The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-03-20
ABANDONED THE LEASE.
THE RICHMOND AND DANvILLE's
LAST MOVE

Before the Lessee Was Msde-A Sep
arate Management TO be Appointed
at Once and the Join: Ofhcieis TO
be Relieved-The Central TO Hold
the Richmond and DauYIlle to It's
Contract.
President OAkman Of the Richmond and
Danville Railroad Company yes ,erdsy uot-
fed Receiver Alexander Of the Central rail-
road that the Richmond and Danville
would not resume control OF tbs Central a.
the expiration OF the receivsrship, and ad-
vising the appointment of separate man
agement for the Central.
The Richmond and Danville and tbs
Central railroad have been operated by the
same general officers since the lease, and
upon the appointment OF Gen. Alexander
as temporary receiver he appointed the
general officials Of che Richmond and Dan
vile TO perform the same services for the
Central
The news OF the dropping Of the Central
by the Richmond and Danvlle was the SEN
sation yesterday. 1t first appeared as a
rumor about u o'clock. and was hardly
credited until confirmed by President Alex
ander aud the CentraI's directors.
EXPECTED ALL ALONG.
Though sensation, it was not very much
of a surprise after all. as it has been pre-
dicted on oil sides ever since the appoint
ment of temporary receiver
bv Judge Speer. The interesting question
now is, Can the Richmond aud Danville
drop the Central railroad without the
agreement OF the latterl Gen. Alexander
and the Central directors say not, and they
purpose to maintain their position in the
courts provided Judge Spesr does not de-
eide the lease Illegal.
The telegram announcing the renuncia-
tIon of the lease by the Richmond and
Danville was received by Gen. Alexander
yesterday morning. 1t was the first COM
munication in reference 20 the attitude OF
the Richmond and Danville and the Ter
minal people to the lease since the attack
made upoa It by the application for re-
ceiver in behalf OF Mrs. Clarke Of Charles
ton.
THE RICHMOND AND DANviLLE's POSITION.
The Richmond and Danvil!e has given no
instructions or advice 20 the Cen raj
directors or their attorneys, nor has IL ad
vised them of its own position in the matter
since the attack was made upon the lease.
This fact itself was sufficient 60 indicate
the action taken yesterday.
A consu tation Of the local directors aud
the attorneys of the Central was held at
Gen. Aexauder's office during the forenoon
AS there was not quorum of
the directors present no Official
action could be taken. The result of
the consultation is not known, but a meet
ing of the directors will probably be held
early this week.
Gen. Alexander was seen at his office in
reference to the Richmond and Danvile's
action. He was in consultation with Law
ton and Cunningham, attorneys for the
Central railroad and also for the re
celver, and Cashier Cunningham Of tho
Central Railroad Bank, Gen. Alexander
said it was time that the Richmond aud
Danville had dropped the Central or had at
tempted to do it.
TEE LEASE RENoUNCED.
"Just what is the situationr he was
asked.
~ know nothing further about it." he re-
piled, "than that | have received notice
from the Richmond aud Danville, saying
that they did not propose 70 resume the
control OF the property at the termination
of the temporary receivership, and in oon-
sequence they thought it would be better to
separate the management OF the two roads.
''Is this the first intination of such action
that you have hadP
at was the first intimation from the
Richmond and Danville upon the subject.
their frat communication, in fact, upon the
subject of the lease since the bill of Mrs
Clarke was filed. Il is Just what
l have expected for some ii ne though. |
felt satisfied that the reports published in
ahe New York papers of interviews with
Terminal men during the last few days, in
which they declared that such action would
be taken by tho Richmond and Dauville,
were not without foundation.
The attacks upon the lease have been
80 constant aud so heavy, and 50
much opposition has been manifested
to it In this section that thought it not uu-
likely that some attempt should be made to
drop the lease"
MAY AND MAY NOT BE THERE.
"Did President Oakman saw whether the
Richmond and Danville would be repre-
scented at the hearing before Judge Speer
THURSDAY" Gen. Alexander was asked.
''No; nothing was said about the attack
upon the lease" he replied.
w hat is your position, thenl What do
the directors propose TO dos"
1.-THE Instructions given at the last meet
Ing OF the board were sufficient !" he replied.
and shall continue to be guided by them
until further instructions are given.n
Then you will continue TO uphold the
legality OF the lease and endeavor to main
tain itF'
Exactly. We shall continue upon the
same course as at present"
Gen. Alexander said that the lease Is
legal and binding upon both the Central
and the Richmond aud Danville and that
the action Of the latter In declaring that IL
will not resume control Of the Central by
no means releases it from its obligation,
and until the lease has been broken by the
courts both parties will be compelled to
fulfill their portion Of the contract.
WILL FoREcLosE THE BOND.
The bond Of $1,000 coo by whi,h the
Richmond and Danville guaranteed the full
fillment Of the lease will be forfeited il the
Richmond and Danville endeavors to break
its contract in law. Gen. Alexander re-
Garded the action Of the Richmond and
Danvllle as entirely without effect at law.
MIR. Lawton and also Mr.. Cunningham
expressed the same opinion
They can't renig because they are tired of
their bargain" said Capt. Cunningham.
That's what they say, you know, when
one party tries to back out of bargain with
another.
Gen. Alexander said that in pursuance of
the request for a separate management be
had appointed Cashier T. NJ. CUNNINGHAM
of the Central bank treasurer 4 the Central
railroad temporarily, and all moneys COLI
lected By agents after this date will be re
mitted to the Central Railroad Bank. The
following order to this affect has been is
sued:
TIE CENTRAL R. R. AND BANKING Co. OF Ga
OFFICE OF TEMPORARY RECEIVER
SAVANNAH, Ga, March 10, 1892