The morning news., 1894-11-25
CONSIDERED UNFORTUNATE.
What is Thought Of lho Railroad Bill
Introduced bY NT. DOOlll.

press the Central's Junior Securities.
1t Cannot Interfere with the South
err's Holdings Of Central stock.
Opinions Of Prominent Attorneys
With Regard to such a Movement at
This Time.
The Introduction in the legislature Of
the bin with regard 10 competing railroad
corporations by Representative J. J. Doc
Ian OF this county, an account of which
was given in yesterdays dispatches to
the Morning News, created considerable
stir among railroad people and holders of
railroad securities in Savannah and much
speculation was INDUCED in as to Its origin
and what IL was intended by its propaga-
tors to accomplish.
A large number Of people Interested in
railroad securities called to see Receiver
Conner 70 consult with him about the mat
ter. There is no doubt that they are very
much stirred up about it. Nobody seems
to know just what the purposes of the
measure are. Among those who called on
the receiver in this connection was the de
benture holders committee which has been
very watchfu Of the debenture holders
interests, and deprecates anything at this
time that would cause them to suffer.
It was generally considered unfortunate
that such a measure should have been In
troduced al this time time when all in
terests, it seems, should be most con-
servative. The Morning News sought to
obtain expressions concerning the meas
ure with a view To determining just what
sentiment with REGARD Mr.
Conner was asked:
What do you think Of the bill intro
duced in the legislature yesterday by Alr.
Doolan?"
4 have not seen the bin" Mr.. Conner re
piled, and am therefore not prepared to
express an opinion about It,"
From the account you have read Of
the measure, what do you think of it,"
'IJ is impossible to form any accurate
opinion OF the bin from the report I have
read in the newspapers. l can say how
ever upon general principles that any
legislation at this time which might have
or be supposed TO have, for its effect the
obsuucting or preventing Of a proper re-
organization Of the properties would be
very serious blow to all interests out
side OF those holding bonds. secured by
mortgages, and even these would be Sc
riously affected where the value of the
property is not sufficient to cover the
amount Of the bonds. The people in our
midst most seriously affected would be
the minority stockholders, the debenture
holders, the Southwestern railroad stock
holders, the Augusta and Savannah rail-
road stockholders, the Savannah and At
lantic bondholders, and the Columbus and
Rome bondholGers."
"WhaJ about the statement made that
the Southern Railway Company conten-
plated getting control Of the Central for
purposes detrimental TO the interests Of
this city and state?"
Il have never believed any such state
ment in fact ] have 1t from the highest
authority that nothing OF the sort was
contemplated. l DO not see, however. how
any legislation had now can affect the
holders Of the majority stock. Therefore,
the chief harm would fan upon the in
terests before mentioned"
HAS not the question of the ownership
Of the majority stock been decided by the
circuit court of the United States ." was
asked
1T has already been decided by Mr. JUS
tice Jackson and confirmed by the circuit
court Of appeals that the present owners
Of the majority stock are he legal hold
ers, and have right to own it and to
vote il under the charter Of the corpora
tion"
Mr.. Comer's remarks viii have direct
bearing upon the measure. no doubt when
the fun text Of it has been published. Mr
Conner would not express any opinion as
10 what he might think about the origin
Of the measure or what effect it was in
tended TO have.
Il don't know what the effect Of the bin
would be- Capt II. c. Cunningham said
when asked about the matter. but If its
purpose is to preclude people from coming
TO Georgia 10 put money into railroads or
any enterprises, / think it very unfortuu-
ate at this time when we have no money in
the state for such purposes From what 1
nave seen know OF no constitutional rea-
son why the bill could not pass. but what
the effect Of it viii ba is another ques-
tion"
3Ir Frank II. Miller of Augusta. who
has bsen prominently connected with the
Central railroad litigation IN the interests
of the Southwestern and Augusta and Sa-
vannah railroads is in the city and was
asked for his opinion with regard to the
measure.
Il could not venture amy opinion" ne
said, with regard 10 what effect it would
have until ] could see the full text or the
Centrals REORGANIZATION plan that IS to
be put out as well as the fun text of the
bill. 1t seems to me- however that IL Is
an attempt TO define competition under the
state constitution So far as ! know there
IS no decision Of the supreme court Of
Georgia constituting that clause of the con-
stitution with regard TO competitive cor
poratiore. as being or not being self oper-
legislation"
Mr. e. A. Denmark has had an i'm.
portant part in the Central litigation
and his opinion with regard to the matter
was asked.
IN hu~riedly reading the statement
Of the bill i'm the newspapers" Mr. Den
mark said. II ala not see anything other
than now substantially exists in the con-
stituuon and statutes Of the state Moth
ing could he put in such a measure
stronger than now exists In our funds-
mental law, the constitution Of the state.
on that subject. The measure is probably
intended as a consolidation Of all the
laws Of the state on that subject. and
all can see In Ii is that it seems to call
the attention OF the people 60 the fact
that there are some down here who are
opposed to railroads ! think any legsla-
tiou OF that kind just at this iuucturc.
whether J ls for the purpose OF carryiue
Out any constitutional provision or not. Is
very unfortunate on account Of what Is
Just now being done to reoreanize the
Central railroad properties. the fact that
most of our roads arc now Boz the hands
of receivers. ana further that this is a
period OF general depression