The Washington times. (Washington [D.C.]) 1901-1902, 1902-06-11
BID FOR RAILROAD
SHARES PRESENTED
Desire of B. 60. to Purchase
Washington Branch.
Stock Now Owned by State of Mary
land-Ofhcials Reticent on
the Subject.

Baltimore and Ohio Railroad Com
pany has made an offer to the State
Beard of Public Works for tie States
interest in the Washington branch OF
the road has become known.
Attorney General Isidor Rayner was
asked yesterday whether he had received
any proposition from the counsel in the
case now pending between the Baltimore
and Ohio and the State of Maryland. Mr..
Rayner said:
Il have had no conference whatever.
either with the counsel or the Baltimore
and Ohio or the members of the State
Beard Of Public Works. ON the question.
II there is any settlement in progress |
know nothing about It. / am going on
with the case and have just given notice
to the commissioners taking testimony
in reference to it,
1t can be authoritatively stated. how
ever. Notwithstanding that the members
of the Board of Public Works declined
to make any statement in reference to
the matter. that the Baltimore and Ohio
Railroad. through one of its directors,
made an offer to the State Board of Pub
lie Works of $3.50 per share for the stock
owned in the Washington branch and
held by the State. This offer was de-
clined.
A New Offer Preferred.
Since then a new Offer has been made
to the board. and the price rendered the
- AZ
share.
The offer is now being considered by
the Board of Public Works. and it is
understood that some definite action will
be taken in the matter within the next
few DAYS.
The State of Maryland owns $500
shares of the stock OF the Washington
branch of the Baltimore and Ohio Rail-
road. Mr.. Rayner. under resolutions Of
the General Assembly. has been yI~.,
the case against the railroad to compel
it to pay dividends which it has failed
to paw from the time the road went into
the hands of receivers. The Baltimore
and Ohio Railroad has over $1,000. OC0 on
its books to the credit OF the Washington
branch and claims tho right to retain
this amount, as we'll as accruing divi-
dends. in order to pay the proportionate
part the Washington branch should bear.
according to its figures. toward the
erection of terminal facilities in Wash
ington under an act of Congress.
The statement that the Baltimore and
Ohio was attempting TO obtain control Oh
this stock was discussed yesterday In
financial circles, and it seemed to De the
consensus Of oninion that the Baltimore
effort to Sc
cure, the State s holdings.
u What the Stock Is Worth.
prominent fnancier, in speaking OF
the matter, said:
1.-THE stock of the State, in my judg-
ment, should be worth at least $3.50. and
perhaps $500. per share. 1t Is well
known, especially in railroad circles,
that the Baltimore and Ohio has been
greatly hampered in many respects by
having this stock held by the State. One
peculiar feature in reference to this
piece of road is the fact that II is the
only piece of railroad unnortgaged in
this country, and the Baltimore and Ohio
has been prevented from moctgaging
this property by reason Of the State
holding this interest"
Just what director In the company
has been deputized by the Baltimore and
Ohio officials to make this offer to the
State board of public works has caused
some speculation. 1t was suggested yes
terday by one who has generally been
closely allied with the fortunes of the
road that a solution OF this problem
might be found in the many private con-
ferences which have recently been held
at the Hotel Rennert between Governor
Smith, Treasurer Vandiver, and Senator
German. s
Senator German Director.
Senator German is a director in the
Baltimore and Ohio Railroad.
II this stock be sold at $500 share 1t
would make a return of about s1.650,000,
which at this time would go long way
toward wiping out the State debt If ap-
piled for that purpose.