Bellows Falls times. [volume] (Bellows Falls, Vt.) 1856-1965, 1899-03-25
Sale of the Central Vermont.

The Central Vermont railroad property
was sold at 10 A. M, in St. Adams Tues
day under an order issued by Judge
Wheeler in the foreclosure proceedings
which have been pending in the United
States court for some time. The property
was bid off by Ezra H Baker of Boston for
81 900, 900, Mr.. Baker representing
committee of the bondholders interested in
carrying out the Reorganization scheme.
Owen d. Young, representing New York
Central interests, read vigorous protest
against the sale, but the sale was made Just
the same 1t is stated that there are some
1900 bondholders and that all except about
$40, 900 of the bonds is represented in the
purchase by Mr. Baker.
In an interview with representative of
the Burlington Free Press, G. M Wilds Of
Middlebury, who had charge of the re-
organ ization said:
"Mr. Young, who presented the objec-
ton to the sale, represents bondholders
holding about $4,000 of bonds made by
the Ogdensburg and Lake Chsmplain Rail
road company and guaranteed by the Cen
trail Vermont Railroad company, which are
in default. These bondholders have con-
tested their rights IN court and their princi-
pal grounds OF objection as well as the pro-
test that the New LONDON Northern lease
is not subject to the mortgage and that the
second mortgage is not valid, have ALREADY
been passed upon in court adversely to the
contentious OF Mr.. Youug's clients. The
other grounds OF objection were to tn. sale
of various parcels OF land acquired since
the mortgages were executed and which
were claimed not to be covered by the
mortgage. These parcels of real estate
are OF small value"
"What will be the next development il
the course OF reorganization ?" asked the
newspaper man.
at is expected that the confirmation o
the sale will promptly follow" replied Mr.
Wlds, "and that upon the return about the
middle of April OF Mr., Hays, general man
ager of the Grand Trunk, who is now
abroad, and who is one of the corporato'l
of the Central Vermont Railway company
the new company, chartered at the last
session of the Vermont legislature, will be
organized, and that the receivers will tu'I
over the property to the new corporation
about May l.
| Ue NIduu AhnAA"oJ
to guarantee the payment OF interest oil
the new bonds. which will be issued TO tb'
amount of $4,000 600, and it will owl
something more than two-thirds OF the en-
tire CAPITAL stock of the new company
which will be So 100000 1t will, there
fore, be able to name the directors of tn,
new company, although three OF the boart
are to be chosen on the nomination OF thu
bondholders.
THE close relations which have hitherto
exist for many years between the Cen
trail Vermont and the Grand Trunk will b.
perpetuated. The interchange of trsfi
between the two roads will be pro
vided for by traffic agree
ment. What change there will be ii
the management is not at present disclosed
All conflict between the security holder
has been adjusted and the litigation ovel
the Central Vermont road is PRACTICAL!
concluded"
In reply to question regarding the poll
cy of the new management regarding i'm
provements and the quality OF service TO b
expected by the people of Vermont, Mr.
| Wilds ssids: -