Evening capital. (Annapolis, Md.) 1884-1910, 1903-07-13
RECEIVERS APPOINTED
FOR WASHINGTON, ANNAPOLIS G BALTI-
MORE ELECARIC RAILROAD.
The Cleveland Construction Company Alleges
Demands For Contract Payment
Have Not Been CON-
piled With. -
THE BILL OF COMPLAINT

Upon the application of the Cleveland
Construction Company, Judge Morris. OF
Baltimore, on Saturday, in the United
States Court. appointed James ChristY.
Jr., OF Akron, o., and George w. Will
lams, OF that city, receivers for the Wash
ington. Bsltimore & Annapolis Electric
Railway Company.
Bond was required of the receivers for
9so, 900 each, 10 be given within FIVE
days. Receivers will also be appointed
in the District OF Columbia. The bill
alleges that on May 2, 1902. they entered
into a contract with the railway company
to furnish certain services and perform
certain duties for the detendan, in con-
sideraiion of certain terms upon which
they were to prepare plans and specifica-
tions for the road and also to design and
supervise construction of cars.
The railway company has an author
lied capital stock Of s.. .ooo. 900. and was
chartered to build an electric railway
between Baltimore and Annapolis and
Washington. The road between Balti-
more and Washington is now being con-
structed and large sums of money have
been spent upon it. The complainant
alleges that il is a creditor to the amount
of So, 900 40 by virtue Of the contract.
Payment OF this amount has been de-
manded of the railway company. which
II has been unable to pay or any part
thereof. 1t is alleged that the railway
company is now insolvent and is unable
bonded Indebtedness. amounts to more
than fifty thousand dollars.
An answer was filed by the railway
company admitting the allegations sc.
forth in the bill and asserting 10 the
appointment OF receivers. The bill was
filed by William Shepard Bryan. Jr., for
the complainant. and the railway com.
pany was represented by Marbury &
GosnelI. The following statement was
made by Mr.. James Cnristy, Jr., vice
president Of the railway company
"When the Washington, Baltimore &
Annapolis Electric Railroad CompAy
proposition was underwriiten there was
every reason to believe that ample funds
had been provided thereby for the build
Ing 81 aho soad Mssere Everett and
Moore were subscribers for a very con.
siderable portion OF the securities OF the
company. Had they paid their subscrip-
tions the company, instead of being in
embarrassing circumstances, would be in
fourishing condition. The public is
we'll aware of the failure of these mep.
They have not paid their subscriptions
and the original financial plan is thus
inadequate to bring the property of the
railway company to a successful finish.
"A new financial plan has been pre-
pared, but 1t will take some time before
il can be signed up and funds provided
Hereunder. In the meantime, to save
the property for its creditors and those
who have invested in its securities, suit
has been begun and the property placed
in the hands OF receivers. The main
purpose of this suit Is to save multi
pliciiy OF petty litigation and to preserve
the property at minimum of expense SO
that the new scheme may have sufficient
time to come to fruition. There is no
occasion for alarm, but, on the contrary,
the prospects are brighter than they
have been for some time past.