The Baltimore County union. [volume] (Towsontown, Md.) 1865-1909, 1882-01-28
The ollmor contract Explained.

The Hartford Democrat Of last week says
"Sonc comment has been made upon the report Of
the directors Of the Baltimore and Delta railway
because Of its brevity, aud in the particular that
Il did not fully state the Gimor contract and
did not show the capabillty Of the directors 20
complete the road through 10 Delta after the
bonds shall have been sold.
eve have taken pains 20 ascertain an answer
10 these two grounds OF complaint. Tho Gilmor
contract having been tho subject Of newspaper
discussion during the last summer and much
commented upon, the board supposed an elaborate
statement was not required In n report which,
when presented 10 the stockholders would elicit
any explanation Of that which was only incidcn-
tally referred 20. Tho company, IL seems, In jan
uary, 1881, were indebted TO the contractors In
sums largely in excess Of the receipts from stock
subscriptions, and were compelled 10 borrow about
$4,000 on the notes Of the company, secured by
the enforcement Of the directors In their individ-
ual capacity, In order TO pay up debts then due
aud 10 keep the contractors at work during the
months Of February and March. reliable firm
OF brokers was then employed, and they advised
the offer Of the bonds at 90 cents on the dollar,
each bond Of Sl00 TO be accompanied with share
Of stock. This firm Of brokers made strenuous
efforts until June 18th, 1881, to sell the bonds at
that rate, but failed 10 accomplish any result. In
the mcatime the directors had further pledged
their individual obligations for $500 additional
90 the above $4,000 In order 20 keep the work
going on. II was at this time that Mr. Gilmor
resigned his dictatorship and offered e take the
same contract which had been tried BY the brokers
and had proved failure. The board accepted
his offer as the best thing that could DO done, and
within fifteen days the company were In receipt Of
100000, and since that time Mr.. GilmOr has sold
100000 more Of the bonds at the same rate, aud
the board have expended In construction. for rails
crossties engine. cars, &c $3.50. 600, about fol-
lows: 100000 for construction, rails, crossties
aud 100000 n. Of lumber for bridges and trestss
between Towsontown and Baltimore; $4,000 for
real estate and awards at the Baltimore terminus
$4,000 for arrears 10 contractors $4,000 for road
from Maryland line TO Delta and $4,000 for con-
structon between Towsontown and Delta. The
directors ut their meeting. Monday last, had such
statements and letters laid before them ofthe pros
pect Of the placing Of the remaing 100000 Of the
bonds at an early day By Mr.. Gilm0F, that n reso-
was passed extending his contract for three months
longer.
"Now. rs We understand the matter, the termi-
nal facilities Mt baltimore have been secured the
rails. crossiies. bridging. trestleing timber and
grading between Baltimore and Towsontown and
tracklaying for six miles have been paid for
which would leave for the completion of the road
from Towsontowa 10 Delta the proceeds Of the
$4,000 bonds already sold. the proceeds Of the
100000 yet To- be sold and whatever can be
realized from sol GOO Of unpaid subscriptions for
stock subscribed for. From these sources the
directors believe there will not only be n sufficient
fund 10 entirely complete and equip the road, but
n sufficient amount to build proper depot houses
along the line Of the road.
Whatever fault may he found with the Gilmor
contract. tho fact Is patent tina; when the same
was entered into the road was without money and
at the point of an absolute stand still. and that
since that time the company has been furnished
with $50 nO0 Ia money aud has been steadily and
surely progressing In lie work.
'The directors report wa. at fault in that II
showed n balance in the hand. of the treasurer at
the end Of the fiscal year Of about $500. whereas
they should have supplemented that by stating
that there subject 10 their call the proceeds o.
the last $4,000 Of bonds sold by Mr. Giitnor,
whenever the expenditure on the road and the
exigencies q the itoasnry required IT,