The Sun.
London, England, 1846-10-21 00:00:00

TIM MADRID AND VALENCIA
AILWAY.
A special meeting of the shareholders in this Com-
pany was held, at one o'clock yesterduy, at the London
Tavern, to hear a statement from the chairman, William
Chadwick, Esq.; who has been recently in Madrid on the
affairs of the Company. A considerable number of
shareholders were present.
Mr. FOWELL, the secretary, having read the advertise •
meat convening the meeting, proceeded to read the re-
port as follows :
" The directors have, through the personal interven-
tion of their chairman, Mr. Chadwick, made the most
important and satisfactory arrangements with the board
of the Spanish directors, at a meeting held at Madrid on
the 25th of September last.
"At which meeting it was resolved and confirmed by
a written engagement of all the board,
"That 27,000 shares should be forthwith taken up
and paid on at par, that being the proportionate number
set apart rateably to those subscribed for in England, in
accordance with the sth article in the concession, as
follows:
" The Company is hereby bound to admit such
Spanish capitalists as may require it, to a participation
in this enterprise, to the extent of one-third of the shares
of the Company.'
" The Spanish direction have, in conformity with this
article, met the terms of the concession.
" His Excellency Senor Don Luis Mayans, the chair-
man, reported—
" That by the advice of Mr. Chadwick the members of
their board had felt it their duty to memorialise the Go-
vernment to authorise the Company to carry out the
work of the whole line by sections.
" This important modification having been conceded,
the directors are satisfied that they can at once under-
take that valuable section of the line extending over 271
miles of the most productive portion of the country, con-
necting Valencia with San Felipe, and from the reports
made by the engineers, and confirmed by the personal
investigation of Mr. Chadwick, the directors feel confi-
dent that the profits on this section will, in a short time,
enable the Company to divide a very considerable
dividend.
" They likewise recommend the construction of that
part of the line between Pinto and the Tagus.
" In consequence of the great facilities afforded by the
Spanish Government for carrying out the undertaking,
the directors do not deem it expedient in the existing
state of the money market to issue any more shares at
present ; but those unappropriated will, at a future
period, should their expectations be realised, be offered
in the shape of a boon or bonus to the shareholders in
rateable proportions.
"The directors cannot, however, e-mclude their report
without reiterating their undiminished confidence in the
merits of this project, for, in addition to the presont •
extensive local traffic to the port of Valencia, in corn,
rice, and fruit, a large increase must arise from this
being the through line for railway commueication to and
from France and Spain, as well as the main trunk line
for the traffic from the Mediterranean coast to Madrid
and the interior.
"The directors have the folleA confidence that the
funds in hand will amply meet all engagements for the
carrying on the works of the sections alluded to during
the next twelve months, consequently there will be no
necessity for any call on the shareholders within that
period."
.The report was received with loud applause and a few

hisses.
The CHAIRMAN said. when the directors last had the
pleasure of meeting the shareholders it was thought
desirable not to proceed with the undertaking until a
further application wasueade to the Spaniards, in order
to know what amount of capital they were willing
to take up. The directors, however, upon a
full consideration of the subject, thought there was ono
point far more important than that, namele, the possi-
bility of carrying out the works of the line by sections,
and thereby showing the Spaniards if they once had a
line in that company how to appreciate it. There was
no doubt in the world, when the line was made, ti at
there would be such an' amount of traffic from other dis-
tricts of the country as would defray aluost any
amount of outlay; but the difficulties of the country in
many parts were of such a nature as to prevent lines
from paying an adequate sum for the large eutlay neces-
sary for the construction of the works Having recently
gone over the country traversed by their line, he must
say his previous opinions were confirmed, that it was of e
which would yield an ample return for the capital invested
in it. But there was one feature which he begged t
put strongly before the meeting; it was this—that he
was deeply confident that the only line by which the
capital of Spain could be reached from other parts of
Europe, namely, through France, was by a coast line.
It was quite impossible to surmount the difficulties of
the !Pyrenees in going from Bayonne, they must go
along the coast of the Mediterranean. He was not. pre-
viously aware of that fact, but he now found that it
would materially ant? beneficially affect their stool>.
especially when they considered that they shook
not only have the local traffic, but the prin •
cipal traffic from France, and consequently from
any part of Europe, the traffic must pass along the coast
from Valencia to Madrid. This was a fact which cer-
tainly added materially to the value of th ir company.—
(Cheers.) He hoped they would believe that the direc-
tors had one fee ing in common with the share-
holders. They (the directors) had embarked their
capital in it, and had given up a great deal of
time to the transaction of its affairs, and he
and his friends would not remain in it another day un-
less they considered it would ultimately yield them a
fair return of their time and trouble.—(Hear.) In order
not to take up time he would, as a matter of form, read
two resolutions which he would submit to the meeting.
