Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1878-03-02
Chesapeake and Ohio Canal.

fayoraby the bill for the conversion OF tie pre-
ferred bonds Of the Chesapeake and OHIO
Canal Com pany and accrued interest ihcrrtn
into pew series Of bonds, recently submitted
to the committee by Mr. JohG +. Poe, ac!lDs
for the preferred bondholders. Tie preferred
bonds amount to 81 600, 500, and the Cverduc
interest coupons amount to II, 393. Inc
hill proyides for the lundlDg OF these amounts
in new coupon bonds, running twenty years, TO
the extent of 50 per cent, twenty per cent. OF
the amount being abated 10 consideration OF
the assent of the State to the CONVERSION. As
further consideration to the State Tor this con-
version of indebtedness, the Canal Company
shall nav tie State annually five per cent. upon
the gross revenues OF the canal to be paid out
Of tho net revenues before the bondholdeIS
shall be entitled to receive their Interest pay
ments; and then as soon as the net revenues
shall be sufficient to pay the interest on the
bonds and such further sum, not exceeding
s., 900, as shall be necessary to pay the interest
IN the bonds or certificates of debt held By the
creditors of the old Potomac Company. the
Canal Company shall annually pay to the Treas
urer OF the State the surplus net revenue, rot
exceeding the amount of 5000 annually.
| The amount OF five per cent. upon the gross
| revenues and surplus revenue up 10 S25: QUO
annually is to be invested as a sinking fund
| for the redemption of the bonds at maturity.
| If there shall remain any balance OF net rcve-
| nue. after making these payments 1t shall be
paid into the State Treasury.
| Taking the revenues of the canal Tor the past
five years as the basis Of calculation, the amount
that would be annually paid toto the State
Treasury under the arrangement would amount
to sos, GIL. of which S47,S94 would have TO
20 into sinking fund for the redemption OF
the bonds at maturity But it is believed that
with the increase OF revenue that will come to
! the canal under the adjustment OF rates with
the Baltimore and Ohio Railroad to be made a
part of the Compromise BILL the State will get
100000 per annum from this arrangement
With the preferred boudholdcrs At present
the State gets nothing.
! The other bill presented by MIR. Poe pro.
vided for transfer Of the canal to the man
agement of the trustees of the preferred bond
holders.
MIR. Alfred Spates has sent the following
communication to tho Maryland Legislature:
| CUMBERLAND, February Is, 1878.
| To the Legislature Of Maryland:
! GentZcm6e--The undersigned respectfully
asks leave to represent to your honorable body
that up to the present lime he has carefully
abstained from all participation 10 the action of
certain citizens of AIlcgany aud Washington
counties, looking to 40 Investigation by your
| honorable body into the management and Coz
| troll of the G. & 0. Canal. the conduct of Ger.
tain officers thereof, and the disbursement OF
| funds for purposes foreign to the purpos, 10
which the said funds ought to have been az
piled; but 10 view of the late action had in your
| honorable body on the motion aud offer OF The
Hon. William Brace for the appolntment OF a
committee to investigate these matters, l feel
| it incumbent on mo as citizen OF AIlegaDy
county aud taxpayer, as we'll as a friend OF that
| important work, to disclose some of the many
acts done by its officers and employees uodcr
tho direction of its President in this county
during the fall of 1877 and up to the present
| time. 49,
| |. At tho primary meeting prior TO the
| democratic convention TO nominate candidates
10 tho fall of 1877. the officers. agents and EN-
ployees OF the g. & 0. Canal Co., leaving their
duties 90 the canal, went through the differ
ent districts of the county here, using money,
| threats and promises of work aud employment
to all persons who would oppose the nomlua'
| ton of your memorialist as candidate for the
Senate of Nlarglaud. The attention OF the
| Governor, as President OF the Board OF Public
| Works, was called to tho matter by your !nc.
morialist to this fact, who replied that lie had
| 90 answer to tho matter So communicated 10
him.
.. At the convention held for the nomination
of candidates by the democratic party, as above
stated, an by which your memoraIst was nom
| mated, these officers made offers OF sums OF
$50 and othor sums Of money, more or less, to
| delegates to vote against the nomination OF
your mcmoIlalist, giving as reason for these
offers that the President Of the Canal Com
pany directed them to defeat your memGralst
at any cost. Some of these offers were re.
| jected, aud 10 some instances accepted and act
ed upon.
8. After tho nomination Of your memora5t
as tho candidate for the democratic party Tor
the Senate these Same officers renewed their
efforts to defeat his election, by The payment
Of money to voters to vote for an opposition
candidate, openly and publicly at tho polls 10
Cumberland, alleging that they were actl0g un.
ders orders from tho President Of the Canal
| Company, and that be furnished the said mon
ey from the funds Of the said Company; and
they further alleged at the time that they
would expend the entire revenue Of The canal
| to defeat the election OF your memorialist, who
had been regularly nominated as the democrat.
ic candidate for the Senate OF Maryland from
AlIegauy county.
I'm view oil these facts, which can be sub.
stantiated, as we'll as others of not less im.
proper and reprehensible character in this con-
nection, exclusive of the charges 10 tho hands
of other persons, your honorable body is at
liberty to act upon tho matter as to you shall
seem beat, and satisfy, by your action 10 the
premises, the people OF Maryland as to the
truth of these charges, and the proper manage
ment of The Chesanaake and Ohio Canal in the
hands of its present officers. who, by corrup.
ton, brides and unlawful MEANS nullify and re.
verse tho sovereign will Of tie people, aud
caused your memorialist to suffer great wrongs,
damages and groundless accusations.
The memorial concludes by stating that per.
| soDs who bad promised to present the matter
had tailed to do so. and that it is therefore
transmitted to the Speaker. to be placed upon
the journal of the House.
The committee to which the memorial was
referred has not yet taken action upon it. Mr..
German, on being spoken to 10 regard to the
matter, denied the allegation that any funds