The Sun.
London, England, 1866-01-12 00:00:00

called out " Peace," and others asked them to re-
main quiescent and do nothing. (A voice—" Not
peace at any price.") It was possible they might
be more largely increased in Brighton than they
were in South-Eastern stock, and were influenced
by considerations of that nature. (Hear, hear.)
But they were there solely as defenders and pro-
moters of South-Eastern interests, and as they saw
the traffic assailed and likely to be abstracted, they
were compelled to look out for new traffic to supply
its place. The Brighton Company, by their re-
peated violations of agreements, bad set them en-
tirely free from all obligations to them—(hear, hear)
—and they must see if they could not extend their
accommodation in the interest of the public as well
as of themselves, and thereby obtain a large acces-
sion of new customers from entirely new quarters.
(Hear, hear.) Reference had been made in the cir-
culars addressed to the proprietors by Mr. Bell to
the large expenditure incurred by the company in
providing the new termini at Charing-cross and in
Cannon-street. It was quite true that the expendi-
ture had greatly exceeded the original estimate—
(hear, hear)—but a far larger amount of accommo-
dation was afforded than was originally contem-
plated. He then read a letter from Mr. Hawkshaw,
the engineer, which stated that the Charing-cross
main line of railway, extending from London-bridge
to Charing-cross, as well as the city extension into
Cannon-street, were both designed and originally
estimated for two lines of way only, with stations
of moderate size at Cannon-street and Charing-
cross. These works had been increased from time
to time to three lines of way south of the Thames,
to four lines of way across the Thames at Hunger-
ford, and to five lines of way across the Thames at
Cannon-street, and the stations both at Cannon-
street and at Charing-cross were about double the
size-originally proposed and for which the Parlia-
mentary estimates were made. In addition to this it
had been necessary to provide locomotive depots on
the south bank of the Thames. The works, there-
fore, had been nearly doubled in magnitude, and
this fully accounted for the increased expenditure
on that head. The increased quantity of land re-
quisite for the additional lines of way and enlarged
stations necessarily swelled the amount to be paid
for land ; but on this item it was necessary to ob-
serve that in the neighbourhood of the works the
cost of property ever since the first Act for the
Charing-cross Railway was obtained had been
rapidly increasing. Mr. Hawkshaw believed the
directors adopted a wise course in increasing the
amount of accommodation on these lines to the ex-
tent they had done. He regretted that these ter-
mini had been so costly, but the provision of them
had become absolutely indispensable for a first-
class line. (Cheers.) Had they remained cooped up
at Loudon-bridge while all the other large compa-
n es were forcing their way into the central parts of
London, they must have seen the best part of that
traffic leaving them for other routes. They had
secured, without exception, the two best and most
centrally situated railway termini in the metropolis,
and they must now exert themselves to make the
most of them. (Hear, hear.) With that object
they had again projected the extension of the Mid-
Kent line into Croydon, and, should they succeed,
but few Croydon passengers whose destination was
the city would travel by the other line and stop
short at London-bridge, when they could carry them
directly into Cannon-street. The proposed new
lines to Brighton, as well as to Clapham, Kenning-
ton, and Brixton, which they proposed to promote,
would also furnish a very large accession of traffic
for the new termini, which could not be otherwise

than most profitable. By the connexions of the
proposed Brighton line, Brighton passengers would
have direct access to the five first-class stations

at London-bridge, Cannon-street, Farringdon-
street, Charing-cross, and Victoria, as well as to
fifty other stations in London and the suburbs.
It had been assumed that the expenditure in-
curred on the city terminus and works would be un-
productive, and that there would be next to no traf-
fic carried upon the line between Cannon-street
and Charing-cross; at least no mention was made
of it in the adverse circulars ; but it was only neces-
sary to point to the tens of thousands of persons
daily travelling between these two points—to the
numbers who crowded the omnibuses and the boats,
to show that there already existed an immense
traffic between the city and Charing-cross, and that
if they did not get a very large share of that traffic it
would be the fault of their own arrangement. With
trains running every ten minutes, and doing the
journey in about five minutes, so much faster than
either boats, or omnibuses, or cabs would do the
distance, it was his belief that they would have a
very large accession of remunerative traffic as soon
as the Charing-cross line connecting it with the
city was opened to the public. The opening of the
Cannon-street station, in connexion with the new
line through Mid-Kent, whereby the distance to
Ramsgate and Margate by the South Eastern Rail-
way would be shortened by about 13 miles, must
also have the effect of enabling them to recover
much of the traffic to those places which they had
lost since the opening of the Kent Coast Railway.
There was also the increase to be anticipated on the
opening of the Cannon-street station such as they
had experienced since the opening of the Charing-
cross station, in consequence of its greater conve-

