The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1897-07-24

BALTIMORE, Nd, July 2S,-Victory
has again perched on the banners Of the
receivers of the Baltimore & Ohio rail-
road. and to-day in two decisions, the
judges OF the United States courts for
the district of Maryland, sustained
them in the cases that were up for hear
ing. The first case was a petition BY
the receivers for permission to issue re-
ceivers' certificates to the amount of
s2,SOO,OOO for the purchase of new
freight cars and locomotives,
Circuit Judge Goff and District Judge
Morris heard the arguments and decid-
ed in favor OF the petitioners. In his
decision, Judge Goff took occasion 90
very highly commend the management
of the property by the receiv:-F, and he
said:
The court taking the allegations OF
the petition and statements therein con-
talned, and the report of the receivers
made under oath, as facts, demonstra-
ted In this particular hearing, as con-
ceded, none OF those statements being
denied either by the pleadings filed or
in the arguments OF counsel, we think
they show the necessity for this addi-
tional equipment for the rolling stock.
mentioned in the petition. In fact, II Is
apparent that the Baltimore and Ohio
Railroad Company has been deficient In
this respect. The report of the receiv-
ers shows that large sum of money
has been expended for the purpose OF
renting cars OF other roads for use In
transporting freight over the lines OF
the Baltimore G. Ohio road. II seems to
us that the purchase OF this additional
stock will not increase the burdens on
the contrary, II will decrease them. II
will not be n burden on the income OF
the road in the hands OF the receivers,
OF which the bond-holders can COM
plain. on the contrary It will reduce
that expense and leave. we hope, and u
really looks as II 1t was demonstrated,
that II would, surplus In the hands OF
the receivers so far-as2that. particular
item OF expenditure Is concerned.
New HoiIIng stock Needed.
Now the first report, as well as the
second report of the receivers has been
alluded to. do not have It before me,
and probably have not the exact fiE-
ures, but / remember very distinctly
what took place at the time. and / re-
member what was stated and what was
conceded. II am not very much mis-
taken, It was shown at that time that
there were four thousand or five thou
sand cnrs that were absolutely dlsab-
led-G think In the nelghborhood OF five
thousand cars There were over two
hundred locomotives that could not turn
n wheel. a great deal OF money has
been expended In making repairs, but
as Is stated In this additional report,
and as has been stated by counsel, In
the year Intervening It has been DEM
onstrated TINT great deal Of thefr
equipment then supposed TO be In at
least moderate condition, or condition
TO be put in service, has turned out TO
be absolutely defective-dangerously
defcient-and 10 meet that deficiency
cars have been purchased under orders
OF the court heretofore and VIII be
purchased now under orders OF the
court to be made under this petition.
TIecelvers should Not he Hampsred.
do not agree with counsel in the
idea that the receivers should not go
beyond that and based up the equip
ment used by the railroad company at
the time that the receivers were ap-
pointed. and should not incur indebt-
edness beyond that and based
upon that equipment. The ar
gument to sustain the status
quo. It seems to me, Is carried
entirely too far. 1t is the condition OF
AFFAIRS at the dime the bond-holders
complain OF, and the stockholders COM
plain OF. Surely nobody desires to keep
up that condition OF affairs at present.
That brought insolvency. That brought
all the evils and woes that the rail-
road, the stockholders and the creditors
have had to contend with from that
time to this. It Is very much to be de-
sired that the condition OF aftalrs
should be done away with as rapidly as
possible. SO far az am concerned, 1
feel like commendnR the course that
the receivers have pursucd,th the care ana
study they have given to the property
and very valuable reports they have
made TO the court through and by
which the court has been able to un-
derstand the exact situation OF the pro-
perty and to take such steps ns are nee
essnry to protect the interests OF all
concerned.
VIII Cause n Saving.
The more particularly can we grant
this petition as It certainly appears that
to do so will cause a saving in the end
and that II viii enable the railroad
company TO carry the traffic now offor-
cd along its line, especially from the
west 90 the east, without compelling the
favor uf other roads, favor that may
any day be withdrawn, and the renting
or ioanlng ~ their cars 10 the Bnltl-
more & Ohio Railroad Company, a
great company like this should not be
compelled TO depend upon the willing
ness OF ndj0nlnlS and probably n COM
pctlng line. And although II may not
bc q competing line, to-day, II may
Tomorrow, for cars for the purpose OF
enabling II In carry on H. business An
urdtr may be drawn In accordance
with the Views expressed by tho court
Judgo Morris Agrees with Judgc 0oh'
Jhduc Morris said M this PROPOSE.
tl1n Tor the obtaining Of these cars was
opc which involved the lmposlnE Of OBJ
lligitlanp VI the property to pay the
purchase money, should regard II IN n
different light AZ II ~, I lind myself IN
accord with the announcement Just
made by the circuit judge aud dcslrc tn
express that accord. From the contract
that II Il proposed to make II, appears
that the annual sums which would have
to be paid Oulut tho lucomc,uro less than