The Sun.
London, England, 1855-02-16 00:00:00

LONDON, FRIDAY EVENING, FEBRUARY 16, .1855.

RAILWAY INTELLIGENCE.

their intention to stand for election. In consequence of Mr.
Haswell's retirement, Sir Watkin: Williams Wynn has exer-
cised his privilege of appointing himself to be a director of
the company. It is the province of the proprietors to settle
and determine what shall be the remuneration for the united
board of management ; and also to fix the proper allowance
to the auditors for undertaking the examination of the ac-
counts of the Shrewsbury and Birminghani and Shrewsbury
and Chester Railways."

The CHAIRMAN moved the reception, adoption, and circula-
tion of the report, which was seconded by another member
of the board.

Major COURT objected to the adoption of the report, be-
cause it had not been circulated, and the directors sought
to raise additional capital to the ar.xunt of 250,0001. The
assignment of war and cholera as reasons for the smallness of
the dividend was all humbug. The net revenue for 1854 had
exceeded that of 1853 by 65,0001., but 'this had been cap-
tured by the Shrewsbury and South Wales line. They had
declared dividends at the rate of 3 per cent., but had only
earned 21. 16s. The fans for which the company would
have to pay soon had been called for by a profuse and lavish
expenditure. (Applause.) There was not one scheme which
had been originated by the directors of this company which
had not resulted in a loss. (Applause.) During 1854 the
company had expended 1,600,000/., from which they had re-
ceived not a sixpence of profit, and from the greater, portion
of which they would never obtain any. In regard to the
Wilts, Somerset, and "Weyniouth Railway, he complained
that the directors had never laid before the shareholders the
agreement with that company, nor any information on tho
subject. Had they done so, he believed much of the loss
upon that head might have been saved. It was originally
said that the line would cost one million, but it had really
cost three millions.

The SECRETARY explained that the agreement with the
Wilts and Somerset Company had been repeatedly submitted
to the shareholders of this company ; and also that the line
would not cost so much as the honourable proprietor had
represented.
Major COURT said that his error arose from want of infor-
mation.

The SECRETARY read a paragraph, of Ow circular which ac-
companied the accounts to show ttLe ntices,lary information
had been given to the shareholders.'
Major COURT moved, as an amendment upon tho original
motion, that the report should only be received.
Mr. C. MARSH seconded the amendment, and recommended
that the directors should have the assistance of a committee
of shareholders in settling the arrangement with the Birken-
head Company. He also inquired what was the rent now
paid for the hotel ; and gave notice that at a future meet-
ing ho should propose a resolution providing that of the
retiring directors one should be ineligible for re-election with-
in five years. '
The SECRETARY said that the rent of the hotel for the first
year was 1,0001., for the second, 2,000/. ; for the third and
fourth, 3.004/, ; and for future years, 3,5004, which would
be 7 per cent, on the cost.
Mr. H. FINER complained that the company was paying too
large an interest upon its mortgages and debentures. If the
recklessness of the directors in taking new lines continued,
there, would soon be no dividend at all. He protested against
taking any new lines, or the perseverance in a course which
had reduced the dividend to its present small amount.
The SECRETARY said that attention had always been paid to
borrowing money at the lowest possible rate.
Mr. L. DAvis advocated the proposed capitalisation of a
portion of the debt, as it would thus be allocated to proprie-
tors of this company, and not to strangers. The traffic of the
South Wales Railway was increasing, and he believed that at
a future time that would be a highly remunerative line.
Great improvement was going on in the revenue of the Shrews-
bury lines, and he believed that the receipts from these lines
would, in the future, be still further increased. Looking at
all the circumstances connected with the position of this com-
pany, he believed that their affairs were now at the worst,
and that they would go on progressively improving. It was
too late now to cavil at undertakings which were the result
of proceedings adopted years ago ; and he understood that
the money now proposed to be raised was part of it (600,0001.)
to repay an old debt, and the remainder to complete the
works as far north as Wolverhampton.
The SECRETARY said that this was so ; and added that no
new works, except such as would be paid for out of the sum
now called for, were contemplated within the district south of
Wolverhampton.
Mr. AVERY said that no good reason had been advanced to
induce the meeting to decline to adopt the report. The " la-
vish expenditure" which had been objected to against the
direction had arisen out of undertakings all of which had
been sanctioned by resolutions of the shareholders. Much
of the expenditure had been occasioned not by the reckless.
ness of the direction, but by the Parliamentaryposition of the
company, and its being obliged to execute all the undertak-
ings for which it had obtained powers. It was essential to the
future prosperity of the company that they should strengthen
the hands of the directors to carry out the lines now in course
of construction—(No, no, no, and interruption)—and to de-
velope their traffic upon them.
The Hon. C. L. BUTLER attributed the unfortunate state of
the company's affairs to the incompetence of the direction, and
announced his intention of moving a resolution pledging the
meeting not to sanction the making of a new line, the lease of
an existing line, or the increase of the capital, until the rail-
way was in a position to pay a dividend of 5 per cent. At
the same time he said that he did not object to the increase
of capital proposed in the present report.
After a little further discussion, _ _

