The times. [volume] (Richmond, Va.) 1890-1903, 1890-07-02
THE VIRGINIA DEBT.
Agreement Between the Council of Bond
holders and Their Committee.

nOiueTS III boHuOH Wltu tDclr SOHiiitttt, u
whom was specially given charge Of the
Virginia debt, viz: The Right Hon. sil
John Lubbock, Bart, NJ: r.; II. Il. Beeton
ESD, Walter Chimney, Esq, David Clark
Esq, A. T.. Franklin, ESQ.,, Il. ". Glyn, ESD
4. Humphreys, ESQ, Henry loachin, Esq"
| Sylvester Larry. Esq, Samuel Montague,
Esq, NJ. T.. II. Newgass, Esq, ID. Open
hmer. Esq. Captain W. W. Ross, {. Lat
terthwaite. Esq, W. Tr0tter, Esq. Charles
o'i.eary, secretary, have agreed TO recon-
mend TO Virginia bobdholders to deposit
their bonds, coupons and certificates with
Brown, Shpley Il Co., London, under the
subjOined agreement with view to subse-
quent negotiations with the American COM
mittee for the purpose OF arriving at set
tlement Of the Virginia debt. The London
Times publishes the agreement rs follows:
Tins agreement between Frederic T.. Olcott
| Charles -. Dickey, Jun, William l.. full
| Hugh r. Garden, Henry Bulge. OF Ne~ York
and John Gill. Of Baltimore. and their sue
cessOrs, duly appointed 10 act IN ms penhll
and hereafter styled the bondhOlders toin'
| .aittee, parties OF the first part, ana sucl
creditors OF Virginia as shall deposit lheii
obligations hereunder wfth either dep0sharN
hereinafter hsmed, parties OF the second
part. -, s,... -.
Virginia created commission TO agree on
terms for funding its debt; and
| Whereas said commission cannot enter
/ tain any proposition unless accompanied Dy
guarantee that such proposition, II accept
ed by the State, will be carried out by the
creditorsi and
Whereas. the said Bondh9lders' Committee
has undertaken to bring about settlement
Of said debt; and whereas, the Cenlinl rus. !.
| Company OF New York, Brown, Shipley Il
| Co., OF london. the Mercantile trust ana De
pOslt Company OF BakImore. the Plonters
\ National Bank Of Richmond, have been ap-
pointed dcpOstaries In this behalf;
wITNEssETH.
First--The following gentlemen have con-
senttd 10 act as an Advisory Board fer the
creditors i'm this behalf TO wit: Grover CleNe-
land. Thomas r. B9yard, Edward j. fhelps,
George :. Coe, George q. Williams.
The duty and function Of said Advisory
Board is TO examine suCh plans OF pIOposi,
tOns of adjustment as may be formulated
and proposed by the BOndholders Commit
tee representing the holders OF the oOnga-
tiOns OF Virginia, which snail be subnltieu
to il in accordance with the terms Oh thls
agreement. and TO state IT'S appfoNA ana
recommendation. or the contrary. lts ap-
proval and recommendation OF any plan
Shall he unanimous and in writlng.
Vacancies In the ADVISORY Board shall pe
filed by the remaining members
Second-The duty AMI junction OF SAID
BOndholders Committee shall be:
/. TO bring about a deposit OF said obllga-
tlons OF virginia under this agreement
so far as possible.
. TO formulate plan Of settlement, aud
after same has ~Jeen approved by tne
Advisory Board, cause the same to be
submitted to the creditors ana Nlt-
ginia for their acceptance, as herein
provided. ,.,
g. TO act as the agent OF the depOsitlng
creditors in carrying out the purposes
of tins agreement.
And power is hereby given TO SAID commit
tee to contract with any individual, ryndl
cate, or corporation in relation hereto, ana
generally to do and perform any act neces-
sary or proper 10 accomplish sald purposes
and add 10 its number
be personally liable in any case for the acts
OF each other. nor for their own acts, eNcepl
in cases OF wilful malleasance, nor snail they
become personally liable LOT ule acls vi lheI
agents or employees
The action Of majority Of said Bondhold'
ers' Committee shall constitute the action
OF the whole, and may be expressed by vote
or ia writing.
shall be flled by the remaining members.
Ihird-Either depOsitary herein named re-
cciVing on deposit hereunder any evidence
Of said debt, shall issue therefor its certificate
OF depOsit The certificates for COnSol and
Ten-F Forty Coupon B'nds shall be negotiable
and uniform In character, and those Issued
by depOsitaries in America shall be eng g'aved
I'm accordance with the requirements OF the
New York stock Exchange. The certificates
snail be issued in such form as the BOndhOld-
ers' Committee shall approve.
