Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-11-24
ROAD ABANDONED
Baltimore and Ohio Gives Up a South
ern Division.
MORE RECEIVERS CERTIFICATES
New Station in Baltimore Given
Up for the Present.
TO PAY FOR TUNNEL

Within the past few days there have been
surprising happenings in the affairs OF
the Baltimore and Ohio Railroad Company.
Among these were the announcement by
the receivers that they would abandon the
lease of the Valley division of the road
between Strasburg and Harrisonburg Va
II permitted by the court to do so: the fl
ing OF a petition with the United States
court at Baltimore also by the receivers
Tor authority to issue SDJ6.0tU additional
certificates OF II debtedness and The further
annoUnc ement that they had decided to
give up the idea OF constructing magniti-
cent I.1D.0U depot near the heart of the
city of Baltimore, for the proposed site of
which more than half a million of dollars
were paid by the company some ten years
ago.
The requests of the receivers were
promptly granted by the court, and notice
has, it, is undeistc cd. been already given
| to the proper authorities of the South
ern Railway Company, the owners of the
| road mentioned, that the former company
VIII cease to operate the line from and
after November 80.
The history of the transactions through
which the old Richmond and DanviIle Rail-
road Company shortly after the close of
the late war leased ffty-one miles of its
track in the Shenandoah Valley TO the Bal
timore and Ohio Railroad Company was
published in detail In The Star some weeks
ago, at which time salt was entered against
the Baltimore and Ohio by the Southern,
the successor of the Richmond and Dan
ville for rent alleged to have been due
| and unpaid for number of years,
and the probability was mentioned that
in view of the fact that the revenues of
the Valley division were insufficient to
meet the fiscal charges, the Baltimore aud
Ohio would relinquish the leased portion
Of their Valley division.
H. Of tIa Ila1- irfagnt-
and Chios action will be that the South
ern will have ffty-one miles of rich and
| populous territory added TO its Washing
| ton and Ohio division with the possibility
| IL is thought, of a deal being made Tor
| the use by the Southern of the baltimore
| and Ohio's track between Harrisonburg and
Staunton, distance Of about thirty miles
Recefyers' Certificates.
The proceeds OF the receivers certificates
will. 1t is stated, be used for the payment
| of bill amo lnting TO si6ooeo, said to he
due the Maryland Construction Company,
| for the building of the tunnel: the acquisi-
| ton of the electric plant and the electric
| engines used in the tunnel under the city
| of Baltimore, which amounts to Ss9l.ooo,
and the balance, not to exceed slo"ooh
| is to be used for the purpose of defrayinS
| the cost of constructing new train sheds
and other facilities for passenger trafhc
| in the eastern portion of the Camden sta
| ton property, and to put the remaining
property in that location in condition to
| facilitate the unloading and delivery OF
freight
| 1t was stated by the receivers to the
court that money is now due the contract
| ors for the Mount Royal station I'm Balti-
more, and these claims, together with other
debts, aggregate $3.50 The construction
company owns land near Camden station
| upon which it was for long time intended
| to erect the proposed new station, as above
| mentioned.
| other property worth over S5iO,pW. subject
| to ground rents, but this is really the prop
| erty of the railroad company.
The total value of this property is placed
at $S)4, 1aS.p6 and il was stated that the
company owns in the same locality other
valuable property.
| 1t was further stated by the receivers
that they have made arrangements with
the General Electric Company for placing
| electric lights in the tunnel, and other inn
provements, the cost Of which will lie
nearly S4e,bn.
1 The certificates will bear G per cent in
| terest, and will be secured by a lien upon
| all the property of the Maryland Construc-
| ton Company and the Camden station
| property, and will be payable at such time
as the court thinks best.
| Explaining the reason for abandoning
| the idea OF erecting the new S,ooVo0 sta
| ton, the receivers said that so large
| penditure of money would not be Justified
| by the advantages that could reasonably
| he expected from 1.-The Improvement, and a
| present there is no need of il, the Cam
| den station can be improved.
| These improvements must be made in the
| judgment of the receivers. additional ia
| cilitieS must Ice furnished for the delivery
| and unloading of freight. The land alone
| for this purpise, it is claimed. would cost
| S5th,uso, ard the passenger improvements
| will not exceed Slo0.eo0. 1t is proposed 10
| sell property worth S560.115 for the pur-
1 pose of re iucinG the Indebtedness and this,
it is claimed, will be the best for all con-