The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1875-05-22
THE NEW UNPLEAsANTNEss

When all the facts are known in the new
and bitter war of the Central Vermont, 1t
will be time enough toexpress settled opin-
ions and draw conclusions. When that
time comes, it will doubtless transpire that,
as in everything else, there are two sides to
the case, and much, or little, to be said for
and against either side. From the meagre
facts at hand it would appear little more
than personal strife for the leadership,
an ardent desire on the part of the "outs'
to change places with the Gins strife in
. which the attack was as sudden as the re-
pulse was unexpected, aud one in which
neither party, in the means resorted to to
accomplish their end, have covered them
selves with imperishable glory. 1t is to be
conceded that the stockholders arc interest
ed in obtaining a more economical manage
ment of their property, but it is question
able whether the change attempted to be
effected would have so resulted Aside
from the question of honesty and economy
in the management, the general public are
mainly interested in the means resorted to,
on either side, to obtain control of the man.
agement 1t appears to he conceded that
an officer and director of the road while
ostensibly acting in harmony with his as
socates who were seeking his and their re-
election, entered into combination with
the bitterest enemies of the management
and, with the aid thus obtained, secured
control Of enough stock to, as was SUP
posed, make revolution certain. The,
were met, however, by two thousand tire
hundred an | fifty shares more than they
had counte on, and victory perched on
the other banner
Without assuming to evoiess an opinion
thereon, we will, to aid others in forming
the stock so far as Il. are known. We
stated, yesterday, ecnerdlly, that, at the
organization of the company, twenty thou
sand shares were subscribed for, but only
seventeen thousand six hundred and fifty
taken and only fifty PER cent paid thereon;
that the directors vo'el to reduce the capt.
tai stock from two nj lions TO one million
dollars, and issue new certificates, hut had
not yet done 50. And now the question
arises whether the directors were author
lied to issue the tweniy-three hundred and
fifty new shares of the old stock. In de-
termining this question the charter may
enable US to form an opinion. The amount
of the capital stock is to be determined
by the directors" but 1t must be sufficient
to purchase and retire" the first and
second mortgage bonds of the Vermont
Central railroad company. In the last
published report of the managers of that
road-l872-the first mortgage is stated at
three millions of dollars, and the second
mortgage at one and a half millions of dol
lars. We are at liberty to assume that
there is now an arrearage of interest on
these bonds which, with the principal,
amounts, at their par or market value, to
much more than double the two millions
of dollars of stock as first subscribed for.
We may be permitted to ask whether, if
the directors were authorized to fix the
amount of stock, February 25, at one mil
ton dollars, they had not equal authority,
May IS, to fix it at two millions of dollars,
and whether they are not authorized and
whether it is not their duty TO still further
increase it, until it shall amount to the sum
contemplated by the charter? The courts
will doubtless answer these questions, for
the benefit, not or the public, but of one of
the rival claimants" and at the expense
of the stockholders. The issuing of the
new stock may have been rather sudden
and unexpected, but was it more SO than
the inexplicable alliance to defeat which it
was issued SO far as the charge of SUN
fairness" is concerned, it seems to us that
the first stone ought to be cast only by him
who is without sin in the matter.