The Montgomery advertiser., 1905-04-12
GAR COMPANY ISSUES BONDS Traction People File s. 100000 Mortgage. WILL CONTEST THE TAX To Build New Lines and Im-
 prove Property. New Management Disposes of Lawsuits and Floats Securities to Ex-
 tend its Railway system
 fin Montgomery.

The reorganized Montgomery Trac- tion Company yesterday filed in the Probate Court of Montgomery County a mortgage on all of its properties to secure an issuance Of $2,000.0o0 of 5 per cent. bonds, the proceeds of which are to be devoted to extending its car lines and improving its systems in Montgomery.
 Simultaneous with the filing of the mortgage, the suits against the old Traction Company filed by R. l.. liar mon and others, which have been pend ing in the Equity Court, were dis missed.
 The mortgage is made for the Real Estate Trust Company of Philadelphia as trustee.
 Will Contest Mortgage Tax.
 Counsel for the Traction Company, who filed the mortgage, paid into the Probate Court $3.000. that being the amount of the States new mortgage tax. at the rate of 15 cents on each s1O0, and gave notice that the Trac- ton Company would join with other litigants in contesting the legality of the collection of such a fee for filing a mortgage in Alabama.
 Among other improvements disclosed by the text of the mortgage Is the de- clared intention of the Traction Com pany to build a car line by way of the Madison Avenue extension to Bloemfontaine. It will be recalled that the Traction Company some time ago filed a petition in the Probate Court for condemnation of certain lands in the vicinity of Bloemfontaine, and that the proceedings were resisted by the Montgomery Street Railway, which is already operating a car line to Bloemfontaine or Electric Park. These proceedings are still pending before Probate Judge Gaston.
 To Improve System.
 The mortgage filed yesterday by the Traction Company is a volumfnous document. Its main purpose is set forth in the following extract:
 "And whereas, The Traction Com payn, in order to carry out the pur- poses of its incorporation, has in con- temptation the betterment, improve ment and extension of Its street rail- way system and plant, the construction of other street railways, and the &C., quisition of other property in the said State of Alabama: and in order to pro- wide funds for these and other cor porate purposes. including the imme- diate payment and retirement of all the existing and outstanding bonds oi
  mortgage bearing date the 1st of April 1903, aggregating $31S.000, the same tC | be exchanged for bonds of the issue | hereby secured, and for the mainten. ance and operation of the property o1 the Traction Company, the Board ot Directors and stockholders of this com pany have. by resolution duly adopted and recorded in the books of the Trac- l tion Company, determined that tho Traction Company shall execute it: | first mortgage per cent. sinking funt | gold bonds of the par value of $1,00( each, aggregating $2.000, ,000, and that the same shall be secured. issued and disposed of as in these presents pro vided, and have authorized and direct ed the execution, delivery and record ing of these presents, the said bondi and the interest coupons annexed | thereto, and the certificate of the trus | tee endorsed thereon"
 | Here follows a copy of the bond ant | the certificate of the Real Estate Trus Company of Philadelphia as trustee. l Properties Described. The mortgage describes all of tn, lines of tracks and other properties O the Traction Company in Montgomery including this paragraph devoted to tn, proposed line to Electric Park:
 Also that line of single and doubl track railway beginning at the inter section of Madison Avenue and Unioi Street in the city of Montgomery an, extending thence east along Madison Avenue and the extension thereof, t, the terminal point or loop In the towI of Bloemfontain, a distance of approx | fmately two and three-quarter miles
 There are seventeen articles In tn mortgage which is a printed documen and is signed by R. D. Apperson a President and Charles R. Miller as Sec | retary and Treasurer in behalf of tn Traction Company and by Frank K Nipple as President and William R | Philler as Secretary for the Real Els | tate Trust Company.
 The securities of the old Traction Company were purchased several week ago, 1t will be remembered, by Messrs Miller, Janney and others of Phladel phia, who were represented by R. D Apperson of Richmond, Va.
 With the transfer of the securitie MT. Apperson became President of tn company and W. H. Ragland of Mont gomery succeeded Major E. E. Win ters as General Manager of the com pany.
 Ground Already Broken.
 General Manager Ragland said yes terday that it was true the compan, contemplated many improvements Ground has been already broken for ex tending the lines of the company t. Bloemfontaine. and this line will b pushed as rapidly as possible.
 Six of the heavy summer cars of tn company have been repainted in tn shops of the Western Railroad. The came from the shops yesterday and at tracted considerable attention on tn | streets.
 It is probable that the offices of th