Spirit of Jefferson. [volume] (Charles Town, Va. [W. Va.]) 1844-1948, 1877-08-07
THE s. v. B. B.

arrangements looking to resumption of work
upon aud an early completion Of the Shen,
audoah Valley Railroad. were in process of
contamination. There arc conditions, how.
ever, to be complied with before the work
can 60 on. and We will endesvor to state them.
IS they were given to us, as we'll as point out
the necessity that exists for a compliance with
them on the part of those holding claims
against the railroad company.
Maj. U. l.. Boyce. vice. president Of the
g. V. R. r. Co.. has succeeded in getting q
party of New York capitalists and contrac.
tors interested in the completion of his road,
and it will be seon, On reading the extract
given below, from q letter received by him,
chat they have promised to accomplish tie
work referred to, provided a settlement is
made with the company on the terms desired,
to>wit: That all those holding claims against
the railroad company shall compromise tho
same by accepting an income bond for the
amount, so issued as to constitute first lien
en- the net earnings of the road. That these
income bonds will prove to be valuable paper
after the road is completed cannot be doubted,
when wo reflect that the road will be en-
numbered with a mortgage of only SIS 900
per mile, the payment Of the interest on
which would take precedence of tho income
bonds proposed to be issued. There is scarce
" road in the country ,hst is not mort.
gagged to double the amount Of the sum
deemed necessary to complete the Shen. Val
lev road And here we will remark, rs our
readers we'll know, that.we have ever main
tanned that this road would never be built as
long as the old contract. which proposed to
burden the road with 4 mortgage OF s25 600
per mile, was in force. We were confident
that capitalists would not invest their money
in an enterprise that could promise them 90
returns for the Investment, and hence No ar
gued that it was the duty Of tho railroad COM
puny to break with those whose hold upon it
served to check all future operations towards
It's construction. The arrangement now about
to be entered into commends the bonds Of the
company to capitalists good investment. as
there is every reason to believe that the road
will be able to pay more than the interest on
$4,000 per mile-the amount of mortgage
called for under the new contract.
The necessity for an adjustment Of the out
standing claims against the railroad company.
before the parties at present negotiating TO
construct the road will consent to undertake
it, is fully manifest. Should they commence
10 deliver the ties and iron TO put the road in
running order. they are liable TO be opposed
by lawsuit at every step taken, by the
sheriff serving an executive on whatever ma
terisl he may lay his hands to satisfy the
claims held against the railroad. No business
man will buy a lawsuit; and until some ar
rapgement of this kind can be made with the
present creditors Of the road they i'll never
be in better condition to reaiss their claims
than they are now, when it is impossible for
them to get dino towards the payment OF
the same. The amount of Indebtedness Of
the railroad company is, We are Informed.
about $3.50, 900. OF this sum parties rep
rssenting $500, 900 have agreed to accep, TO
that amount the income bonds of the COM
pauy, based on the net earnings of the road,
and there now remains but $50 900, held by
various parties along the route of the road,
10 be adjusted on the terms proposed. While
mos. of this amount is in small sums. it is de-
sirable that every creditor of the railroad
company shall stand upon an equal footing,
and ali share to the full ex tent of their claims
thc responsibility to be incurred. While the
road is lying in its present condition there is
L nd
there caDno, be change in the present con.
dition of its affairs as long as sheriff stands
prepared to levy an execution on whatever
material is delivered TO complete the work.
plain to our readers and to those who have
claims against the company, so that due con-
sideraton may be given to the subject. The
lotter addressed to Maj. Boyce, vice presiden,
Of the railroad company, is dated July 18th.
and recites-
That he Cmeaning the head OF the Hrn1
is ready at = moments notice TO commence
furnishing ties. rolling stock, 60. for your
road, and will put it in running order at the
earliest moment possible, whenever you will
close the road from all its incumbrsnce. rs he
has agreed with you, that he will have no
embarasnsnts or difficulties after he COM
mences operations. And if necessary. We will
assist you in completing the road bed for ties
and rail. and take and help you to convert
your county bonds to pay Tor the same. We
think, by using proper energy. your road eau
be completed and pu. in running order (pro-
vided we have q mild winter in less than
year from to-day. Now We think that you
nus. see that since you have succeeded in
getting your Philadelphia matters arranged,
and Scott and others are willing to take in