The Sun.
London, England, 1850-02-28 00:00:00

THE SUN,

for the piymect of the over-due bonds a A other liabili-
tit s in the oniv way provided by their Act of Parlia-
ment, via, the is-ine of new shares, we eal!ed a meeting
of bondholders, which was held on the 21st November
last, at which holders of bonds to the extent of 100,0001.
were present. The affairs of the company were ;Lily
state) to the meeting, and a request was made that they
should give the company an extended period for the
payment of the bonds. The result of this meeting was
the appointment of a committee, who, after having fully
investigated the affairs of the company, made a report to
a subsequent meeting, held on 17th December, at which
the simple contract creditors, as well as the bondholders,
had been requested to attend. At this meeting the re-
port and resolutions proposed by the committee were
unanimously, adopted, as was also an agreement to the
following effect:—

" 1. That the legal proceedings then pending against
the company at the suit of any of the parties thereto,
shall be discontinued.

"2. That no further proceeding at law or in equity
shall be instituted against the company before the Ist of
January, 1857, in respect of any debt (whether due at
the date of that agreement or not), or of the interest to
become due up to the 31st December, 1849.
" 3. That until payment of their debts, whether car-
rying interest or not, the Company shall pay interest at
the rate of Si. per cent. per annum, from the 31st De-
cember, 1849, half-yearly."
"4. That the committee of creditors, chosen at a
meeting of bondholders, shall be allowed to co-operate
with the directors in the management of the company's
business, so long as that agreement remains in force."
" 5. And that the continuing members of the commit-
tee shall appoint another creditor to act in the place of
any member of the committee dying or becoming bank-
rupt, or otherwise ceasing to act.
It is further provided that the agreement msy be
revoked by notice in writing to the company, given
by three-fourths in number of the committee, when-
soever they in their discretion think it desirable
and for the interest of the whole body of
creditors so to revoke it. And also that it
is to become void if interest be unpaid to any party
thereto for twenty days after it has become due and been
demanded in writing, and for ten further days after no-
tice of default in payment has been given to the com-
mittee or any member of it.
" And moreover, that it shall cease to take effect on
the Ist January, 1857. And in ease of cesser of the
agreement by effiuxion of time, or of its earlier deter-
mination by either of the means aforesaid, the several
parties are to be remitted to all their rights and remedies
against the Company'
The committee of creditors, four of whom are resi-
dent at Lynn or the neighbourhood, have accordingly
co-operated with the board since Ist January, and no
payments are made without their concurrence. Amounts
are periodically paid to Messrs. Ererard's Bank, to the
credit of the trustees of the creditors, to meet the ac-
cruing interest. All supplies are paid for every fat-
night, or monthly, as may best suit the parties furnish--
ing the stores, so that every article is purchased upon
the most favourable terms.

The report of the auditors was as follows :
" In passing your accounts for the last half-year, we
have endeavoured, as far as circumstances have enabled
us, to show them in a form simple i❑ detail. We are
happy to announoe the closing of all payments thereafter
accruing on the capital account, as from the 31st December
last, which, we believe, will simplify, and from time to
time demonstrate, the exact position of your affairs.
In dealing with the new capital, created under the Act of
1849, we have adopted the directions of that Act, by intro-
ducing, under a separate head, the capital raised there-
under, and the application thereof. We refer you to the
recommendations contained in our report of the 15th
August last, in reference to the law and parliamentary
expenses of the company ; and we trust that, when
these accounts are in course of final adjustmeLt,
they will be dealt with in a manner satisfactory
to all parties interested therein. We are happy to find
that your affairs are being supervised by a committ. e
of your creditors resident at Lynn, and that the gentle-
men forming the committee are devoting their time and
energies to its duties. Referring again to our last re-
port, we are gratified to state that your directors have
made certain of those deductions in the office staff
to which we then adverted, and that they have
also made final arrangements fir the immediate
removal of your offices to premises contiguous to
the Lynn station. We have dealt with the revenue
balance by debiting the same with the sum of 5,306/.
9s. 11d., paid for interest on debenture bonds and other
liabilities, with which we conceive the same is properly
chargeable; and we have placed the remaining balance
of 2,1911 Bs. 4d. to the capital account. In conclusion,
we recommend that all officials of the company do find
the security of the Guarantee Society, as a measure of
prudence."

On the motion of the CHAIRMAN both these reports
were adopted; and after some discussion the ordinary
business of the day was disposed of, and thanks having
been voted to the Chairman the meeting terminated.

