Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-04-22
known as the Pittsburg, Wheeling and

known as the Pittsburg, Wheeling and
Kentucky road.
Wheeling by the r.. W. and Ky. is thirty
miles less than by the former, which Is
ninety miles, and If the Pennsylvania can
secure an influential voice in the Central
Ohio, 1t would, 1t Is believed, be in a posi-
ton to force the Baltimore and Ohio to al
low the Pennsylvania to use the bridge
across the river, from Benwood to Bellaire,
on terms to be practically dictated by the
latter. The effect Of this arrangement
would be that the distance between Pitts
burg and the southwest as traversed by
the Pennsylvania lines would be reduced
about sixty miles.
Only One Hope.
1t is admitted by those closest to the
Baltimore and Ohio management, and who
are in thorough sympathy with the COM
pany in its troubles. that The sum named
is in jeopardy owing to the Baltimore and
Ohio's present financial condition, and this
has given rise to the fear that the Balti-
more investors in Central Ohio securities
may, in order to be relieved from further
anxiety on this score, decide to give their
support to the New York reorganizat ton
committee.
The statement in The Star of yesterday
that the financial relief needed by the Bal
tlmore and Ohio must come, If 1t is Sc
cured at all, from New York houses, or
Their European correspondents, has been
conTrmed by adviceS received since the
publication referred to, and those who are
really posted on Baltimore and Ohio affairs
no longer expect permanent relief from any
other quarter than that Of the house Of J.
P1erpont Morgan & Co.
1t is understood that the plan of reorgan-
lZatlon which will be proposed by the New
YORK committee contemplates an assess
ment of $37 per share for the burmese of
bringing the Baltimore and Ohio up to
frst-class condition in every particular and
those who will have the assessment to pay
and are able to do so. are congratulating
themselves that they will get off so easily.
as 1t has been feared that the assessment
would be even higher.
1t Is believed, however, that many of the
smaller stockholders will have to sacrifice
their shares and there are a number of in
stances in which the present holders paid
about $1S.
statement has been authorized by Gen.
Louis Fitzgerald, chairman of the New
York reorganization committee that the
examination of the affairs of the Baltimore
ana OHIO from 1883 to the close of the fiscal
year 1919, which was foreshadowed In The
star of Monday, has been begun by Expert
stephen Little, and that as soon as 1T is
completed a meeting of the security hold
ers Will be called and Mr.. Little's report
VIII De laid before them. No mention is
made in Gen. Fitzgerald's statement of the
stockholders, and this has created the i'm
preston that unless the stockholders are
also security holders they will have less
MANAGEMENT Ia
Baltimore and Ohio affairs.
Running Expenses.
1t IS understood that Receivers Cowan
ana Murray are about to apply to the
United States circuit court for the district
OF Maryland for authority to issue $780,
900 Of receivers certificates to meet current
expenses OF the road. These certificates
will, If issued, and of this there does not
seem. in well-informed circles to be anv
doubt, be first lien on the road TAX
ing preference of even the first preferred
bonds. and will for this reason be regarded
as a gilt-edge investment and easily nego-
table.
Meanwhile the receivers are proceeding
with their arrangements for securing 1000
cars and a large number of engines to meet
the pressing demand for more freight
traffic ia clites. 1t was thought a dav or
TWO ago that it was intended to paw for the
new equipment with the proceeds of the
certifica ties, but it has been learned from a
reIaole source that they will be used for
otiier purposes-the car companies and loco
motive builders being willing to sell their
product TO the Il. and o. on long credit
Legal Step.
report was circulated in Baltimore yes-
terday that the Baltimore reorganization
committee of the B. and o. have about de-
termined that the committee will through
their counsel, go into court and ask for a
mandamus to compel Receivers Cowen and
Murray to allow an examination of the
company's books by an expert to be selected
by them.
The demand will. 1t is said, be resisted by
the receivers, who will, it is reported. be
backed by the New York committee, the
Garrett representatives and perhaps those
OF the Johns Hopkins University though
the latter are at present occupying a neu-
trail position in regard to the whole con-
troversy, and are, it is understood, prepar-
ing to take such steps as seem to them to
De best for the interests of the university