Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1873-04-04
Correspondence of the Boston Advertiser.
The Vermont Central.
THE LEASE or THE SULLIVAN RoAD-THE
CHARGE OF USING TRUST FUNDS FOR LOBBY
ING-THE ALLEGED FRAUDULENT CONTRACTS
-sTANsTEAD, SHEFFIELD AND CHAMBLY-

THE LEASE or THE SULLIVAN RoAD-THE
CHARGE OF USING TRUST FUNDS FOR LOBBY
ING-THE ALLEGED FRAUDULENT CONTRACTS
-sTANsTEAD, SHEFFIELD AND CHAABLY-
TIE. NATIONAL DESPATCH COMPANY, ETC.
ST. ALBANs, VT, March "a, 1873.
The case Of the petitioners against the
trustees and managers of the Vermont
Central last week broke down so suddenly
that large amount of testimony which
would have been offered by the management
was necessarily passed over. The following
are some of the more interesting points in
the testimony, which should be printed in
Justice to the trustees :and the trust they
represent:
The first specification charged that " the
trustees lad realized S5OO,OD out of the
lease of the Sullivan road, which they had
appropriated to themselves instead of ac-
counting therefor to the trust fund to which
it belonged" The testimony of Mr.. Mer-
rill was to the effect that when the road
was first leased it paid very little if any
thing to the lessees that during the war it
had paid well that it had always been run
in the interest of the Central road, and in
the same manner as the other roads; that
the lease had been very valuable one to
the Central. Governor Smith, II the case
had not been abandoned, would have given
all the facts in regard to the lease and the
earnings from it. In 1861 the Sullivan
road was owned by John ,. hldrldge.
Under the system of settlement between the
Vermont Central, the Cheshire and the
lower roads, all the balances due the Cen
trail passed into the hands of Eldridge, who |
retained them. The amount thus held by |
him became very large, and was increasing |
from month to month. Eldridge was ir-
responsible, and the question of obtaining |
the amount due the trustees became of |
great Importance. lie submitted the ques
ton to two eminent counSellors, MeSSrS. L.
B. Peck and Andrew Tracy, attorneys for
the road. who, after much deliberation, adj
vised the trustees to lease the road, a the
only iudicious means to secure the debt.
At this time the Sullivan road was under
contract with the Northern TO charge to all
business coming from the Central and Pas
and going to Boston, or other
points south, the highest local traffic rate.
This contract was made with Il view of
forcing the Central to send all Of its bust
ness over the Northern. This operation of
he Northern gave clear profit as bonus to
Eldridge Of about $4,000 per annum.
" hen the lease was made to the Central |
Eldridge reserved the right to hold what
yer sum might accrue under the contract |
With the Northern, bu. the lease die not {
lind the trustees to carry out the terms Of {
lldridge's contract with the Northern
urther than it was for their interest 10 do
10. The counsellors whs advised the
aking of the lease gave their opinion in !
writing. which would have been put into I
he case had the suit gone on. The letter (
ears date August p, 1861. After going
yer the situation of afiairS-the debt. the {
ower Of Eldridge TO do harm-they say e
We have therefore, no hesitation in saying that t
D our opinion. the best interest % your trust calls
lr the execution ~ the proposed lease. But have
ou the -ht yers OF trustees. 10 take the q
.ase' This may We'll be doubted. II you choose l Il
take the lease a. individuals, can no al p
jectou o. IT, and would advise that course.
" can We see any legal objection 90 your using
be- stock OF the Central O. operate the Sullivan a
ll. ly nav NJ a .I'r compensation for lis use. \
-ov lea such use does not interfere with the work =
D.. OF the Central aue. 10 is hardly possible that T.
~ person who desires % promote the interest ~ Ii
10 Central line VII object % such course Il j St
measure which should be favored by all. Believ- "
!. We have substantially answered your inquiry, ="
e remain, Very respectfully, K
Your ohei-eut servants, u
.-uatf tTIrrS Is. pFTE. az