The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-07-22
THE FINAL DECREE FILED.
THE TERMS OF SALE OF THE ELEC-
TRIO RAILWAY PROPERTY.

The Disposition OF the Proceeds of
the saIe-The Minority BondhOld-
ers Organize to Protect Their In
terests-They Are Waiting TO See
what l. Going 10 BE Done.
The final decree In the consolidated
causes Of II. A. Pevear against the Sa-
vannah street railroad and the Oglethorpe
Savings and Trust Company against the
Electric Railway Company OF Savannah
was filed IN the United states court here
yesterday.
The Morning News gave the details OF
the decree yesterday. the Information
coming by dispatch from Macon. where
it was signed by Judge Emory speer. The
decree orders the payment within five
days Of the 10000 Of bonds issued Jan.
l. 1895, with interest. by the company TO
the trustee and If not paid directs that
the entire property covered by the mort
gage be sold in one parcel at the Electric
railway Office, at Price and Gwinnett
streets, at such time as may be fixed by
Marshal j. d. Harrell who has been ap-
pointed master commissioner TO conduct
the sale.
After fixing the date Of sale, should the
OglethorPe Savings and Trust Company
desire II, Commissioner Harrel is given
the right TO postpone 1t, and hold 1t on
another day without giving further no
tice. The Oglethorpe Savings and Trust
Company, or any other bondholder. or
bondholders. are given the right TO bid on
and to purchase the property.
The decree requires that any bidder on
n
his bid deposit a certified cheek or cash
to the amount Of $4,000, as an evidence
Of good faith. and that at the time OF the
sale or acceptance of his bid by the court
he shall deposit $50, eco which shall be re-
ceived as a part of the purchase price of
the property. Further sums must be
paid In from time TO time as the court
may direct, and the balance of the puF-
chase price may be paid IN bonds and un-
their pro rata value in the final distribu-
ton of the fund.
The proceeds from the sale are 10 be
devoted first to the payment of the costs
OF court the fees and expenses of the re-
Ownership, the Oglethorpe Savings and
Trust Company and the attorneys inter
ested in the litigation; next there viii be
paid in fun from the proceeds the out
standing old bonds and interest due on
them, the amount being SO 800, these in
GLIDING the $4,000 of bonds of the SaVan-
nan street railroad held by H. A. Pc
year; and the balance of the proceeds will
be distributed among the holders of the
100000 of bonds. The master commissioner
IL given authority after the confirma-
ton of the sale to execute a deed to the
property for the purchasers. In case the
purchaser makes a default in his pay
ments after the sale, the receivers are di-
rected to take charge of the property
again and resell 1t in accordance with
the orders Of the court.
1t is not thought that the sale of the
road and its reorganization will cause a
split among the bondholders.
The minority bOndholders, represented By
the Savannah Investment Company, the
Savannah Savings Bank, and other indi-
Vtdual bOndhOldeTs, have organized for
their mutual projection Ii Is not their
intention to fight the reorganization of
the road If II is reorganized on an equita-
BILE plan. II the plan suits them they will
deposit their bonds and enter the agree
ment.
The minority represents now about slOo
COO of the bonds, but expects
TO increase this by the time
of the sale of the property. The
majority represented by Messrs j. g.
Collins. Herman Myers and others, are
about 500 900 of bonds and will most like
ly dictate the terms of the reorganization
This may not necessarily be the case, how
ever, as there are $500 90 outside Of this,
the total issue Of bonds being $500, 900, ali
of which are first mortgage.
The Nashville syndicate holds big
block of the bonds but il is not known
what their action will be. Whether they
Will act Independently or join either the
majority or the minority, it is not yet
known.