The CHAIRMAN urged that, as most of the information, and
that of the most important character, contained in the re-
port had been previously conveyed to the proprietors, either
by the accounts or other documents, there was no need to
have circulated the report prior to the day of meeting. In
reply to the observations of Major Court, he defended the
hoard from the charge of having been guilty of " reckless
extravagance. - s‘. list waatapo position of the company with
regard to the four undertakings ;rnposed
the heaviest burdens upon them I In respect to the Oxford
and Worcester Company, they had strenuously refused to ac-
cept liabilities which it was never intended they should
undertake, and the consequence was they had no ar-
rangement at all with that company. With the South Wales
they had a modified agreement, from which it seemed pro-
bable that they would reap a profit. With respect to the
Wilts, Somerset, and Weymouth, and the northern lines,
they were yet in a position to speak only of the coat, and had
not yet experienced the benefits to be drawn from them.
Since they embarked in these schemes in the years 1846 and
1847 the directors had entered into no undertaking except
the amalgamation with the Shrewsbury companies. The
directors had given their most strenuous exertions to the in-
terests of this company. They had never sought their own
benefit from it, but had made that which was right the rule
of their conduct. If the shareholders were not satisfied with
them, he knew one, and he believed there were many others,
who would be exceedingly happy to resign his trust into their
hands.
Major COURT disclaimed having intended to impute any
want of honesty either to the chairman or the directors.
In reply to a question,
The CHAIRMAN said that at their last meeting the proprie-
tors voted a sum of 175,000/. towards the Metropolitan Rail-
way. If that railway were completed this would, he be-
lieved, be one of the best investments which this company
had ever made.
The question having been put, the amendment was nega-
tived,elaAre. id
dd theiavndendat th
resolution
rate of 6 pertionwasadopnt. pert:edby agla e majority.
large
was de-
clared,
The retiring directors were unanimously re-elected ; and
Mr. John Williams was elected a director in place of Mr.
James Haswell.
The CHAIRMAN then moved that, in consideration of the in-,
creased duties which had been cast upon the auditors since
they accepted office, the allowance to them should be in-
creased from 1001. to 150/. per annum each.

