Evening star., 1898-02-16
ECkINGTON BOND AoLDERS
A Meeting to Be Held i to Consider the
Course to Pursue.
Rumors in Regard to the Withdrawal
of Those Fi..ncialIy R4ek,.s the
Proposed Consolidation.

A notice has been issned calling a meet.
ing of the bondholders of the Eckington
and Soldiers Home railroad at the Office
of the American Security and Trust Conn
pany, 14O5 G street. tomorrow afternoon.
1t is stated that the purpose of this meet
ing is to get an expression Of opinion from
the bondholders as to what, II any, action
should be taken in reference to the case
now pending before the courts, asking on
behalf of one of the creditors of the com.
pany that the road be sold.
1t is understood to be the purpose of the
receiver of the road to come into court and
seek instructions, 1t being stated that the
holders of the majority of stock are un-
willing to continue longer to supnly tho
daily deficiency between the receipts and
expenditures of the road It Is said the
road Is running behind to considerable
amount, which has been for some time fur.
nished by those now holding a majority of
the stock.
Tired of Putting Up Money.
1t Is believed they have come to the con-
clusion not to advance any more money to
continue the operation of the road and. in
view of this contingency, it is stated that
the meeting Of the bondholders has been
called. They are to consider whether they
VIII un1le In the acton that has been taken
requesting the curt to sell the road or
what course is thought wisest to pursue
1t Is reported that those who are inter-
ested in this property as well as in the al
lied railroad properties, and especially those
who propose to bac ok financially the re-
habilitation of the railroad properties have
be come dissatisfied with the progress made
In securing from Congress the right to con-
solidate the properties in pursuance of "a
bill recently recommitted by the House to
the District committee.
Not Pleased With the Changes.
1t is further stated that several changes
made In the bill ere not looked upon with
favor by the Baltimore parties who pro-
pose to loan about million and a half in
bonds secured by mortgage on the entire
properties CT the roads thus consolidated.
One provision. 1t is said, which limited the
charter Of tne road to fifty years, was re-
garded as likely to make the proposed loan
impracticable.
On the other hand 1t is said that the con-
sideration of the bill has not been COM
pleted by the committee, has not passed
the House or the Senate and that it would
be possible before the bill is enacted into
law to modify such features as would pre-
vent the purposes of the charter being
carried out.
1t is, Of course, not positively known
what the exact motive is which has
brought about the alleged change of policy
feeling in well-informed circles that those
who were and are behind the lexington
road reorganization are likely to let the
whole scheme fall through.
As n Matter of Policy.
1t is, of course. probable that those who
are supposed to be interested lin this enter
prise might deem it good policy to allow
the lexington road to come to a public
sale, with the intention of buying it in
for, perhars the amount Of the bond is
sue, and in this way clear off the present
incumbra noes on the road. bIt Is, there
fore. thought that it does not necessarily
follow. ever if they should consent to a
sale of the road or allow aEsale to take
place, that it means their withdrawal from
the enterprise, but it is believed in some
quarters that there is such possibility.
1t seems probable that the affairs of the
lexington, especially in legal way, will
in short time be in "a ssimiiar position to
that of the affairs of the Belt road. In
the latter case, will be RECALLED, the
action begun in the District court for the
sale of this road is now on an appeal be-
fore the Court of Appeals. and in the in
terim the bondholders of the road are prac-
tically running it, that is to. say. supplying
the receiver with the amount of the daily
deficiency SO that he is able to keep the
road in operation.