Fourth-Subject 10 the restrictions herein
mentioned. the BOndhOdeIs' Commi tee
shall have full power TO perform any act
necessary or proper to bring about settle
ment OF the respective claims OF the depos-
itOrs against Virginia, as represented by the
obligations deposited.
Provided, that no settlement can be con-
cluded unless IL has been prev iOusly unanl-
mOusly approved and recommended by the
Advisory Board. ana has also Oeen submit
ted to the creditors, and accepted as follows
tO-wit:
l. AS soon as n plan Of settlement has been
approved ana recommended by the Ad-
yisory Board, the BOndhOlders' Com
mittee, before proposing such settle
ment 10 Virginia, shall advertise for at
least twenty days In one or more OF the
nrwspapcrs published In the cities of
London, New York, Baltimore, ana
Richmond. that settlement found
practicable has been formulated, and
notifying parties in interest where
copies Of such proposed settlement can
be obtained in said cities without cost.
Copies OF such proposed settlement shal
aisO be furnished by the BOudholders'
Committee TO the depOsitaries for dis
tributiOn TO creditors applying for tue
same.
.. If within sixty days after first publica-
tiOn Of said advertisement. certifcate-
holders amounting 10 "A majority of the
face value OF any class OF the ODllga-
tions deposited, notify In writing the
BOudnOlders' Committee. either direct
lyc or through any depOsitary, Of their
unwIllingness 70 .acc0pt the settle
ment proposed, then such proposed
settlement shall not be cOnsummated
as to such class. II the BOndholders'
Committee is not SO notified, then II
shall be assumed that said proposed
settlement is satisfactory 10 and Is a.
cepteI by majority OF, and Is binding
upon, all the depOslting creditors OF
the class accepting, and II snail be
cOusumnated.
g. H. for any res ssOn, the BOndhOlders COM
mittec deems II necessary 10 submit a
modified plan. the right is reserved 70
II To do so in the manner as above pro-
vided.
.Fifth-After plan Of settlement has be-
come effective (Of which fact the declaration
i'm writing of the BOndhOders' Committee 10
! Inc several depOsifaries shall be cOnclrsiyel
each depOsitary shall, in such manner as shalI
! ne designated by the BODdholders Commit
tee. surrender 10 Virginia the obligation Oh
1 the class accepting, as aforesaid depOsltel
with IT, and shall receive in satisfaction
| thereof the bonds and other securities called
| for NV said settlement, which, in form, shall
be satisfactory TO the said committee.
| The bonds and other securities 30 received
| from Virginia shall be Immediately denver
ed pv each depOsitary 10 the holders OF It's
certificates upon surrender Of the same IN
accordance with tie terms OF settlement
| Ihe Bondholders' Committee shall arrange
for flp purchase OF SITE VI HhNii hSNithhi
| Ierests as may be necessary To equallle the
distribution. -. =.
Sixth-In full payment OF all charges Tor
service or expenses of every character on ac-
count OF this undertaking, each deposltof
! shall when he exchanges his trust certin-
cote for the new securities, pay 10 the depOs-
,farv. for account CT the BondhOlders Com
mittee three and a-nalf go per centum In
cash of the par value of such new securities
ohiained from Virginia In settlement.
Seyenth-An depOsilary, whenever d.
| raoted NV the Bondholders' Committee. may
surrender any obligation deposited under
| ms agreement TO the holder OF us cores
/ pOnding certificate. -. e.. -
| Any obligation may be wlihdrawn nom y
| depositary at any time aitef December olst
| + fss,l unless the depositing creditors nave ac-
cepted a proposed settlement. or IN less pro-
\ uosed settlement is pending Tor thelf accept
ancr: provided the corresponding certlhcale
/ rs surrendered, and provided also, lhe hoiuei
paws the depOsitary. as his snare OF u,sDuise'
insnts in having the debt deposited, sum
/ MOI exceeding one fourth OF one per centun
/ of The par value exclusive OF nyTOrlelted
| tnterestl of the obligation so Withdrawn.
/ Eiehth-Any obligation shall, upon the re-
ouesf of the certificate holder. ana al MS eA'
| nnense be transferred from one depOsitafy tt
another depOsitary acting under TINS agree
Nintb-Eull power Is hereby invested II
tho RondhOlders' Committee TO perform any
| ect necessary or proper foT the surrender by
| the deDositaries TO The State Of virginia OF al
or anv obligation deposited In pursuance Oh
/ - f.l, IA haan annrONe0 Dk tlf