The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1877-01-15
GFor the Dispatch.l
The Suit against the James kfTor ah0
KnnaHhn COanpaNI.

A0naHHu company
In a communication to the Dispatch, pub
lished in Mondays issue, the following
paragraph appears: ...
"Is it any wonder that under such finan-
ciaI management suit has been brought by
bondholders, unable to get interest, to en-
join the canal from alternating to this sub
stltuted railroad" [the Buchanan and Cliff
ton Forgel "any portion Of its line, other
property, or credit-such as it is-already
pledged and forfeited to their debt; and to
have the canal declared bankrupt and re-
ceiver appointed"
In last Wednesdays Senate proceedings
I find the following reported: "Mr. Daniel
presented letter from the president OF the
James River and Kanawha Company, in
which that gentleman denies the fact, as
stated in the annual official report Of the
Acknowledgement, that receiver had been
appointed for this company in the suit OF
Spiler ct ais Us. The James River and IA
nowha Canal Company. Mr.. Darlington
further says no such motion has eUer been
made" Gtaiics mine). On the issue thus
distinctly joined, asserting and the presi-
dent denying that receivership has been
asked, vouch the record OF the Circuit
Court OF the city of Richmond, as follows
"Your orators are advised that in view
OF the foregoing facts and premises they are
entitled to ask, and they hereby pray, the
aid and interposition Of this court to take
the property OF the said james River and
kanawha Company and the administration
of its affairs and business under the control
and management Of this court, and to haze
receiver appointed by this court" Gtalics
mine), "who shall manage and administer
the affairs and business of said company
ander the directions Of this court";
p "and that this court shall restrain and
enioin the said company from alternating or
in any manner transferring any part OF it's
property or franchises to the Buchanan and
Clifton Forge Railway Company, or from
subscribing to the stock OF the said railway
company" &C., &c. [See printed bill in
Spiller ct ais Us. James River and kanawha
Company, PIP. 10, Ill
Now, have no doubt the president was
perfectly sincere when he contradicted this
plain record. But this is plain: Either he
had no copy Of the bill filed in said suit over
three months ago; or, having a copy, he
| failed to read it. Under either alternative
/ PROFOUND these questions: What sort OF
president is it who, within three months
from the inception Of suit which would
deprive his stockholders Of all their pro-
perty and franchises, does not know the
vital demands of that suit? And what pro-
prety is there in Legislatures appro pria-
ting State property to the benefit Of who
| ever NAV win in a lawsuit? What private
| individual would give his own money or
property to an enterprise whose solvency
was in serious question, or lend OF sell il
on the pledge OF assets already twice covered
by mortgages, alleging bankruptcy and en-.
deavoring to establish it by proceedings al
| l>ofn,o Loon
p. S. Since the above has gone into type
I have learned that Mr.. Darlington, in say
ing there had been no motion to appoint a
receiver in the the suit against his com
pany, meant simply that no steps had beer
taken in addition to the bill by the plaintiffs
praying for a receiver. So far it gives me
pleasure to beg his pardon. But, perhaps
because am not lawyer, I do not see how
the fact betters his case at law OF before tht
Legislature. Whilst suit Is pending tc
put his company in bankruptcy he pledge:
his assets for another loan, and virtually
asks the State to fost the bill. **t