Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1906-11-20

the interest of the state 10 the Rich
mond, Fredericksburg and Potomac
Railroad is to be placed at the mercy OF
the Pennsylvania system was held in
the private Office of Governor Swanson,
yesterday, 10 Richmond. The Cover
nor. with the State board of proxies;
PRECEDENT George w. Stevens, OF the
Chesapeake and Ohio; Samuel Rea,
third vice presidential the Pennsylvania
snd the man whose action has caused
all the trouble to the State; Judge Leigh
| r.. Watts. Judge Leake, who has re.
Gently resigned az the official head OF
the road and whose successor the Penn
sylvania purposes to name; A. j. Cont,
Rea's first assistant, aud Alexander
Hamilton, general counsel for the At
lantic Coast Line, we're among those
present.
a. p. Thorn, general counsel for the
Southern, represented that line in the
absence OF President Spencer, who was
detained by the annual meeting in Gin
cinnati. Col. John Il. Purcell, an indi-
vidual stakeholder in the Richmond,
Fredericksburg aad Potomac, was pres
ent as representative OF The stock
holders.
The absence of the president of the
Southern, who had expressed himself as
inclined to do all in his power TO pro-
tect the interests of Virginia and the
stockholders, was Disappointing to the
Representatives OF the State.
While no definite information relative
TO the result of the conference leaked
out, recent developments in the situation
Justify the presumption that the names
of Judge Leake, f. W. Scott, of the
brokerage firm of Scott & Siringfellow,
and G. +. Doyle, general manager of
the Chesapeake and Ohio, were men
toned in connection with the presidency.
Judge Lsake, it i. understood, is the
first choice Of the State proxies.
1t is said that the railroad men were
conciIiatOry and The meeting was bar
monious. There is hardly q doubt that
il was made clear by the governor that
Judge W. j. Leake would be the first
choice of the State for president of the
-road, ia which it owns 30 valuable an
interest. Anything else than fair &C
ton toward the State in this matter
would cause al imbroglio between the
State and the Pennsy lssnia Railroad that
would be fought out in the Legislature,
possibly to the great danger Of all in
leresis.
Judge Leake has not signifi.d his will
lingness to again become president of
the road, but it is confidently believed
that in order to ameliorate the situation
ia which the State finds itself he would
not decline.
At nom the conference adjourned, t.
meet again in Richmond December 10.
The election of Judge Leake's successor
was postponed until December | 4.
The meeting of the Richmond, Fed
ericksburg and Potomac stockholders,
which was TO have been held immediate
ly following the conference, was also
necessarily postponed until the day of
the December conference.
1t was learned yesterday afternoon
that As a result of the meeting the CAPT
tel stock of the road would probably be
increased enough 80 that the dividends
upon it would keep the earnings Of the
company within the 10 per cent. limit.
In the charter Of 1885 is is provided
that whenever the earnings Of the road
shall be in excess of 10 per ceRt, Of
the capital stock the rates and tariffs
shall be lowered. Some years ago it
was found that the road was still earning
more than the Is per cent dividend.
In order to keep this down fl,072.-
900 of dividend obligation stock was is
sued. The six roads--Pennsylvania, Bal
{ more and Ohio. Chesapeake and Ohio,
A .lantic Coast Line, Southern and Sea
board Air I.ine-now own 9, 400 shares
of the original voting stock, against
2, 700 shares owned by the State of
Virginia, and so have control OF the
company.
As the increase in stock was found
serviceable before, tits believed now that
the same method will be tried again.
The dividends derived from Us stock
by the State are now being put into
sinking fund to pay oil the State dept,
which is, in round numbers, $25, 500, 900.
The dividends on the Stale stock last
year amounted to something more than
$40, 900.
In case the Pennsylvania and allied
railroad interests refuse to accede to the
wishes of the State in relation tc the
choice of president, Virginia hss sew
era means OF retaliation. The charter,
which YVES granted in 1884, and remains
unchanged. provides thas it shall be the
roads duty at all times to "transport to
any convenient place Of delivery on the
road, which the owner of the goods may
indicate, and there to deliver all articles
which shall have been delivered to them
for transportation, or offered to them 10
proper condition to be transported, at
some place on the road convenient for
the reception thereof" A similar pro-
vision applies 10 passengers. Thus the
State, II it saw fit, could, under the old
charter, cause the management of the
road considerable trouble.
COURT OF APPEALS.
Yesterdays proceedings of the Court
of Ap1aalo mara M follono