RAILROADS: Post-Mortem Victory

Only two days after his suicide, the New York Central's Board Chairman Robert R. Young won a belated victory last week. After a bitter, 2½-year battle between Young and Randolph Phillips, a former associate, the U.S. Supreme Court cleared the way for one of Young's pet projects: a plan to wipe out $18 million in dividend arrears to preferred stockholders of Young's Alleghany Corp., which has working control of the Central with 973,500 shares of stock. Under the plan, each share of Alleghany's 5½% preferred stock would be exchanged for ten shares of new 6% preferred, convertible to...

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