The sun. [volume], October 18, 1914, Page 7, Image 7

About The sun. [volume] (New York [N.Y.]) 1833-1916

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THE SUN, SUNDAY, OCTOBER 18, 1914.
THE NEW HAVEN
IS DISSOLVED,
DECREE SIGNED
Tiii-lciw to Sell Securities
Carried at Hook Value
f $i:u..noo,ooo.
JOSEPH P. McHUGH & SON
INVITE YOU TO SEE THIS
SEASON'S ORIGINAL
MODELS OF McHUGH
WILLOW FURNITURE
9 VEST 42d STREET
NO BRANCHES
NO AGENTS
VI
ft
Yoakum Got $7,500,000 Net
in a Rock Island Deal
ni.wric provision's
INST UKIM'I.CHASK
t
i '
M.i
C
1.
, Haven railroad's year long
u til tin- Department of Juf-
i .ml vestcrday, when Judge
:w Fulled States District
1 ifm 1 1 f-ol u 1 1 II dccieo Hint
'iimi'tit. l nder tlii" decree Company
II. Mil and tilt' New Lugl.lhd
i i . .npaii) will illi..se of prop
i' i at ii book riiluu of !UI,-
I liny ciss before July 1, 1919.
The ttustces for tho Hhodo Island Com
pany are Kitthbnno (iardner, John O
Ames, Jnhn 1'. Fnrriswnrth. Theodore
i.r.incls 1 recti and Charlc C. Mumford.
The book value of Now Haven's owner
ship of till pmperty Is $29,000,000.
The teiiiiilnlng trolley properties nnd
the F.iistcrn Str;unshl. Corporation, which
I " ' unucrsiouii has already been sold, are
i ti ti. ..i.i .t. i . ii. .
.,f .,, order before the law ( iim New Iivnnd tn utrn.t r"l
J lie hook value of the New Haven's
owtietshlp of the Herkshltc Street Hall
way Company Is $9,S09,39R, of the Knstcrn
. 1 up n by the v'ew Haven iX";"'"""' " ..''V'L.
.... ... iiihiiuoi u tui uiriil Ull'l rfvui llj
I.1.t.3J.750.
T!,, n ''".on plan Is prartlo'lly that
, u ,. ... il.e.l hy Chalr.naii Llllott
In ti.' ' J-'l report of the r ad Issued
ea , i,-. i. !'. The New Haven Rives
VP trio It 'on and Maine, the lloston
icl Alnmy. its coist steamship line and
U 'r ilev-, lmv ng It with nn tinltn
rilrt! t u'ik line to Hoston the, lloston
uii AIM'.' having supplied nn alterna
tive, nM - siitipleinentnry route nnd Its
ma-y "us Harles save those inentl.ned. -
The ...h-ne of separation is trusteeship . ,f , n.hoi,.rnU
for tvm.ni. nits of proper leymtll nile. I )ruCT,1(t to
TeiO t'Us'es are lo use men- n-n4 " 1 n
in 'i 'it rore certain spccincii nines
Ut v January 1. 1917. In the cafe of the I
llns'in slid Maine, though the court Is
LEGACY AND ALIMONY
FOR "DIAMOND GUS"
llrot tier's Will Filed in One
Court; Wife Gets $7,200 a
Year in Another.
i!lrectt"l to set u tune for sale of tills
projiertv after July 1. 1915, It the New
Htven h.isliot directed sale before. The
Cwrfst eu. Hhode Island, Herkshlrc
fltrret Hallway. Vermont, nnd New York
a.-.l Samf id railway companies skill be
,ol1 tf re July 1 1919. The retention
of the sound 1 nes by the New Haven Is
t0 h. . il"t hv iho Interstate Com
oiive Commission.
Ilreree Mrls it Precedent.
decree sets a precedent In the
of determination of who Is pro
Diamond !us because of his compe.
tltlon with .Diamond Jim Mrady In tho
I matter of personal nlornment, nnd his
wife, .Mrs. Kiniti.-i I.. Hall, who got a de.
oreo of separation from him last spring,
figured In two courts yceterdny. In the
Supreme Court Justice, ForJ signed nn
order awarding $7,200 a year alimony to
Mrs "Hall,lut'"ln"tlu'".liirroeate's Court
the will of her brother-in-law was tiled,
which provides that she cannot receive
Cmi fin KfJ torn Fint l'nge.
atiparent that the object of tho purchase
of the Krlsco lines by the Hock Island
was tho formation of a vast system In
the mlddlo West which would standardize,
the roads,
Mr, I.oree's Connection.
Kollowlnir out this principle, ho said,
they decided to (ret tho services of I., V.
l.oree, at that time president of the.
