Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1889-04-17
THE RAILROAD SOLD.
BID OF FIVE MILLION FOR THE RICH
MoSD AND ALLSaHkEY PROPERTY.
TIE Road to be Merged Into the Chesapeake
and Ohio-what the Bond and stock
holders Will Get.

month. ago. the Richmond and Aiegbany
railroad is 10 he merged into the Chesapeake
,nd ohio and will be made a division OF that
great system.
The fnsl step on the part OF the two CON-
n,nles looking to this end hss been taken,
and A. ssoa - the sale OF the Allegheny pro-
,erty made Yesterday Is confirmed by the
ctv Circuit Court the former rosd will
nrse,icauy be the property Of the latter, by
which Il has been operated since the ltt OF
iast September.
4 new company viii perhaps be organized
TO conform 10 the laws OF Virgins, and the
accounts u the two properties viii be kept
sepsrale. but the Richmond and Allegheny
viii necomr veritable part OF the great sys-
TEN OF which Dir. ". +. ingalls, IS the pfo'i'
dent
THE SALE.
The properly, rights. and franchises OF the
Richmond and AilegbSny Company were
Sold by public auctiOn at noon yesterday III
frOAaf tue Capitoi-s'rcet front OF The HuS-
upgNCourt room. Mr.. y. ". Bowe was
the auciionsr. and Mr.. L. II. Leland tDe
commissioner appointed by The CIV circuit
Court under the decree 0i foreclosure ana
saie. entered therein on the 18th day OF jan
uary last.
The sale attracted very large crowd.
There we're perhaps two hundred or more
persons present. outstanding the ram,
which was falling steadily At the time. TIE
assenhlsge embraced local railrosd-men,
capitalists, bankers. aud brokers, and very
large number of lawyers and others.
Among those present were Colonel A. ;.
Buford. president Of the Virginis Western;
colonel John y. Ross, Of ROckbridge
ku cola in
Charles L. Williams. counsel for the Allie
chanv Company; Colonel W. w. Gordon.
Frank ". Christian, james Aston Cabe'l,
Willis l.. smith. and others who were inte'
resied in the matter as counsel. Mr.. NJ. i.
luVsIls. president Of The Chesapeake and
Ohio. and Mr. Henry 7. Nickbam, counsel
for the company. arrived few minutes be-
fore II O'Clock, and soon afterwards hack
drove up, from winch aligbied Cominis-
sioner Leland, Mr.. Erwin Davis, chairman
Of The Richmond and Alieghauy Reorgani-
zatlon Committee. and Charles F. Cox, OF
the Purchasing Committee, both OF New
York. There may have been other railroad
magnatos from the North in the audience,
but II so they were not made known.
NOTICE or SUIT.
Atl9.05 O'Clock Mr.. BoWe. with barred
head. opencd the courtroom door and an
kindness Characteristic OF him, had rendered
the use oi The courtroom for the sale, and
ee UIowel invited ~ many OF the spectators
as wished 10 walk into the house Very few
accepted The invitation, prdsding TO stand
out in the rain in front o&SFSuctioneer.
Assoon ~ hr. Bowe bad read the adver-
tiseneni in reference 10 the sale Mr.. j. II.
WeDb Peploe read in The hearing OF the
crowd papcr stating that Mary &. Seay,
and Samuel j Eo4V
notice that suits had been instituted against
the Richmond sod Allegheny Railroad Com
papv in the Circuit Court OF FluyanHa cOuu-
Is for damages 10 the smounl OF S22,0O0 for
property owned by them now held by the
railroad company.
FOR FIVE MILLIONS.
Mr.. Bowe waited patiently until Mr. Pep
loe had finished readiug the document when
be remarked "Thst is no part OF nv per-
formsncc" and then proceeded with the
sale.
As The notice was read Mr. ingalls, smiled
and remarked, owe see The pun pro-
voSed q ripple Of laughter among those
sround him.
Mr.. Rowe asked " How much am / Of
fored for this very valuable property" and
sfer q repetition of the question several
times q young gentlemsn dressed in brown,
who stood Just to the right Of the auctiOneer,
responded, &" 1 will give i've million dollars
for the property" All eyes were turned
upOn this modest-loOking gentleman who
bid by the million so c00lly, but be seemed
vesy much unc0nccrned. lie bad lust been
handed telegram, and this may have con-
tanned advice ss 10 how many millions he
should venture.
This bid was cried for few moments,
and there being no other offer for the pro-
perty, when Nj. Bowe remarked he ought
10 have gotten great deal more for, 1t was
Knocked out 20 Erwin Davis, Charles +.
Cox. and >. Kennedy Todd, committee"
This Wss the only information given the
public and the crowd soon dispersed. Mr..
INGALLS, left immediately after the bid had
heen accepted. Messrs. Davis and Cox,
Commissioner Leland, Colonel Gordon, MIR.
Frank Christian, and several Others re-
named I'm the courtroom for few minutes
discussing matters OF detail connected with
the sale.
WHOM THEY REPRESENT.
Mr. Cox was seen for moment by Dis
patch reporter and asked whom the commits
iee represented. lie replied that they re-
presented all OF the Interests Of the road and
Il was intended 10 put the road in good con-
dition and give the public the best possible
service.
"Does not the sale mean a transfer OF the
property to the Chesapeake and Ohio, or in
other words continuation OF the present
lease 2" was asked.
mo. there Is no lease" be replied.
o"rhcre Is q contract or agreement between
the reorganization committees Of the two
eompanfes, however, and this sale was con-
iefaplated The Grst and second mortgage
pondholders and the stockholders all agreed
20 the plan OF reorganization, and we pro-
pose now TO tlSe possession OF ;he property
and 20 carry out this plSn. The Richmond
ana Allegheny will be operated in conRec-
ton with the Chesapeake aud Ohio, with
certain paris OF the freightS 10 pass over It,
and the understanding l. that the former
sys'em is to be finally turned over to the
latter"
THy CHECK IN BANK.
Commissioner Leland, In conversation
with s Dispatch reporter yesterday aitcr-
noon. said that the committee bad handed !
hn the check for Sj0,000 the payment re- |
Qmred to be made on The day Of sale. and he |
had she check on deposit IN the First Ma
uonAl Bsnk. The terms OF sale, which have !
been published IN The advertising columns !
OF tbe Dispatch for the pat three months, !
are familiar TO all Of the persons interested |
IN the transaction.
TIE AGREEMENT.
The circular Of Drexel, Morgan & Co., OF
New York, outlining the agreement entered |
into on the lst Of last August between &. ii. |
COster, r. }. Cross. aud Anthony }. Thomas, |
Reorganization Committee Of the Chesa- /
peake and OHIO; and Erwin Davis. George /
=. Baker, Smith Clft, James T. Closson,
Charles r. Cox. Francis q. French, Charles |
n. Fry, John }. McCoOk, and J. Kennedy /
Todd. Reorganization Committee OF the
Richmond and Allegheny, was published ia
thls paper several months sgo, and very few
changes have been made since. The details
OF the consolidation scheme, which is 10 be
contaminated within two years from the ist
Of August next, are not interesting 10 the
public.
Tue BONDS TO BIZ ISSUED.
la the last circular issued by DreXel, Nor
gnn & Go. concerning this transaction ap-
v.eare this pars rranb.