The Vermont watchman. [volume] (Montpelier, Vt.) 1883-1911, 1883-10-17
MONTPELIER, VT, WEDNESDAY,, OCTOBER II, 1888.

ton TO be the better part Of valor, and ran.
Frank came back and was going for the man
he had knocked down when these courageous
hiRhwaymeu cried for quarter and made them
selves known. Now the boys don't want to
hear anything about their little lark, as they
had become victims Of their own joke"
ST.. ALBANs correspondent Of the Boston
Journal says: "Tbe Canadian Pacific railway
company Is now virtually in possession Of the
Southeastern railway. In accordance with a
vote OF the directors OF the latter company, the
Southeastern has been transferred to the trus-
tees Of the bondholders, Hon. T. p Redfield Of |
Montpelier. Mr.. William Farwell OF Farnham |
and Mr.. Duncan Mcintyre a director Of the |
Canadian Pacific The Southeastern road was |
passed over to these trustees and is being |
operated by them under the provisions Of |
deed OF trnst or mortgage executed on the 12'h |
day OF August and by reason Of default having |
been made for more than ninety days in the
payment Of four semi-annual interest coupons
on the So 600 600 OF first mortgage bonds Of the
company" II this correspondent states facts,
as we are credibly informed he does. it would
seem that the proper thing for Judge Redfeld
to do would be to resign his judgeship. In view
OF the judges absence from the country the
matter should perhaps be held In allegiance
But as the fact of his connection with the trus-
teeship OF this railway trapspired on the eve
OF his departure, and since, as is alleged, he
went to Canada In advance of the sailing OF his
vessel to attend to business connected with the
Southeastern, a passing notice ofthe matter can
do no injustice. This mixing up, In nom
judicial way, with the affairs Of railways is in.
consistent with the judicial office and it would
seem that this should be more clear to no one
than the judge himself
A BosToN dispatch says: 1.-THE annual re-
port Of the directors Of the Vermont & Canada
railroad, to be submitted to the stockholders at
the annual meeting next Thursday, gives in
detail the reasons why it WAS deemed necessary
to advise the roads stockholders not to sur
render their shares to the American Loan and
Trust company In exchange for the bonds of
the Consolidated railroads Of Vermont, without
obtaining security Of unquestionable priority
The directors cannot understand why the
Langdon suit Is not discontinued, as the di
rectors OF the Consolidated railroad company
and those OF the Central Vermont are identical.
1t would seem that there must be some reason
apparent to them or some interest Of theirs not
common to other expectant holders Of the new
bonds why such discontinuance has not al
ready taken place. The report goes on to say :
Your directors see some cause for alarm in the
delay in disseminating this suit, and in the call
OF the trust company upon you to take new
bonds forthwith or hazard your right to them
forever II seems to US that until this suit is
discontinued and the receivership Is ended a
mortgage to secure bonds imports nothing more
than a second mortgage, whereas the settle
ment requires 1t to be first. The report refers
to the proposed sale of the Consolidated COM
pany and Of the Central Vermont to the Grand
Trunk, and asks IL the Langdon suit is to be
i;,continued before such purchase is effected
orii the Consolidated road is to be turned over
to the Grand Trunk before even gaining pos
session Of the property it has undertaken to
mortgage. The only means in the opinion Of
the directors of enforcing the fulfillment of the
terms for settlement is for the stockholders to
retain their shares, and control their orgapiza-
tion until the obstacles to valid mortgage
are removed"
IT Is stated by the Journal correspondent
| that the possession Of the Southeastern by the
| Canada Pacific and the Passumpsic roads in no
J wise affects the status OF the Montreal, Port
land and Boston railway, which is a separate
corporation and is controlled by holders OF
stock and bonds in that company. majority
of both classes of securities are held by Brad
ley Barlow and the Vermont National bank OF
\ han Hanlaa auo hat ia 10,
gal title to this road Is in the stock and bonds
For this reason he believes the bonds held by
the bank amounting to S53l ,000 out of tota
issue Of 1901 600 are valuable security, and
that they will bring at least $500 600 for tht
benefit of the Vermont National bank. 1t j,
necessary for the Canadian Pacific to own thu
Montreal Portland and Boston railway, which
il the important link In the Southeastern line
between Montreal and Newport, in order to op
crate successfully and advantageously tht
Southeastern system. The road is in posses
sion OF the present trustees Of the Southeast
ern only by the tacit consent Of the holders o
the stock and bonds Bradley Barlow and Re
ceiver Hendee-in whom the right and title o
the property Is vested. For prudential ant
wise reasons Receiver Hendee does not asser
his right on behalf of the Vermont Nationa
bank for the possession of the Montreal, Port
land and Boston railway. 1t will be to th
greater advantage of the depositJrs in tn
bank II the bonds can be sold at a REASONABLE
figure to the Canadian Pacific. In addition 4
the bonds in question Receiver Hendee state
that he has assets of the bank in his possession
amounting to 1926, 600, which can be converte
. into cash, and also the Washington property o
Bradley Barlow, which is valued above all in
cumbrances at nearly 1926. 600, and which at
sets 1t is believed cannot be ffected by any In
solvency proceedings in Vermont. II thes
, assets can be realized on at the figures give
above-$550 000-there will he sufficient fund
: to pay depositors in full as well as all tn
debts of the bank, the expenses OF liquidation
and leave small margin for the stockholders
The "unruy member" Of the Argus Pa
: triot broke loose again last week and, rs usua
when on the rampage, made its owner ridcul
Gus. Among other things, II cruelty classe
: the irIeproa chable Caledonian with journal
istc ours" of lesser note who "are yelping a
the heels OF Judge Redfield," on account of hi
t alleged official connection with the Passumpsi
} railway. 10 view OF the occasional gusty raid
OF the argus and by way Of vindicating tn