The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1870-12-20
The Blue Ridge Roilrond.

The Blue Ridge Railrond.
We give below sketch of the report
OF the Board of Directors of the Blue
Ridge Railroad to the stockholders.
The report opens with an explanation
OF tho resembling Of the original con-
tract. Tho board entered into q new
contract on the 18th of February, 1870,
with Mr.. Thomas Steers, m experienced
railway constructor, for certain olassifi-
cations of work, extending from Wal
halla to the North Carolina line. The
transactions of the board were at this
juncture subjected to the Investigation
of a legislative committee. Gov. Scott
and j. W. Harrison, President of the
road, visited New York in Maroh last, to
raiso money in aid of the road, and
Messrs. Henry Clews G. Go. and H. II.
Kimpton wore constituted agents Of the
company. Tho agents reported in April
last their belief that the entire bonds OF
tho road could be sold in Frankfort.
Germany. While the President was
diligently engaged in the execution Of
the bonds, and procuring the signature
of the Comptroller General, who inter-
posed no delay, certain Taxpayers Of the
State Of South Carolina instituted legal
proceedings for the issue Of an Injunction
against the said company and the said
mptroller-G General before Judge Mel
ton, and obtained temporary order
therefor. The case coming up to be
heard regularly upon its merits, was
ably argued for the company and the
State by the Attorney General and
Messrs Pope & Haskell, and after careful
consideration, the Judge decided in favor
of the rights of the company, and issued
uf7o fta i~s-
dlsmissing the complaint. An appeal
from this decision was threatened, which
caused further delay of sixty days. At
the expiration of this time, further pro-
ceedings on the part of tho complainants
having been abandoned, the execution of
the bonds was completed, and the bonds
were forwarded to New York, too late,
hewever, for the company to benefit by
tho negotiation which had been COM
menced, as the inception of the existing
European war had entirely arrested the
sale of American railroad securities.
The Board of Directors are reliably in
formed that no such sale has been made
since, or can now be negotiated.
At meeting of the Board of Direc.
tors. held in the city of Columbia. in
VIM. Quincy and the President, were
appointed o committee to visit the city
of New York, and authorized to sell q
portion of the said bonds, or finding
that lmpracticable, to negotiate loan
of five hundred thousand dollars by
hypothecation, to meet tho pressing,
financial necessities of the company.
The committee soon found that the sale
of the bonds was impracticabIe, for the
reason already stated. After much labor
and delay, the committee, however,
succeeded in negotiating q loan of fifty
thousand dollars to meet estimates then
due, and other current expenses, with
the promise on the part of those with
whom they had negotiated, to make
further advances from time to time,
until the bonds could be sold or the
company should make other arrange
ments.
On the 10th of September, 1870, when
the President and Gen. Gurney had left
New York on their return home, Mr. j
Thos. Steers, the contractor. without
cause and without notice, instituted GER
tain proceedings against the Executive
Committee of the company and their
financial agents, claiming relief under
his contract, and the appointment of
receiver of the bonds aud assets OF the
company. The prompt conduct in be-
half of the interests of the company, Of
Mr.. Kimpton and Messrs. Henry Clews
Co., secured the postponement of the
appointment OF such receiver and the
retention of the bonds in their hands
until the return of the President and
General Gurney. Able counsel were
employed and an argument entered into,
referring the case to the consideration
of the Board of Directors. Those bonds
which the committee failed to negotiate,
were left in the possession c: hMdT. Henry
Clews, who had been appointed one Of
the trustees under the mortgage. for hia
signature as such trustee, q portion
thereof being hypothecated under the
authority referred to above. to cover
loans made hy him and Mr.. Kimpton.
The Board of Directors compliment
the chief engineer, and unite with him
in recommending a change of grade and
curvature, but defer their Judgment as
to substituting wooden trestle-work for
masonry.
The report OF the Superintendent is
commended by the Board. They think
the salary of that officer is inadequate.