Ihilttmorc nnd Ohio Itallroad, and ho
was paid n snliiry of 1T5.000 a year, with
a bonus of (dtiu.OOO at tho end of live
years
Mr. 1oree, he said, became tho head of
tho eyrtem on Deeembor 17, 1903, hut
remained only ten months. Mr. Yoakum
whs asked wh Mr. Ioree had resigned.
He saiil that after Mr. I.oren had been
in olllce a while thero was aomethliiK
ill his mannnement' of tho property that
tho heads of tho Hock Island "felt
was nut Just what It una Intended It
should be."
".Mr. T.oree ami the parties emptoylns
him leached an understanding,' said Mr.
Yoakum, "with the result that Mr. Loire's
servlcis were discontinued. That Is nil
I know about It."
Th" witness, acknowledged that Mr.
Imtco received something llk $460,000
In bonds when he. retired, notwlth'taiidltnr
that he had served only ten months.
"Mr. I.oree,'fi Ideas of operating In the
West worn not In harmony with tlm Ideas
of tho railroad men of tho West," said
Mr. Yoakum.
r.iimilttV of Control.
Mr. Yoakum said that In tlm manage
ment of the Itock Island companies thero
was an equality of control by himself nnd
Held, Moore and I.eed
Mr. Yoakum In referring to nomo of tho
financial duals of the Ho.-k Island finally
explained them by saying they took placo
alout ten yeara uro, when thlniis Mere
different from what they are now. This
observation was made In regard to tho
loss sustained In tne nciiu'.sltlon of the
Chicago and Alton road.
The witness said there was nn under
standing, when tho Frisco was bought
lort which showed that the road had been
run down to a marked degree, the rails,
roadbed, ties ami fqulpment In general
suffering enormous depreciation through
lack of care and management.
The reiiort estimated a depreciation
o,r tho entire line of S per cent. The
itport stated that inoii'y which was spent
In paying dividends had been withheld
from the malnti mince of the mad. Annuo.'
other things tho report mentioned that thi
neglect had been such that 19.140 freight
cam were unfit for service,
Mr Polk then evhlb'.ted to the witness
a serle.i of advertisements which appeared
Ml New York, t'lilladelphla, Itostou and
other papers calling on bondholders to
turn In their bonds and sign an agree
ment designed to sicure the distribution
among them of the 171.000.000 stnt'k of
the operating compnny.
Hood holders Wanted Stock,
"Have you had any conference recently
with Daniel a. Held about Itock Island?"
asked Mr. Polk,
"No, sir," replied Mr. Wallaoe, "J have
not."
I'ntillo IiiTeitment,
Commissioner Clements tried to ascer
tain how much money the public hud been
Induced to put Into Itock Island securities,
but Mr Wallace said he could not esti
mate It. .
"Do you think." asked Commissioner
Clements, "there can bo permanent credit
for railroads when nil these things that
we have, been listening to yesterday nnd
to-day are going on 7 Is there not a limit
to Itr
"My position Is that of a trustee," re
plied Mr. Wallace.
"Then theso two holding companies
with their millions of securities," com
mented Mr. Folk, "will he willed out and
then what Is to prevent, by the same
tactics as Ir. this case, the organlzntltlon
of other holding companla and unloading
their securities on the public?"
"I nni not Intt rested In the holding
companies," said Mr. Wallace, "I m
a trustee."
(leorge T Hoggs of New York was also . s
ri U'ltni.M. flurlttt. Ilt.t .1 iv', nivtii0.illhif. I . '
lie "iild he was formerly connected with
the Chicago, Itock Island and Pacific Hall
way Company nnd nlo the two holding
companies, being assistant treasurer and
assistant secietary from 1902 until 1911.
He admitted tint he served on the board
of directors of the companies ns the rep
resentnttve of Messrs. Held, Moore utid
Leeds,
should have known when the company's
money was given away?"
"Yes."
"As a buslnes man do you believe one
should be on a board of directors of n
railroad without exetclslng his own Judg
ment" Mr Folk asked,
"I don't think ho should,"
"Did you make n mistake 7"
"I didn't have time to look Into things,"
replied Air Me.Murtry.
Ml. Folk nuiiounrcd that Daniel (I.
Held, William II, Mooie, James II. Moore
and others would be culled as witnesses
when the Investigation Is resumed,
WHY SHAW WON'T COME HERE.
BRITISH SCOUR D. S.
FOR WAR MATERIAL
Ivvports Kept Up ly Flood of
Unyinjr Orders in Many
Lines.
Altbotigh exports yesterday were light
as compared with other days of the
week, J7(13,S79, against Sl.ton. ili' the
day before, the figures for the Iat .".'a
days of tho week were neatly $2.mi0.i"i.
greater than for the twine period of last
ea r.
For the live days exports fioin New
Yoik were lf.. 139, ills, against Ml. MM 1S5
Mr. Wallace contmded that In the tiling
of the lull In the court In New York tho
only effort was to secure the bondholders,
and ho was not Interested In tlm stock
holders. He va l he ha I teirned
that what th- bondholders wanted was
stock anil the voting right on stock.
