Page:Federal Reporter, 1st Series, Volume 9.djvu/16

 CASES �AEGUED AND DETEEMINED ���m THB ���IRiiited J^tetejsi ©ternit mA ifotrfct emtt^. ���Taylok ». Thb Philadblphia & Ebading E. Co.* [Circuit Court, E. D. Pennsylvania. October 14, 1881.) �1. Railboad— Kecbivbbs— AuTHOBiTT To Cbeatb Cab Teust — Whbs Rbpused. �Where the net earnings of a road, which is in the hands of receivers, are am- ply sufiicient to pay for a necessary purcbase of additional rolling stock, the court will not authorize the receivers to raise money for the same by the crea- tion of a car trust, in order to allow of the application of the income to the bondholders. �2. Same — Powee op the Couet. �Whether the granting of authority to croate such a trust falls within the proper scope of the court's authority, quœre. �3. Same— Object op Recbivbeship. �The court's custody of railroad property, which bas been placed in the hands of receivers, is only for the temporary preservation of the property dur- ing foreclosure proceedings, and the road should pass with as little delay as is reasonably practicable into the possession of owners who will best be able to determine how it should be managed. �Petition by the receivers of the Philadelphia & Reading Railroad Company, Betting forth that the rolling stock which passed into their possession at the time of their appointment was not sufiicient to transact the increased busi- ness of the road, and that they had caused to be constructed, in the shops of the Company and at the shops of other parties, a number of cars and locomo- �•Reported by Frank P. Prichard, Esq., of the Philadelphia bar. �v.9,no.l — 1 ��� �