The resolution was seconded, and unanimously agreed to.
Mr. L. Dews moved the increase of the allowance of the
directors from 1,2001. to 3,0001. (Disapprobation.)
The CHAIRMAN, on the part of the directors, expressed un-
willingness to receive so large an increase, and suggested that
the amount to be voted should be only 1,8001.
This suggestion was received with a general expression of
satisfaction, Rnd the sum mentioned was unanimously voted.
The Hon. 0. L. BUTLER then moved the resolution of which
he had given notice at an earlier stage of the proceedings, and
it was seconded.
The CHAIRMAN expressed a fear that the resolution, as
worded, might injure the property of the company ; and seve-
goohdt do effect,
heta' ral as.
ral proprietors urged its withdrawal, en the ground that it
this meeting could
Mr. BUTLER deelfned to withdraw the.resolution ; and after
some discussion, an amendment, moved by Mr. DAVIS, that it
not would
bind
de
bfutureproductive
on es, of no
might
should not be put, was agreed to.
and
On the motion of the CHAIRMAN, the stuns mentioned in the
report were voted for the completion of the Paddington
station and the supply of rolling stock.
The meeting was then made special, when
The CHAIRMAN moved a resolution authorising the raising of
additional capital to an amount not exceeding 1,325,000/. in
shares, which was seconded and agreed to.
The CnantmAx moved another resolution, authorising the
directors to conclude, in conjunction with the South Devon
and Bristol and Exeter companies, a lease of the Cornwall
Railway. He explained that the Object of this arrangement
was to enable the Cornwall Company to float their deben-
tures, without which they could not complete their line. The
completion of this was of considerable importance to this com-
pany. According to the terms of.the proposed arrangement,
the associated companies were to work the Cornwall line, the
first receipts of which were to be applied to pay the interest
upon the debentures. The second charge upon the receipts
would be the repayment of the working expenses, and until
the companies working the line had been reinabareed the
money advanced for these no dividends would is
-e paid upon
any shares. The amount of liability to be incurred by the
Great-Western as to the interest of debentures and working
expenses was two-ninths of the capital ; was no
probability there -
o
probability that it could sustain any loss.
After a short conversation, the resolution was agreed to,
and the meeting, after voting thanks to the chairman and
directors, adjourned to Thursday, the Ist March, for the pur-
pose of considering the proposed arrangement with the Bir.
kenhead Railway.

