Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1876-03-17

aPPR0Y4L BY TIE CHANCELLOR OF TEE bUT-
LAND-CESTRAL COMPROMISE

APPROVAL BY TIE CHANCELLOR OF TEE kuT-
LASD-CESTRAL COMPROMISE
The adjourned hearing on the spplica-
ton of the Central Vermont for the Chan
eellors approval Of the eompromiss be
tween the Rutland and Central roads oe-
Cured at the 5. Albans, Monday eve
ming, before Chancellor Royce The Rut-
land road was not represented Messrs.
Fifeld and Poland appeared Tor the Central
and Hon C. " Willard lor the Vermont
4 canada We eOndense IRON the AssssE-
ger the following report o. the proceed
ings Judge Poland read the papers and
briefly explained the reasons which had led
the Contra 10 make the new arrangement
MIR Willard hlei some written objections
against the proposed approval the sub
stance Of which Is a. follows
IHE VERMONT CASAD4's OBJECTIONS
The receiver ass no authority to CONE
into court Tor advice and direction on 3
matter which l. original aad independent
of the suit under which the receivership
exists ~ that the Rutland lease was
resoindei last year BY the Rutland eomps-
ny. and J g and Is C. smith made 8
sworn answer to the Rutland's petition for
rent IN which they averred that the lease
was voiiable for fraud and misrepresenta-
sion. and that J W Emery and other
bOndhOlders filed q similar answer, IN
which they averred that the receivers had
no authority 10 make the lease and - il
was void therefore neither the receiver
nor the cour; Is bound to consider the lease /
binding, for 1t was ended by the parties to
II. and any recognition Of IL now = wholly ]
voluntary g. that the receiver. 10 this /
new trade. agrees 10 release to the Rutland /
the claim OF nearly or quite million dol /
lars which the said Smiths hai sworn to a.
being due from the Rutland ss damage for /
fraud, etc. and that, toe. without getting
any Equivalent. 4th. that the trade viii be
II urlOus u the Vermont Canada and /
others interested IN the earnings Of the !
trust roads. because the rent agreed upon
i largely II excess Of the past and prOba-
bic earnings Of the Rutland and appended /
roads iJr ths year ending June 80, ls74
these earnings were S24l ,252 n the rent
now agreed upon fO0ts up S37s 600. show
ing 4os= OF $50, 44t-ls t0r the nitsen
years that TINS lease has to run, such an
annual loss would amount IL more than. two
which, added to the surrender Of I
the claim sworn 70 a. above. would amount
T. sb0nt three millions. jih. that the
agreement TO purchase the stock OI Z
Page and Others is without warrant IN the
scope OF the reeeivership This purchase
wall increase the trust debt nearly $780,
JOO and the court mas no power TO autnOriIs
= dsot FOR any such purpose. 9th, that this
purchase will be claimed g. authority IJr
taking the income Of the trust roads 10 pay
or II, thus defeating the hrst lien upon
aid earnings. to which the Vermont j. Can
ida Is entitled By the ana decree 7th,
hat SAID stock Is not worth what i to be
paid Tor X and has.n inc quOtable value 5th,
nat there i now due the Vermont Cana
Ia. as arrears OF rent, nearly one million
dollars. which the receiver claims not TO
lave the means 10 pay. and YET by this
.greenent the earnings are 10 be diverted
o another aud foreign purpose The Yer
aoni canada has petition pending, to
'e heard 81 the April tern for al order TO
'sy according to the fnsl decree and to re
train the receiver from paying otherwise
DISCUSSION