Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1877-05-25
The Central and Canada Road.
ARGUMENTS FOR CONSOLIDATION.

ARGUMENTS FOR CONSOLIDATION.
The Central Vermont Railroad Company,
as Receivers and Managers in the old suit OF
the Vermont and Canada Railroad Company
rs the Vermont Central Railroad Company
ct ais, filed a petition for an order of sale
of the property included in their trust, to
pay the floating debt, amounting to some |
S2,000,O00, on the 2Sth of December last. |
1t contemplates the sale of the Vermont |
Central and Vermont and Canada railroads,
with all the equipments and property apper-
tanning to the receivership.
The argument on the petition, in the re-
cent hearing at St. Adams, was opened by
B. F. Fifeld, Esq, Of counsel Tor the Cen
trial Vermont Company. He said the OBJ
ject of the petition was to get judicial sale
of the railroad and its equipments. The
proposed sale could not be made except on
legal grounds The Central road now has
bonded debt of some S3,OO0,O00, in which
some $500, 900 to SiOO. 900 interest has accru-
ed, besides. a large floating deot. This debt is
due to-day, and there is nothing to pay 1t
with but the sale of the roads. He argued
that the law fixes this debt as a lien on the
property, and the only way to satisfy such
lien was BY sale.
This petition proceeds upon the theory
that this three millions of dollars debt has
been incurred in the administration OF
this property, and therefore constitutes
, lien upon it and the law fixes the ex-
penscs OF administration as lien upon
the property. and properly so, for you
never can have an administration unless
YOU take care OF your administrators. The
n petition does not stop there; it goes on
, further and recites the whole case OF all
prior proceedings, and sets forth that this
management or recevership-which has
been the subject of so much clsmor and clap
> tran on the other side-is in reality thing
n which they procured, or assisted to procure,
and it has been continued with their assent.
/ They say it is unwieldy, cumbersome, that
it is expensive, gets up continual law suits,
y that il surrounds this table with from
c ten to twenty lawyers every month
!. or two; and they set up these
4 claims as good reason why this
- should be closed up. They urge the fact
r that the creditors walk about unpaid, and
). that the whole thing is likely to 80 to ruin
c unless your honor interposes and gives to
those creditors the lien which they ask. As
Stunning their claim constitutes lien, how
: will YOU satisfy this lien? Clearly by sale
o of the property upon which the lien exists.
+ That is the ordinary method of satisfying a
j.. lien, by sale of the property whether it
- be personal property or real estate, it makes
r no difference which, the same rule applies.
# | think it is a well settled rule of law that
g liens upon real estate may be satisfied by a
sale. Such is the practice in the United
States courts, in the English courts, and in
ia this State.
1t is insisted BY the Vermont and Canada
IL railroad that their claim to the income OF
IS both roads constitutes a superior lien and
# that being all there is of it, you cannot now
r end decree which was the result of the
u litigation between these roads, and sell out
e the subject natter that is before the court,
If and end the whole thing by a petition be-
y cause il enlarges the scope of the former
proceedings What was the original pro-
10 ceeding? Did it ask for the appointment Of
e a receiver? / understand it did. The first
: step the the Vermont and Canada took in
= this business was to ask for the appoint
ment of a receiver to take possession OF
IL the Central Vermont as well as their own
Re road their first object was to get bill to
|. enforce their lien, and to get receiver
r. appointed to do it.
/ could show how this trust debt is the
: result. possibly, of unfortunate times. But
Z could claim with equal propriety that the
,s managers and directors of the Vermont and
Canada. and the large security-holders were
lust as much responsible for it as the receiy-
q ers and managers of the trust, because they
lie all assented to these operations and worked
d tremendously together in carrying forward
the one great undertaking which they
believed at that time would work to the
benefit of the property in which all were in,
j. terested. can show this to be the case
at and though it may have turned out unfortu-
" nate, ye. having received the assent OF all
:. parties in question it is not of consequence
to inquire whether it would be in accor-
L dance with the strict principles of law oil
n not. They claim that this property canno
mr. be sold on petition in this cause. | under
30 take to say that not merely you can sell BY
" petition, but that you cannot sell in any
II, other way. The rights of parties are pro
~ vided for by the compromise decree. ant
n any party wishing to assert his rights can
i by virtue of that apply to the court, and thu
court may upon petition hear his cause and
O. make an order upon the managers, consis
Sc tent with such claim, or making such othel
, disposition of it as will meet the require
r. ments Of the case.
IL 1t is the wish of all the parties in interes
in that this continued litigation should CONT
D. to a close, and we come before your homo
s by petition, asking you to exercise tina
!, power, that such disposition of the propert,
III may be made as the necessities of the cas-
re demand.
a A LONDON despatch says that the Rus
sian minister in England had gone to St
Petersburgh, and that it is supposed that h
was the bearer of the text Of an agreemen
a between England and Russia relative to tn
D. occupation of Roumanian Territory by tn
mr. Cars forces, and the neutrality and in
9 volatility of the Suez Canal The despatch
o. adds: " Should friendly feeling spring u
r between the two powers, and should Eng
land feel satisfied that the Russians mean al
y they say with regard to their purposes in thu
as present campaign, it would greatly reliey'
no Her Majesty's Government Of a very dis
r agreeable task, that of espousing cause il
v which large portion of her subjects woulC
l. take no hearty interest. But next come
ut Austria interests, which seem to be touch
ed ennallv with these of ENGLAND A tele