Thirty-first day of March, 1890.
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No. 1.
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WHEREAS, legal proceedings have been instituted in the Supreme
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court of the District of Columbia and also in Washington
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county by the trustees of the holders of the preferred construc-
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tion bonds of the Chesapeake and Ohio canal company, issued
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under the act of eighteen hundred and forty-four, chapter two
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hundred and eighty-one, against the said Chesapeake and Ohio
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Preamble .
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canal company, and against the trustees of the holders of the
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repair bonds of Said canal company, issued under the act of
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eighteen hundred and seventy-eight, chapter fifty-eight, for the
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purpose of obtaining possession of said canal and its works,
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and for operating the same under the management of a receiver
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appointed by said courts; and
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WHEREAS, it is understood that the trustees of said last mentioned
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repair bonds contemplate taking similar proceedings looking to
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Preamble.
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a like result; and
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WHEREAS, in the controversy to which these proceedings will
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give rise between these two classes of bondholders as to their
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respective rights and privities, delays will occur which will be
prejudicial to the large interests held by this State in said
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Preamble.
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canal as mortgagee, creditor and stockholder; and if the views
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of said bondholders shall prevail, large additional outlays will
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be necessary to be made upon said canal, which will still
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further postpone the liens of this State upon the same; and
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WHEREAS, for the last twelve years the said canal has been main-
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tained and operated at an average annual deficiency of fifty-six
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Preamble
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thousand dollars; and it is now apparent that in its present
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deplorable condition, its restoration as a waterway capable of
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