The Washington herald., 1909-01-27
vIRGNIANS IN DEAL.
F. W. Scott, Relative of }. P. Branch,
Associated with HawIey.

F. W. Scott, Relative Of J. p. Branch,
Associated with HawIey.
Special to The Washington Herald
Richmond, Va. Jan. 2S.-Fin, .hciaI cir
cles in Richmond are greatR interested
in the report from New York Of the Trans
fer Of the stock OF the Chesapeake and
Ohio Railway 10 a syndicate headed by
Edwin Hawley. in which syndicate Fred
". Scott. OF the firm OF Scott & String
fellow. this city. Is said TO be largely IN
terested.
George Seay. a member OF the firm OF
Scott & Stringfsllow. and as such a part
ner OF Fred ". Scott, when seen tonight
and asked concerning the reported deal
and the connection Of his firm with it
said that Scott was now in New York
and would not be in Richmond until some
time in the latter part Of the week. and
that. inasmuch as his firm had received
no information on the subject from the
absent partner. he could say nothing re-
garding the matter.
Seay confirmed the report that such a
deal had been consummated, however, by
saying that his firm had received infor-
nation over It's leased wire from New
York 10 the effect that Kuehn. Loeb &
CO. had sold 240.0OO shares OF Chesa-
peake and Ohio stock to a syndicate. in
which report the name OF Scott did not
appear. He offered no reason as to why
the name OF Scott was omitted from the
dispatch
stevens Is silent.
President Stevens. Of the Chesapeake
and Ohio Raiway. when seen tonight reIa-
tive 10 the same subject. said that the
first information he had received OF the
sale OF a controlling interest in his road
was from the dispatches in the after
noon papers. and that beyond this Re
knew nothing. President Stevens refused
TO discuss the situation until he has re-
ceived Official Information on the subject
Il is reported, however, that arrange
ments have already been made 20 c,4ange
the official personnel OF the road.
Independence Aim of Promoters.
Scott is also a director in the Atlantic
Coast Line Railway, and has for years
been making a fight together with John
p. Branch and Others. to have a better
dividend declared by the Chesapeake and
Ohio. and 70 have other matters different
" done by the management or the road
| Il is generally regarded in financial cir
cles that the road VIII now be inde-
pendent
There appears 10 be no doubt that the
new syndicate Is absolutely IN control.
and the connection OF Scott with the syn
dicate means that independence Of the
road is the atm OF the promoters.
FinaECiers are, however. reticent about
discussing the situation until something
more definite regarding the deal has
been made public. Neither Vice President
Axtel, OF the road, nor John p. Branch
would venture any statement tonight.
Means Much for Virginia.
II the c. & O. does become an fnde-
pendent property. it IS declared that no
railroad deal OF recent years Will mean
more for the future development OF Vir-
ginia and West Virginia, especially its
seaboard terminal. Newport News.
When dominated by the Pennsylvania
and New York Central interests, the
vast Western freight business was a.
verted from the Chesapeake and Ohio
and sent East over the Pennsylvania and
New York Central 10 the ports OF New
York and Boston. With the Chesapeake
and Ohio an independent property. and
going after business as an fndependea,
property, and with strong Western con
neCtiOns. extending as far West as Colo
radO. IL is believed that lt pOTtends a new
commercial era for Virginia, especially
Newport News. 4 portion OF the West
eTn freight business will then be diverted
to Newport News
II is further pointed out that II the
Chesapeake and Ohio becomes an in
dependent property, the vast West
ern country tapped by II and its friend
II Western connections viii be brought
into closer business relations with the
VIrginias.
No Change in Management.
SPECIAL to The Washington Hs-zld.
Richmond, Va. Jan. 2s.-Fred W Scott.
over the long-distance telephone from
New York. late tonight admitted that
the Chesapeake and Ohio control has
been purchased by a syndicate in which
he is interested.
he stated positively. however. that
there would be no change in the manage
ment OF the road. the suggestion that
President Stevens VIII be ousted being an
error. The general offices OF the road
viii, OF course, remain In Richmond. II
viii be the intention OF the new company
to improve the property vigorously. Vice
President AxteT VIII also remain in his
present position.