Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-07-23
REQ TERMINATION
FOR SANTA FE
CENTRAL
MERGER OF PENNSYLVANIA
DEVELOPMENT INTERESTS
PittSburg Newspaper Describes
Proposed Financing of New
Mexico interests of Great
Importance to This City,

That a complete reorganization
merging and financing of the interests
associated with the PENNSYLVANIA De-
velopment company in New Mexico. is
under way In Pittsburg. Pa, is the
statement carried by the Pittsburg Ga
zette Times in It's issue of July 18th.
The financing Of these interests which
carries with ii the completion of the
Albuquerque Eastern railroad is OF
deepest interest to Albuquerque and
Central New Mexico. The article from
the Pittsburg newspaper follows:
Through a reorganization plan. inv
diving about $4,000. coo n Constitu-
ent corporations of the Pennsylvania
Development company. which have
railroad, coal and townsitp holdings.
in New Mexico are all to be put on q
paying basis-some of them said TO be
paying nOW-and their future de-
VelOpment assured.
1t is known tina an arrangement to
range from $500, 000 to $1,000. 600 or
as much none a. Is needed to finish
the railroad extensions projected. has
been completed through Pittsburg
financial institutions. While the anne
of the banks Interested are withheld.
details of the plan became known
yesterday.
one Of the first things to be done
viii be the consolidation OF the con-
stituent companies-the Santa Fe Cen
for s 2,500. 600; the Albuquerque and
Eastern Railroad incorpor-
ated for $3.50, coo; the New Mexico
Fuel and Iron company, Incorporated
for $3.50, 600. and some real estate
companies, Incorporated for various
amounts.
VIII Open the Coal Fields.
After the consolidation il is UNDER
stood. enough money has been guaran-
teed under the reorganization plan to
complete the railroads now projected
and open up the coal fields of the
Hagan, southwest of Albuquerque
town of Hagan was named after
w. G. Hagan of this city, who Is Sec
rotary and treasurer of the Pennsyl-
vania Development company.
The development company was In
corporated for the nominal sum or
10000. 1t Is not included in the re-
ports about the reorganization plan.
Some suggested IL would GO out of
existence after the consolidation of the
constituents. but no details could he
obtained relative to this report.
Arthur Kennedy. formerly state sen
ator from Allegheny city district, Is
chairman Of the board of the Santa Fe
Central railroad: William II. Andrews,
the congressional delegate from New
Mexico, Is the president and general
manager; Francis j. Torrance, Of Alle-
Hopewell, Of Santa Fe, second vice
president. and w. c.. Hagan. of Pitts
burg, secretary and treasurer.
The Pennsylvania Development
company got considerable notOriety
following the failure of the Enter
prise bank Of Allegheny. due To Cash
Clarke's connection with the COM
pany. Government officials. however.
that they nave never been able to
find anything which would show Grim
action on the part of any OF the
officials of this railroad in connection
with amy Of It's dealings with the failed
bank. civil suits We're entered against
of the officials of the road to coll
lect about 100000 on notes heid
against them by the bank. The right
of the receiver at the bank to collect
these, however. has been vigorously
disputed by officials Of the railroa I
are said to claim that these notes
passed into the hands of Clark as
treasurer Of the development COM
pany.
Where Money l. to BE Made.
Where the proposed consolidated
company expects to make It's money. Il
IS claimed, IS from the coal fields. The
Of the mining plant at Hagan
IS now said To be 1000 tons a day.
There is "A demand for more than
.wice that amount, IL is declared, and
.he company expects to be able to
meet II when its railroad extensions
ire completed.
The Santa Fe Central Is now in op-
a distance of 100 miles. The
after Francis j. Torrance 90
Allegheny a distance of 12O miles.
is now constructing a rail-
Dad from Moriarty to Albuquerque.
distance Of sixty miles. The grading
or more than twO-thirds Of this line |