New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1872-09-28
Address of the Chairman of the Committee

u EA4ISRDs
| 10 the People of New Orleans:
The committee Of fifty having in charge
the subject of railroads connected with New
Orleans, and having had submitted to them
the proposition from New York to purchase
| certain securities upon certain terms for
the purpose Of aiding in the completion of
| the New Orleans, Mobile and Texas rail.
road to Houston, Texas, and having voted
| to place the matter in the hands of a sI1bo
| committee Of fifteen, that sub committee
/ desire to place the result of their action be-
| fore the people of this city and State. and
| earnestly ask their prompt action and their
Endorsement Of the recommendations here
with contained.
The proposition for The people 20 scG upcn
is substantially as follows:
MeSsrs. Jo q w. SeEgmaD & Co, of
New York. will have placed in their hands
the following securities: 81, $4,000 of the
flTst mortgage eight per cent bonds of the
New Orleans, Mobile and Texas railroad,
on that portion of the g0ad running west
from Sew Orleans, at the rate of St2, 500
per miles $2,O70,000 eight peg cent sec
ond mortgage bonds upon the same road,
lnd0Gsed by the State Of Louisiana. TO he
hereafter issued upon the completion of any
section OF ten miles; g., 900 eight per
cent subsidy bonds of the State of Louisiana,
TO be issued under the act of February 81
1870 granting $3000,00O to the road, payar
Ole upon the completion feach Of fourdivi.
sIons, IN lnstallments of $750, 900 each: alsS,
the land grant bonds-$l 500, ,000-issued by
the company on theiy tapdS acquired in
Texas-S44 900 acreso
The committee could not obtain full in.
formation upon the character of those lands
as they desiSe6 in the short Sime at their
DISPOSAL
The grant gives them ghe selection Of
lands anywhere in the State Of Texas. from
~ M ~ tFtHl RI, i
suppose that the lands haze, or win have at
some future days considerable value.
AL the foregoing four named securities
are 0nered at the reasonable rate of fifty
cents ON the dollar for their face and par
for accrued interest We respectfully sub.
NIT. that more favorable opportunity to
1nYesT ~ securities can not well be found I
dt pays sixteen peg cent pee annum, and
with a reasonable assurance that the bonds !
will appreciate in value SO soon as the road
ls completed. The terms of the subscrip. !
ton guarantee that the goa9 will progress (
and must progress before our money is paid !
out Tor the securities.
These facts. together with the further con.
5jderatjon that the completion of the road /
will vastly benefit our city, and will lead to
the early completion Of the branch road to
makes the investment not only
but a necessity.
The committee do nos refer 90 the S3,.
5I9sOpO OF income bonds, or the So Si9 900
Of stock which are given to the subscribers
as gratuitys bat it ;e proper to say that
should this road mee3 with the success that
some OF its friends anticipate on its compile
lion, those securities will have a consider.
able value Especial attention is called to
3he able report of j. H. Kennard in con.
lectlon %!tR the secHIitieS offered to sub.
scliberse
The committee DO noe hesitate 60 express
he belief that at nc distant day these sec,!o
Ities wall be sought $or by capitalists at
arge advance on the present subscription
oTIce OF ttty cents on the dOifaro
lt!3 to be hoped that our banks, insurance
companies and other corporations will not
0se fhI5 opportunity 80 make valuable ina
'estments, and at the same time insure the !
completion OF an enterprise that will add |
Q the value Of theiE future business, as
veil as TO their present 00GtfGius and other
ecuIities and assets
In conclusion. the committee respectfully !
,cg g submit 20 the people of New Orleans !
hat should they now fail, which can hardly !
e supposed. to respond by liberal subscripo =
ions, under such favorable circumstances,
the finishing of Z. railroad to Texas. the
vii. be alDne upon this city for !
55 talIureo We are asked 20 subscribe, say
he million Of dollars. taking two millions !
securities at fifty cents on the dollar. The
eople at the North nave. agreed to take
he balance, S2,%0o.GJ0, or $5,2I9, 900 Of Sc.
uritieso WiIl 0uS people fail 30 respond!
We think not
Books Of subscription are now being pre-. +!
aIed. a1d will be :eady to receive sigma
lres by Monday next. .
On Behalf of the committees
SAM. H. KENNEDY. Chairman