In 1937, the insolvent Chicago & Eastern Illinois almost became the first Class I railroad to leave court jurisdiction under Section 77 of the Bankruptcy Act and return to private control. Security holders all agreed informally on a plan; yet the plan fell through. Last week, under a different plan, Trustee Benjamin Wham turned the title over to President Charles O'Neal, and C. & E. I. left the courts at last. Although nearly four years had elapsed, it was still the first Class I railroad to do so.
But C. & E. I. did not really return to private control....
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