"When this stock is fold, has your com
mlttio made m tnetils buy It In'."'
"Yes, sir," milled the witness.
Mr. Folk theii throw out the suggestion
that tho foreclosure; sale of this sto-l: at
till" tinm would completely wipe out the
stockholder of th- hotdlnir rmmianles
and ellmlnato securities iiggtegatlng more)
than UW 1.000.00(1. ..x,,.v KaV( you ,MOfl nci. th,.y
It developed Hint notwithstanding the I notv
fact that advertisements have) li'en tip-' yv, Br
Hearing lor some r un tne trust company ..i),,! votl ,.. .,,m . Pnn,i,,,r lhn, th
funds in the rnllroails treasury were
You wire there to do what vou were
' u ... ; n uti. that way BROKERAGE FIRM IN TROUBLE
I represent! d Ihein," he said.
"Was It the custom to mako gifts of
MftO.ftOO and Ko.000 to otMeUls?" Folk
asked.
"No, not the custom "
(iot ii si. -,,i(i(i ;m.
IVhi-s lo l)Uiinilllt I'.t cr hod Ii,
Aftmill) ppenrliiK nl l.nst.
The follow ing clnir.irlcrM!.' comment
from O. llermiid Hhnw has been leeelve.l
In ii letl'ir lo (ipoige ('. Tjler, who l man
n!liig Mrs. I'.itilck Campbell In Shaw's
"I'.vgiimllon" at the Hark Theatre,
"I got .volt! calilegiiim lL.sk I li l: me to
conn, to New Villi; f.n tit,. ,,ti,.ttln,. ttii..
nut it would not be ralr to the American I viiiirsiionuniK " mo
Pies, I'm twenty vein's luist thev lmv,. . week lit f oi k and $13.'.'(iO,!Mi last ji.tr
always filled up any snare room lit their Tho growing export Hade In Milti o
columns by announcing that 1 was on my i the holdup in the export of cotton, wlicli
way to Ametlcn. and thcieh kept tlm. Is ;he great source of revenue f , mil sh i
I'nited States under a strain of evpecla- inetit iilirond at this seaeon of the year, is
Hon which thv have now got uwl to. If 'causing much good feeling In general
I were to disappoint everybody by actually business nnd also m banking and lliian
coming at hu.t I should create a good deal I clal circles,
of 111 feeling. Ileil.k-., 0body would go I The extent to which the Hrltlsh (Jov-
to tho theatre . they would all come to ; eminent has scattered buying agents
tnrougu this coiiutty to purchase large
see me."
has received thus far n deposit of only
$:a, noo, noo In bonds.
This
outstanding about Jo2.000.000 In
nnv iiiirl of h s estate.
William Henry Hall, brother of All-1 l.i,.. n him., If and tils .'isrocl'itcs that
gustus H. Hall, died on September 7 lenv jlr,ro should bo an alternating manage,
'ng an estate estimated at more !hann.nt
MOO.OOO Ho gives to his brother nil his, jr y0akum dcscrlbwl at length the
Jewelry and unset gems nnd his revolvers , neoiiislt.no lie tlm Hock Island lines of
and hunting paraphernalia. H,. nlso pro-1al I-in, ln ;.,-,Mern Illinois. lie said he
1 fr in purchasing the securities i vldes that his brother Is to receive the ; bought tho Deerlng Coal Company fur i lng the handhold, rs' committee could buy
The
ma'
rf t e t.rop. rtles offered for sale. It dlf- Income of tho residuary estate during the
fir- 'r n f e I nion Faclflc dissolution, lifetime- of .Mrs. Hinma L. Hall, but d.
whti i.o stockholders of tlm Fnlon I'a-. rects that If Mrs. Hall dies before her
r'fl ,r forbidden to purchase tho I husband the principal Is to go to the
fh.ire. of Southern Facltlc sold. It also brother outright. ir Augustus H. Hall i
t'r, fi'.m the T bacco and Standard , dies before his wlfo tho principal of the)
m. .-.s where stockholders received , lunu leu to mm is to go to tne children
about
lenv
bond, and Mr Folk wanted to know If,
In view of thee circumstances, tho court
proceedings ought not to be abandoned,
n the bondholders' commll'ee vvns appar
entlv n minority Interest. Mr. Wallace
corit" ndel that oth'r bondholders wero
coming In.
"Is It your purpose ns president of the
trust company to Insist on the auction
sale of this $71.350,r.0O shares of s;oek
In the Chicago, Hoelt Island nnd I'jcllle
Itillwav ned Folk.
tax In freight and passenger fures on the
I public?"
"No. sir."
, "Dlil you ever stop to consider that a
railroad director Is a trustee for tho
public--a ipiasl-publlc official?"
j "No, sir."
