The news & observer., 1897-02-11

1
! Chadwick, president of the road, had
/ secured proxies which gave him over 600
votes, while w. T. Dortch, State proxy,
| representing $4,000 shares, represent
| ed only $50 votes He declared that in
violation of the charter private stock
| had been so divided as to control the
roads affairs and take it out of the
| States hands; that Chadwick and eight
little Chadwieks had stock; that they
| themselves could get up a stockholders
meeting any time in Chadwick's house,
as they represented 1,0SS shares. Han
cock referred TO the attempted lease OF
the road to the Goldsboro and Morehead
Railway Company, the latter having OBJ
| tanned q charter from the clerk OF Wayne
court; this lease to for $27 900 yearly,
and the company leasing to take the as
sets, there being from $31, 900 to $4,000
running in the treasury, besides one
months receipts; altogether some $43,-
900; so that the Goldsboro and Morehead
company could pay a years rent in ad-
vance and have a good balance on hand.
| Hancock declared nobody could contro-
vert these facts and that he placed
them before the legislature as the repre-
| sentative of the State, the chief owner
of the road to do justice to the interests
of the commonwealth.
| Eddins said he understood Hancock
to say the company had violated the
| charter. Hancock said this was true.
Eddins said that the question was whetlh-
er it were best to repeal the charter
| of the road or to put the road entirely
under the law. He asked whether the
bill did not give the governor too much
i IL -
confidence in the governors ability, said
he opposed 81 one man control. Duffy said
| 1T seemed to him the bill was drawn so
as to permit one man to absolutely con-
| troll the road in particular
| interest. A remarkable feature of
the bill was section 3 which
| gave the Governor power and made it
his duty to institute suit to put the road
in a receivers hands; that this gave the
| Governor judicial power, and that this
was revolutionary, flying in the face of a
constitutional right, for the section re-
quires that the Governor shall do this
| in case any stockholder dares bring
suit; and the section goes on further and
requires the receiver TO manage the road
so long as in the judgment of the court
| is necessary.
| Duffy said the bill was badly drawn;
| that one would think the manag cement
| of the road was bad; while as matter
of fact it was wise and conservative, and
| the road was paying dividends for the
first time; that the people of the State
did not demand any such revolutionary
measure as this bill
| Mckenzie thought the bill dangerous
and declared it should be well guarded;
that two years ago a bill was drawn re-
garding this road, and that Representa-
| tive Williams, Of Craven, rose in his
place and denounced it as an iniquitous
measure. Mckenzie said there was no
charge that the officers of the road We're
derelict in their duty. He declared so
| important bill as this, not asked for,
save by one individual, and unaccompa-
MED by any memorial, ought to be con-
sidered with great care.
/ Hancock said the county of Craven,
| owning 1,200 shares, was back of him
| in this matter, and that the Democratic
commissioners Of that county had fought
| the lease Mckenzie asked if this fight
was not against the lease to the Colds
boro and Morehead City company, and
| if this matter was not in the courts, and
| if the courts could not settle the whole
matter Nelson asked who were given
control of the road Hancock said the
| Governor and the board Of internal i'm
pr0yenents and that the Governor Sc
leeted the board and the Senate confirm
ed Mckenzie asked if the road had paid
a dividend until the present administra-
ton took charge of it. Hancock said no.
He added that since this litigation start
| ed the authorities of the road had ex-
pended $1,000 for lawyers fees. Duffy
asked Hancock if the bill did not propose
to prevent all litigation regarding the
road, and thus cut off the rights Of citi-
zens. He said that in 1876 a Democra-
tic Judge at midnight put a receiver in
cnarge of the road, upon application by
the Democrats. He said the reason why
| the present administration declared
| dividend was the excellent administra-
ton of Washington Bryan, and the sud
| den development Of the fish and trucking
| interests, and that it was not due to the
work of w. S. Chadwick, who had had
no experience in the management OF rail-
way affairs. Duffy asked if Bryan had
not mortgaged the road for S325, 900.
| Hancock said yes, but this was to put
steel rails down. Duffy then asked If
Bryan had not turned the road over to
Chadwick with a $4,000 debt, and If
the latter had not cancelled this and
also paid four dividends Of two per cent
each.
| Nelson said he really could not see
any reason for this bill in the face Of ths
fact that the road was in better condition
than ever before, and so far as he knew
onerated in the interest of the State, a
very Objectionable and strange feature
of this bin is that it really permits any
| right Of appeal to the courts and that II
was beyond the prerogative of legisla
ture of any State to enact such law
The road is paying dividends; there Is
no complaint against it; yet here IS Dill
which takes away from the stockholders
the greatest of all rights, the right OF
appeal. He opposed any one-man power
as this bill proposed to confer no matter
il that one man be the Governor, for the
bill virtually eonfers the whole power