DIRECT LONDON AND PORTS-
MOUTH RAILWAY.—(THIS DAY.)
The eighth ordinary meeting of this company was con-
vened for this day, at the London Tavern, but there not
being a sufficient number of proprietors present to con-
stitute a meeting, is was adjourned to a future day.
The report of the directors was nevertheless read, as
follows:
" At the meeting of the proprietors on the 30th Au-
gust, 1849, there was not a sufficient number present to
constitute a meeting of the company.
" It will therefore be well for the proprietors to refer
to the report then presented; at that time the company
had been restrained by the judgment of the Master of
the Rolls, in the suit " Cohen v. Wilkinson," from pro-
ceeding with the formation of so much of the company')
line as lies between Epsom and Leatherhead, and your
directors, under the advice of counsel, were prosecuting
an appeal to the Lord Chancellor.
" Mr. Cohen had likewise presented a petition under
the Joint-Stock Companies' Winding-up Act>, for the
dissolution of the company, and Mr. David Salomons
had filed a bill in Chancery, pra3ing amongst other
things, that the toll agreement between this company
and the London, Brighton, and South Coast Railway
Company might be declared illegal. At this period this
company's powers for taking land compulsorily had
expired.
" In the month of November last the appeal to the
Lord Chancellor against the injunctionganted by rthe
Master of the Rolls, was argued and decided adversely
to this company. The injunction therefore continues in
full force, but Mr. Cohen's petition was dismissed, on the
ground that incorporated railway companies were not
within the provisions of the Joint-Stock Companies'
Winding-up Acts.
" Under these circumstances, it appeared to your di-
rectors that the only proper course to be pursued, was
to ask of Parliament special powers for the dissolution of
the company; but before taking this step, tne board had
an interview with the Commissioners of Railways, when
the position cf the company having been stated, the in-
tentren of Government was solicited, relative to the intro-
duction of some general measure for the dissolution of
incorporated companies. In reply your board were in-
formed that the Commissioners of Railways had not
determined the course they should pursue, and that this
company had better take such measures for their own
protection as they thought desirable.
"In consequence, the solicitors were instructed to
take the requisite steps for presenting to Parliament a
Bill for the abandonment of the undertaking and the
dissolution of the company; and-according a Bill is now
Wore the House of Commons having this object. The
Bill was read the first time on the 11th inst., but its
further pr zress is stopped until after Faster.
"Meantime a Bill has been introduced into the House
of Lords by Earl Granville, one of, the commissioners
of railways, to authorise the abandonment of the whole
or portions of railways. Should such Bill pass, there
will be no necessity for the further prosecution by this
eompany of its own measure.
" The attention of the proprietors has already been
drawn to a suit in chancery, instituted by Mr. D. Salt:-
mons, as a proprietor in the London, Brighton, and
South Coast Railway Company. To that suit objections
were taken, not only by this company, but by the Brighton
Company, K ho are likewise defendants, that the suit was
multifarious. The Master of the Rolls, in argument, allowed
the objection of multifariousnees, but permitted the
plaintiff to amend his Bill. He has accordingly done so,
and by his amended Bill, he has abandoned that portion
which related to the toll agreement entered into with the
Brighton Company, and he charges ' that 24,5541. 52. was
illegally paid in respect of 4,677 shares out of the capital
of the London, Brighton, and South Coast Railway
Company, to the Direct London and Portsmouth Rail
way, and that the last named company received such
monies with full notice and knowledge that the same
were being so paid to them illegally; and by a breach
of trust, and that the said Direct London and
Portsmouth Railway Company concurred and at-
sistAl in such breach of trust. And the p'aintff submits
that under the circumstances the Direct London and
Portsmouth Railway Company are liable to repay and
replace to the funds of the said London, Brighton, and
South Coast Railway Company, all the aforesaid sums
which have been so paid thereout in respect of the said
4;677 shares.'
" And one part of the prayer of the Bill is—
"'- That the defendants, the Direct London and
Portsmouth Railway Company may be decreed to re-
pay and replace the aforesaid sums with interest
thereon:
jec't`i'orithsetuditrheectfoorrsataarendadsuvihFsetdanteheato
ft ht
he hr
se
aamr ee
ngdreadv eB ojibi -;
a..d they have accordingly authorised that such objec-
tions should be taken.
" The object sought by the amended Bill is of great
importance to this company ; the circumstances are
very complicated, and it would be scarcely possible
to, give the necessary details in a report, even if
i 1 were prudent s r to do ; hut the proprietors may
rest assured the directors will diligently provide for
the company's defence, and will spare no exertions to
make that defence successful.
" A statement of account is appended; the proprietors
will observe that the funds of the company are nearly
the same as at the expiration of the previous half-year."

The large manufactory for the distillation of bittu-
minouS products at Cerdesse, near Autun, was last week
entirely destroyed by fire, notwithstanding the utmost
exertions of the people of the place and the surround-
ing country. The water thrown on the flames by the
engines alpared only to inereaso.their intensity. The
to•al loss of the prorerty is estimated at 255,000 f.; only
65.000 f. of which are covered by insurance. •
ENLARGEMENT OF TOTIIILL•FIELDS PRISON.--AR
extensive piece of ground, generally known as Elliott's
Lawn, hitherto a plantation, has been purchased and the
timber is being felled for the purpose of enlarging the
Tothill-fields Howie of Correction at Westminster, in
order to carry out the system cf classification of pri-
soners.