"Then the publlo has no rights In such
matters?"
I "It depends on what yon consider the
public."
Mr. Hoggs was asked nbout the Frisco
deal. He admitted the sale of the road
"Thnt Is In the hands of the court," said t
was not n good thing for the stockholders.
Mr. Wallace. "The Jii'ige w'll confirm tho
sale If the pilce Is satisfactory to him."
"It Is not your disposition, then, to de
lay until th" presmt financial crisis has
passulT' said Mr. Folk.
Seeks tin I loiiii'dtnlr "nlr.
Immediate sale,' rfpl.ed Mr Wallace.
. "Then after you as president have fore
closed nnd old this stock, you icpresent-
.... .i.i.t.d nr me new sonsioiaries. i i inn ,u.,-i uniii.-,, nciiii u. n. jiaii.
fn 'ihe New- Haven case, the New- Tho testator also disinherited two sis. ! Trust Company of
. . ' .. rmhn. 1 ters and Mill rnnei.rnlnir them- "l.'nr r i that tlm company '
Jpivr'. ' an. 1 , rniiatdered iimiwr ninl .nfflelent 1...' 71, 000.000 of Stock of
rr 4 wo ' , . .,-nnM-i.. nmi, .. , Island nnd I'acltlc
tlm Hock, lslnnd and tho I.ock Island
sustained a loss on this transaction of
$730,000. At that time, according to
Yoakum, It looked like a good purchase.
The St nek Trusteeship.
J. M. W.illace, president of tho Central
New York, testified
was trustee of tho
w'e
I'll"''
.liv
arn
Hi'.
TI ,
fW"
e? '
te. l:
fl
Hi
t
tlif
is comnclled to flgn an atlb
that ho Is a bona tide purchase!
. t .ictinff In behalf of the Ncv
!.. . nrttlilnir In the decree, how-
n prevent Individual stockholders
Ho was atked how the Central Trust
Company bcajno connocttsl with the Hivk
iKlnnd nffalrs, and ho said It was because
h had solicited tho business Ilrst, speak
1 ., kh.ttders or the .VOW I'.ngiano 'u ltl niJ"'i''. .'ini'o.i ami ..nes. I ne "
' ' . - t,t. .i..M l....Al.....l i.. . - iv.nv'a peorlt .m
NiMFi'on t ompvny ns a ens nru iiM-iitit .....i i,...t.uu m nugituoo j
prmilh.te.t iron " V " ' o .1.
... till- nt.l ..... ..J.,- V. 'Hl U.tllll. 11,
Hall Is referred to ns "lCnnn.i L. Kvcrson,
nlso known as nmnia I Hall" This
Is due to the fact that Mm. Hall was
formerly the wife of Col. Kverson and on
the trial of her separation suit Hall de-
v..w ll'iven from purchasing men inai sno was ins ieg.ii wne. sno
i ' offered for sale. Abence of said that her marriage to Hall was ol
I'l bltion Is apparently liased on emnlzed by a kiss nnd n statement by
, e'" that the stock of the New , Hall that she wat his legal wire and
- -n widely scattered that no per-) the courts held that tho ceremony was
,o, ovv dominates It, ns was binding
e with several big blocks of stock I In directing the payment of J7.200 all
i I'a.'illc. The trustees nnd the mony by Hall yesterday Justice Ford or
i' t companies mut furnish Infor- tiered Hall to pay K..OO0 of accrued nil
, m the Attorney-nenr-r.il regard- mony within ten days and to give a bond
'rs the - sales whenever ne seens u. u
I. p. . led that any party may at any
t ie apnlv to the voiiri ior .oinn iuh.h - - - - -
orders .n the dissolution If It hall ai-P' ar WAR CUTS PHOSPHATE PROFITS.
tdnt thev are necessary to carry out the
Then why did you approve the pur
chase" asked Folk.
"Well, that was at a different period."
"Would It he proper to describe you ns
a Mummy' dliector?"
"If you please to call It that," replied
HoKgs smiling.
Commissioner Clements Interrupted to
I think It Is my duty to Insist on an ; declare that the public does have rights In
tne conuiici oi rniiroau arrairs.
"Surpluses are reduced nnd exhnusted,"
he said, "through manipulation of holding
companies When we are told that tho
It In for the bondhobbrs and then dls-1 widows and orphans Interested In Insur
trlbute the stock?" said Mr. Folk. nnce companies and trust companies
The witness nsenteil to thl, but eald 1 whose, stock Is put up as security In these
his only obj.ct was to give back to the manipulations must all fait together If
bondholders their property. Mr. Wallace! we don't ralso rates, then the public must
decided that If there was nny compensa-, be considered. Now we are told that
Hon to him ln the transaction It would go1 thte affairs are no business of the public,
to the trust company. t,!s Is a serious situation In this country
Mr. Folk .hclared that to eiutaln the and we must treat It with the utmost
bond hot. l..rs' cnmmlftitA (n tit, a .l.i r i ....... in.
