Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1884-03-22
THE RICHMOND AND DANVILLE
LOAN

At Annapolis, Md, committee repre-
senting the Merchants and Manufacturers
Association, of Baltimore, appeared before
the city delegation Thursday morning to
advocate the passage of the act enabling the
CITY of Baltimore to loan to the Richmond
and Danvlle system 100000. The COM
mttee was heard in the executive chamber.
Mr.. ]. Frank Supplee stated the object OF
the loan in clear and comprehensive man
ner. To show that the merchants OF Balti-
more had everything to gain and nothing to
lose by making this loan, he read the pro-
posed contract between the Virginia Mid
land Company and the city of Baltimore,
and explained in detail its provisions. This
contract was drawn up by the Virginia Mid
laud Company, and, as explained by Dir.
Supplee, meets every objection advanced to
the proposed loan The Virginia Midland
therein agrees to make Baltimore city the
northern terminus Of its system, to furnish
such facilities for the transportation OF both
freight and passengers between Baltimore
and all points reached by the system OF
railways as will best accomplish the
result. A dif'erential rate shall be al
lowed in favor of Baltimore, which
her position and trade justify. The
terms with reference to the diierentials are
defined and specific. The most favorable
facilities for the transportation OF passen-
gers, newspapers, mail and express between
Baltimore and the points on the lines OF
this system are agreed to. When round
trip tickets are placed upon sale atany
point south Of New York and other
Eastern cities or watering places, like
round trip ticket shall be made for Balti-
1oes Tho Local rot ia bat pa said SOllth.
ern points and Baltimore. All tickets shall
enttle the holder to stop off in Baltimore at
least seven days without danger of expira-
ton. The city shall appoint annually three
directors in the Richmond and Danvile
railroad board and eighth the Virginia Mid
land directory, to see that that all the cove
nants are to be carried out. 1t is further
agreed that the loan shall be expended by
the company in betterments, first, upon the
line of the Virginia Midland railway in steel
rails, Improvement of roadbed, large in
crease of motive power and other rolling
stock: second. upon the roadbed and rolling
stock of the Western North Carolina Rail-
road Company. 1t is distinctly understood
and agreed that in case Of a failure Of the
Richmond and Danville system, or any OF
its parts, to comply with any provisions OF
the agreement on its part to be performed,
the amount loaned to the company shall be-
come due and payable Immediately, at the
option of the city, which option may be de.
clared by the finance commissioners, and
the city may take proceedings in any court
of equity having jurisdiction for the enforce
ment of the respective provisions of the con-
tract or for the appointment of a receiver,
or take any other legal proceedings which
may be necessary to enforce each and all of
the provisions of the contract, and to enforce
the Immediate repayment of the loan. The
failure to comply with the contract would
wipe out six million dollars of Virginia Mid
land stock and five millions of Richmond
aud Danville.