The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1883-06-26

pilHcut vi thc inttItSt coupons thereby
intended to be secured have been necesso
rily diverted TO some extent, and are liabI,
to be diverted much more in the futur,
fIom the proper channels. and the com
plalnants are advised that the company and
its officers are powerless to prevent sucl
diversion when the lien OF an execution /.
liable to be enforced; thus rendering tho
| sequestratlOn OF the mortgaged premise,
| by the proper tribunals the only efficient
mode OF preserving and protecting the Sc.
curity which was intended TO be provided
TO the ceStuiS que trust Of your complain.
ants by the second-mortgage deed afore.
said.
Complainants further say that the Rich.
mond and Allegheny Railroad Company
purchased from the James River and IA.
nawha Company, n corporation which has
been created by the laws OF Virginia. all
its works, property, and franchises. The
| purchase was made pursuant to and in ac-
cordance with the provisions OF an act OF
the General Assembly OF Virginia, ap-
proved on the - day OF -.
Copies OF the said act as well as OF the
contract Of the purchase, and the deed
TO said railroad company by the James
River and Kanawha Company are here
with filed. marked respectively ID, +, and
+, and prayed to be taken as part OF this
bill. BY reference to said exhibits II will
appear that the said railroad company as
sumed the entire debts OF the James River
and kanawha Company, and contracted to
pay the same, lien TO secure such pay
mcnt beng reserved upon the entire prop
erty purchased as aforesaid by said railroad
company. The property so purchased. and
upon which lien is thus reserved to secure
the payment OF all the debts OF the James
River and kanawha Company, was subse-
quently conveyed to cOmplainants by the
aforesaid second mortgage OF the 9th OF
April. 1881, so that any outstanding valid
obligations OF the James River and Ka-
nawha Company constitute a prior lien
upon said property so embraced in said sec
Ond mortgage. Now, cOmplainantS are In
formed and believe, and charge, that about
$4,000 Of the bonds OF the State OF Nir-
ginia guaranteed by the James River and
kanawha Company and about $4,000 OF
the bonds OF the James River and Ka-
nawha Company guaranteed by the State
OF Virginia are IN the hands OF various
parties claiming TO be bOnd.fde holders
thereof. and that said bonds constitute a
lien upon part OF the mOrtgaged premises
as aforesaid, although the State OF Virginia
is primarily liable for a part and is guar
antor rs to the others. COmplanants DO
not know who are the holders or what Is
the amount now outstanding classes Of
bonds last aforesaid. but are informed that
the state OF Virginia is paying interest upon
portion thereof.
In tender mercy, &c. Whereas your
cOmpainantS are without remedy at law,
they pray that the Richmond and Allegheny
Railroad Company, and Henry NJ. AleXan-
der and Henry X. Elyson, trustees as
aforesaid, and the Board OF Public Works
Of the State OF Virginia. may be made par
ties defendant TO this bill. That Il receiver
may he appointed, who shall take posses
sion and charge Of the entire mOrtgaged
premises, and. under the direction and SUI
peryision OF this court, operate the rail-
roads. canals, docks, &C., Of said company,
and collect and properly apply. under the
order Of this court, the rents, tolls, profits,
and issues arising therefrom; that until
such receiver takes actual possession Of the
property the company and its officers may
be enjoined and restrained from disposing
OF any OF the property, profits, or earnings
derived from the mOrtg9ged premises, eX-
cept so far a the same may be necessary for
the daily and active use and operation OF
the property.
That one OF the commissioners OF this
court be required, upon due notice and IN
due form. to take and report an account OF
all the debts OF this company, whether by
lien or otherwise. and the order Of priority
Of such as may be secured by judgment or
other lien: and that upon the coming in OF
such report complainants have leave TO
make parties 10 this their bill Of complaint
any persons who may appear then 10 be en-
cumbTanccrs or in any other way proper
parties to this proceeding. And that al the
proper time the mortgaged premises be de-
creed 10 be sold. subject TO the lien Of the
prior cncumbrance created by the deed Of
March the 9Th. 1850, a. aforesaid. and that
your Honor will grant such other and FUR
ther relief as the nature OF the case may re-
quire. W. W. GoRDoN,
Attorney for cOmplainants.
The bill in this case was filed in the Cir
cult Court Of Richmond on Saturday. and
on that dav Judge Wexford appointed
Messrs. Lawrence Myers and Decatur Ak
tell receivers, with the powers usually
granted TO receivers OF railroad. They
VIII ldht tuil ~ VI tut lhst't - SUM ~ AhN
bond required OF them is given.
Mr.. Mycr, is a son-in-law OF the Hon.
Hugh McCulOch. and is member OF the
lirm OF Myers IL Cawson. bankers in
New York. and is financier Of cOnsidera-
bic reputation. lie has long been a director
in the road, and recently, with Mr.. Me-
Culloch, passed over and inspected the
line.
Mr.. Axtell is the present yice-president
and general manager OF the road. and is
an able, careful, and economical railroad
man.
There will be no change in the working
OF the road-certainly not for the present.