The Portland daily press., 1884-04-17

quisition Of terminal facilities at Portland,
and some increase Of rolling stock, and other
details which need not be named.
| The evidence further shows continuous in
| crease Of the volume Of business since A. ID.
1 1877. In the year A. D. 1888, there was
railing OF Of the gross cash receipts; but there
| was an advance In the volume OF business
/ over A ID. 1882, the explanation being that
the local traffic somewhat diminished, and the
through trattc considerably increased. The
| freight mileage IN A. ID. 1881, was So, 1855 $50;
in 1888, S. 107 097; and the passenger mileage in
| 1881 was ,761 952 and In A. ID. 1888, f. 145 282
Sixth-With reference to future legal proceed
ings, the endorsements arise from the fact
| that your mortgage runs through two states
with different systems of foreclosure. In
Maine, foreclosure must be by statute, by Vir-
tue Of which at the expiration Of the foreclos-
ure the bond-holders become, ipS0 fdcto, a cor
poration; and advise proceeding immediate
ly with the foreclosure in that State according
to the statutes.
In New Hampshire can find no statute pro-
visions for foreclosure Of railroad mortgages,
nor for the disposition OF the property after
the foreclosure is made. In the Mercantile
Trust Company suit, now pending at Ports
mouth, there is prayer for foreclosure; and
understand the ordinary practice would be
that upon final hearing Of the bill there
would be decree that the corporation have a
specified time in which to redeem, that II il
does not redeem within that time, it shall be
toreclosed from redeeming, and the portion OF
the road within the State of New Hampshire
be sold at public vendue. The decree direct
ing such sale would probably, as is usual, pro-
vide that the purchaser might deposit bonds
pro rata, in lieu OF cash, in payment for the
property sold, thus enabling the bond holders,
or at least, such of them, as desire to combine
for that purpose, to acquire the property with
ont putting in any considerable amount Of
money. II this is done, it will then DO necessary
to devise some scheme by which the property
thus acquired by the bond-holders Of New
nt.ae it,
erty held by the bond-holders' corporation In
Maine. Precisely how this can be done without
legislation in New Hampshire Is not clear TO me
at present; and / am not therefore able as yet
to devise scheme for the foreclosure and con-
solidation in the hands Of one corporation Of
the whole property embraced in yoar mort
gage, except with the aid Of new legislation in
New Hampshire.
II the court in New Hampshire could be in
duced to decree that, upon foreclosure being
-oonaplet0d both ia Maine and- &S~a uamP--
shire, the trustees should release that portion
Of the road in New Hampshire to the bond
holders corporation formed in Maine, this
would relieve the difficulty; and I think so
far as any objections which the State Of New
Hampshire itself could raise, this could be
legally done under the general laws OF New
Hampshire.
doubt whether the present bill pending in
New Hampshire is in proper form to obtain
indeteasible foreclosure; but 1 hope either
through the acquiescence OF the counsel for
the Mercantile Trust Company or otherwise,
to remedy this defect.
1t will be more satisfactory in my Judgment
for all concerned, and would save a valuable
charter II some scheme of reorganization
could be devised by general consent.
Very truly yours,
WILLIAM L. PUTNAM.
P. S.-For what seem to me as exceedingly
forcible reasons, strongly advise that Messrs.
Spring and Milliken should resign their posi-
tons as trustees under the mortgage Of No
vember /, A. d. 1870.
WILLIAM L. PUTNAM.