.1... ,-1.1-,....,. i,Ml, . . . '. ' "-' '" ' VUIHIUI.
..iiiwiku, ' i tne lorf-elosilrn nti.l sitl., !, ft,.t.l I...
Hallway Company , nry t Wpe out nil the stork of the tn-n
supplies of foodstuffs, cloth nnd clothing,
teiitstuffs, rules and ammunition vvns 'n
dtated yesterday wj.rn one o'f these
intents snld that through a reeldent agent
In Canada the Hrltlsh Government Is
Molding agents broadcast over the United
States. This agent said that ho Is pay
l ip cash for tho supplies he huys, to be
delivered anywhere the seller wishes, the
Hrltlsh Uovemnient looking after their
s.vfo conduct to destination. Canned meatti
Johnston, lllllott A o,, liie,, In
tin n Urn pit' I'roc rrilliiKs.
Johnston. KUIott & Co.. Inc., a teal es
tate and brokerage linn of 4,", William
Htrtet, was petitioned Into bankiupt.' ye
terday by James Oarlleld Moi.'S. attoiney
for three ortulltom Tit., H..l,la mun 1 1....... I
In the batiktuptcy papers nn- less than nn1 vegetables, saddles, tent materials.
K.iiOO. but It was said that notes or com- sweaters, cartridges nnd rides, It Is said,
panics which have been Hunted and are , "ro being tiought wherever large snip
owned by the company mo In many hands - Idles nro on hnnd for sale, espodally
nnd ptnbably amount to 1500,000 or more. ' tifx and ammunition.
Johnston, Flllott k Co.. Inc., had n credit; It Is the experience of this ngent that
rating of IfiOO.iuiO early In the summer, the big factories manufacturing cart
and It was tlilr Indorsement of their sub-! ridges nro nearly sold out. Only the out
s'dlary companies' notes that made these put of tho smnll concerns was available
papers of value. , when ho entered the field, The ontlr
The petitioning creditors, ntl of whom i rllle output of the Springfield factory. It
are represented by Mr Moses, and the1 Is understood, goes to the United fttntea
amounts of their claims respectively aic ' iSnverntnent with small exceptions.
Oustav flottschnlk, J2.2SI ; Charles J. Jus-1 Horses are said to bo scarce, this buyer
ter, S3, 191, on assigned claims of the I'enn-, being unable to secure moro than 13,000
sylvnnln nnd Delaware Oil Company, the In Canada ufter scouring It from coat
Mutual Alliance Trust Compnny, and on , to coast.
a noto made by the Florida urange and ln canned goods It Is reported that on
Truck Farms Company, and Anselm I. i of the biggest Chicago houses will enter
Anderson, S 1.201. The American Chicle 1 tain no orders, being sold out until Jan
Compnnv on September ! obtained nn at- I nary 1
taehment iiKalnst Johnston, KUIott A Co.. . Khalil Is being sought bv tho Itrltlshera,
Inc.. for Sl.lsOO. It Is snld that no effort , hut of heavier quality than recently, th
has been made to vacate tho levy or to weight now delred being twenty-four to
sailsfy this clnlm. i twenty-six ounces to the yard, against
The corporation Is n Delnware concern, i eighteen formerly. Tho heavier goods
and Frederick S. Johnston, president, nnd are wanted for winter -wear. An Inquiry
A Uraham r,lllott. vice-president, nro I ror 200,000 woollen and cotton blankets
Dallas men. Two of the companies i.as he-en received by a Chicago house.
owned by the bankrupt corporation nr it,,t.,,eia of merehntidls,, nt the nort of
tile Western Development Company nnd
the Florida Orange and Truck Farms Com
pany It Is the notes of these companies
thnt are the principal items In the litigation.
Olysterj" to a Director.
lng to Hobert Mather nbout It. Mr.
Mather suggested he talk with Daniel C.
Held and he did At that time his com
pany held nbout $2,000,000 stock of tho
Chicago, Hock lslnnd nnd I'acltlc Hallway
"Is tho $71,000,000 railroad stock now
held by your company .'" iisko.1 Mr Folk
holding companies, aggregating nbout
$330,000,000
I "The Central Trust Company Is simply
doing Its duty.' said Mr Wallace.
I Mr. Wallace said that Phelps, Dodge ft
l Co had bought n large block of this stock
' and he knew others vvlio had
Mr. Folk seemed to lxllcve there was
some one besides the Central Trust Com
pany hack of the entire deal, nnd he asked
,Vir. Wallace Who t WHS. Mr Wnllnml "Dill vein bnnrr nnvthlno- aVwitit th.
i- leplled there was no motive power thnt hei $100,000 gift to R, A. Jackson, the vice
. i kimw of other than the desire of the Cen- president"
Oeorgo D. MoMurtry of Netw York, nn
other Hock Island director, didn't remem
ber the Frisco deal, he said. The. Alton
purchase was a, "mystery" to him also.