for that increase, he thought no one could doubt that the
increased income had arisen from legitimate traffic, and that
the affairs of the company were in a satisfactory position.
Although the receipts had increased so considerably the addi-
tional expenditure, notwithstanding the high price of many
articles, had not exceeded 5,4701. The coal traffic on the line
was most encouraging, as would be apparent from the fact
that of the 56,000 tons of goods carried 36,000 tone consisted
of coal. (Hear.) Some persons might imagine that the in-
crease iu the receipts of the company was accounted for by
the war. The company certainly had derived some advantage
from military movements and the conveyance of huts ; but
lie believed if we had been at peace the traffic would have
increased to a considerably larger extent: The requirenxents
of the Government bad materially interfered with the con,
tracts at Southampton, and deprived the company of a great
deal of mail communication and merchandise.- In fact, there
had been a positive decrease in the traffic, so far as South-
ampton was concerned, and therefore it was quite clear that
the increase which he had mentioned had taken place gene-
rally over the whole line. (Hear.) Ono of the items in the
report was a sum paid to the steam-packet department for the
purpose of keeping up the stock, and, in addition to that, it
had been found necessary to order a new packet to afford the
necessary facilities for parties wishing to visit the Paris Ex.
hibition, and he believed the shareholders would not object to
the payment of 2,5001, for that purpose. (Hear.) At the
last meeting it would be recollected that he promised to give
a more detailed account of the requirements for the plant, but
he found it exceedingly difficult to form a comparison with any
other line on that subject. One line was found to be working
200 or 300 miles of its own, and 100 miles with another com-
pany, from which they did not derive any revenue. Other
lines had the work done for them, and the arrangements
were so complies d that scarcely any comparison et,•,.7 Inc,
no drawn fi o their ceedings. But he found that tne oSouth-
Western Companyi In. proportion to its revenue, had under-
charged in every ibAlance with the exception of the Bristol
and Exeter line, which was a. trifle lower, on account of the
1 facilities afforded that line by the Great Western Company.
Now, with respect to the capital account. Inst,oacl of the
directors telling the shareholders that they would close the
capital account, they would engage that in any matter re-
quiring any considerable increase of revenue, nothing should.
be charged to capital withoutlinrrirevioture;ftund 'sanction
of the proprietors. (Cheers.) In each case a proper asti-
-1 mate should be submitted to them, and they should have full
control over the matter. (Hear.) •He would now call their
attention to the North Devon line, better known as the Taw
Vale line. The South-Western Company had been told that
if they subscribed to the extent of 30,0001., they would be
asked for no nacre money on that account. The line had lien
completed, and was now at work, and producing a revenue
in which the South-Western Company would participate next
week, but, like many other railways, the Taw Vale was defi-
cient in funds, and they now required an additivall c ill of
21. 10s. per share on the 7,080 shares held by the South-
Western Company. He did not see how they could resist the
call ; in fact, they would not be in a position to claim a share
in the dividend without such payment ; and, therefore, he
trusted the shareholders would at once consent to pay up the
call, which was to be a final one, and then the shares would be
paid up in full. (Hear, hear.) The next subject to which he
wished to call the attention of the meeting was a bill which
had recently been introduced into the House of Commons,
the reasons for which he was about to explain. A line was
required from the Crystal Palace to the west end, and a bill
was passed during the last session for the construction of a
line from a new station in Victoria-street, and also from a
station at Battersea-bridge. The Brighton Company had as-
sociated itself with that enterprise. The scheme had not pro-
ceeded with the vigour at first contemplated. Some discus-
sion had taken place, and it was thought that if the Brighton
Company were so desirous of adopting that nue, and re-
quired a west-end termini, the South-Western Company
and the Dover and continental traffic required the same
convenience. It was clear that a west-end terminus was
essential to the success of the Crystal Palace. Now, the
South-Western Company had a large piece of land unoccu-
pied, and they had always considered that it would be neces-
sary for further improvements ; and if the Brighton Com-
pany and the South-Eastern Company could make the Water-
loo terminus a terminus for the west-end traffic, it would b.
most desirable to do so. It would give the South-Western
Company 4i miles of additional traffic over their own line,
and must be much cheaper than the construction of a new
line from Clapham to Victoria-street and Battersea-bridge.
(Hear.) The South-Eastern Company were now competing
with the South-Western for traffic to Guildford, Godalming,
Farnborough, and some other places. Now, if that company
and the Brighton Company would consent to land their pas-
sengers at the Waterloo terminus, it would be absurd to com-
pete for the' traffic lodged at that terminus ; and the South-
Western directors, considering that such a project, if carried
out, would be beneficial to the shareholders of the company,
had thought it desirable to apply.to Parliament for a permis-
sive bill. He could not say that the project would terminate
satisfactorily, but the directors wished to be in a position to
entertain it ; and intended before going further to take the
opinion of the shareholders as to any agreement which they
might be able to effect with the other companies. Under
these circumstances he trusted they would excuse the direc-
tors for having gone to Parliament without their previous
sanction. (Hear.) Now, with respect to the Salisbury and
Basingstoke line, the bill introduced contained fifty-eight
sections, fifty-six of which related to the internal improve-
ments of the company, and wore intended. to place it in a
more satisfactory position. These were matters which did not
concern the public generally. Now, with respect to the com-
pletion of the line into Salisbury, the directors had agreed
to go from their terminus to a place called Fisherton. They
required an extension of time to purchase land between
Yeovil and Salisbury, and they had been unexpectedly met
by an opposition in Parliament by certain parties aocusing
the South-Western Company of a. breach of faith, and a want
of that honourable conduct which ought to be pursued by a
company.._. Having had-obst,,tilq_ laill, he was
expected
to lay the matter betbre the shareholdess„. so aseetani
their Wishes, in order that they might acquit themselves
honourably before the House of Commons. Those gentlemen
who had been conspicuous in opposing the bill, had stated
that they did not wish to oppose its progress, but they wished
it to be postponed for a month, in order that the matter
might be considered and the result reported to them. The
chairman coneluded by moving the adoption of the report.
A PROPRIETOR complained. that on certain portions of the

line there were a great number of unneeess:lry trains, and
suggested the propriety of running a less number at more
convenient times as a means of saving expense.

Mr. PUNCHER, after expressing in strong terms his disap-
proval of the recent decision of the House of Commons, said
he trusted the chairman would state his sentiments with re-
ference to the Dorchester extension.

