The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1877-05-30
The POrtln nd d Ogdeushury Railroad

Enc EOrun ND cE OKdensburg Railroad.
Mr.. EDToR:-The special pleading of the
attorney of the first mortgage bondholders of
the Portland & Ogdensburg Railroad, in the
PRESS of Tuesday, May 22nd, for the appoint
ment OF receiver, should BE- very carefully
read by every tax payer in Portland. But there
are some facts that he should bear in mind at
the same time:
First-That the Portland & Ogdensburg Rail-
road was projected and carried forward through
the influence of the first mortgage bondholders
in this city, and who have controlling influ-
ence over owners of the first mortgage bonds
out of the city.
Second-Thst they placed every possible in
ducement before the citizens of Portland to OBJ
tain subscriptions, one being great increase Of
business to the city by connection with the
West and a completed road and some very en-
thusisstic persons went so far as to predict ten
per cent. dividends on the stock.
Third-It was through the influence of these
gentlemen that city aid was granted, and the
man who voted against the measure was ostra-
cised, called mean. niggardly, without public
spirit, no matter how honestly he might differ
from the friends of the road.
Fourth-It was through the financial ability
and influence of these gentlemen that these
measures were triumphautiy carried.
Fifth-It was through their influence that
the city loan was made second mortgage on
the road.
Sixth-It should be remembered that the
first mortgage bonds were purchased by these
gentlemen at large discount
Seventh-Some of these gentlemen have
been greatly benefited by the construction of
this road, by increased value of their real es-
tate, land sales: damages, etc., while the major
ity of tax payers receive no benefit, but far
otherwise, in an increase of taxes, and the
stakeholder loses all his investment as the stock
is without any value.
Undoubtedly the time will come, if Portland
and the present friends of the road do not lose
controlling interest in the same, when this
road will greatly benefit the business of Port
land. But connections must be made, the road
must be completed, before the grand results
can be realized which were so finely portrayed
before the people of Portland in the inception
of this road.
But the trouble appears to be that the first
mortgage bondholders want their interest, to
which they are certainly and justly enttled-or
that the earnings of the road covered by their
mortgage shall be expended upon that portion
of the road and not elsewhere. But are not
the first mortgage bondhOlders amply secured?
First Mortgage Bondholder" says in his con-
muncaton, mortgage of $4,000 per mile, on
what at low estimate is worth $4,000 per
mile, and it is not unlikely that when the wes-
tern connections. non nearly completed, have be-
gun to furnish business, the interest on that
amount can almost Immediately be earned" If
this. statement be true why not complete the
work and make the connection, even if First
Mortgage Bondholder does not get his interest
when due? would ask if money spent on
other portions of the road does not increase the
value of the road covered by the first mortgage
bonds? Was it not the idea of the proprietors
of this road to make one grand connection with
the West and divert a large amount of traffic to
this port now finding outlets in other cities, but
to which Portland is justly entitled, when this
road is completed? Let First Mortgage Bond
holder be patient; he does not lose anything by
delay and has ample security. Let his interet t
be diverted for short time to complete the
road; if not who is to furnish the means, pro-
vIded the road is in the hands of Receiver?
The city with the loan of $1,350,OO0 which
was cheerfully granted. cannot consistently
lend further aid, and the promise was repeated
ly made that further loans from the city would
not be necessary to complete the road. The
city loan must nearly all be lost if the road be
not completed, and the western connection not
made but with western connection aud bust
ness moving INTO the city as it must necessari-
~, the CITY loan may be worth $1,000 900 to
$l,2O0,OOO. The time is Bear at hand, when
the utility of this road is to be realized, WHY
not patiently watt for the summer business
for the completion of the road and the western
connection
Let all parties interested be governed by the
same public spirit which prompted tho m to
undertake this grand enterprise and not have
it reproach to the financial ability of the city
by those who are unfriendly to Portland saying
our capitalists began an enterprise in
the interest of the city and before its con-
summation or without waiting for a demopstra-
ton OF its success, they abandoned it, saying to
the world by their acts, that they wefe wrong
in their judgment in regard to this matter If
i the Portland & Ogdensburg railroad proves a
l failure upon its beng completed then abandon
it, let the city get the most possible for its loan,
and not before
I First n ortgage Bondholder wishes in the ap-
pointment of Receiver to have new man, to
I have An entire change in the road [ would
/ ask if the present management has not done
the lest possible for the roado Have they done
L anything TO lose the confidence of all parties
Interested? BY no means. Why then change?
i Many of the present officials have been in The
1 management of the road from the beginning
the success of the road is a matter of pride with
them. and who can doubt their desire to do all
/ their power for its successful consummation
They are our best men. If they are annoyed
/ sometimes by personal liability why should
1.-The public complain if they DO not? If the
projectors and friends of The road show no con.
tidence in the financial ability of the same, how
can it be expected that creditors will be pa
ofh