"You were on the board Just ns n fig
urehead?" asked Folk.
"I was not active." McMurtry answered.
"And you accepted what Held said
whetuver he made a motion?"
"Yea."
That Is held for the t per cent, bonds."
Mr Wallace then explained that Uio
entire matter Is now beforo the Federal
of M.VO00 within twenty davs i Insure i Court for the Southern district of New-
Yes fclr. replied tho witness. tral Trust Company to assist thi vn. I
"How is that held and for what pur-I holders "get their property " i
poso .'
the alimony payments
iicree
Admits Monopoly Clirc.
Attornev-C.eneral Oregory represented
the
ir.i ri n-.ent nt tlm signing of tlm
I ii t .-r ii ii 1 1 it mi I Aiti-lriilliiriil's I'm r n-
I ti km Meiincen',
The earnings of tho phosphate roolt
properties of the International Agilcul-
(rre? Moirlle'd Stortiy appearing ior uio iiu ai v. orpor.uioii. accenting to the an
New Hivc:. Although tho New Unveil j nual report, may bo seriously nffectod If
tn f.l r.g answer to the suit again;. n o'" 1 i.m u.-.in .ir i pi oiongeo, lis a large
telt . d. nied that It was a eoniiiina.ion loiiuage is suippeii to i.urope
( restraint of trade or an lllliawi'll
tnnn.iiiiiiv It admitted yesterday, by
Brrsemctit the finding of tho court ln thej (lovernmentt has been paid to the potash
decree that Itself and three otner iie
ffr.'mts wero "combinations In restraint
of tnV and commerce among the several
"a'fs ip.l w'th foreign tuitions" and that
thev "hue attempted to monopolize and
Tho com
pnny niinouiiivs that tlm entire refund
of potash taxew to it from the fierman
syndicate and Is deposited In escrow in
a German bank for distribution.
Improvement In earnings f.ir tho year
ended Juno .'10, ns compared with the
rrtlcal previous year, Is hIiowii. Tho
now are monopolizing a pari ui nuui v.iiiuiik nooi uiirraiions were
nr. nn, ner'e ' The three other defend- ' 072 90, from which wero deducted SOU",,
biim ire the New England Navigation ' r,2S.9C for bond interest and $241, C3 for
Ci ii... 'ho lloston Hnllro.nl Holding I amortization of bond discount, organlza-
Pvi v nnd the I'rovidenco anil u.iniei- tlon expenses. Vi, and depletion of phos
Uvav Company. ' pnnte rocx i
rf.i ItiiUv.i
T e decree om.ts from the finding of
moMipnlv and restraint of trade tn i
twe-'v-r.'ne dlre-tnrs of tlm company;
Mi-ed in the original milt and also a t
r-iti htr of corporat'ons, subsidiaries of
the New Hnven. The New York Central.
1, ill st -sed ns a defendant, Its ronnec ,
' t w.-li the suit being In ownership of i
In" of the stock of the Hutlrind Hall
fjl In whlrh tho New Haven Is per
mittel to keep its Interest, nnd In the
)!' , nnd Albany operating contract.
The New Haven has abrogated this con
tract Three rironps of Trustees.
Thre. group, of trustees are appointed.
The- are to operntn certain of tho prop.
trtles in t!t sale, thelt expenses to be
I"' '
' 'K
of
'HI--
the
ev e'l
r
0
T ,
to
M .
v tin. Now Haven under court
i If the receipts from operation
, r inert les are lnaufflclent. The
m reorganize tlm properties
h!iuted with on the basis or
York on a bill filed by the Central Trust
Company of New Jersey to foreoloso under
the trust agreement.
Fivler this agreement the holder of
$100 railroad stork of tho Chicago, Hock
l.tlund and I'acltio Hallway Company was
to r-celvo $100 In the bonds of the Iowa
holding company, $100 In common stock
.f the New Jersey company and $70
In the preferred stock of the New Jersey
company
"What default caused you to go Into
court?" asked Mr. Tolk.
Where the Default Took PInce.
"Thero vvns n default In the payment
if the Interest on the bonds of tlm Chi
cago, Hock lslnnd and I'acltlc Hallw.iy
Company of Iowa," replied Mr. Wallace.
Mr. Wallace could not recall how the
$71,000,000 of stock came to him, whether
In small or large lots, and did not know
how many shares wero respectively
turned In by Daniel U. Held, W, II.
Moure, J. II. Moore and William H. Leeds,
but stated that from 1902 to 1912 there
was deposited with the trust company
a total of $71.3:.:i.iOO.