nience to the public, and which would place the
South Eastern line at a great advantage compared
with other routes to Gravesend, Woolwich, and
Greenwich, as well as other places where they com-
peted for traffic with adjoining companies. Their
general manager had handed him an estimate of the
probable increase from these sources, to this effect :
That the opening of the Cannon-street terminus
would give an increase in net receipts of about
£51,000 a year ; Lewisham and Tunbridge direct,
£45,600; Lewisham and Dartford, £22,800; and
the Cranbrook, Woolwich, and AV esterham
branches, £15,750, or an estimated total increase

of about £138,000 per annum, but he(the chair-
man) trusted that this estimate would be very con-
siderably exceeded. These were their general views
as to the present position and policy of the company
which they recommended for approval and adoption.
(Cheers.) His friend the deputy chairman had sug-
gested that in order to place the board as much as

possible in accord with the proprietors, four of the
present directors should retire and make room for
four new directors, two representing the Northern
_ _

interest, and two the London and Southern interest.
The subject had also received the consideration of
the board, who had passed a resolution to the effect

that four of the present directors retire and give
place to four to be chosen out of the number of
shareholders holding thelargest amounts of the con-

solidated stock of the company. He concluded by
proposing the following resolution :—" That this
meeting commits the policy of the company to the
board, and pledges to it a cordial support in protect..
ing the rights and interests of the proprietors at
large ; and that this meeting approves the resolution
of the directors in reference to the reorganisation of
the board." (Cheers.)
Mr. WATKIN, M.P., deputy-chairman, seconded
the motion.

Mr. BELL thought as the holding of shareholders
had been alluded to, the directors ought to state
their holding in the stock of the company.
The CITAIIIMANSaid he held £5,000 ordinary stock,
and about £5,000 of preference, and other stocks,
making altogether £lO,OOO stock in the company.
Mr. WATKIN said he held £4,700 ordinary stock.-
in the company, and also he held in trust for four

members of his family £6,550 of theirstock, making
together £11,250. (Hear.)

Mr. A. BEATTIE, a director, said he held £3,500
of the ordinary stock, and no stock in either the
Brighton, or the London, Chatham, and Dover
Companies. He said a duty had devolved upon him
to give some information with regard to the bills
they were promoting in Parliament on their own
account and in conjunction with other companies.
There were only two bills promoted by the South-
Eastern Company. One was a bill for powers to
connect the two ends of the Greenwich branch line
granted last session ; and the other bill was for
powers to extend the Mid-Kent Railway through
Croydon to the Caterham Branch, and to a junction
with the company's main line south of that place.
Those two bills would require a share capital of
£774,000, end the usual borrowing powers of one-
third the capital. The other bills were stated inthe

circular. One was for making a line from Becken-
ham to Lewes and Brighton, in conjunction with
the London, Chatham, and Dover Company. That
line would require a share capital of £2,250,000,
and the usual borrowing powers of one-third that
amount. A line promoted by an independent com-
pany would require a capital of £300,000 and one-
third borrowing powers. The line between the city,
Kennington, Clapham, and Brixton would require
a capital of £2,000,000, together with the usual one-
third for borrowing powers. Those were the bills
they were promoting—first by themselves, and se-
condly in conjunction with the London, Chatham,
and Dover Company. There was another bill for
working arrangements with the North-western and
Charing-cross Company which was not in a shape
to deal with at present. Now, those were very large
and important measures. He contended that the
Brighton Company were not justified in supporting
the Surrey and Sussex scheme, and afterwards in
obtaining possession of their line. The South-
Eastern Company were thus forced to take steps to
retrieve the traffic which would be taken from them
by that line. When their traffic was assailed they
could not be expected to sit still and do nothing. They
had therefore projected a new line to Brighton, which
had the largest pleasure traffic of any town in Eng-
land, and they could afford Brighton passengers ac-
cess to Cannon-street, Ludgate-hill, Charing-cross,
and other stations in London. The South-Eastern
Company had heretofore abstained from obtaining
traffic in the South London in order to keep peace
with the Brighton Company. By making a line beyond
Baiham to the lower side of the hill near the Star
and Garter, Richmond, they would be enabled to
accommodate a very large traffic, and thus very
much relieve the crowded station at Waterloo.
They had offered the South-Western Company to
come into the station at Cannon-street, but they
had not accepted it ; that company had, however,
made an agreement with the London, Chatharri, and
Dover to use the Ludgate Station. To protect the
interests of the shareholders the directors had pro-
moted a line to Croydon, and another line into
Brighton. (Hear.) It was for the proprietors to
determine whether they would sanction those mea-
sures. He was very sorry that they had been com-
pelled to promote them, as they would much rather
have been at peace with their neighbours. He then
alluded to the circular issued by Mr. Bell, in which
he said there were certain errors as to the financial
position of the South-Eastern Company, particularly
with respect to estimating their future dividends at
£1 Is. 10d. per cent. subject to certain traffic. The
Brighton Company were now making the Surrey
and Sussex line from near Croydon straight to Tun-
bridge, which Mr. Bell seemed to consider was per-
fectly valid. The making of: that line had led to
other agreements with the Chatham Company.
Dr. BEATTIE wished to know whether there had
been any communication with the South-Western
Company as to the extension line to Richmond.
The CHAIR3IAN said there had.
Dr. BEATTIE believed that the Brighton and
South- Western Company had been asked a very
large sum for access to the Cannon-street Station.
He held nothing in the Brighton line ; but he had
stock in the South-Western, and, therefore, felt in-
terested in both companies.
Mr. FIELDER believed that one of their own
directors had given evidence in favour of the Surrey
and Sussex line. He represented several Brighton
shareholders, who regretted the present hostile pro-
ceedings between the two companies.
Mr. C. BELL moved an amendment, to the effect
that the meeting having heard the explanations of
the chairman it was expedient that the bill referred
to in the circular be not proceeded with, save and
except the " Further Powers Bill" for forming the
middle portion of the Greenwich branch line, in
order to join the two ends of it, which were sanc-
tioned by Parliament last session. He then went
into a history of the company since 1853, when
there was a line submitted to the board for accom-
modating East Kent, which they might have had in
their own hands for £350,000, or purchased it by
giving a guarantee of 4 per cent. on its cost. It was
promoted by Lord Sondes and other landowners,
and the contractors were Messrs. Wythes, Trcd well,
and Jackson, who were then willing to make the line
for that sum, as part of a direct inland line to Do-
ver. He happened to be the negotiator with the
South Eastern Board in respect of the line, and he
told them at the time that they were wrong in re-
fusing to accept the offer of the promoters. If the
Board had not fallen into that fatal error and
adopted a mistaken policy, they would never have
heard anything about the Chatham agreement. He
had pointed out in his circular that the proposed
now scheme of the company would involve an addi-
tional outlay of £7,080,000, but Mr. Smiles had
stated that it was not so ; but he contended from
the preambles of the bills that the figures in his cir-
cular were so far correct. It was not likely the
proposed railways could be made for double the sum
specified to make incursions on their neighbours.
He thought it was rather late to ask the share-
holders their opinion of those measures after the

