The Republican. [volume] (Oakland, Md.) 1877-current, 1880-01-10
holders of the company !:

| IIOm lIllS statement ~ is HlaUl-
fest that under the. present wasteful
and extrayagant administration of
the canal company, while the ton
mage of the company has not decrea-
sed twenty-five per cent. the receipts
have diminished more than 60 per
cent, and the net income has been
reduced from $3.50. 900 to nothing"
With these figures are compared
those of the preceding administration
Of President Clarke, as follows:
Years, Receipts. Expen. Net Inc.
is72..... ....S 46,i6i 222,S59 258,s04
Further, the bill recites that while
the example of President Clark's adj
ministration was fresh in the public
mind, the management of President
German, to some extent, followed
the example of his predecessor but
he and his administration have grad
ually departed from those sound
principles. and have become so en-
| tIrely partisan that the property
pledged to creditors has been for years
past, and is now being, used primar-
lily and mainly in the interest of
partisan politician objects, without
regard to the rights of creditors. He
then charges "that this exhibit of
| the management Of the affairs OF the
canal company, taken from its Off
cial reports, proves that the failure to
pay interests on the preiPrred bonds
has not been caused by failure of
business of the company, but by eX-
travagance, mismanagement and
administration by the said Cor
man and his associates"
FURTHER SPECIFICATIONS.
Complainant further alleges that
the President and directors have
persistently refused to publish
monthly statements of expenses,
Notwithstanding orders passed by
the stockholders to that effect, and
that The mystery in which lis fairs
have been purpOsely surrounded is
one of the most efficient means by
which the management of canal and
the misapplication of its funds have
been concealed from its creditors.
The bill continues In 1872 the
salary of president was fixed at
$4,000. The company then had net
income of $264, 200. In February,
1874, the salary was increased by all
lowing the president 81 900 per an
mum for travelling expenses; and
subsequently the salary was raised
to $4,000, thus making total sa AIRY
of sc, 900 for the president of bank
rupt corporation, which, by its last
printed report shows an excess of
expenses over receipts, of $4,000.
Complainant charges, "that by
reason of the gross mismanagement
and maladlninistration of the affairs
of the canal by President German
and his associates, by the peryersion
| of it from business corporation to q
partisan machine. used to promote
the political fortunes of those who
control it; by the abuse of its cor.
porate powers in procuring from the
legislature of Maryland the passage
of the act of 1878, and the issue Of
bonds hereunder, which the act de-
clares shall be prior lines to all bonds
hereafter Issued. on tolls, revenues,
property, rights and franchises Of the
canal +; by the acceptance of this act
by the corporation, by the deliberate
refusal of the President and directors
to obey the order of the stockhoI-
ders, and TO publish detailed periodi-
cal statements of their receipts and
EXPENSES, so that a check and super
vision could be exercised oyer eX-
travagant and illegal expenses, and
by the failure of the stockholders to
enforce their said orders, great frauds
have been perpetrated on complain
ant and other bondholders, and that
their rights are in imminent danger
of irreparable injury if this court
does not promptly intervene and de-
nriya the SAID corporation and its
managers of all control or power over
'the property, rights and franchises of