Mr Full: then took up tho organiza
tion of the bondholders' protective com-
mlttie, consisting of Mr. Wallace, James
ll'iiun. Hernard M. H.iruch, Henry
i:v.ms and Fi .shriek Straus. Mr. Wallace
I was asked why this bondholders' pro
lectlvo coiiiinlttee was ni gnu Iso d, and ho
I replied that It was iniuctcd by persons
. v piieiii;ilg $111,110(1,000 or $13,000,000
worth of IkuiiIh,
lands. An additional profit
of $222,080.00 was derived freim bond
purchased nt discount and cancelled, mak
ing n net surplus for the year of $300,
Aflo.Ol, as compared with n deficit of
$lCl.t92 71 for tho preceding year.
RAILROADS SHOW BIG I0SS.
firosa Horn togs of -I H(t Slum lifeline
of 7I, I7I, (17a I'runi 11) I it.
rtr.iwa nrnlnn f 1SK ,0 !!.... .1. .1. M r. Folk then declared lllllt tills VV.11
tntot.r,. r,,,. ii.ij .1 " V I ,,A ' a s.lf-constltntid coiiiinlttee, and Mr
. . V; . . -I.. ' V ' -1' 11 ''' VV...llrten nell ii,.v.-t.li-..il Hint ll WHS Mr
! 10 a,iisii,'.iii,i,.i.' irom the jsis earn- ,, ;
lugs, at cording to tables published by the' k ask'-d him how lie was act ng ni
f.vinniipri' fif nun h'tmtitftnl ihrnniflr t.u- "" ' " -' -
! Idled :
(ilii . . "I am acting as chairman of this
"Tut! I m. Ilie Inere is,. In In.,, loin no. I Committee n my Hid' Vldll.il capacity
count, the shrinkage ln lift .amlmrs. now' Mr. Folk then exhibited to the witness
found to be roughly $111,000,000, Is raised Mport on the tdiyslcal condition of tin
to $124,000,000." says the Chrontrtr. ' Chicago, Hock Island nnd IMclllo Hall
And vet the railroads nre denied re. mail .ills repon was man- ny I-., vv
"No, sir "
"Don't vou think that you as a director
MAY SEIZE CARS FOR TAXES.
New York for September exceeded export
' bv f 1.1.72S.74 t. Import wore $76,I1S,B41.
i lloth Imports and exports wero heavily
reduced from Inst year. Imports being
i nbout $20,000,000 less nnd exports nbout
I $13,000,000. The relatively greater de
' crease of Imports than exports Is re
' garded as encouraging.
Jersey City Olllelnl Threntens Public
Sen Ice Cmnpntiy.
Unless the Public Service Street Hall- I
way Company shows some disposition to '
pay the car tax for which Commissioner I
tleorge F. Hrcnslnger, Director of Finance I
nnd Hevenue of Jersey City, has been try.
lng to collect the Commissioner will for-
COTTON POOL NEAR SUCCESS.
Announcement of It Completion
Ilxpectetl To-iiinrrtm
p was said yesterday on behalf of
bankers that the formation of the $1.10 -
elbly selzo not ltss than ten cars of the , 000,000 pool for the relief of tlm cotton
company to-morrow He will call on the , situation would be completed to-moirow
police for help If necessary. , nnd that the plan might tk'n be an-
Director Ilrenslgner has Irstructed Col. noutired as finally ndopted.
lector of Arrears of Personal Tax Otto Secretary of the Treasury McAdno and
lMelman to serve notice on the company ' Director Harding of the Federal Heserv4
thnt It must pay by 10 o'clock to-morrow Hoard, who were reported to be In New
morning the $33,233.20 It owes Jersey , York for conference with bankers on th
City for franchise taxes for Hi" years cotton plan, wero not seen In the flnan
1907. 1911, 1012 nnd 113 cial district yeetnrday.
rankii'n Simon & do.
Fifth Avenue, 37th and 38th Streets.
A Store of Individual Shops
" -
P!! and Winter Apparel
For Women, Misses, Girls and Infants
The Following Special Offerings Monday
Women's Dressy Suits and Gowns
Women's Fur Trimmed Suits
New model, of imported broadcloth, in navy blue,
brown, 'green or bluck, fur scarf collar, circular
skirt. r,ic ?3!)..r)()
29.50
"",'i . orit.t. hev S f f 1M. notwithstanding that they nre hum-1 McKcnna. who had been employed by the
i.u ng the se iirlti thev noli ror W(l slipil..,ltl, )efor. t, Interstate Com-1 Is'i'dlmlders' committee to go over the
. serurit es 11 ", ;merce Commission. Is It not high time , road nnd mako a report.
' to 'ho same provisions as inn .... . , ...... .. ", ... . ,, ,,.t,.. ..i ,. .. ....,...
