Archive Record
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Metadata
Object Name |
Application, Financial |
Title |
TER Return to Questionnaire for Docket 16092 [pg 2] |
Date |
ca 1948, April 26 |
Scope & Content |
Texas Electric Railway Return to Questionnaire (unsigned) to the Interstate Commerce Commision to abandon rail operations in total. This 32-page document was eventually signed, notarized and submitted to the Interstate Commerce Commission. [page 2 transcribed] That part of the Applicant's line located between Waxahachie, Texas, and Waco, Texas, was constructed by Southern Traction Company during 1912 and 1913, and put into operation on October 12, 1913. As of January, 1917, Texas Electric Railway acquired all of the properties of Texas Traction Company, including that part of Applicant's line between Dallas, Texas, and Denison, Texas, and all of the properties of Southern Traction Company, including that part of Applicant's line between Dallas, Texas, and Waco, Texas, and operated same from January 1, 1917, to December 31, 1935, inclusive. During the period of January 10, 1931, to September 30, 1935, inclusive, the properties of Texas Electric Railway were operated in receivership in the District Court of Dallas County, Texas, 44th Judicial District of Texas, with Jas. P. Griffin as Receiver. On September 30, 1935, Texas Electric Railway filed a voluntary petition in the District Court of the United States for the Northern District of Texas, at Dallas, for corporate reorganization under Section 77-B of the Bankruptcy Act, and during the period October 1, 1935, to December 31, 1935, inclusive, the properties were operated by Texas Electric Railway under the orders of that Court. On December 6, 1935, the Plan of Reorganization as proposed by the Bondholders' Protective Committees was approved and confirmed by the Court, and under the orders of the Court Texas Electric Railway Company was formed as the new corporation to take over and operate the properties of Texas Electric Railway, and all of the assets and properties of Texas Electric Railway, as ordered by the Court, were duly conveyed by Texas Electric Railway to Texas Electric Railway Company as of 12:01 A.M., January 1, 1936, on which date Texas Electric Railway Company began operating the properties, including Applicants line herein sought to be abandoned. In the reorganization proceedings, the Court found that Texas Electric Railway was insolvent, that its stockholders were not entitled to participate in the plan of reorganization, that the interests of its debenture holders and other unsecured creditors were without value, and approved the Plan of Reorganization, which provided for the exchange of ten (10) shares of no par value common stock of the new company to be formed to take over and operate the propteries (Texas Electric Railway Company) for each $1,000.00 par value of the outstanding bonds of the Texas Electric Railway and Texas Traction Company, amounting to $6,185,000.00 and an order was entered accordingly. Up to this time Texas Electric Railway Company has issued 60,815 shares of its no par value common stock in exchange for $6,081,500.00 par value of such bonds of Texas Electric Railway and Texas Traction Company, leaving outstanding $103,500.00 par value of such bonds not yet presented for exchange. Texas Electric Railway Company has at this time no securities outstanding other than the 60,815 shares of no par value common stock above referred to. On April 12, 1928, the Railroad Commission of Texas entered a formal order, effective May 1, 1928, granting authority to Texas Electric Railway to participate in the service of transporting freight traffic locally between points on its line of railway (electric) extending from Denison, Texas, through Dallas, Texas, to Waco and Corsicana, Texas, and in connection with steam railways, Shortly thereafter arrangements were made with certain trunk line steam railroads for the interchange of interstate freight traffic, and the first interstate rate tariff publication became effective beginning in November, 1928. The several segments of Applicant's line above described and referred to were each constructed for the purpose of transporting passengers and local express, and freight was not transported until on and after May 1, 1928, when the charter of Texas Electric Railway had been amended on April 11, 1928, so as to provide for the transportation of freight, and the order of the Railroad Commission of Texas permitting the transportation of freight had become effective. Applicant is now transporting on that part of its line between Dallas, Texas, and Denison, Texas, passengers, freight, express and United States mail, and on that part of its line between Dallas, Texas and Waco, Texas, passengers, freight and express. Electric Express & Baggage Company has had a contract with Applicant and its predecessors since September 1, 1913, covering the handling of the local intrastate express and baggage traffic over the lines of the railway. This Express Company was at its beginning and until September 1, 1928, under separate management, but on the latter date Texas Electric Railway purchased all of the stock of the Express Company, which is now held by Applicant except directors qualifying shares. Separate express and baggage trains are regularly operated, which handle the bulk of the express and baggage, but a "preferred" express service is given on the passenger cars. All of the express traffic, except "preferred" express service is given on the passenger cars. All of the express traffic, except "preferred", is subject to pick up and delivery service without additional charge to patrons. Under the present contract all of the earnings of the Express Company, after payment of operating costs, are turned over monthly to Applicant. --2-- |
Associated People |
Griffin, James P. |
Search Terms |
1935 Bankruptcy Abandonment of Service Electric Express and Baggage Company Finance Docket 16092 Financial Freight and Express Service Interstate Commerce Commission Stock Shares Track Construction |
Collection |
Johnnie J. Myers Collection |
Catalog Number |
CP.2006.CL.1-109-2 |