Los Angeles daily herald., 1888-02-24
THE & 2, L. A. ~. R. B.
4 Mortgage Deed Filed
Yesterday Morning.
4 GREAT SANTA FE SCHEME
1t Proposes to Build New Line
Of Railroad to the Coast
Railway Gossip.

At last something definite has been done
toward buildine the San Pedro, Los Angeles
and Utah Railroad. Yesterday mortgage
was filed with the County Recorder for the
insurance of bonds amounting to 1880,
OOO which are to be utilized for the con-
struction of the first fifty miles of the road.
On the 10th day of November, 1887, the
Board of Directors of the company held a
meeting and resolved that first mortgage
bonds amounting to $1.500,O00 should be
issued The shares were to be valued at
$1,000 each with coupons, payable semi
annually, bearing interest at per cent. At
that meeting it was determined the bonds
should be issned on the First day of Janua-
~, 1888. For reasons best known to the
Board of Directors, the bonds were not is
sued at that time, and it now transpires that
almost the entire management has changed
hands. gentleman in this city, who is
prominently identified with the present
state of affairs, has been working for some
time with large party of eastern capital
lists to effect sale OF the road. ana, very
!. recently. he has been SO successful, that
!. now seventy per cent. OF the stock u
owned by men in New York City
who VIII push the road to finish.
Aud for this reason an entirely new organ
ixatiOn is being perfected tnat VIII COM
msnd an unlimited amount of capital The
< original stOck of the company was capital
iged at $40, ,OOO, 900. If necessary, the new
organization can command twice or thrice
that much money at moments nouce,
aud yet Jay Gould Is not interested In the
road in any way, at least SO the HERALD's
informant stated. The mortgage deed states
that on the 9th and 9th of last January q
second meeting Of the Board OF Directors
was held, at which it was decided to raise
the shares to SIC, 900 each, the shares to be
iaslled aud bear date of January 10, 1888,
payable at the Office of the Union Trust
Company, in the City OF New York, and
that the mortgage to secure the same should
be made to the American Finance Company
as trustee. The mortgage then states that
as security it gives IN miles OF standard
gauge road, which is equipped and In run
ming order, and 1920. 81 acres of land. ex-
cepting therefrom the navigable waters OF
the inner Bay of San Pedro, having an area
of ga acres If the bonds remain unpaid
for six months after the time when due.
then a majority of the stockholders can
foreclose the mortgage. The time set for
the payment of principal and interest Is
twenty years from date OF issue.
The company desires to construct she
road from the point at or near the Bay of
San Pedro through to this city. via Ray
m0nd Hill to, and through the city of Pasa-
dena; thence through the counties OF San
Bernardino, Kern and InyO, passing owens
line Of the State, the distance being 275
miles. The indenture is signed by J. P.
Woodbury., President, and A. b. Manahon,
Secretary, for the railroad company, and
fH the American Finance Company, as
trustee by John c. Short, President. The
latter's signature is witnessed by Charles r.
Adams, Assistant Secretary. The mortgage
deed was sent to the American Finance Com
pany, and signed on February l4th before
Notary Public, and was sent back to the city
on, Wells, Fargo & Co.'s Express, arriving
last Saturday. 1t was fled yesterday morn
ing at three minutes past A. N.
The San Pedro, Los Angeles and Utsh
Railroad Company owns Rattlesnake Island
aud the Altadena Railroad, seven and
quarter miles long. The gentleman who gave
the HERALD its information, states that the
road will be built straight through to Salt
Lake City, and that the floating of the
bonds mentioned is only starter" To
show how much in earnest the COM
pany is, 1t has made contract with the
Raymond Improvement Company, at
South Pasadena, to pass through its lands
and locate station at Mission street within
ten months time. The right of way has
been partly secured through East Los An
8eles, and Is virtually secured to San
Pedro No difficulty is anticipated between
this city and Pasadena, and certainly none
beyond the terminus of the Altadena line.
In q few days time more perfect de-
tails of the movements of the company, as
well as the new organization, will arrive in
this city.