The first was that the report be received and
adopted, and the second that on the pay-
ment of 27,000 shares at par in Spain,
wlhe.directors be empowered to carry out those sections
might appear to them best calculated to promote
the
In reply
of the undertaking.
ly
to
questions, the CHAIRMAN intimated that the
occupy
execution of the first section of twenty-seven miles would
not more than twelve months, but as railways of
course were new in Span, it was possible they might
not get possession of the land so soon as they
could in this country, not, however, more than twelve
months after obtaining, possession of the land. They
should commence at once if they had the land. Parties
were now endeavouring to obtain a concession for a line
between Barcelona and Valencia. They were aware
that a line, under the auspices of Mr. Locke. had been
commenced between Barcelona and Matera, which was a
very fair line. The expenses up to that time did not
amount to more than from 2s. to 3s. a share.—(Cheers.)
Air. RICHARDSON wished to ask several questions
of the utmost importance. He wished to know if he was
correct in supposing that they had paid 30,0001. of the
property of shareholders in -Englaud to the Spanish
Government ?
The CHAIRMAN—NO but I will h( ar you out.
Mr. RICHIRDSoN said it was of the utmost im-
portance that the shareholders should be set perfectly
right on this point, because if they had paid the Spanish
Government a large sum of money, he entertained great
doubts if they would ever be able to get it out of their
hands again.—(Laughter and cheers.) If they had
paid it he apprehended the majority of the meet-
ing would be glad to get as much of it back
tgein as possible. The directors proceeded upon
he assumption that the line was a most
desirable one; now be (Mr. Richardson) proceeded upon
the very contrary assumption.—(Cheers.) So bad a"
opinion did he entertain of it, that he cons; lered they
would he unable to complete the first section. If they
doubted this let them look to the state of opinion at thu
present moment—to the matrimonial alliances.—(" Ques-
tion, question.") It was the question; he was one of
those who would ask a question df a chairman, and be
satisfied with any reply he might think proper to give.
He repeated that he wished to know whether a certain
sum of money had been deposited with the Spanish Go-
vernment, and if so, what legitimate prospect there was
of the British public receiving a dividend ? He wished
to God that the capitalists of England would not invest
their money in foreign railways.—(" Why did you ?")
Let them keep their money in their own
pockets, in their own country, and whilst they
had 16,000,0001. in the Bank they need not fear a mo-
netary crisis.—(Hear.) Every railway made in a fo-
reign country was an injury to those at home.—(Laugh
ter and cries of " No, no.") He would not, however,
debate that question. If they could get their money
hack again, he, for one, would say, pay Mr. Chadwick,
who had gone to Spain for the Company, and the di
rectors handsomely for their trouble ; but, whatever
you do, let us have some of our money back again.
The CHAIRMAN explained that 30,000/. had been de-
posited as " caution " money. He apprehended that
they 'had not met to consider whether they should go
into a foreign railway, as they were in a foreign rail-
way already.—(Hear, hear, and uproar.) They should
consider what was best to be done under the circum-
stances which the directors had detailed to them in
their report. They did not dictate to the shareholders,
but were ready to adopt any course they might think
proper to prescribe,
Dr. BoWRING, M P., said that they were involved in
this undertaking, and they had met the directors, who
had furnished tnem with reasons for proceeding or not
proceeding. He should have been glad of some more
information from the chairman and the directors.—
(Hear, hear.) He did not complain of the deposit, be-
cause it was usual for foreign Governments to render the
deposit of a large sum of money necessary as a pledge of
the good faith of the parties negotiating with them. They
were exacted by foreign Governments, who interfered
more in these matters than the Government at home.
Had the Spanish Government offered any interest on
the money so deposited ?
Mr. WALEY, a director, said the Spanish Government
had not received a farthing of the money which was de-
posited in the Bank of England in the name of the Chair-
man, the concessionaire, and the Duke Sotomayar.
Mr. RicHA.RDSON said, supposing the money was paid
into the Bank of England in the name of the Spanish
Government, how were they to get it out ?..
The CHAIRMAN said the Spanish authorities here
would wait until they received instructions from the
Court of Spain before they released the money.
A SHAREHOLDER wished to know if the Company
was broken up what they would get?
The CHAIRMAN said abcut 12s. per share, after de-
ducting the expenses.
Another SHAREHOLDER considered that those who
wished to withdraw from the Company, and receive the
residue of their deposits, should have the op-
tion of doing so. The directors were bound in honour
to afford such the opportunity of withdrawing.
Dr. BOWRING understood that the 30,0001. was bond
money, deposited in the Bank of England in order to
give security to whatever, arrangements the Company
might enter into with the Spanish Government.
(Hear, hear.) If they did not proceed they would
lose this money, as it was a pledge which they had given
for the execution of the works. And then they came to
the consideration, whether, all matters weighed, it was
better to proceed or withdraw. The report reflected