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

THE JACKSON RAILROAD.

In bn artlcle III yeSteruhys OhESCENI, ou
the suit of Mr.. withers against the Jackson
Railroad Company, the following remarks
occur
In the course Of the argument the following ex-
tracts from the report Of the masters in chancery
who Investigated the affairs OF the road, were ad-
ducedsby Judge Bradford, counsel for Mr.. With
ers. tG show that the condition Of the company is
now such az TO demand prompt Interference on
the part OF the court TO protect is creditors Toe
debt df the road increased from February Is 1861,
TO February 20. 1868. $Ss, 492 0s. In the latter
18th February, 1865 the debt was increased TO
the srtouut Of t64 .607 rs. This was caused by
the accumulation Of the accounts Of the employees
Do 5 I1 The close Of the year. The cost Of the
road originally was 81 $50 800. The total debt Of
the road on 18th February, 1885, was 50 .469. 766.
IL 10 now "a 702 502, thus lowing an increase OF
the dsbt Of N,2S2,7se in two and three quarter
years,
These figures, presented without explana-
tion, although they may be technically cor
rect, tre calculated to convey what, on inves-
tigatbn, we believe to be an erroneous i'm
preston of the condition of the road. The
inference drawn from these statements by the
council of Mr.. Withers, was that the affairs of
the read had been mismanaged to such an ex-
tent IS to endanger the rights and interests of
the creditors {; whereas they appear to be sus-
ceptiple of a very different Interpretation when
viewed in the light of causes and facts which
are nbt referred to in the above extract. An
examination of the books of the company and
of the annual reports, shows that the debt of
the company on 2sth February, 1868, was as
follows: (See page %, 18th annual report }
one
Accrued interest on same 1873, l6o-$40l9 $50 90
Floating debt .. 6S3 ,52i ii
Total ............ s4702 ,eS4 IL
The debt of the company on 2sth February,
1866, was as follows NO statement was
made in eleventh annual report)
First mortgage bondss2, 74l 900 90
Bille payable. 49,. -. LIS, 1856 81
Psymssters bills pay's 257 Is
Smell notes of the Co. .lsS SOS IS us
Thrpe per cent fund. 10000 90
Chiskssaw school fund. 100000 90
Interest on same. o. 500 81
Coupons on Let morpge
bonds to LIST Jan. 1866.
Inclusive. Il Dos. $40 90 LII
u. 8. government bonds l29 SIG 33-$l,522, SOL 81
Increase in two years. .SlSO.lS2 80
The discrepancy in the two statements
arises from the fact that the debt of 1866, as
stated in the report of the masters in chan
Gerry, referred to in yesterday CRESCENT, does
not include the large sum, in the shape Of un-
paid interest, which accrued during the four
years of the war. This was then, and still
remains, in one form or another portion of
the debt of the company, and it should have
been included in the report of 1866, as it has
been included in the reports of subsequent
years. This correction being made, it ap-
pears that the increase is $50, 1872 80. instead
of 81 ,232,7 1876. A still further reduction
would be made by embracing coupon No. 20,
due July LIST, 1866, in the statement of that
year. This coupon amounts to sos, $40
The small real increase in the debt arises
from the successful efforts of the company to
put the road into a good condition. In 1865
&c it was complete wreck-the bridges were
down, the iron was worn out or torn up, the
depots were in ruins, and the rolling stock
was almost entirely destroyed. Since that
time over $500 900 have been expended for
rolling stock, bridges, buildings, tools, etc.,
as the result of which it is believed that the
road is now in as good condition as any
other in the Southern States. The fact that
this increase in value to the extent of $780,
O00iis accompanied with an incrsase in the
debt of only $3.50, 200 seems to us to speak
very favorably for the efficiency of the actual
management