Board had incurred an expenditure for surveys,
plans, &c., of between £20,000 and £30,000 in pro-
moting those measures. There might have been some
errors in his figures with regard to the revenue ex-

penses of the company, but the result of the opera-
tions showed him that there would not remain much
over 1 per cent. for the ordinary stock. He did not
know what might be done by suspense accounts, but
that was the result of his investigation. Mr. Watkin
had told them at Liverpool or Manchester the divi-
dend would be nearer £4 9s. 6d. per cent. than what
he (Mr. Bell) had stated. In alluding to this sub-
ject, a writer in the Times, who had written a series
of articles on the principal lines in England and
France, and who had, no doubt, the Board of Trade
returns and official documents to refer to, had ar-
rived at the conclusion that the South-Eastern divi-

dend would be reduced to 2 per cent. He (Mr. Bell)
had stated in his circular that he had not put down
anything in his estimate for prospective traffic. He
considered the estimate of the directors as not re-

liable, because if he referred back to the Charing-
cross estimates there would be found ample proof of
that. The estimate of £138,000 for expected traffic
if it should hereafter prove to be erroneous, the share-
holders would be told was merely approximate, and
therefore nothing wrong, but he thought it was a
very doubtful estimate. It was stated at the meeting
in Liverpool that the effect of the agitation he was
connected with had reduced the price of the stock in

the market from 78 to 73 ; but he (Mr. Bell) con-
tended that it was only part of a general fall
in the price of the South-Eastern stock ever since

1863, when the price stood at 95, and, therefore,
the agitation had nothing to do with the continued

fall in price. He maintained that the Brighton
Company in supporting and making the Surrey and
Sussex line had not committed a breach of faith.
That matter had been tried before the House of
Lords, who were very strict in such matters, and
had been given in favour of the Brighton Company.
The latter company were at Hastings before the
South-Eastern, and therefore were entitled to
shorten the distance to that place when the oppor-
tunity occurred. The directors had commenced the
Charing-cross scheme by asking the shareholders to
subscribe £300,000, and they ended by adding the
Cannon-street Railway to the undertaking, and in-
volving them altogether in an outlay of £4,000,000
on that account. He wished to know what the pro-
position of placing four new directorS on the Board
had to do with the question before them. He and

his friends asked them to abandon five bills, and the
Board proposed to abandon four of the present di-
rectors and elect four new ones. He had nothing
to say against Mr. Smiles nor against the Board,
but he felt that there was some unseen influence

that misled them. He believed if his amendment

were,adopted some arrangement would be come to

with a view to peace. (Cheers.)
Mr. Alderman WiLsoN, of Brighton, seconded the
amendment. He was a large shareholder in the

South-Eastern, he held stock-in the Brighton, and
much more in the London, Chatham, and Dover,
and was of opinion that the proposed railway to
Brighton would be perfectly valueless.
Mr. WATKIN, M.P., complimented Mr. Bell on
the gentlemanly manner in which he had conducted
his opposition to the measures of the Board. He

was glad that the business of the meeting had been
carried on in a calm and temperate manner. It was