The Sun.
London, England, 1856-08-29 00:00:00

Gaudy .

Bourgeois
Caliph ..

Nine ran.

EASTERN COUNTIES RAILWAY.

HALF-YEARLY MEETING.—(rms DAY.)
The fortieth half-yearly meeting of the shareholders
in this railway was held this afternoon, at the London
Tavern, Bishopsgate-street—Mr. Waddington, M.P., in
the chair.
The attendance of shareholders was not so numerous
as on former occasions. At the last meeting the room
was densely crowded an hour before the commencement
of the business, but today it was not three parts filled,
owing probably to the directors having departed from
the usual practice of forwarding passes to the country
shareholders, and the latter not considering the dividend
a sufficient inducement to incur the expense of attending
the meeting. The effect was that it did not partake of
that stormy character peculiar to these meetings.
The chairman and directors entered the room at one
o'clock, and took their seats in silence.
The report and statement of accounts, which have
already been published in The Sun, were taken as read.
The CHAIE3fAN, in moving the reception and adoption
of the report, said he very much regretted, both on his
own behalf and that of his colleagues, that the report
presented to the shareholders was not of a more satisfac-
tory nature, and it would be his duty to explain briefly
several points in connection with the report which had
attained such an extraordinary result. In the first place,
he called attention to the extraordinary expenditure that
had occurred this half-year,which was of an exceptionable
character, and would not occur again, and did not ap-
ply to the ordinary expenditure of the half-year. The
first item he referred to was that of 6,6661. 4s. 2d. in
excess this half-year for compensation for accidents ;
2,7311. Bs. 4d wages to guards, police, and points-
men, in consequence of the strong report of the Board
of Trade with regard to the line ; 2,6141. 14s. Od., the
expenses of the committee of investigation, which would
on the whole amount to 3,000/. ; and 5,2501. Mr.Gooch's
claim for commissions under arbitration, to which was
to be added 2,0001. that had already been paid him. Had
it not been for these extraordinary payments the direc.
tors would have been able to have paid a dividend of
3s. 6d. in-teed of 2s. The 11013. gentleman then referred
to the great outlay that had been necessary for the per-
manent way, which he was afraid he could not hold out
hopes would be much reduced next half-year,
and referred to various other items in the ac-
counts, observing that with regard to tlie working
expenses of railways it was unfair to make comparison
of the expenses of one company with that of another,
because it depended on the mileage to be worked in
earning traffic and length of line to be maintained, and
the various modes adopted by companies in keeping
their accounts and the manner in which they main-
tained their permanent way, He disapproved of
the present plan of maintaining the permanent
way, and thought it would be more advantageous
for all if a uniform system cou d be adopted. Gre t diffi-
culties had hitherto been felt with respect to their bor-
rowing powers. It was a subject well known to the
Investigation Committee, bat they usually abstained
from alluding to it in their report, because it might have
affected the credit of the company. Since then they
had been to Parliament, and although they met with
opposition they succeeded in obtaining their bill,
which defined their borrowing powers. In accordance
with that power would be asked for of the meeting
to borrow 112,6151. for the construction of works, &c.,
&c. He was happy to say the capital account, as re-
garded locomotive stock, was in a satisfactory state, and
aster a few other remarks, moved the adoption and re-
caption of the report. (Hear, hear.)
Mr. GooDsoN seconded the motion.
Mr. Mulles concurred in the idea of a uniform rate
of charge for working expenses, and it was the intention
of the Railway Reform Association to apply to
Parliament next seesion for a bill for that pur-
pose. He called upon them to att- mpt to stem the
system of parliamentary legislation, which had the effect
of infecting incalcillasle injury on the s'aareholder4. He
condemned the system of paying locomotive superinten-
dentsiark'e sums of money as that that had been p tid to
Mr. Gooch, because the construction of a locomotive en-
gine was as well known now and as simple as the making
a man's coat. He implored the meeting not to be deluded
by the statement of the Chairman, that the
changes alluded to by him were exceptional, as
experience showed them. Ile likewise condemned
the establishment of a suspense account.
Oil a former occasion the chairman led the meeting to
believe that the Government inspector's report, as to the
state of the line, was an exaggeration, and that 150,0001.
would put it in a proper state of repair ; but they now
found that was not so, for 175,0001. had been spent, and
