Evening journal., 1923-01-03
STATE WATCHES
SHORE R. R. MOVE
Commission Concern e d
Over Effect of Proposed
Foreclosure
WILL ALSO ACT
ON RATE CHANGES

BALTIMORE, jan. 5.-Members
Of the public Service Commission
are watching for any move TO sell
under foreclosure proceedings its
Chesapeake Bay and Eastern shore
subsidiaries.
These subsidiaries. the Baltimore
Chesapeake and Atlantic Railway
and the Maryland. Delaware and Viz
ginia Railway. which operate bay
boat lines and the railroads across
the Eastern shore are liable TO face
such proceedings, as reported in The
sun yesterday.
While the commission would have
no authority TO act so far Is the fore
closure Is concerned. IL Is concerned
directly with the effect this might
have on the bay and the tidewater
counties OF Maryland.
r. under reorganization proceed
inge new securities are issued, per
mission for issuance OF these secur-
lies would have 70 be obtained from
The commission. The commission
also would be called upon TO act II
any change in passenger or freight
rates Is suggested or II there Is any
abandonment or curtailment OF ser
vice.
In connection with the suggested
foreclosure proceedings. i was point
Cd out that the only interests which
could force foreclosure are bond
holders Of the two companies. These
bonds. il is said. are scattered wide
". and not held to any great extent
by the Pennsylvania.
II the Pennsylvania institutes fore
closure proceedings Il is anticipated
that those who hold the greater part
~ the bonds will form a bondhold-
ers committee for the protection OF
their interests and would bid a SUM-
cient sum for the properties to cover
the value OF their bonds and the ex-
penses 10 which they would be put |
In the event Of a sale, all the /
stock. both common and preferred. |
would be wiped out as well as the I
a mount which the two lines owe the /
Pennsylvania or nearly $500, 900. /
Students OF the situation fail TO see I
how this would benefit the Penn
sylvania.
The Baltimore, Chesa peake and
owns all OF the $4,000
.hares OF common stock OF the
Maryland. Delaware and Virginia
md 5000 shares of its 10000 shares
u preferred. other owners OF the
preferred stock, according TO the
'ecords OF December 81 1921. are
Is follows:
Maryland. Delaware and Virginia
Townsend Scott & co. $500
shares. W " Abell. trustee. 1858;
" y. Focke. 1550: Norman James.
1927; Maryland Trust compsnF
900. Fred O. Boyce. Jr., 500; John
:. Gitungs. zoo: Henry c. Matthews.
iss: Eleanor B. Mccormick, SIS;
D. Fahnestock & Co. 500: J. Her
bert Stsbler. 573s Clarence Cabell
Il Richmond. SIS: r. y. Jackson. OF
500; Walter NJ Kriel. 500:
sxfe Deposit and Trust Company.
rustees. 500: James L. stillman.
90. Milton 5. Billmlre. 500; Baker.
Watts & Co. 400. and Myer L.
Srraus. OF Chicago. 3s4.
mounts TO S2.000.000. which is
-uaranteed by the Baltimore. Chesa-
,eake and Atlantic.
Baltimore. Chesapeake and Allan
ic-Bonds. Si.2sO.O0O: capital
.tock. S1,OO0.00O OF common and
$500 OF preferred. Stockholders
common. Philadelphia. Baltimore
md Washington Railroad Company.
1857 shares; Pennsylvania Railroad
-ompany, 1856: Delaware Railroad
company. 5000 and New York,
Philadelphia and Norfolk Railroad
.ompany, 5000.
Preferred Philadelphia, Baltimore
nd Washington Railroad Company. /
.o9s; Pennsylvania Railroad Com
'any. S,652: Delaware Railroad
company, 5,564i New York, Phila- ]
Ielphia and Norfolk Railroad Com I
ANY. 5.225; Estate OF Samuel Ban 4
roft. Jr., OF Wilmington. 523: Caro- !
inc b. Post. OF New York. 337: II
francis II. Purnell. administrator. {
10; John Martin Niblo, rs: Estate
Il Frederick Bellamy, New York. 1
Q Arthur $. Scranton, OF Scranton.
"a, so. There are a few stockhold- ,
RS who hold hess than so shares.
Il is assumed that all the inter-
SIS of these stockholders would be ,
wiped out under foreclosure pro-
eedings, and il the PENNSYLVANIA
ecured the companies at less than =,
he price OF the bonds outstanding
r even little more. it might profit
" having the stock out Of the way d
nd the lines incorporated directly
nto the Pennsylvania system. But
10 interest has been paid on the !
took since the Pennsylvania ac- ]
uired control of the properties.
By some persons the suggestion g
4 foreclosure proceedings is re- {
arded as something of a smoke
Green. For long time the Penn ]
ylvania has been FESTIVE under
hat it considers the invasion of its
srritory by the ferries across the
ay which are subsidized by the
tate. 1t does not look with favor
n these subsidies TO what are in
feet competing lines.
II is thought by some that the
uggestion Of selling the lines under
proceedings may be the
orerunner of campaign against
ne demand that the ferry subsidies
e discontinued or that the Penn
ylvania lines be given a share OF
hem.
NEWS ODDITIES
Flax was first planted in England