The Indianapolis journal., 1894-06-30
GOBBLING THE BELT
EX-MAYOR CAvEN'S OPINION OF BIG
FOURS REPUTED LEASE.
A Court Might Not Sustain It-Works
Board to Look Over n New Lo-
gansport Route.

The agitation over the proposed route of
the indianapolis, Logansport & Chicago
Railroad Company, which has led to the
proposition that the new road come in
over the Belt, has developed a new COM
plication. The Big Four road, it is said,
has lease on section of the Belt road.
and the section which the new road would
be required to use. This lease is for 999
years, and the new road claims that it is
impossible for 1T to make terms with tie
Big Four
The Belt railroad was built during the
years 1876 and 1877 while John Caven
was Mayor, and the building of the road
was due a great deal to his exertions and
efforts. Its purpose was two-fold. The
blockade of the streets by switching and
freight traffic was becoming q nuisance
The tracks were blockaded so as to ma
terially interfere with the through traffic
and this freight threatened to be diverted
from this city on account of lack of con-
veniences for handling it. Another ques-
ton which 1t was intended to settle was
that of providing employment for
men who were out Of work
at that time. Mayor Caven sent a
message to the Council showing the neces-
stiles of belt road A few days later
him and told him that they had read the
message and came at once to this city
from Louisville, where they were connected
with the stock yards. The result of sew
eral conferences was that the company
was organized with capital stock of 500,
600. The incorporators desired the city to
assist in the building of the road. AS II
was partially for the benefit of the city
Mayor Caven agreed to an exchange of
bonds to assist the enterprise. Work was
begun, and after s2O0,000 had been expended
In building the road the company was given
$500, 900 in bonds of the city in exchange
for a like amount of its bonds. These
city bonds were sold in New York and the
was carried on until the city had given
to the road 100000 in bonds. Within q
short time after the completion of the road
the company wished TO pay the city 500 OOC
and take up its bonds given in exchange
for the city bonds. Mayor Caven refused
to accept the money but agreed TO sur
render the company's bonds If the com
pany would return the bonds of the city
given in exchange for them. The company
purchase the city bonds The representa-
tive found that he would have to pay 19I
for the eity's bonds and they were no
After the completion of the road it wa.
leased 10 the Union Railway Company fol
999 years, and a part of it has since beer
leased, with the consent of the origina
lessor. to the Big Four for a similar
period. Mayor Caven says that the city
had no interest in the road and only ex
changed credits with it to secure the build
ing of the road. 1t had two trustees t
look after its interest in the bonds bu
was not represented in the directory. H
said however, that without having ex
amihed the question, he would say that
court of equity would require the compan,
or its lessee to permit another compan,
to use its tracks, and would not permi
it to keep out another road, to the detri
nlent of the city. He placed his Opinion
aided the road for the purpose of establish
ing better ralroad facilities. and the cour
respect the tacit understanding that tn
road was always to be used for that pur
pose.