The New York herald., 1866-06-27

iouuuatioh. 4Heu, at IeaSt, leI US uopc Dif.
Seward will find time to commence peremp-
tory knocking at the door which was closed in
his face by Lord Clarendon some time ago,
touching those Anglo-rebel spoliations on
American commerce.
The Failure OF (Sir Morton) Pcto &
Betts-Railroad Projects In This C0un-
try.
The developments made at the meeting of
the creditors of Messrs Peto & Belts, held in
London on the 9th inst, furnish some very in
teresting facts in regard to that firm. The
recent visit of Sir Morton Peto to this country,
construction Of railroads, and especially his
efforts to extend the Atlantic and Great
Western to the Atlantic seaboard, created no
little curiosity and sympathy for him among
our people. Many wondered at the time why
he became 80 active just then and manifested
such willingness to engage in further railroad
enterprises in the United States Sir Morton
Peto's agents here were given the credit of
securing the visit of their capitalist, which was
to bring about great results. But from the
facts brought to light at the meeting of the
creditors, and the debates in Parliament upon
the liabilities Of companies it would appear
that both Sir Morton Peto and his agents had
far different object in their visit to this coun-
try than was generally supposed at the time.
1t will be remembered that the effort of
Peto's party to make an arrangement with
the Erie Railroad Company that would secure
the operation of that road for the interest Of
the Atlantic and Great Western failed. There
upon they turned their attention to route
between the Erie and that of the Pennsylvania
Central. Negotiations were made and a con-
tract entered into for the purchase of what
is known as the Catawissa road, in Penn
sylvania, which, with the construction of
intersecting links, could, with an arrange
ment with one Of the New jersey rail-
roads-the Morris and Essex-secure a COM
plete line under one management from New
York to st. Louis. Not only would the route
be under one management, but it would be
considerably shorter than any other line
from the Atlantic to st. Louis. The prelim-
mary arrangements were all made and the con-
tracts entered into. This accomplished, Sir
Morton Peto returned to Europe, confident that
he had performed O great feat and, as the de-
velopments now seem to indicate, removed all
danger OF financial disaster to his firm, which
seems to have been in a precarious condition
even at that date. This new and shorter line
to the seaboard was, as it now appears, to fur
nsh the basis for another issue OF bonds through
which the firm of Pcto q Belts would be
able to remove all their embarrassments and
carry through all their other projects without
in monetary affairs. This seems TO have been
the great object of this movement.
The final success of the middle route. as con-
templated by Sir Morton Peto and those con-
nected with the Atlantic and Great Western
road, would prove a serious blow to all the
other trunk lines from this city TO the Wesl. in
cuding both the New York Central and Erie.
also the Pennsylvania Central which has become
about as great a monopoly in Pennsylvania
as the Camden and Amboy has in New Jersey.
No sooner was the fact known 70 the managers
OF these lines that the negotiations had been
! completed than legal proceedings were insii-
tuted to prevent the final consummation OF the
sale Of the roads in Pennsylvania. BY the time
that Sir Morton reached London the whole
thing was brought into the courts, and the in
fuence of the Pennsylvania Central Company
in the courts Of that State secured an iniuuc-
iion whic b effectually pui an end 10 the new
middle route. Following this a bill was intro
! duced in the Pennsylvania Legislature, giving
/ to The Central Company perpetual right to
| Law tracks and construct roads in any
portion Of that State which they might deem
expedient. and prohibiting any other com
pany from constructing road over or across
| the route which the Central company might sur
vey aud Gle msps OF. IL was not necessary for
that company 70 construct the roads TO secure
! this exclusive right, but merely 10 survey and
|, locate. This measure was pushed through the
| Legislature, and thus sir Morton Peto and his
rarty found themselves checkmated, both in
| the courts and Legislature. All his efforts TO
secure new basis for capital in this country
failed. and the result at last has been the col
| lspse OF the firm Of Peto 4 Bet,s--the very
thing that the visit to this country was made 10
prevent. Such are some Of the curious devel-
| opments In London finances, az well ss the in
ausnce which railroad corporations are erer-
| cisIng upon the judicial decisions and leEsla-
/. tive snactmepu in this sQpRirL