Evening star. [volume] (Washington, D.C.) 1854-1972, 1898-02-02
BELT ROAD SITUATION
How to Meet the Objection Raised by the
House Committee.
Several Plans Are Proposed, hut No
Definite Action Has Been Reached
by Those Interested.

As announced in The Star yesterday, the
House District committee has decided to
suspend consideration of the bill CONSOLE
dating the lexington, Belt and Washing
ton and Maryland street railroad COM
panies until some agreement could be
reached to provide for the payment of the
wages and deposits due the employees of
the Belt road. 1t is said that no action has
as yet been taken by those interested, al
though conferences have been held.
1t is generally acknowledged that the
claim of these men is a just one and that
they should be given the preference over
all claims against the Belt railroad. 1t
seems to be the opinion that there is diff
Guilty in determining exactly what course
to pursue.
Those interested In the railroad proper
ties which the pending bill proposes to
consolidate are naturally anxious that
there should be nothing to delay action by
Congress on this measure, as they wish to
begin at or ce the work of installing the
underground system on the city roads and
completing the equipment of the roads be-
yond the urban bounds.
Would Drop the Belt Road.
1t is said on their behalf that the author
ity given by the bill to include the Belt
road in the consolidation is merely per-
missive, and can be awaited of or not as 1t
may seem best 1t Is understood that as
far as the promoters of this enterprise are
concerned they would be perfectly willing
to drop all reference to the Belt road out
of the pending bill, if by so doing the OBJ
lection raised in the House committee
would be removed.
1t Is not, however. certain whether such
would be the case. On the other hand, it
Is thought that perhaps the remedy lies in
the early consideration of the case by the
IN xx-hio 1p1xy
peal has been taken from the recent de-
cision of Judge Cox directing sale of the
road on the motion of the bondholders
Some of the Problems.
The Court of Appeals however, does not
meet until next Tuesday, and whether it
would be possible to have an earlier ses-
sion of that body or whether in that event
the action would be sufficiently prompt, is
another question which is being consid-
cred. 1t has also been suggested by some
that possibly an application could be made
TO the lover court for permission to issue
receivers certificates in satisfaction of
these claims, which are said to amount to
about $1,000; but 1t is not definitely deter
mined whether such procedure would be
practicable. 1t has also been suggested
that an assessment could pe made on the
Dondholders by which the amount needed
could be secured, but 1t is said that the
bondholders could not be induced to act
unitedly on this matter.
There is another phase of the matter
which Is of some interest in this connec-
ton. and that is the necessity which il is
understood exists, for some legislative au-
thority to enable the purchasers of the Belt
road, in the event sale is ordered, to sue
coed to the corporate power of that COM
pany. 1t is said that the Capital Traction
Company is the only purchaser in the Dis
trict that could buy the road and operate
| it as a corporation. 1t is not meant by
this to imply that the Capital Traction
Company is in the field to buy this road,
but simply that the charter of the Capital
Traction road gives authority for the pur-
chase of other railroads.
Only as Individuals.
1t is claimed that in the event that the
| bondholders, for example, became the pur
chasers of the road that while they would
acquire its property and franchise they
would not thereby secure the right of act
ing a corporation, but they would
merely be operating the road as individuals.
According tc. this view it would be neces-
sary for any purchaser of the road except
the Capital Traction Company to secure
from Congress an act of incorporation, or
authority to act as corporation. It is by
no means settled that in the event the
Belt road is sold that the bOndholders
would become the purchasers, but, of
course, that is among the probabilities, and
it is thought that it is very likely this will
let l,1. Of fhn I'D -n1a