatives,
control of tbn purse strings, see that we have
au economical administration of the publii)
moneys by withholding extravagant and un
necessary appro, nations. [Applause.]
In this sis eof Virginia 1 congratulate you
that you have a state administration of which
you havo gr at reason to be proud. 1 recol
lect that three years ago as 1 journeyed Imough
this country 1 met at some or the muttons
your candidate for governor, with hia old
slouch hat and plain suit of clothes [lnugbter|
journeying bock among your hills speak
ing m behalf of the cause that
he had the honor to represent. [Applause I
He was elected by about 40,000 majority if [
recollect rightly [great laughter and applause],
and he Is giving to your people a good old
fashioned democratic administration. l under
stand that your party here is In good fighting
condition. I understand that you are prepare!
for tbe great contest that awaits us during the
coming fall. [Applause. "We are.”]
PHOTXCTION OF INDUSTRIE-.
In tbix section of the country lam Informed
that your industries are growing. 1 congratu
late you upon the fact. The Democratic party
is in favor of reasonable encouragement of ail
toe industrial interests of this country, not by
taking money out of one inan e pocket t. plans
It In another's, but by just aud reasonable and
fair legislation. We inaku no war upon any of
the industries of the land. Our platform
state-our position; and, while I do not intend
to argue it here at this time. I simply say to
you that tbe industries of the country, yours,
lore and elsewhere, will he. as they always
have been, safe in the hands of the great party
that has always built up the stats
of Vlrglnfa and that Is entitled to control tnii
great country of ours [Applause.) I bring to
you upon this occasion the good wishes of t' e
people of the Empire state. [Applause.] To
day we have not a republican state official from
osio ond of the state to the other elected by tba
people at large. [Applause and cheers.! We
have a democratic legislature in both branches
for the first time for mauy years. [Applause.]
TflE CONTROL OF NEW YOEK STATE.
Our republican friends have kept control of
the state for many years, so far as its legislative
branch is concerned, because they have re
futed an enumeration of its inhabitants. Small
counties that havo coased to grow aud prosper
under tbe blight of republicanism have had as
large represemati n as the great aud growing
and prosperous democratic communities Our
people have just now been engaged in taking an
enumeration ot our Inhaoitanta under tne pro
visions of tbe constitution, and l can safely
assure our democratic friends In this section of
Virginia that It is the last you have won In my
Judgment of a republican legislature in tbs
Empire state. lOheere.J
Bear In raind. fellow citizens, that in tbe eon
test that is to come you have not an easy fight.
Tbe rnemy is Intrenched. They have posses
sion of tbe government and they will use It for
ah uia worth. | laughter.] The candidate of
the other side ell prooably be the present
occuiaot of tbe while house, aud. my friends,
surrounded as he is with all the power nf this
great government. It will aot be easy to
dislodge hiut or hts party . It le not enough that
