The Sun.
London, England, 1850-01-10 00:00:00

tri4 litittiott

SAMBRE AND MEUSE RAILWAY.
(THIS DAY.)
The half-yearly meeting of this company was held
to-day, at one o'clock, at the offices, 61, Moorgate-
street, Mr. W. P. Richards in the chair. About
twenty proprietors were present at the appointed hour.
The CHAIRMAN read the report, which wa3 very
voluminous. Its most important and interesting fea-

tures will be found below :
" The report presented to the general meeting, held in
July, informed the proprietors of the insufficiency and
the unremunerating character of the traffic as carried on
the line at that time; it also stated some of the causes to

which the former was to be attributed, and showed how

injuriously the new tariff, reluctantly accepted by the
company, operated upon the other; at the same time the
directors stated that they had given notice of their inten-
tion to require a modification of the tariff at the proper
time, and expressed their confidence in the justice of
the Belgian Government making such fresh ar-
rangements as would approach nearer the girit
~f the original compact. They have much pleasure
in stating that they have not been deceived in their ex
rectation made by the Preside:lt to the committee of
proprietors on his return from Belgium, on a mission
umiertaken with the intention of discussing the subject
:rich the Minister of Public Works. From that state-

relent it will appear that Mr. Sheward, the resident
director of this cempany in Belgium, is fully persuaded
that the tariff, as at present modified, will enable him to
work the line with a small amount of profit, after meet-
ing every outgoing, it' the strictest economy is practised
a k the present dimit is',ed traffic is maintained.
" The measure of economy in removing the Siege of
he-Company from a hired office in Brusiels to their
own premises at Jardinet, as authorised at the last
general meeting, has been carried out, the directors are
much indebted to the Minister of Public Works for his
valuable assistance in promoting this new arrangement.
" The directors, in their last report, expressed
!heir regret that they had not succeeded in making
my arrangement with the contractors, with whom
they had several matters in dispute, and lamented
that the conciliatory spirit with which they were
then disposed to terminate those disagreements
end not been met by a corresponding feeling; they have
low to state, that a proposition has been under discus-
-don for some time and agreed to by the contractors,
ehilst the directors have declined to accede to it, with-
out the authority of the proprietors at a general meet-
rg, as the present-position of the company, and of the
directors more especially, makes it desirable that the
epinion of the shareholders should sanction an action of
so much importance.
"The contractors claim the right, under their contract,
to ccmplete the whole line from Marchiennes to Vi-
-eux, at prices and with advantages which, under
altered circumstances, are considerably more beneficiai
to them than would be granted if a new contract were
ie be formed. The contractors undertook this large
work without adequate means, and increased their
iiebilities by purchasing the works at Thy le Cha
tau end acme mines, intending to make them subsidiary
ei their operations on the railway. At a critical perioe
:he pecuniary accommodation which had supported
rhem was suddenly withdrawn; as a consequence the
works of the railway must have stopped at a time
hen every one was most anxious to have them com-
pleted. To obviate this serious evil, it was then con-
,idered, the directors consented to advance a con-
idcre.ble SUM of money, to be repaid as the works
proceeded, on security which was carefully inquired into
,nd its value duly vouched for by the Belgian solicitor
,t the company and their agent at Brussels. It turns
cut that the security is such, that it is impossible to
-valise it i❑ the present depressed state of affairs in
Belgium. The regular continuation of the railway
would have given the contractors advantages and pos
.ibly enabled them to fulfil their engagements; that,
owev r, is problematical, whilst it is most undesirable
to continue any connexion with embarrassed contractors,
t high r , rites than present circumstances would justify
in a new engagement.
" It is unnec, ssary to enumerate the various securities
which were given to the company by the contractors, or
he circumstances which have rendered them of little or
no value; excepting as regards 2,240 shares of this corn-
-oany, on which has been paid about 161. each as calls,
but which at present are of no value, the subsequent
ealls being in arrear. The legality of the contractors'
claims is contestable, but to litigate it would involve the
company in much inconvenience, and interfere with any
plan for forwarding the works on the second section ot
lie line; on the other hand, it is obviously the interest
of the contractors to free their securities from the
claims of the company, in order to a more speedy
settlement of their affairs with others. It has, there-
'ore, been proposed that the contractors should abandon
dl claims they may possess under the contract, and all
eller claims of every description, and also to abandon
1,000 of their shares to the come any. Tho company, on
he other hand, is to give up all pecuniary claims on the
,ontractors, to surrender all the securities they hold,
.nd the remainder of the shares, to:the extent of 1,240,
if paid in full. The directors, on behalf of the corn-
,any, claim from 20,0001. to 24,000/. as due from the
,cntractors. A substantive resolution will be offered to
your consideration on this subject.
