The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-11-12
TOSTAY WITH THE CENTRAL
The Augusta and Savannah Will Not
Withdraw Yet Awhile.


Pursuant to the Orders Of the Court.
President Lawton Paying the Divi-
dends-No Trouble for Any Stock
holders to Get What Is Due Them.
The Augusta and Savannah railroad
will remain in charge Of the Central, at
least for the present. That was the al
most unanimous decision to which the
stockholders Of the Augusta and Savan-
nah came yesterday, after short delib-
Grafton.
The meeting was held in the Office of
Messrs. Hull and Lathrop, at II o'clock
Yesterday morning. About thirty stock
holders We're present in person; and they
held a large number of proxies for others
who were unable to be at the meeting.
Among the number from out of town
were Col w. W. Thomas Of Athens, who
represented, beside himself the Southern
Mutual Insurance Company, Mr. John W.
Dickey, of Augusta, who held number
of proxies for Augusta stockholders, Mr..
H. J Dales, of Augusta, and Mr.. Frank
II. Miller. attorney for the road. Col.
John Screven presided at the meeting,
having been unanimously chosen Oh air
man, and gave general satisfaction by his
ru lings.
An UNANIMOUS ACTION.
The question of allowing the road to
remain with the Central was discussed
for some timepro and con, and a resolu-
tiOn was finally drawn up to the effect
that the road should continue 10 be Op-
Grated under the order of the court. The
passage Of this resolution was almost
unanimous on a viva yoCe vote, there
being only one vote against it, but IL is
not known how many shares he repre-
seuted A good many of the stockholders
present had deposited their stock with
the Mercantile Trust Company, Of New
York, but the stock books were referred
to- and it was decided that all who were
known TO have done 50, would be allowed
to vote a 8 the meeting, as the Mercantile
Trust Company had issued no proxies.
Out of 1929 shares 6,115 were repre-
seuted at the meeting, either in person or
by proxy. This was Just about 1000 more
than a majority. All but one having
voted in favor of the resolution on viva
vOce vote, no division was called, and the
vote by shares, of course, was not deter
mined.
THE ANSWER TO THE RECEIVER.
The question discussed at the meeting
was the answer to be given now to the re-
ceiv6r in response to his notice pursuant
10 the order Of the court as to whether
back, or have it operated by the receiver.
Any other action at This time would have
been premature, but some of the stock
holders were of the opinion that the order
of the court, to the effect that the roads
leased by the Central We're to receive
rental only up to the amount of their net
earnings, would create necessity for a
new contract
The fact that it was thought that some
action on this line might be needed later
led to the adjournment of the meeting
subject to a call on ten days notice. In
other words the meeting of the stock
holders yesterday did not adjourn sine die,
as in that case notice of thirty days
would have been necessary before an
other meeting could be called under the
charter.
THE RESOLUTION
The resolution, too, was very carefully
worded, and the Augusta and Savannah
road was left with the Central to be
operated pursuant to the orders Of the
court. The resolution is as follows:
Resolved, That this company elect that
the receiver OF the Central Railroad and
Banking Company OF Georgia shall be per
mitted to operate the Augusta and Savannah
railroad pursuant to the riders of the circuit
court Of the United States for the southern
district Of Georgia; provided, that this com
pany reserves the right TO apply to the court for
such orders, from time to time, as it may
deem necessary TO protect its rights under
the terms of the lease"
What action may be taken later can not
now be fOretold with any certainty. The
stockholders reserved the right to apply
to the court from time to time for such
orders as may be deemed necessary to
protect their rights under the lease, and
in view Of fact that such orders and per
haps further action may be deemed nee
essary, the meeting was adjourned sub
lect TO call on ten days notice.
PAYING THE DIVIDENDS.
AS to the dividends on the stock, DR.
w. s. LawtOn, president of the road,
began paying them yesterday. There
has been a standing order for years that
whenever the rental is received by the
president, he shall pay it out to the stock
holders when they sign their names on
the dividend books, or execute power of
attorney for others to do so. The divi-
dends are payable now at any time.
Some OF the stockholders cannot draw
their dividends as yet. as they have depos-
tied their stock with the Mercantile Trust
Company. Between ], 500 and 1000 shares
have been deposited with this company,
and they have never been withdrawn
since the failure of the reorganization
plan. The stock is not therefore, in the
names Of the owners on the books of the
president, but in the name of the Mer-
camille Trust Company. For this reason
has been obtained from that company.
There is little doubt but that this order
can be asily obtained, and it is not ex-
pected that there will be any trouble
about the payment Of the dividends.
NO TROUBLE ABOUT ANYONE GETTING THEM.
In fact there will be no trouble what
ever, to the stockholders who have de-
posted their stock with the Mercantile
Trust Company in getting their dividends,
for IL has been expressly stated in a cir
cular issued by that company that the Sc
curities would be allowed to remain with
them for the purpose of furthering any
other plan of reorganization that might
be found available At the same time it
was stated that whoever so desired could
withdraw his securities without a cent
cost. There is no intention or desire on
the part of the Mercantile Trust Company
as can be seen from their circulars, to re
tain the securities, and as they are ready
TO turn them over at any time it is
hard to see how there could be any trouble
about getting an order from them for the
dividends. The agreement made in the
first place by the Mercantile Trust Com
pany was that, in case the reorganiza-
tion plan failed, every one who
had deposited securities would be
allowed to withdraw them with
out any deduction. whatever The idea