Evening star., 1896-10-07
MAY END THE RATE WAR
A Deal to Get Control of the Seaboard Air
Line.
Said to Be Effected Through the Port
--
ing as to Yesterdny's Election.

Seemingly the reelection yesterday of
President Hoffman Of the Seabolrd and
Roanoke Railroad Company was a defeat
of the movement to secure for the South
ern company, through stock purchases.
control of the road and thus md the rate
war. According to story that came out
today from railroad men, who are usually
well Informed, the election was the result
of an arrangement by which 1t Is held
friends of the Southern company will prac-
tically control the ROAD. According to this
story the Seaboard and Roanoke Railroad
Company's lines have, through q deal with
in the past few days passed into the nands
OF Il New York syndicate, and Will as sool
as the necessary details are completed be
operated in connection with the Port Roy
al and Augusta Railroad Company.
The immediate effect of this will be
end OF the rate war. which has prevailed
with such disastrous results to the roads
involved for severa, months past. and has
indirectly drawn other roads in various
parts of the country, much against the
consent Of their owners, into the contrO-
versy. 1t is expected to restore between
trar spcrtation lines the harmony which
Is considered so desirable by those who
have their money invested in those proper
ties.
There will, it is understood, he no change
among the eXecutiEe officers of the Sea-
board and Roanoke for tie present.
When 1t Is taken into consideration that
| the Pert Royal and Augusta road, which
IT Is SAID has secured the Seaboard and
Roaroke, is d part Of the Southern railway
system. and has not yet emerged from
the control of 4 United States court. hav-
ing been for considerable time in the
hands of receiver. the average man win
be apt to conclude that If the Southern
does not sooner or, later become the ac-
kEowledged owner of the Seaboard Air
Line. 1t will have very influential voice
In saying how the iatter's affairs shall be
conducted. Of or. '---
| The Board of Directors
The annual meeting of the Seaboard and
| Roanoke Railway Company took place at
| Portsmouth, Va, yesterday, and the result,
! as announced in telegram to The Star,
| was the reelection Of President r. c. Hoff-
! man and the same board of directors for
! another year. with the exception that Mr..
| Basil Il. Gordon of Virginia was chosen in
place of Mr.. Enoch Pratt of Baltimore
whose death occurred a few weeks ego.
| The board as now constituted is composed,
| besides Mr. Hoffman, of Messrs. Charles D..
| Fisher and Louis Mclean of Baltimore, b.
| B. Gordon of Virginia, Moncure Robinson of
Philadelphia, w. w. Fuller of North Caro-
| lima and l.. r. Watts of Portsmouth, who Ia
| also the general counsel of the company
( AT first sight it appears as though Gen.
John Gill, who undertook to secure a
| change of management of the Seaboard and
| Roanoke company, had been overwhelming
! ly defeated, and that the stockholders had
| by large majority approved of the course
| pursued by President Hoffman and Vice
| President ST. John in their controversy with
| the Southern Railway Company, but Gen.
| Gill himself said before leaving Baltimore
| for Portsmouth to attend the annual meet
| Ing held yesterday that the returns were
encouraging for securing options on a con-
| trolling interest of the stock, and that while
| he would not be able to control a majority
| of the stock at this time he has received
| assurances, he said, which will place in his
| hands a majority of the stock within a
| week. In accordance with this belief on the
| part of Gen. Gill request was then sent
to President Hoffman to postpone the meet
| ing for one week, but the president would
| not grant this. Gen. Gill said there is a
| provision in the charter of the company
! under which majority Of the stockholders
may at any time call a special meeting and
| change the management. This action, he
| said, may be taken If the desired control OF
the stock is secured, and the stockholders
| deem 1t advisable to change the board OF
| management.
| 1t is stated, however. that after leaving
| Baltimore for Portsmouth Monday even
| ing Gen. Gill learned through the parties
! who were aiding him in New York In Sc
curing options on Seaboard stock that a
| majority of the latter was already Drdc-
| tically in sight of Gen. GILL and his friends
| and conferences were held between the lat.
| ter and President Hoffman and those who
| stood by the present management. An ar
| rangement was effected by which there
| should be discord at the meeting OF
| stockholders; that the direc-ors above
| named should be reelected. and the other
| matters mentioned be consummated in due
| course of time.
The denial by President Spencer Of the
report that his road was after the Sea
| board and Roanoke line of course pre-
cudes the idea that the Southern is about
to secure direct controhCof the road, bul
| there seems to-. be no dolbt that a change
! of management would result in placing
parties in control Who would sustain very
pleasant relations with the manasenen,
| Of no la