"Referring once more to the report of July, the con-
sideration of the means of completing the line to Vireux
Anna be much longer deferred, the Belgian Govern-
drent is anxious about a e ork so inapertant in its imeno
gate effect on the labouring population of the districe
aid the ultimate benefit it will confi r on the mining in-
erects, and many circurastatces not peculiar to this,
;mpany help to complicate the difficulties of raising ad •
hrionul capital, and the directors cannot disguise the
'act, that wi:hout the assistance of the Belgian Govern
went much time will elapse before this can be effected.
"Already, nighty thousand pounds have been ex-
pended on the second section of the line. It is confi-
lastly asserted by the engineer that a further sum of one
nuedred and sixty thousand pounds will suffice to open
he main lino to Vireux, if certain alteratic ns in the
original plan are allowed to be made; but it will be pru-
lent to assume this sum at two hundred thousand
pounds.
In order to give some approximate estimate of the
receipts on the line ,when open to Vireux, there is ap-
ended to this report a reprint of the summary ot
,raffic, as stated in Mr. Sopwith's original report made
.n 1844. The amount of the figures is 56,0001. If the
present traffic is estimated at 10,0001., the gross receipts
will amount to 66,0001. The working expenses, at a
slow rate of speed, need not exceed 18,0001. to 20,0001.
per annum, when compared with the outgoings of the
first section, leaving an ample margin to secure the pay-
ment of interest on two hundred thousand pounds, sup-
posing any dependence can be placed on the inquiries
end estimated traffic of Mr. Sopwith.
" The benefit to a❑ important portion of Belgium, to
be derived from this railway, will be very great, and the
income sufficient to destroy all risk; it is, therefore, that
[he directors are not without hope that the shareholder:
.and other capitalists of this country may be induced to
provide the necessary funds, and that the Belgian Go
vernment will guarantee a minimum rate of interest to
protect them from all uncertainty of fair remuneration.
with the chance of great profits."
A lengthy report from Mr. Sheward, the resident
director of the line, dated from Jardinet, Jan. 2,
1850, which dealt with the matters alluded to and
explained in the official report of the directors, was
then read.
The following is an abstract of the accounts :
" Share Capital Account —Sept. 30,1849—T0 amount
of calls made at 201. per share on 31,000 shares,
620,0001.; by amount of calla received, 613,5201.; by
ditto, on shares reserved for the contractors, 6,4801.
" Construction and Traffic Account Receipts,
654,428/. Iss. 9d.; expenditure, 619,8361. 3s. 5d.; by
balance, viz., amount deposited with the French Govern.
moat, 2,000/., ditto, advanced to the contractors, 30,142/.
Bs. 10d., ditto, of cash, 2,450/. 35. 6d.-34,592/. 12s. 41;
total, 654,4281. 15s. 9d.
" Approximate Statement—To the 31st Dec., 1849
Receipts, 38,2301. Os. 5d.; Expenditure, 4,485/. 2s. Id,;
by balance, viz., amount with the French Government,
2,0001., ditto, contractors, 30,142/. Bs. 10d., ditto, by
cash, 1,602/. 9s. 6d.; total, 38,2301. Os. sd.
"Debts, 4,2241. 16s. 1061.; available—cash, 1,6021. 9s.
ed., sums due, 1,612/.. 9s. 10d,
" The passenger and goods traffic during the year had
amounted to 7,6301. ss. 7d. from Jan. to Dec., 1849.
The CHAIRMAN addressed the proprietors, and said
he liked their present position better than when he left
Brussels, whence he had gone to assist Mr. Sheward
in promoting a suitable arrangement with the Belgian
Government ; and they were much indebted to the
Belgian Minister of Public Works, who bad given up
his favourite plan of an universal railway tariff,
in order that he might not break faith with
the company. Two important questions were
submitted to their consideration in the report, viz ,
the settlement of the claims of the contractors, and
the creation of new capital in order to carry on the
line to Vireux. These were matters which the
directors left entirely to the decision of
the proprietors. Unless they carried the
line to Vireux, they could not expect
any remuneration for the capital they had invested in
the undertaking. His own opinion was that they
should unquestionably do so.—(Hear.) They would
thus complete their original line, and carry coals
and other minerals into France. There were difficul-
ties in the way of raising additional capital, because
their present position was by no means favourable
to that view, though by no means unpromising.
The Belgian Government had done much to disgust
and damp English speculation. Belgium acted rather
on the principle of compulsion than of conciliation or
kindness.—(llear, hear.) Now, he considered that
it was to the interest cf the Belgian Government to
lend a helping hand to the completion of the line, by
guaranteeing 5 per cent. on the capital, provided they
were enabled to raise it.
After some further remarks, the CHAIRMAN moved
the adoption of the report and accounts.
A SHAREHOLDER blamed the directors for taking
the useless security they had from the contractors,
and was altogether opposed to giving them a number
of shares, which, even at their depreciated price,
would realise a considerable sum, and moved that the
report be adopted, with the exception of the paragraph
relating to the giving of 1,240 shares to the contrac-
tors, and the proposed arrangement with them.
After considerable discussion the report was
adopted with the exception of the paragraph re-
ferred to.
A motion was then passed empoweiiug the aitec-
tors to come to terms with the contractors in accord-