'ho same provisions as
mo e,f the State of Massachusetts j
i i-. the stock of the Itostou and
the lloston Itallroad Holding
' . ti teims It may tlx in nccoru
thnt this was changed with a view to
averting universal disaster?" ,
flross earnings of these rondi for Au-'
gust decreased $11,320,412. Net earnings
Increased $471,341. All the railroads of
nt legislation Is established . the country tnat earne1,,.u. Uu gross a
ill the decree. This legislation J''r """""" " i.u..,ioii.
Mr. Wallace said that the comnfttee
hail been advised that It would require
more than $19,000,000 to put tlm Hock
Island on Its feet, nnd hence Mr.
McICennn, a practical railroad man, was
sr.t to work to make the examination.
Mr. Folk rrod extracts from this ro-
orohiccllim bv the New Haven
II i. need the company to throw '
i.tlglnnl dissolution iiitreement,
i-ed, the filing of the suit,
i i.e . irrles the Intimation made
tun- that the Herkshlrc Street
' n.in may acquire the sei url
.ipiiii's of the New Fnsland ln
ii 1 Set inlty Compnny, n holding
t i M issachui'ettH and llliodi'
i Its own stock being held
llngljiid Navigation Compnny
'ne securities of the Herkshlrc
m nt companies shall be put Into
' i Is of trustees. Otherwise, the
" ' u itself Is to sell the Heikshlre
i' Vi mult company securities before
J I ".19. I
I
Personnel of the nniirds, .
T , .itii.ii. to hold tho 31,005 shales'
of . in and 2 14,939 shares of preferred
c ' f tin Huston Hallroad Holding Com
I r h. I ling tho uwneishlp of the Hostou I
1 M t mo Is composed of MnrcUB P.1
Knitt.tm, Henry II. Day, Jumi B L. Do- j
e' Cmirles P. Hall and Frank P. Car- .
lenter They nre also to tako over the
Mcur,:lrt of the subsidiary lines and .
".a I nes or the noston nnd Maine Itio
lofV, va'un of New Haven's ownership In i
r, lUid Maine Is $30,700,000. I
The trustees to take over tho ConnectI-1
fit Cornpiny, the hook value of New I In
VW ownership of which Js $42,125,000,
are Walter C Noyes, I.ymun II, Hrnlnerd,
Ch&rlfs Cheney, Oeorgo K. Hill nnd Will
Utn W Hyde, The y nro directed to sell
M the rfjueat of th New Haven, and
L. P. Hollander & Co.
INFANTS' DEPARTMENT
Infants' First Short Dresses .00
English Tailored Hats 5.00
Smocked Suits and Dresses 8.50
Tailored CoatS (imported materials) 20.00
BABY'S COMPLETE OUTFITS IN STOCK
FIFTH AVE. at 46th St.
F u r T Y i im me dV e 1 v e t Suits
Dressy models of imported chiffon velvet, in black,
brown or Kussian jjreen, trimmed with real Cri en
skunk fur. Value $79.f)0 OV.OU
Real Skunk Trimmed Suits
Dressy model of broadcloth, in navy, black, brown,
green or taupe; collar, cuffs, bottom of coat and -jq -
tunic skirt skunk trimmed. Value $49.50 ,J"Ovl
Velvet Evening Gowns
Of silk chiffon velvet, in turquoise, American rose,
flesh, maize or black, in umpire, Grecian
or Directoire styles.
Value $79.50
55.00
Women 's Fur Trimmed Coats
Fur Collar Tweed Coats
Button-to-neck model of imported Scotch tweed,
in blue, brown or gray, large square collar of
natural or skunk raccoon. -Value .$29.50
Dressy Fur Cloth Coats
Dressy Empire model of imported broadtail cloth,
in black, seal or green, brocaded silk lined, collar
of skunk opossum fur. Value .$59.50
18.50
45.00
Fur Collar ChinchHla Coats
Of all wool chinchilla, in oxford, navy, brown
or black, silk lined, collar of French seal, natural
or skunk raccoon. Value $39,50 S".5U
Fur Trimmed Velvet Coajts
Russian Redingote of velvet velour, in green, brown or black,
collar, cuffs and wide border around bottom of j c sk
skunk opossum. Value $59.50
Spec ial f o r Mond a y
New Model Waists For Women and Misses
Model of Gcoryettc Crepe and Velvet and a Model of Laee and Satin
I
Crepe and Velvet Waists
In Colors to Muteh Tailored Suits.
Fur trimmed waist, Empire bodice and sleeves,
of Georgette crepe over chiffon, front and lower
bodice and cuffs of silk chiffon velvet.
Value $18.50
12.50
Satin and Lace Waists
I n Colors to Mateh Tailored Suits.
Waist of cream spider-web lace over chiffon,
with jacket of satin sublime, in black, white,
navy, taupe, green or prune; bound with braid.
Value, $12.50
9.75