Railroads -- United States; Railroads -- United States -- Finance
Receivers for the Northern Pacific Railroad Company were appointed
August 15, 1893, on a petition alleging that the company was insolvent
and had no funds to meet payments coming due on September 1, October
1, November 1, and December 1. The company in its answer admitted the
facts, and the United States Circuit Court at Milwaukee, Wisconsin,
put Messrs. Henry C. Payne, Thomas F. Oakes, and Henry C. Rouse in
charge of its affairs.[595] Receivers were rapidly appointed for most
of the branch lines, the intent being to put all these properties in
separate hands.[596] The receivers of the main line had nothing to
do with the branches, although in November they were authorized to
enter into temporary traffic agreements with them. In regard to the
Wisconsin Central, application was early made to compel the Northern
Pacific to carry out the provisions of the lease; but Judge Jenkins of
the Milwaukee court granted the receivers until September 15 to decide
whether or not they desired to continue, and upon their negative reply
authorized a surrender. The accounts submitted, he said, showed that
since the lease had gone into effect the Chicago & Northern Pacific had
been operated at a loss to the Northern Pacific of $1,304,169 and the
Wisconsin Central at a loss of $1,142,316; although business during the
three years in question had been generally prosperous. In accordance
with the decision the property was turned over to the Wisconsin
Company on September 26, 1893, and the Northern Pacific for a time gave
up the idea of a Chicago terminus. Of the other leases those of the St.
Paul & Northern Pacific and of the Cœur d’Alene Railway & Navigation
Company were at this time approved by the court, and the receivers were
authorized to make the necessary payments.
Public-domain text, read in full here on John Shaqi.
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