Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1881-02-28
We showed that if the recei.

Payments We showed that if the receiver
should take possession of the road under the
order of the Court it would be of necessity
denuded of all the rolling stock and equip
ments with which the same is now operated,
and the result would necessarily follow that
not only would the community be deprived
of the facilities of Communication, but nothing
could be realized for the benefit of Mr..
McLane as receiver, or for the holders of the
bonds, and their security, such as it was,
would be impaired by disuse and failure to
keep it in order.
We represented that to accommodate the
public, protect our own interests, and to Sc
cure the bona-6de holders of any bonds now
outstanding and unpaid, in any judgment
that might be recovered in the action, which
should declare lien upon the property for
their payment, we were ready and willing to
furnish any security that the Court might
approve; or, if go ordered, to deposit in some
suitable and proper place such reasonable
sum of money as the Court might deem suf-
ficient to pay the amount of any judgment
that might be rendered in the action, as
charge or lien on the road-bed, right of way,
and property Of the Placerville and Sacra-
mento Valley Railroad Company. We
showed also, that by these means, the rights
of all parties and the public would be
protected and their interests sub.
served; and that the security of the
plaintiff, if any he had, would not
tered by being used and kept in that suitable
repair which was necessary to its safe and
profitable employment.
Our application was hotly resisted by the
attorney of Mr.. McLane, who represented in
fact but ten bonds and accumulated interest !;
and to our surprise, j. p. Robinson appeared
on the scene by his attorneys, and claimed
the right to intervene in the action, and to
have the like protection in the way of secur-
ity or deposit for the Ill bonds claimed to be
| owned by him, and also twenty other bonds,
| of whose existence up to that moment we had
never heard, and all of which we believe to
have been fully paid and discharged, under
the arrangement to which l have alluded
above The Court refused to allow Mr..
| Robinson to intervene in the action,
| yet made an order requiring the Sac
ramento and Placerville Railroad Company
to deposit in Court sum of money sufficient
to discharge and pay all these bonds, with
| their coupons for interest annexed to jan
uary, 1882, and fixed the amount of the de.
post at S377, 800 and directed that if the
defendant should within thirty days from the
2Sth day Of January, 1881, deposit in Court
the sum of S377, 500, to stand in the place of
| the mortgaged premises, and to be used by
| Mr.. McLane in the payment and discharge
of all bonds and coupons, then the receiver
should be discharged and the order appoint
ing him should be vacated, but otherwise the
order to remain in force and the receiver to
proceed without delay to discharge the duties
required of him by the previous order. The
amount of money thus required to be paid is
so far in excess of any amount that could pos
sibly be required to secure the payment of
any Judgment that could be rendered
in favor of Mr.. McLane, that the company,
after full consideration of the facts, decline
to part with it, and leave the responsibility
for consequences where it properly belongs.
We should have been glad to furnish ample
| security for the performance Of any judg-
ment which might have been recovered in
Mr.. McLane's suit, but we see no reason,
either in law or common justice, for our sur
rendering SO large sum of money for the
alleged protection of bonds already fully
| paid and discharged. and concerning which
other and entirely different litigation is pend
| ing in the Courts.
You are at liberty to make such use of this
communication as shall fully inform the
| patrons of the road of the reasons which
| have led to the making of the order to you
| herewith inciosed.