Daily Republican., 1879-03-05
vROM OUR CAPITAL

vROM QUIZ CAPITAL
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Spsoial Correspondence Of the Republican.
DovHK, DHL., March 4th, '79.
Among the most interesting q ues tions
that have come up before the Leg
islature IL that raised over the derslict,
Frankford and Brsakwatsr Railroad.
The financial affairs Of the company are
30 we'll known outside Of its own musty
Offices, that they have entered even in
TO the common conversation Of those
little given to monetary gossip. TWAS
generally understood If not we'll known
that the Legislature now assembled,
would do something which would aid
materially in the company's struggling
existence. The dissemination Of the
Governor Message wherein the affairs
of this company were entered in upon
at quite length, added materially to
this impression. .
In this message Governor Cochran
made the announcement that "all the
Railroad Companies within the State
were prompt in paying their dues
except the Breakwater and Frankford
Railroad Company. On January !,
"l877. interest to the amount Of 81, 730
was due from said Company, on its
mortgage given to secure the payment
of the bonds loaned by the State.
"This amount, after protracted delays,
"has since been paid, but meanwhile,
"the Company has allowed the entire
1.-TWO years interest accruing since
"said date,to become in arrear, amount
"ing to the sum of S23, ,SS6.6G, which
"tha State Treasurer has hesitated to
"collect by foreclosure and sale. with
"out specific instructions from the Gem
"eral Assembly for the reasons express
ed in his report. This sum is almost
"thrlce as large as the former arrears,
ais nearly one-eighth OF the entire
mortgage due the State, and the pros
"pect of its payment, without legal
process, is apparently hopeless"
Of course in the face OF this coupled
with the admonition that the duty of
the State was imperative and urgeDs,
and that there can be no just reason
why lenity should b. shown to this
particular Company which was extend
ed to others,' nothing remained for the
Legislature to do but to take some 20.
ton, which would, result in a per-
feet understanding between the Compa-
ny and the,State, be an amicable quetus
to all trouble for the fnture.
This the Legislature did. A special
committee was appointed, and i'll the
privacy OF their chamber, brought forth
bill which was passed on the 27th
proximo without a dissenting vote.
Succeeding the passage of the bill those
interested were fattering themselves
with having done most wise, most
gracious thing. As the business end
of delapitated upper, however, the
soul must have been sadly deficient,
the motion didn't stick. Through
some hocus-pocus flaw was discovered
in the bill, ard Representative C1na
way, taking up the one, with native
perspicuity, went through it, not the
one but the bill with an astonishing Of
feet. He brought to light the fact of
an existence of an error, ambiguous and
apparently infinitsmal as it first SEEM
ed which in the eId, upon examination
would have undoubtedly resulted in
the losss OF a considerable sum of mon
ey to the State, all because of the mad
vertent abrogation of almost the whole
debt.
Mr.. Conoway, after this opportune
revelation, secured the services of the
chief Justice and other eminent lawyers
of the State, and sifted the matter
thoroughly. He then drew up paper
in which was incorporated the objections
to the bill, which was presented this
afternoon. 1t was as follows:
WHEREAS, A Joint resolution was adopted
the 27th OF February last tor the benefit OF the
| Breakwater and Frankfort railroad company
which, in effect requires the State Treasurer
to disrcga rd an order fmAdc in Joint reS0lu-
tion passed on the 23d day Of March, 1870 re-
uuring him to proceed to collect the mort
gage Of the railroad company to the State.
unless it should, on or before the ilrt day OF
that year pay up It's interest due on the SAID
mortgage: and to accept in lieu OF such inter.
est, to accrue hereafter the net carnl nas OF the
said company, provided they shall amount to
So much as So 900 per annun, or 0ne-hall thc
said interest the said company Douhd ltsel1 u
pay, thus virtually giving up onc-half the
interest to accrue on said mortgage ana max
ing no provisions whatever for paying any
part OF the back interest Of S23, SS6,bB due the
State from said company, MS appears ny the
the resolution OF February last, anu
WHEREAS, The said resolution, hrst men.
toned. was never debated, discussed nor en-
planned in either OF the branches OF the Gen
eral Assembly and was not understood, aS 1t
should have been before it was passed, and
WHEREAS, 1t is Il well known lact that
what constitutes net earnings OF Il railroad
company is understood differently by diiier-
ent companies, now therefore be IL
Rcsolv'd, BY the Senate aud Houst OF Rep
resentatiyes Of the State Of Delaware in Gen
erul Assembly met, That the Joint resolution
OF The 21th OF February with lhe plealnDic
thereto, be, and the same Is hereby resclndcd;
but, iDrasnluch rs the said railroad company
may bc entitled to consideration from the
State as its creditor
Res0lteG, Further that the state treasurer
be and is hereby directed to inquire into and
examine the affairs OF the said company, and
If upon such examination he shall be satisfied
that the public interest will not be pre)udiced
by delay iproceedinS to collect the deDt OF
tho StaLe against the said company, he may
suspend them until another Legislature
shall order to the contrary; and that he re-
port tho result OF his investigation and MS
opinion OF the propriety OF proceedings % the
next session of the Legislature. provided how
ever that unless the said company shall on
the irsr day of July next and every SIX
months thereafter until the next SESSION OF
the General Assembly pay into the state
Treasury the sum OF $1,000 towards interest
on the aforesaid dcot. lhc authority OF tue
State Treasurer to suspend proceedings
shall upon q failure to pey us aioreH"Ia' oc re-
voked.
To the friends OF the corporation this