The times., 1901-03-23
PETITION FOR A RECEIVER
Electric Railway Stockholders
Apply to The Courts.
The Chevy Chase nnd I<ensingt0n
Company Declared to BE InsoiNeht
4 Request That the Corporation
Re Dissolved and the Line Sold.

| ROCKVILLE. Nd. March 22.-In the
/ Circuit Court for Montgomery County
! sitting as court of equity, Messrs. "al-
I hott x Prettyman. as attorneys for Oliver
! l. Harr. William II. Walker, Redford w.
( Walker. Anthony NJ. Ray, Brainard ii.
/ Warner. Copeland Parker Jones, and Reu-
| hen r. Detrick filed suit for appointment
of receivers and for the sale Of the prop
crty of the Chevy Chase and kensington
Electric Railway Company of Mont
gomory County, William d. Gill and vii
liam Il. Gill jr., partners, trading as VII
liam u. Gill x Son, William r. Russell,
and Herbert Claude being made defend
ants In their petition to the court the
plaintiffs set forth the following:
That they are stockholders and credi-
tors OF the defendant company duly in
corporated under the laws Of this state;
that the said company is entirely inse+-
vent and its roadbed is in need of repair,
and is rapidly getting into such dilapi-
dated condition as to render it's further
operation dangerous. and that the com
pany has no money with which to repair
the road: that in order to complete the
construction and equipment of the road
il was found necessary to borrow money,
and by a resolution Of the board OF di-
rectors passed May IS. 1895, it was deter
mined to issue bonds to the amount of
81. 600 which WAS done and deed of trust
executed to secure their payment.
These bonds were issued May -, 1895.
and the deed Of trust at the same time
to Brainard H. Warner and f. South
ard Parker, pledging the property of the
company to the payment of said bonds.
II was found to be impraCticable TO sell
the bonds upon the open market without
loss. so it was decided by the board Of
directors to pledge said bonds for the use
and protection of such Of the directors
and friends Of the company who would
advance money upon the face of the
bonds.
The petitioners in the suit then became
responsible for the sum Of Sl3 900 10 be
borrowed upon the notes of the company.
This amount was secured and used for
the payment Of debts and expenses In
CURED in the building and other outlay
on the road, and the bonds placed in the
hands of Brainard II. Warner and Red
ford W. Walker for the protection of the
petitioners in this case. Then it was that
the company realized that they were un-
able to meet the obligation resting upon
the borrowing of money on said bonds
from the members of the board of di-
rcctors and others.
previous to TINS, however, IlIiam u.
Gill and William d. GIL, jr trading as
William d. GIL K Son, had obtained in
this court Judgment against the rail
way company in the nature of me
chanics lien upon the wooden bridge or
trestle OF the road. William r. Russell
also holds a judgment against the road.
1t appears that on May g. 1899, the COM
pany entered into written agreement
with a certain Herbert Claude, by which
he acquired certain rights over the rev
enues and profits Of the railway, which
was fully set out and filed with the pc
tition today.
The petitioners ask that the corpora
tion be wound up and dissolved; that
receivers be appointed to take charge of,
manage, and conduct the business, prop
erty. and assets of the company during
the pendency OF this suit and until a
sale may be made; that a sale may be
decreed under the direction Of the court,
and the assets he applied to the payment
of the orators of the court and other
creditors