The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1910-06-18
Formal Transfer of c., c. & |.
Line to Chesapeake & Ohio
Will Take Place at ReCeiv-
er's Sale Next Week.
WILL SPEND MILLIONS
TO IMPROVE PROPERTY
Surveyors Already at Work
Figuring Cost of Curve ELM
ination and Grade Reduc-
tions.-Cheaper Coal.

After ten years of d precarious ex-
istence as an independent railroad,
the c., c. & l.. will next week pass
into the control of the Chesapeake and
Ohio system and at once become the
great connecting link between the
Hawley seaboard lines and his west
ern connections.
/ Millions of dollars will be spent in
elimination of curves and in grade
| reduction. the surveys for which al
ready have been commenced. The
Hawley system will benefit by gain
| ing direct entrance into Chicago,
while Richmond will be able to secure
more advantageous freight rates on
many commodities, principally coal.
| The information comes from James
P. Goodrich, who has been receiver
for the company since the bond-hold-
ers petition was granted about year
ago. The failure of the railroad to
redeem its mortgages a month ago
caused the federal judge in Indianapo-
lis to set June % as the date for the
formal sale of the property and it has
now become definitely known that the
c. & 0. interests are the only ones
| who will enter a bid.
| Part Of Hawiey System.
Since the construction of the c.. c.
& L. through this section ten years
ago, and its later continuation into
Cincinnati and Chicago, where valu-
able terminal sites have been secured,
railroad men throughout the west
have been anticipating just such a
course as has been followed As an
independent line it could not be made
to pay, but as a part of the great Haw-
ley system, stretching from the At
lantic seaboard far into the western
states, the road at once becomes vaIu-
4 able. Hawley lacked an entrance into
I Chicago from the east and his officials
were obliged to route their freight by
way of competing lines. The c., c. &
L. is the shortest rail route between
Cincinnati and Chicago, and it's facil-
tiles will go far towards completing
his dream of transcontinental sys.
tenn.
AS part of the Hawley system are
the Chesapeake and Ohio, and Hook
ing Valley in the east and south, the
Glover Leaf Route through Indiana
and Illinois and into st. Louis and the
Chicago and Alton, Missouri. Kansas
and Texas, Frisco and Minneapolis
and st. Louis systems, west of Chica
go. Thus the c., c. & l.. will connect
the east and west kingdoms of the
railroad wizard, and form combina
ton that will rival the transcontin
entail properties of the Goulds or ever
the Hartman interests
! Richmond's Advantage.
> The direct advantage accruing tt
Richmond, aside from improved ser
vice that will be inaugurated, will b.
in the matter of reduced freight rates
. The cost of freight interchange a
. Cincinnati on coal from West Vir
ginia fields will be done away witt
Mr.. Goodrich stated this morning tina
the result will be the cheapest rate
on coal that Richmond has ever en-
joyed. The competition will force tn
Pennsylvania lines to lower rates a.
I well. and both Indiana and Ohio Goa
= will be cheaper to the consumer thar
at present.
For the past few weeks surveyin.
parties in the employ OF the Hawle.
: interests have been working on thu
line out of Cincinnati and will sool
reach Richmond. Figures are beinl
obtained on the cost of shortening tn
road, eliminating the curves made il
the hasty construction, and cuttin:
down the worst grades. Mr.. Good
rich stated that it would be necessar,
for the purchasers to spend abou
three million dollars in improving tn
road a half of this to go for grade re
auctions and work on the road bed
and the remainder for new switches
sidings and rolling stock. Then will
the road be equal to any, and it is ex
pected actively to compete for pass
fenger traffic between it's terminals.
Consideration Not Known.
Although it is probable that the dea
has already been consummated an,
the formal transfer at receivers sal
is all that remains, the price paid TO
the property is not known. The bond
led Indebtedness is S5,oOo.O0O and b.
,order of the court 1t cannot be sol