The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1916-09-04
LETTERS TO EDITOR
Opposes Tidewater Plan

driving the last spikes IN It's new lines,
ready to venture forth as public service
utility in competition with the Birming-
ham Railway, Light and Power company.
1t had already, while yet in building,
shown good revenue producing capacity;
and yet greater success threatened unless
it be stopped speedily Suddenly, by a
company of bondholders who were also
stockholders, it was thrown into the
hands of a receiver of their choosing with
out the knowledge of the rest of the
bond and stockholders, because they
feared it might not have sufficient funds
in hand to pay the approaching interest
on the bonds; and so to save themselves
as bondholders from the default of them
selves as stockholders, they invoked the
protection of the court presided over by a
distinguished judge, formerly in the en-
ploy of the Birmingham Railway, Light
and Power company, who enjoined any
interference from the minority stockhold-
ers and bondholders, or anyone else, with
this receiver of the bondholders thus
put in complete control. In vain did the
minority seek to intervene in this pro-
ceeding, which was in their eyes but the
old game of getting possession of a
property to wreck it and buy it in from
its creators for a song. Fifteen days
after the receiver was appointed a doc
ument was issued by those who had
thrown it into such receivership whereby
1t was provided to sell the property to
an underwriting company" for the con-
sideration of their indorsing a million and
half bonds, half of which should go
to the then owners of the property, and
half to improvements, thus fixing the
price of $4,000 on the property to the
sideration for what had just cost the
owners more than three times that
amount could be considered by the court
with good face. the properties had to be
run down; and this was soon accom-
plished under the receivership and the
property sold and bought in for that
amount Who was this underwriting COM
pany to whom 1t was proposed Is days
after the receivership to deliver the prop
erty for this 5000? Recent events throw
great light on this question in the siren
uous efforts to have it delivered to the
Birmingham Railway. Light and Power
company for just this amount. Who is
this that has thus killed and taken Dos
session? That Naboth is dead through
due process of law "all the men and
elders and mobiles of the city, can attest
Who is 1t that comes to take possession
of the vineyard? Several very significant
questions may be asked about 1.-The due
process of law" by which the Tidewater
was relieved of life. and the present eff
fort to administer on it's estate by turn
ing it over to the Birmingham Rail-
way, Light and Power company at 20
cents on the dollar. Why was this COM
pany thrown into the hands of receiver
over night, without any notice. or oppor-
tunity being afforded the protesting stock
and bondholders to appear and assert
their claims? Why was the then man
ager of the road, who declared in the
petition for the receiver that he could
rot operate it proftably, chosen by these
bond and stockholders seeking the receiy-
ership to be receiver of the property he
had confessed he could not operate? Were
they seeking man who could not make
success of the road? Why were the
stock books and other books of the road
which the law required to be kept in it's
offices in this city, HE'D away to Phila-
delphia. or other parts. so that no one
could discover who were the bondholders
and stockholders respectively; and why
did the court, when requested to do
SO, fail to have those books returned to
the hands of the receiver in this city,
VICie pdIllcS DIT interest might consult
them? How comes it that identically the
programme mapped out is days after the
receivership was granted for delivering
the property to IAN underwriting COM
pany" as consideration of their indors-
ing bonds, Is now being carried out in this
delivery of the property to the Birmii
ham Railway. Light and Power company?
In view of this last fact and related
events, 1t may be asked. Who was the
g fr~nv1 md ~
mind by these gentlemen two years ago
and more? These, and many other ques-
tons, the court did not permit the sheared
nority to ask during the shearing. But
q iuppose there will be an opportunity
ask them when the public utility GEM
mission disposes of their wool. 1t is en-
tirely possible for this effort to make
the Birmingham Railway. Light and Pow
er company the heir to the estate of the
lately deceased Tidewater to be defeated;
and to make all this manipulation of
high finance inure to the benefit of the
city Chicago is spending millions for
free wharfage to control rates. Birming-
hams hope of getting ION the Warrior
lies largely in acquiring this property;
and 1t noy looks. If the city commission
will stand pat on the city's rights. and
the. citizens shall so vote. that the city
will get ''on the Warrior through ac-
quiring this great property for the price
fixed by the bondholders to the Birming-
ham Railway, Light and Power company.
And it Is possible to hope that even the
Chamber of Commerce will some day see
the opportunity of the city that lies in
this wrecked road, just as they did that
which lies In the Roden hotel wreckage
for an auditorium; and then they will
take off their coats to put Birmingham
ION the Warrior" through this golden OPP
portunity that has come to us without our
seeking On to the Warrior through the
Tidewater railroad.
A. j. DICKINSON.
Birmingham, September 8, 1916.