Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1849-08-23

Df bonds. TO this he Mr. QUINCY was entirely
opposed. Two modes of raising funds had been
recently in vogue; one was by issuing stock at
half piice, the other by selling bonds. OF these
he preferred the former 1t had an immediate
tendency TO lower the stock in the markct-it
made the shareholders uncomfortable; but then,
when the road was built it was their own, and if
it earned any thing they had it. The issue of
bonds, on the other hand, was very pleasant at
the moment. The shareholders saw their road
without being called upon to add
but then, they must pay their interest before
they received dividend, and If the loan was
out Of proportion, might lose their whole proper
~. Mr. Quincy congratulated the stockholders
OF the Vermont Central Railroad that such was
their position, that the permanent debt of the
company was comparatively snail, and he hoped
before long would cease TO exist.
There another mode Of cnsuring the
completion of this oil important work, to which
he thought there could be- no objection. The
State had authorized the Vermont aud Canada
Corporation to construct this road. The gener-
al laws of the State gave them, us IN Massachu.
sets, full liberty to lease 1t, when complcted.--
1t was power similar 10 that exercised by the
Western Railroad in the case Of the Fittsiold
and North Adams; by the Eastern, IN that of
the Portland and Saco and in other instances,
too numerous to mention. 1t did not involve the
creation OF any debt on the part OF the Vermont
Central, aud thew would not be called on TO pay
rent until they began 10 receive income.
Mr. Quincy stated that he understood that all
the stock necessary for its organization, and for
The commencement of the work, had been sub
scribed; and he had no doubt that when the
Directors should again open the books, aud
offer stock unlimited az to time and based upon
road that an essential link ia this cat line
of communication, the rent and dividends Of
which were guaranteed by corporation of four
millions, it would instantly be taken at much
lower rate than eight per cent--at that rate it
certainly would be.
MIR. Quincy remarked that it had been stated
that by taking this lease the Vermont Central
obtained an undue influence over the line. That
this was uufounded that all the benefit they
would derive resulted ouy from the natural adj
vnntages OF their position lie confessed he
was Tor the interest of Boston and New Eng
land, and his wish was that this road which
was to be the great thoroughtaro trou The North
and West 10 New England and the ocean,
should be located in the best possible manner
Tor securing business. That as lessees the
Vermont Central must carry out all The legal
requirements OF the charter and that he bellev-
ed the Directors of both roads would make all
the connections and grant all the facilities to
other lines, to which they were legally and e.
quitably entitled, in good faith to them and TO
the state OF vermont.
Mr.. DEGRAND also spoke to the question with
his accustomed force and hunor, aGJuclng vari-
Gus precedents in the cases Of roaGs IN Massa-
chuselts, Maine and New Hampshire.
d. A SMALLEy, Esq. of Burlington, and L. F..
lloDGes, Esq Of Boston, appeared as counsel Of
the Rutland and Burlington Railroad Company,
armed with u formidable injunction from Chan
ceor Royce, and protested against the adoption
of The resolution. 1t was claimed that The pro-
ject was preludclal to the Rutland ami Burlng-
ton road. though they failed to designate how 1t
could be so that it was in some way to aid IN
the construction Of the Vermont aud Canada
road, and that was claimed as a contempt Of the
Injunction it would stimulate the Rutland
interest to build parallel road ; firaly, that 1t
would stimulate the old hostility of that interest
to the Bridge at Rouse's Poini. On the latter
point, Mr.. Smalleys zeal got the better OF his
discretion, and he bravely argued to The ears OF
Bostonians that the Rutland interest and The .Ne0
| York interest were indeniical Iii hostility to this
project, and would be found united and Jealous
10 defeat the Bridge.
Guy. PAINE, and Hon. JOHN SMITH, President
of the Vermont and Canada Railroad Company,
| followed IN explanations, to the effect that 10
contract could or would be made inconsistent
with the charter of TIE Vermont and Canada
Company, or with the rights and interests OF
either the Rutland or Central roads, IN the loca-
ton Of the connecting lines with both, under
that charter. No design was entertained on the
part of the Ceulla, other than tn secure the very
connection granted them by that charter, and 10
prevent being forced by any contingency to con-
meet where The Charter never inteuded-to VII,
al Burlington instead OF Essex w hich would
add eight miles 70 the running distance OF the
Contra, aud within these eight miles embrace
the very worst grade upon the road And while
no a
roundabout connection, which was contrary
both TO the Vermont and Canada charter and to
Justice, they asked not to force the Rutland road
to The Central line it had tights al o under that
cha,ter-a right 10 connection at Burlington
and should lave it.
An amusing skirmish ensued between Mr..
SMALLEY and the Hon. Locus b. PECK, from
which II appeared that the attorneys OF the Rut-
land and Burlington Company had become hold
ers Of Central stock TO a lring amouot, within
the last four days, for the purpose of appearing
at this meeting and such, TOO, was the iuct as
TO the petitioner, at whose instance, and 10 re-
dress whose assumed gtieis, the injunction had
been granted! This development pa pably
showing that the whole opposition had been man
ulaciured especially Tor the occasion by dnoth
en- Company, served to amusc rather than eX-
asperate lbe Central stockholders. The plot was
bad enough, but It was too puere to be serious
y treated. Mr.. Peck, however, proceeded brief.
y 10 show that the injunction was aimed entire
iy at project, which the Central Company new
er entertained, and,
" Like gun well.amed duck plover,
Bore wide the mark, aud knocked the owner over"
| The injunction aimed at project which
had been supposed to exist, and about the legal
ny of which there might be different opinions
among legal gentlemen. That, however, was a
project of the newspapers OF the Central
or Vermont and Canada Company, The propo-
sltion which these companies did entertain, and
which the resolution embo led, was a different
thing altogether, and slrlckly within the letter
AMI spirit of the statute of lS47, relating tc
Railroads.
MIR. ADAMS Of New Bedford concurfed in this
view of the matter, and further held that Il sim
pie vote OF authority to the Board such aulhori-
~ 10 be used IN future, or limiled TO the legal
rights OF the company, could not at all conflict
with the injunction.
o. II, SMITH Esq. of Montpelier regarded
the threats OF punishment for contempt OF court
aud hostility TO the Bridge as both ridiculous
and harmless, suggesting that IT the Rutland
and Burlington gentlemen ever dld build The new
liGe threatened, they would find the bridge as
necessary to them as to the Central Road
The result was, that the resolution was adopted
unanimously, save one solitary No from the at
torney OF The Rutland road, Mr. SmdA'y