The CHAIRMAN said that he had fully expressed his opinion
during the discussion in the House of Commons, and read to
the meeting a report of his speech on that occasion.
Mr. PUNCHER complained of the amount paid to the au.
ditors-3001., whilst the auditors to the North-Western and
Great Western Companies were paid only 1001. He wished to
knew whether the auditors had examined the items included
n the sum of 7621. for petty disbursements, and also whether
they had looked into the account for the 40,000 letter stamps.
Mr. Cross said the auditors certainly had not ascertained
exactly the number of postage stamps used. If they had
entered into such an examination as that, their time would
have been so fully occupied that they would have been unable
to attend to any other matter. Every item of the petty dis-
bursements had been fully examined. With respect to the
amount paid to the auditors of the other companies,,to which
allusion had been made, they were more honorary auditors
than anything else, and the accounts were made up by other
Parties. The expenses incurred in making up and auditing
such accounts was more than 1,2001. (Hear.)
Mr. Asintoas considered that certain members of the House
of Commons had taken a most unconstitutional course iu
opposing the bill now before Parliament. Every bill ought
to be judged per se on its own merits, and the course which
the house bad adopted amounted almost to a denial of jus-
tice. (Hear.) For the purpose of strengthening the hands
of the directors, he had drawn up the following resolutions,
which ho would now submit to the shareholders for their
adoption :

"That the shareholders of the South-Western Railway
Company have learnt with great surprise that certain mem-
bers of the House of Commons have obstructed the second
reading of the bill now before the house relating solely to the
internal affairs of the company, on the ground that the share-
holders had refused to adopt a pledge made by the Hon.
Francis Scott, M.P., late chairman of the company, to a
committee.

" That the shareholders conpider that their late chairman,
when he gate the pledge in question, ought to have stated
to the committee that the opinions of the shareholders were
greatly divided upon the subject, and that ho could only gi're
the pledge required of him subject to the decision of the
shareholders at large, to be ascertained at a meeting under
the Wharncliffe order.

" That the shareholders highly approve of the speech
of Mr. W. J. Chaplin, M.P., their present chairman, on
the motion for the second reading of the bill in question,
in which he stated that the objections of the shareholders
against extensions had increased fivefold since 1853.
" That the shareholders conceive it to be the duty of

the Legislature to decide upon the merits of each bill per,
se as presented to them, and that they ought to consider
that shareholders are a fluctuating and ever-changing body,
and that it is unjust to visit upon the proprietors of 1855
anreupposed errors committed by those of 1853.
" That the meeting considers that the conduct of those
members of Parliament who are trying to force upon this
company an enormously expensive line, against the opi.
nion of a great majority, already declared in the mode
pointed out by the law, to be most unconstitutional, and
the shareholders hereby express their firm determination
to adhere strictly to their non-extension policy, oven at
the risk of having the bill now before Parliament rejected."
Mr. PUNCHER seconded the resolutions.
The CHAIRMAN intimated that the resolutions could not be
entertained until the report should be disposed of.
Mr. HELPS said ho was a total stranger to the provisions
of the bill which had been referred to by tho chairman, and
ho thought the shareholders ought to have been consulted
before its introduction into Parliament.
The CHAIRMAN observed that the discussion with the
Brighton Company had taken place within the last three
weeks, and there had not been time to call the shareholders
together. The object of the directors had been to get the
bill into the House of Commons without loss of time.
Mr. CASTLEMAINE inquired if the passing of the Salisbury
and Andover Bill was absolutely essential to the completion
of the line ?
Mr. BIRCHAM (the solicitor to the company) did not exactly
know whether he ought to answer such a question. The di-
rectors deemed it desirable to go to Parliament ; but he could
not say that the bill was an absolute necessity. There were
certain lands near Salisbury which the company required, but
which they had not a compulsory power to take, and it was
thought expedient to pass an act for the purpose of obtaining
that power. At present the company had not power to get
this land to enable them to keep their engagement and open
the line in August, 1856; There were landowners in the way,
and the difficulty, perhaps, might be got over in the shape of
a fine, for these lands must be obtained. (Hear, hear.)
A PROPRIETOR expressed a hope that the outh-Eastern
Company would be parties to the arrauganent under the per-
missive bill to which the chairman had alluded.
The CHAIRMAN said he should be very glad indeed if that
were to be the case. (Hear, hear.)
The report was then adopted.
A dividend at the rate of 5 per cent. per annum, clear of
income-tax, was then declared, payable on and after the 26th
of February next.
A resolution was passed authorising the directors to pay
the call of 2/. 10s. to the North Devon Company.
The r.t;,•i•l7, dirr!,l. or.
_Zia) uaAii.,lA,N then reati reszdutions which bad been
proposed by Mr. Ashmore, the first of which had been Modi-
fied by the substitution of the word " opposed" for " ob.
,