The morning news. [volume] (Savannah, Ga.) 1887-1900, 1895-11-05
TO GETAF FULL FIVE PER CENT.
THAT RENTAL TO BE PAID THE
LEASED LINES FROM THE he
GINNING OF THE RE-
OWNERSHIP.

The Southwestern and Augusta and
Savannah Railroads TO Receive the
Entire Amount OF Rental due Them
at Once-The New Central Railway
Company ObIiEntes Itself 10 Pay
Any Arrears 10 Both Lines on a
Basis of Five Per Cent. on the Par
Value of Their Capital stock.
Judge Pardee's order with Refer
enee 10 the Control of the Leased
Lines by the New Company.
The Southwestern and the Augusta
and Savannah railroads viii receive .
per cent. on the par value Of the stock
for the entire time they have been n
the hands Of receivers as leased lines
OF the Central Railroad and Banking
Company of Georgia.
It has been definitely decided that they
Will receive this amount whether they
have earned it or not, although it was
provided by the order Of June 30, 1888
that the leased lines should themselves
elect whether they would remain in the
hands Of the receivers, and receive rental
only to the amount of their net earn
ings, or withdraw and be operated as
independent lines.
This was fixed by agreement between
these two lines, and the reorganization
committee of the Central, and definitely
decided by an order Of court signed by
Judge Don A. Pardee This order was
sent to Savannah by Mr.. Frank II. Mil
Ter, who is attorney for both these prop
critics, and filed in the United States
court here yesterday. The deed made
Oct %, 1895, conveyed all the property
of the Central to Messrs. Thomas and
Ryan, including the leasehold interests.
The reorganization committee entered
into a contract with these two lines 70
make a new lease, paying them per
cent. on the par value of their capital
stock.
No regular rental has been paid the
Southwestern railroad since July 1, 1893
Since the order of June 80 1898, which gave
the leased lines the right to decide wheth-
er or not they would remain in the hands
of the receivers, the Southwestern has
been paid the sum of $4,000. There has
been deposited also to the credit of the
Southwestern, with the Farmers Loan
and Trust Company of New York, $780,.
68s and the receivers have net earnings
of the Southwestern on hand to the
amount of S22l 1891. The order directs
that the Farmers Loan and Trust Com
pany and the receivers of the Central pay
over to the Southwestern Railroad Com
pany, or its solicitors the sums mention
ed. The amount mentioned as being in
the hands of the receivers includes the net
earnings of the road only TO Aug. 81, and
the order further directs the receivers to
turn over TO the road all future net earn
ings up TO Nov. 1.
The Central of Georgia Railway Com
pany, which now assumes control of the
leased lines, obligates itself 10 pay the
Southwestern on or before Dec. 10 any
arrears that may be due since the COM
mencement of the receivership, calcula-
ted on a basis of per cent. on the capt.
tai stock. In case the new company fails
to make this payment the order gives
the Southwestern the right to apply for a
summary order of court requiring the new
company to pay at once whatever may
be due according to this agreement.
The receivers were directed to turn
over to the new company at midnight on
Oct. 81 all of the property of the South
western and Augusta and Savannah rail-
roads which was in their hands, subject
to the orders of court requiring the pay
ment Of the back rental.
The rental due the Augusta and SaVan-
nah railroad, pursuant to the terms of the
lease, was paid up to Jan. l. 1898, ana
since them ii has been paid on account
Sl03, 264.54, and there is due back rental
on a basis of per cent, from June I
after deducting such payments as have
been made the sum of $40, 1856 to Nov l.
1895. The orders requires the receivers
to pay to the Augusta and Savannah rail-
road or its solicitors all the net earnings
| of the property in their hands, and the
| new company in the same way binds it
self to pay any arrears on a basis of D
| per cent. on the par value of the capitai
/ stock on or before Dec. 10, in default
! of which il is provided that the court
! can take a hand and compel a compii-
/ ance with the agreement
This order was sent from New York
| to Judge Pardee, and was signed in New
| Orleans on Nov. /. 1t was then sent to
! Mr. Frank II. Miller at Augusta, who
! forwarded it here to be filled.