The Richmond Virginian. (Richmond, Va.) 1910-1920, 1917-09-21
Reverses Corporation Commits
sion's Order Denying Tide
water & Western Right to
Dissolve
RECEIVER SAYS WILL
DISMANTLE AT ONCE
Decision of Large Significance
and May Have Bearing On
Continuation of Virginia
Navigation Company Line

On yesterday the Virginia Supreme
court. sitting at Staunton, reversed the
order of the State Corporation COM
mission in the proceedings instituted
before that body looking TO the dis
solution of the Tidewater and West
ern Railroad com pany and the sale OF
It's rails and rolling stock.
The action of the stockholders OF
the company in seeking to dismantle
the railroad and in ceasins TO give
service over the road was halted by
the commission, which issued an or
der denying the dissolution petition
Judge W. f. Rhea handed down
dissenting opinion, holding that the
company should be granted certiti-
cate of dissolution.
Receiver Named.
Pending the result of an appeal to
the Supreme court. the directors OF
the company petitioned Judge w. A.
Moncure, OF the Chancery court off
this city. to appoint a receiver for
the company. and the court named
Langbourne NJ. Williams. the presi-
dent of the corporation. as receiver.
Before the company sought the
right to dissolve, and with no thought
of adverse action from the Corpora
ton commission. 1t had agreed with
a merchant of Baltimore for the sale
Of the rails for the entire line, which
extends from Farmville through Cum
berlaEd, Powhatan and Chesterfield
counties TO Bermuda Hundred, on the
James river. Along considerable
portion of this route 1t has been the
only convenient method OF transpor
tation for many years.
To Dismantle at Once.
Since the receivership two OF the
locomotives have been disposed of, and
Mr.. Williams stated last night that
as soon as the proper order could be
secured from the Chancery court he
would proceed to dismantle the road
and sell the property belonging
thereto as had been originally in
tended by the stockholders.
The taking UP OF this railroad will
be distinctly new experience for Vir-
GINA. Legislative action will be
seugntte uphold the viewpoint OF the
majority OF the Corporation commits
tion that the public has an interest
In transportation companies and that
such concerns should not be able. by I
the mere action OF their stockholders.
to deprive the public of means of
transportation without reasonable no.
tice.
Owners Viewpoint.
The directors and stockholders of
the dissolvtng company declare that
the railroad had been operated at a
loss during their entire ownership OF
its stock and that in equity they could
not be looked to to carry on an en-
terprise merely as q matter of public
spirit.
The decision OF the Supreme court
ends the matter in SO far as this case
is concerned. as II is not one from
which an appeal may be taken 10
the United States Supreme court,
As a result OF the opinion the vari.
GUS petitions now on file in the Chan
Gerry court. asking that the company
he restrained from disposing of its
material and rolling stock and asking
that the receiver be dismissed, prob
ably will be automatically stricken
| from the docket, The fall term of
! this court will begin the first Mon
| day in October.
| Since the proposal to dismantie the
Tidewater & Westerns line there has
| ben considerable talk In the county,
served by it looking to the forming OF
q company to finance the purchase of
| It's property 1t Ia not now thought
probable that any step will be taken
that will head off the breaking up OF
the property.
May Anect Steamer line.
! OF larger significance to- Richmond
and a very considerable portion of
| Tidswater IN the effect the decision
may have on the future operation OF
1
months the Virginia Navigation COM
pany. operating what is known as the
James river day line. has given indi-
scation OF abandoning that route, In
| fact II went so far as to actually with
| draw the Pocahontas from the route,
The commission promptly interveu-
ed in the public interest and the boat
was restored Since that time an ap-
plica ton has made and is still pend
ing before the commission for an In
creasse in rates. Under the decision
of the supreme court this, as we'll a.
any other corporation, may surrender
its charter without notice to the
public and cease giving the service
provided therein.
The Virginia Navigation comrany
is owned by the Old Dominion Steam.
ship company. which in turn, is own.
| ed and controlled by five of the large
| "a ilroads of the ea.uern states. Dur
ing the summer this corporation sud-
denly withdrew it's lines serving the
western shore of the Chesapeake.
| where II was the sole means of regular
communication for large territory.
land to Snithheld. Under orders from
the corporation commission however
the service ~as restored and has con-
tinued unbroken. although the Old
Dominion company Is afso making app
plication for increased rates.