Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1868-03-13
North Carolina RaIIroad E'rcights.

claim.
| North Carolina I;aIiroad FrciShts.
! To correct misapprehensions made by
recent publications, we refer again to this
subject
The only alteration made Of late is, the
Raleigh and CASTOR Road is required to
pay to the North Carolina Road such sum
as they would make net if their freights
were to pass Goldsboro'. If the freights
receive no special direction they pass over
the Wilmington and Weldon Road as here
tofore.
In former fiscal year the Raleigh and
CASTOR Road received seventy eight thou
sand dollars from it's North Carolina Road
business If that business, the present
year, should amount to that sum going by
Goldsboro, it would add thirty-one thou
sand dollars to the receipts Of the North
Carolina and forty seven thousand dollars to
the Wilmington and Weldon Road. If
divided according to the States interest, it
would give forty thousand dollars to the
State, Of which seventeen thousand dollars
would belong to the school fund-all OF
which would be lost to the people if the
business went by the Raleigh and CASTOR
Road. But suppose they pay the North
Carolina Road the same as if the freights
went to Goldsboro'-even then seventeen
thousand dollars would be taken from the
school fund and given to the stockholders
of private corporation that has received
more favors than any other in the State.
The Stockholders of the North Carolina
Railroad, at their last annual meeting, took
wise and just view of the subject, and
ordered the freights by Goldsboro'. AL
though the distance is greater, we are in
formed that, in consequence OF the easy
grades and curves, transportation can be
done at less cost and in equal time. The
shipper pays the same either way.
The Raleigh and CASTOR Company are
clamoring for all this business, although it
could only be given to them at a public
loss. They say they paid for half of the
stock in North Carolina State bonds, and
are consequently entitled to stand on the
same footing as the school fund or any
other State investment.
Let us see what the facts are Whether
the State subscribed to the original con-
struction Of the road we do not know, but
the Legislature of 1838-'39 let them have
| Eve hundred thousand dollars, secured by
mortgage; afterwards the State let them
have three hundred thousand dollars ad-
ditional--the Stockholders giving their in
diyidual bond Of indemnity in the sum of
five hundred thousand dollars, to save the
State. The road failed to meet both, and
was sold to pay the principal and interest,
amounting from nine hundred thousand to
one million dollars. The State became the
purchaser, and proposed to reorganize the
road with q capital Of eight hundred thou
sand dollars, which was the principal paid,
with the loss of several years interest. The
Legislature proposed to give the Stock
holders one-half if they would advance
four hundred thousand dollars, which was
about the amount they owed, and give
them q release of their obligation, that is,
10 SUCH us NOt&ill I1tth6 up lI16 SUN OMCC,
they would give them the full value in
stock in a road with a capital stock of about
two-ffths of its cost. Those who had no
money were unable to get any of this rich
present. Finding the capital too small TO
represent the profits, they watered the
stock" if our memory serves us, and called
the eight hundred thousand dollars one
million two hundred thousand dollars, is
suing fifty per cent. of stock to the Stock
holders.
The Legislature, since the war, passed a
bill ostensibly applying to all the roads
with the exception of the Wilmington and
Weldon and the Wilmington and Man
chester, to exchange State bonds for rail-
road stocks, but in practice it only applied
to the Raleigh and CASTOR Road, that was
out of debt and ready to make dividend.
The swapping bill created a great deal of
! dissatisfaction at the time, and was soon
repealed. 1t was considered quite priv
lege to give State bonds, on which the pay
ment of the interest had been suspended,
for stock that was about to pay diyi-