The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1924-03-30
B. RI LIP. SALE /
WILDE MONDAY
No Delay Expected--Bir-
minghai,i Electric Com
pany To Be Bidder

No delay IL looked for in the ex-
pected sale Of the properties Of the
Birmineham Railway, Light and Power
company, which win be offered for sale
Monday noon at the Jefferson county
court house by Special. Master J. 8.
Pevear, coreceiver and representative
OF the federal court.
The purchaser must have deposited
with the special master certified check
for $50, 900, and be In position TO handle
b ycash or it's equivalent obligations
in the sum Of $500, 900.
Procedure in the prospective transfer
will be IN three phases, the acceptance
OF bid by the special master, report
Of the receipt of this bid by the federal
court, and confirmation. Of the bid by
the federal judge. This Is expected to
consume week or so, provided an .ac-
ceptable bid il offered.
As Judge w. /. Grub of the federal
court viii be in New Orleans for sew
eral days, confirmation Of the bid il
not looked for before April 10.
To bid on the property, a company
having 20 shares of stock without par
value has been formed, known As the
Birmingham Electric company. II IL
generally supposed to be the agent Of
the National Power and Electric COM
pany, principal stakeholder of the in.
solvent organization.
Stock Nen-Par
Pending final transfer Of the property
to new ownership the utility will con-
tinue under operation Of the receivers.
Interest has been aroused In teh sit
uation particularly because the stock
of the indicated bidder Is without par
value. The question Of issuing secu-
rites for improvements win be subject
to the approval Of the Alabama public
service commission.
All claims against the utility must
be checked and verified before the trans
fer, which has been, In the main, at
tended to, notice having been given
setting March 20 as the day for sub
hitting proof and practically all this
phase of the matter being attended to-.
Among the more dignified obligations
to receive settlement attention in course
Of the transfer will be the liquidation
If 9 per cent mortgage bonds, valued
1t $4,969, 900, held BY the Old Colony
trust company. They constitute the
main division OF the $S,5O0. 600 to be
cared for In cash or its equivalent by
the new owners.
The old two-year notes represent.
now, with interest, the sum of 81, T50,-
600. These. too, must be liQuidated.
A third large item is the combined
outstanding, liabilities incurred in the
receivership, approximately 81 500, 900.
Total Obligations
Though the purchaser must be pre-
pared to swing, in cash, part of the
deal embracing an expenditure of
81, 800. 600, that sum does not by any
means represent all the financing ana
sum of obligations to be assumed. Total
obligations assumed win reach a point
between $1S,O00,000 and $4,000, 900.
The purchaser assumes all obligations.
The Birmingham Electric company
was organised with view to becoming
owner Of the property under plans for
reorganization of the Birmingham Rail-
way, Light and Power company.
Numbers OF conferences have been
held during the past week between court
officials, the receivers, officials of the
organization and Representatives Of the
National Light and Power company.
Saturday morning the last of the details
were believed to have been put in order
for the start of the transfer through
sale at public auction Monday noon.
At IL 80 o'clock Monday afternoon
the special master will offer for sale
the Tidewater property. Failing of a
sale, and a sale Of the property is not
expected, though it is possible, the Tide
water will continue under the opera
ton Of its receivers.