OCR Text |
Show ROCK ISLAND PLANS TO PAY UP INTEREST CHICAGO. Sept. 15. Receivers for the Chicago, Rock Island & Pdlk railroad were authorized todVJ to borrow bor-row money by the issuance of receiv crs' certificates for the purpose of paying the semi annual iostallment of interest due on $2y)00,000 worth of debenture bon1.. This authority to .lacob M. Dickinson and BL C. ifudge. the receivers, was jjiven bv Judge 'ar penter in the Cnited States district court. It is provided in the order that the receivers' eerti6cates shall not constitute con-stitute a lien on the earning of the road, and therefore shall not take precedence over the underlying securities securi-ties of the eoropsnv. This will place the certificates iu priority of claim only before the debentures, the interest inter-est on which is to be paid by the sum realised on the certificates. The debentures were issued on .lanu ary 12. 1912, by an agreement between the railroad companv and the Bnnkcrs Trust rompanv of New York. The receivers' re-ceivers' certifiVatPH are to be known a. series B, and will mature on Man-h 16, 1916. Interest on them will accrue at the rate of 6 per cent annually. They will be issued in denominations of S1000 and 15000. or multiples of these sums. Judge Carpenter said that the postponement post-ponement of the meeting of the obligations obli-gations on the debenture issue probably prob-ably would place the road in a position to reorganize on a favorable basis. A bill for injunction to restrain the Chicago, Rock Island & Pacific Rail road company from refusing to deliver shipments of beer and other fermented liquors to purchasers in several Iow-r towns adjacent to Rock Island, ni.. was filed in the Cnited States district court today in behalf of tho Theodore Ha mm Brewing company of St. Paul ; the Minneapolis Brewing company of Minneapolis : G. Heileman Brewing company of Ia rosse, Wis., and the Rock Island Brewing company of Rook Ifiland. Ill- The brewing companies, in their bill of complaint, sav they will suffer a loss of $3000 annually from I the refusal of the railroad to accept I such consignments. |