The New Orleans crescent. [volume] (New Orleans, La.) 1866-1869, 1868-12-04

hwss i seems to me simply an effort on the
part Of Mr.. Morgan to get possession of that
road for the very purpose of stopping Its pro-
gress-for am sure my friend was not in col
fusion with him /; am sure that he has been
honest in his professions of sntagenism to Mr..
Morsan's scheme. farther objection to this
plan is found in the fact that the mortgage 10
Guided and the sale under the State process
could have covered only the eighty one miles and
not the right TO extend. Both should pass
,oge'her. So drops scheme number one. What
Is the second, Leasing. Well, the terms of the
lease which they propose are, THAT somebody
snail take this road, and shall at the outset COW
enant to pay these overdue coupons 900
and shall covenant further, that they will pay the
coupons that are to mature $50 900 for every
ak months y Is il not idle to suppose that any
body 10 going to do that They made that pro.
position-published it to the world by adver-
tlsement some time last June, and it dome ap-
pear that any capitalist in the wide world will
touch it. Mr.. Price made offers very pusats-
iactory-he didn't propose to pay that $500, 900
debt Somebody else made an offsr-I have for.
gotten who. At last proposition came from
General Fremont. He says-whst, That he
will accept that offer with certain notifications.
What are those notifications They don't tell,
but can tell them. He said, feel sure, che
would be very happy to lease that road, bat he
would not lease 1t with that 100000 debt in
cash, and the payments so enormous to be made
every six months" What sane man would |!
The second plan then must prove failure.
We come now TO the third plan-that of Mr..
Bailey. said to Mr.. Bailey "If you were
made supreme in your control of that road. what
would you do?' He said. "In the first place
would get the consent of the coupon-holders.n
Well, your honor well knows that these coupon
holders live In most every cline. / asked him
how long that would take. He said about year.
He said he woulg then collect the subscription of
the State. the subscription Of parishes aud the
debt which is alleged to exist on the part of the
government Of the United States. That. IL done
entirely. would take Mr.. Baley's lifetime. might
as well say that would take any one of those
plans and go and arrest the flow Of the magnii-
cent river that passes by us, TO say that would
take any one of those plans and relieve this road;
and this brings me to what IL the great fact-not
with reference to their legal insolvency, not with
reference to Their practical insolvency, but with
reference to their hopeless insolvency; and that
fact is. that these 100000 of overdue coupons
forever stand between this road and any relief
They never can extrcate themselves and il they
were left TO their own management, 90 long as the
sun should rise and set they could not accomplish
anything, because they can only manage it on the
theory and the effort to make nobody lose. But
somebody must lose because the road not only
will stand still, but will retrograde unless some.
body loses 1t is idle to talk about anything else.
This 5000 900 Is the old man of the sea upon the
back OF that road, and he won't get off, and they
can't get him of by any conceivable method s:-
cept by walking straight into, shs court OF bank.
were to represent the State on this occasion aud
in this suit, should say to the officer that en-
ployed me, Sir, ii you send me to that court
to act consistently with my views of what is for
the interest OF this community and this State,
instead OF opposing, will invoke-I will urge this
will do more, will advise the rail-
road corporation themselves to come in vounta-
rly. For looking at the subject in an enlarged
view. laying aside this love which everybody has
Tor having things to be as they have BEEN taking
up the subject as men who understand the laws of
political economy and the administration of affairs.
we can come TO but one conclusion; that is that
il your honor shall find that this corporation can
not go into bankruptcy, you have found for this
whole community that there is no relief-that
there is no extension of that road and when
people think on this subject the tables will turn.
and II will be seen that he who uttered one word
and did one thing towards pushing this road into
did it in the interests of this whole
community, and do not think those interests
have been or can be overststed. concur fully |
10 the opinion that this road is the great artery of
his city and this State 1t Is its all-except the |
which comes to II from the Mississippi |
river; and its future depends largely, not only |
upon having that road extended, but upon having |
i extended Immediately, and upon having It ex.
tended in the hands of those who will command
capital which can defy competition. Therefore, |
I your honor should decide that this road can not |
Do forced into bankruptcy, and if they won't |
come IN themselves, 1t is to my mind the most |
,alsmitous result that ever befel this city. No |
event OF the war has been a. calamitous as that |
would be. This consideration urge not all with |
eference to Its influencing your honor's decision,
out only as showing that by virtue Of these great
Advantages, by virtue of the public spirit which |
concede resides in the breast of every one of that
directory, and by virtue of their having for five
Years exhausted every effort to extend this road
y virtue OF these facts, we of New Orleans. we
VI Louisiana, are poweress to extend this road,
except through the instrumentalty of this court
VI bankruptcy. h..l-IU |
/ urge it simply as showing how thorough, how
complete is the bankruptcy of that road-if the
,ondholders have felt that they were being sscri-
iced by this attempt to force this company into
why have they not stepped forward
md raised that 5000, O00' If they believe in the
olvency OF this road, why have they not done this!
Sy virtue OF their not having done anything | say
hey confess they knoar that the road is insolvent.
70 much, then, for the question of insolvency and
submit that not only upon the technical defni-
ion which the jurists give-not only upon the
ractical definition which men Of business give
ut by every conceivable test, they are insolvent,
nd hopelessly SO.
l come now to the third proposition of NV
rieDd, and say that this road has committed the
cts OF bankruptcy charged in the petition and in
be amended petition. ! say, first-they fraudu.
entity suspended and failed to resume payment for
lore than period of fourteen days, to- wit from
be first day of February last down to the time
'hen this petition was filed. One of my friends
aid he did not see how this was commercial
aper. Now, the allegation is, that they have
ahcO W pay tucsc COupOus. 1Our nOQOr, i pre- |
nme, is perfectly conversant with them, but as it
short will read it.
" The New Orleans. Opelousas and Great West
IN Railroad Company will pay to bearer, on the
rst day of April, =, eight pounds, five shil.
ngs sterling, if payable in London, or forty dol.
Irs, If payable in New Orleans or New York.
eng the interest CT that debt on their bond
10. -
Now, that is simply a note OF hand, payable to
carer; and ask the gentlemen if they are Sc.
Gus in saying that that species Of written prom.
e to pay which was first called commercial pa
er, which is last called commercial paper, and
hich is everywhere called commercial paper, is
Of commercial psper'
Then, they say that they are not merchants.
aders or bankers. In what way does this act
pply the provisions Of it to corporations? / will
lad: .H
' The provisions of this act shall apply to all
onied business or commercial corporations and |
int stock companies, . and all the pro-
sions OF this act which apply to the debtor : =
la in like manner, and with like force. effect
Id penalties, apply to each and every officer of
lch corporation or company . and the
eney ana property theEeot;n az the QTQyisiQps.
bJect to the provisions of that act is it reason
'le-is 1t not almost impossible to suppose that
ey went on further; and said: 1--WE will apply
rtain provisions Of that act to monied corpora
)ns, certain provisions to business corporations.
rtain others to commercially" No; they said.
d in very clear language, I'VE apply al the pro- !