- 519.23, leaving $500,000 still due; as the grand result
of the receivership of Humphreys and Tutt, interest has accrued to the amount of $4,390,000, all due and unpaid, and of receivers' obligations, $3,200,000, a total during two years and a half of $7,590,000, with $290,000 of cash in hand. The property being sold to a purchasing committee, of which the chairman, Joy, was a former Wabash director, and another member, Ashley, was the secretary of the receivers, a demand was made of the prior mortgage bondholders to fund into new Wabash bonds their past due interest and to reduce the interest on their bonds for the future from 6 and 7 per cent. to 5 per cent. Upon application of prior mortgage bondholders the United States Circuit Court at Chicago removed Humphreys and Tutt for misconduct as receivers and appointed a new and separate receiver for the Wabash lines east of the Mississippi river."
This removal was upon order of Judge Gresham, who has made such a high reputation as a judge who can be depended upon not to be easily influenced in favor of corporations. This order was called at the time "one of the bravest acts in the history of justice." On rendering decision he spoke in terms of great severity of the managers and the Gould receivers, and appointed in place of the latter Judge Cooley, who was afterward made railroad commissioner by President Cleveland. In commenting on this decision, Gould defended himself by attacking Gresham, who he declared was suffering from a severe attack of "the presidential fever."
