GUARANTY TRUST CO. v. SEABOARD AIR LINE RY. CO.

No. 214.

60 F.Supp. 607 (1945)

GUARANTY TRUST CO. OF NEW YORK et al. v. SEABOARD AIR LINE RY. CO. et al.

District Court, E. D. Virginia.

April 30, 1945.


Attorney(s) appearing for the Case

W. R. C. Cocke, of Norfolk, Va., and Harold J. Gallagher and Louis F. Carroll, both of New York City, for receivers.

Edwin S. S. Sunderland, of New York City (of Davis, Polk, Wardwell, Sunderland & Kiendl, of New York City), and Leon T. Seawell, of Norfolk, Va., for complainants Guaranty Trust Co. of New York et al.

Carlyle Barton, of Baltimore, Md. (of Niles, Barton, Morrow & Yost, of Baltimore, Md.), and Theodore S. Garnett, of Norfolk, Va., Sols. for Maryland Trust Co., as trustee.

Irwin L. Tappen, of New York City (of Humes, Buck, Smith & Stowell, of New York City), and Baird, White & Lanning, of Norfolk, Va., for New York Trust Co., as trustee.

Mitchell, Capron, Marsh, Angulo & Cooney, of New York City, for City Bank Farmers Trust Co., as trustee.

Harold C. McCollom, of New York City (of Davies, Auerbach, Cornell & Hardy, of New York City), for Irving Trust Co., as trustee.

Paul R. Kach, of Baltimore, Md., for Mercantile Trust Co. of Baltimore, as trustee of South Bound First Mortgage.

Eben J. D. Cross, of Baltimore, Md. (of Smith & Cross, of Baltimore, Md.), for Mercantile Trust Co. of Baltimore, as trustee of Georgia, Carolina & Northern First Mortgage.

Meredith & Meredith, of Richmond, Va., and E. S. Ruffin & Sons, of Norfolk, Va., for Mercantile Trust Co. of Baltimore, as trustee of Seaboard & Roanoke First Mortgage.

James Piper, of Baltimore, Md. (of Piper, Watkins & Avirett, of Baltimore, Md.), for Baltimore National Bank, as trustee of Georgia & Alabama First Mortgage.

Leonard D. Adkins and James B. McDonough, Jr., both of New York City, for Reorganization Committee.

Venable, Baetjer & Howard, of Baltimore, Md., for Underlying Bondholders Committee.

DeLano Andrews, of New York City (of Sullivan & Cromwell, of New York City), for First and Consolidated Bondholders Committee.

Arthur B. Brenner, of New York City (of Van Vorst, Siegel & Smith, of New York City), for Refunding Mortgage Bondholders Committee.

Lewis C. Williams, of Richmond, Va. (of Williams, Mullen & Hazelgrove, of Richmond, Va.), for group of holders of Seaboard Air Line Ry., Atlanta-Birmingham First Mortgage 4% Bonds.

Abraham Mitnovetz, of New York City, and Harry O. Levin, of Baltimore, Md., for Protective Committee for Georgia & Alabama Railway First Mortgage Consolidated Five Per Cent. Gold Bonds.

Frank P. Fleming, of Jacksonville, Fla., for receivers.

McCarthy, Bond & Lane, of Jacksonville, Fla., for Maryland Trust Co., as trustee.

George W. Milam, of Jacksonville, Fla., for Baltimore National Bank, as trustee.

Jennings & Watts, of Jacksonville, Fla., for Mercantile Trust Co., of Baltimore, as trustee.


CHESNUT, District Judge.

This opinion is filed to state the considerations which have influenced certain provisions of the court's decree dated April 12, 1945, for the foreclosure and sale of certain mortgaged properties of the Seaboard Air Line Railway; and particularly those determining the "upset prices" for the properties to be sold as an entirety, or for the several units thereof if sold separately.

The decree is a very elaborate and extended legal document...

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