more would be required. He defended the conduct of him-
self and °there in opposing, the bill referred to by the chair-
man on theground that if the powers were given to the board
the capital account would be increased, and he gave as
an instance of the soundness of that opinion that 100,000/.
had been borrowed since the passing of the act, and they
were asked to sanction the borrowing of 112,0001. He
concluded by moving the following resolution :
"That it is the opinion of this meeting that the disas-
trous position of the Eastern Counties Railway property
proves the inability of the present board to manage its
affairs advantageously, or to do it justice, and therefore a
change is imperative, to the extent of four directors at
least, and that a committee be formed of twelve proprie-
tors, to consult with the Board of Directors as to whom of
their body shall retire ; and that the same committee shall
suggest to the shareholders the names of four gentlemen
to fill up the vacancies to be thus created. That this
meeting be adjourned to Thurstla, the 11th day of Sept.,
at one o'clock precisely, to fill up the vacancies in the
board thus created ; and such names to be advertised
prior to the general meeting."
The CLUBMAN said it would 13,3 illega! to adjourn the
meeting, as proposed by the mover of the resolution.
Mr. MALINS then consented to strike it out. He
referred to the evils of the practice of railway directors
and others passing free over the line, and he called
on the meeting to agree to a resolution, that no person
should travel free over their line (not even Directors)
unless the line paid 4 per cent. If the Directors tra-
velled on the business of the company let them
pay their expenses and afterwards be repaid.
(Hear, bear.) The honourable gentleman next re-
ferred to the rates .of eaariago paid by coal contractors
-viz., 100 tons of coal 100 miles at 3 10.1. per ton,
which, he said, was not sufficiently remunerative. He
considered that the time had art ived when it
was necessary to have an entire change in the manage-
ment of the railway, and to effect that they should
introduce a number of new men into the directory.
(Hear, hear.) He recommended the shareholders to elect
Mr. Walters a director in the room of Mr. Margrave, who
had resigned. In allusion to his resolution Mr. Mains
said that he withdrew that part relative to the adjourn-
ment on the understanding that a special meeting, as
was necessary would be called for the purpose.
A. Shareholder—It is a vote of censure on the direc-
tors. (Cheers.)
Mr. Mums said he could not help that, He did not
move it in that sense, but as a measure for the improve-
ment of their property. (Cheers.)
Dr. REILLY seconded Mr. Melina'e resolution
On the CRAIR3IAN putting the
resolution for the re-
ception and adoption of the report
Mr. BRUCE (director) objected to the policy t off
the board generally, especially the.
payment for ten years of the cost of the
repairsPe m e e postponement
thee
permanent way. He ventured to assert that
the
penditure necessary for putting the permanent way-
into complete repair, would exceed 200,0001.
Mr. MITCHELL called attention to the state of the
accounts, which, he contended, showed that they did
business without profits, and the dividend was in an in.
verse ratio to the gross receipts. A little personal
invective bad been displayed on former occasions against
the chairman, and he had been loaded with the sins of
all, but they must not look at it in that light, or that the
directors generally were mere automatons—that "he
(the chairman) had piped and they had danced"
but all were responsible alike, and he called on them all
to resign, and let the administration pass into new
hands.

Mr. LOVE addressed the meeting at some length on
the financial state of the company, pointing out the
errors that had been committed in charging to capital
what:.s ought to have been paid out of revenue, and vice
Z .(!- Re also condemned the system of audit adopted
by
.Lre a auditory.
Mr. . Tozer considered that on the whole it would be
better fnd.or the meeting to adopt the report and take the
Re vid
stitutiou of theaxiggested alterations relative to the con-
that he thought Zoutly, and the working of the line,
holders in procuring for bth advantageous to the share-
good dividend.
After some remarks fromellasaaor PALMER,
A DIRECTOR from the
directionrsUnion Railway de-
fended the conduct of the
, and amidst much
amusement declared the Eastern Counties Railway
a very excellent prc petty, and was improving every.. day.wlls
After some further remarks from anotherrirstoporfietor,
The CHAIR3fAS said her had a very
tions to reply to, but before doing song
he reinactliredg-
that he thought they would agree with him that after
what they had heard they must begin todoubtifa remtant
of their property mail 'eft. He went through the state-
inmate made by th tprevious speakers, and defended th