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How was the Board of Trunstees and the President of Conrail under Federal ownership chosen?

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  • Member since
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Posted by CandOforprogress2 on Saturday, March 4, 2017 1:29 PM

So basicaly whomever was holding the Bankrupt railroads debt that formed Conrail got a seat on the board of directors in exchange for new bonds and new classes of stock that could not be publicly traded?

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  • From: Allentown, PA
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Posted by Paul_D_North_Jr on Thursday, March 2, 2017 9:22 PM

No.  The Board of ConRail was selected by the holders of the debentures (a kind of bond) and 3 classes of stock - 45 U.S. Code Sec. 741, subsection (d) - Board of Directors

The President of ConRail was appointed by the Board - 45 U.S. Code Sec. 741, subsection (f) - Officers.  

45 U.S. Code Sec. 741 may be found here: https://www.law.cornell.edu/uscode/text/45/741  

- PDN. 

"This Fascinating Railroad Business" (title of 1943 book by Robert Selph Henry of the AAR)
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How was the Board of Trunstees and the President of Conrail under Federal ownership chosen?
Posted by CandOforprogress2 on Thursday, March 2, 2017 10:25 AM

Was it by the president and by the consent of congress like Amtrak board is chosen now?

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