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IN RE FONDA, J. & G. R. CO.

No. 227.

95 F.2d 397 (1938)

In re FONDA, J. & G. R. CO. LISMAN et al. v. FONDA, J. & G. R. CO. et al.

Circuit Court of Appeals, Second Circuit.

March 14, 1938.

Attorney(s) appearing for the Case

Miller, Owen, Otis & Bailly, of New York City (Edward C. Bailly and Walter H. Brown, Jr., both of New York City, of counsel), for appellants.

William W. Jenkins, of Schenectady, N. Y., for appellee General Electric Co.

James H. Wood, of Gloversville, N. Y., for appellee City of Gloversville.

Henry W. Thorne, of Johnstown, N. Y., pro se and for certain bondholders.

Before SWAN, AUGUSTUS N. HAND, and CHASE, Circuit Judges.

SWAN, Circuit Judge.

The Fonda, Johnstown & Gloversville Railroad Company filed a petition for reorganization under section 77 of the Bankruptcy Act, 11 U.S.C.A. § 205 note, in April, 1933. Its transportation properties consist of a steam division, an electric division, and a bus division. During the ten-year period beginning January 1, 1928, the steam division has shown an operating profit, while the electric division has shown losses in each year of that...

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