The Washington critic., 1889-06-14
REPAIRING THE CANAL.
Action OF the Board of Directors
Another Meeting Called.

Another Meeting Called.
The G.. 81 o. Canal stockholders met
nt II o'clock yesterday at Annapolis ny
stated in yesterdays CRiTIC, in the Ex.
ecutivc chambers. Governor Jackson.
who, with Treasurer Archer and Comp
troller Baughman, represent the State
Board of Public Works, which holds
controlling interest in the canal, pre-
sided with Spencer Watkins secretary.
The State, with 10,00S shares, and
Colonel j. G.. Benot, who holds five
shares Of private stock, were the only
stockholders present. The stock not
represented Is hold as follows. United
States and corporation Of Washington,
each zoos shares; corporation Of
Georgetown and Alexandria, each 50S
shares; j. A. L. Mcclure, five shares.
The capital stock of the canal Is
$500, 600, Of which the State of Mary
land holds $4,000 The directors
present were Mcssrs. Berret, HamilI,
Dobbin, Amman and Ahalt
While reading the report OF the
directors President Gambill was taken
suddenly III, and Colonel Berrct finished
reading IL. The first part of the report,
giving detailed statement by Presi-
dent Gambrill of the damage done 10
the canal by the recent freshet was
published In THE CRITIC last week.
Among other things the report says:
ITO abandon the canal will be great
calamity to the State, and especially to
that portion through which it runs.
But how can IL be restored BY the
Constitution the State is prohibited from
lending aid to any work of public i'm
provement. The bondhoders of 1874
have lien upon all the net revenues,
and, as they have received no interest
since July, 1864, II Is useless to look to
them for relief. The bonds of 1878
are q first lien on the corpus of the
work, the State having waived her liens
in its favor. On these bonds four cou
pons are now overdue, and on the 1st
of July next, another coupon will be-
come due. The holders Of these bonds
are now In a condition to institute pro-
ceedings to forcclosc, and, In the pre-
| sent condition of the canal, il is not
likely that they will advance money to
| the company. The only mode, there
| fore, that suggests itself to your board
| for raising the amount necessary to
restore the work is by a subscription
from the coal shippers, the business
| men and others who are so deeply in
| terested in its restoration. The security
| which the canal can offer tor
such loan is an issue of repair bonds
under the power vested in the company
under the act of 1874, chapter 2S1, or
by the issue Of the toll certificates, such
| as have been on several occasions
issued. With this view the board have
! therefore determined TO call meeting
| of all those who are interested In the
| preservation Of the canal, to be held at
| the company's office in Georgetown, on
| Wednesday, June 10, TO take into con
sideration this subject and the future of
| the canal"
Mr.. John p. Poe offered the follow
ing resolutions, which were unani-
mously adopted by the stockholders
| after clause had been inserted, on mo-
| tion of Treasurer Archer, referring the
resolutions 10 the Attorney General.
The resolutions, as corrected, are as
| follows:
| Resoived By The Stockholders Of The Chesa-
| pedke and Ohio Canal Company, That the
| president and directors Of the company be,
and they are hereby, authorized and directed
| to make prompt use Of all available re-
sources for the purpose Of putting the canal
| In repair for the resumption OF vigation
/
for this purpose that they shall issue repair
bonds in such form and amounts and TO
mature at such time or times as they shall
deem proper. And that for the purpose OF
securing the payment of the principal and
interest upon such repair bonds they shall
pledge the future tolls and revenues OF the
company by such lawful mortgage or other
pledge as they shall consider expedieDt.
Resolped, further, That the proceeds OF
the sales OF such repair bonds, or the
money borrowed upon them as collateral
security, shall be exclusively applied to the
purpose of putting the canal In good condi-
tion and repair for transportation, and that
a careful record shall be kept of the issue
OF said bonds and of the sales and hypothe-
cations thereof, ard of the disposition OF
the money realized from such sales or hy-
pothecations; provided, however, that be-
fore s, ch repair bonds shall be issued and
pledge made the opinion OF the Attorney
General shall be obtained as to the legality
Of such issue Of said repair bonds.
Res0ired, further That the president and
directors be, and they are, also authorized
to issue toll certificates, II in their iudg-
ment, the same shall be expedient and
practicable.
Colonel Berret earnestly advocated
the adoption Of the resolutions. He
said there should be no hesitation on the
part of the stockholders or others inter.
ested to restore the canal 10 its former
condition, and that the president and
directors of the company were earnestly
and anxiously trying to bring about this
result. The importance of the canal to
Maryland and the District of Columbia
is recognized by large class of mer-
chants, coal dealers, shippers and others,
who are anxious as TO its future welfare.
There are 10000 tons of Cumberland
coal consumed annually in Washington.
If the canal ceases to be waterway,
the effect will be to increase coal fifty
cents a ton, amounting in the aggregate
10 800, 600 year, more than would be
necessary to repair that section of it,
The Government is interested in the
canal, but will not come to its relief.
The canal must, therefore, look to indi-
viduals interested in il to help it. How
far their assistance will go remains to be
seen After the freshet of 1877 in the
lexicon of the canal there was no sucn
word as fail, and he hoped their would
be no such word now.
The directors will meet at the com
pany's office in Georgetown on We'd
nesday next Mt II a, M.
aWlNa