The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1883-12-12
THE OHIO 6 MISSISSIPPI.

A Road That Has Been in the Hands of a
Receiver Seven Years.
Another year Is nearing its close and the Ohio
& Mississippi road is still in the hands of q re-
ceiver and it is study of legal men as well as
railroad men why such is the case. 1t is stated
that two or three times Judge Baxter has
threatened to sell the twenty-one mules Of the
road in Ohio which is under his jurisdiction, but
Judge Drummond is said to have objected, he
believing all along that the road would pay ont
and he would have the credit of bringing bank
rupt road out of the mre. A we'll up in
railroad matters says this may seem very
plausible excuse, but the courts
are not established to operate
railways, but to dispose of them at
foreclosure sales, placing the roads in a shape
that they can be operated by the actual owners,
thus dispensing with the heavy expense of OPP
Grating them through the courts The road ex-
tends from Cincinnati to st. Louis, $40 miles;
tbe Louisville branch, from North Vernon to
JeffersOnvll, Ind, 50 miles; the Springfield di-
ylaion, from Beardstown to Shawneetown, H.,
222 miles; total operated, 615 miles. A finan-
c1al cloud has hung over the road since 1868. In
1867 the eastern and western divisions were
sold at foreclosure sale, ana on Nov. II, 1876,
the property again tumbled into the hands of a
receiver, where it has remained ever since. In
October, 1881, John M. Douglass was appointed
receiver, vice King resigned. The bondhOlders
have made several unsuccessful attempts to take
the road out of the hands of the courts,
ana III was DeneVeu tnab the present year WOulu
see the property IN the hands of the rightful
owners. The suit brought in 1875 to aDnul the
purchase of the Springfield division fraudu
lent and void, is still pending One important
suit has been decided and is now out of the way.
We refer to the suit of the preferred stockhold-
-efs in which they endeavored to establish their
Hen ahead of the secOnd-mOrtgage bonds, the
suit was decided against the former Months
ago 1T was believed a plan had been hit upon to
ssraighten the affairs of the road, new gem
eral mortgage :or S16,0OO,OOO was authorized
under the proposed plan of reorganization. by
which $12, $4,000 was to be reserved to eX-
change for old bonds as they ma
frre, S2,216,000 was to be used in pay
ing overdue coupons and 1898, 600
in betterment to the rcad-bed and increasing the
equipments. and the delay in improving the
rOad-bed aud adding to the equipments has pre-
vented the road showing what 1t capable of
earning. In fact, never has the road been sutfi-
GENTLY well equipped TO handle the business Of
fered with such dispatch as is necessary to ore
ate healthy traffic, and there is now general
desire to-See the Ohio 81 Mississippi once placed
upon it's feet, clear of litigation and well mana
ged The last clause Is not intended 20 reflect
on the management of the road under Receiver
Douglass, which In SOME respects has been
highly commeDdable. Yet under the court the
management can but be more or less hampered,
and it would be relief were the & NJ. ROAD
pat on par With its more fortunate eompeti-
tors,