This is a determination of the Railroad Retirement Board concerning the
continuing status of Enid Central Railway, Inc. (Enid) as an employer under the
Railroad Retirement Act (45 U.S.C. §231 et seq.) and the Railroad Unemployment
Insurance Act (45 U.S.C. §351 et seq.). Enid (B.A. No. 2856) has been an
employer under the Railroad Retirement Act and Railroad Unemployment Insurance
Act since January 1, 1982.
Information in the file indicates that Enid
received Interstate Commerce Commission (ICC) authority to operate as a railroad
in Order No. 1473, decided December 30, 1981. In Legal Opinion L-82-67, Enid was
found to be an employer covered by the Acts as of January 1, 1982, the date it
began operations and first hired employees.
In a letter dated April 27, 1983, Ms. Esther S. Bergman, Treasurer of Enid,
advised the agency that “all operations of Enid Central Railway ceased as of
midnight on February 28, 1983, and Enid Central Railway last had employees on
March 31, 1983”. In addition, the DC-1, “Employer's Quarterly or Annual Report
of Contributions Under the Railroad Unemployment Insurance Act” for the quarter
ending March 31, 1983, states “This is the final return for Enid Central
Railway, Inc. It last had employees on March 31, 1983”. In a letter dated
January 10, 1984, Ms. Bergman, responding to a letter from the then-Director of
Compensation and Certification, stated that Enid did not own any equipment or
track, and “although this corporation has not yet been formally dissolved, it is
not now and will never actively engage in any business in the future”. The file
indicates that no action (e.g., an investigation into the continuing status of
Enid) was ever taken following either Ms. Bergman's letter of January 10, 1984,
or the filing of the DC-1. No information was ever sent informing the Board of a
date when Enid was dissolved.
Recent research of the Oklahoma bankruptcy courts by the Office of General
Counsel did not reveal any records for Enid. The agency librarian researched the
Oklahoma Secretary of State's records and found information indicating that
Enid's corporate status has been suspended since February 13, 1984.
Section 202.11 (20 CFR 202.11) of the Board's regulations states that:
The employer status of any company or person shall terminate whenever such
company or person loses any of the characteristics essential to the existence
of an employer status.
As indicated above, information available indicates that Enid became an
employer under the Acts effective January 1, 1982. The research by the Division
of Audit and Compliance, Office of General Counsel, and the agency librarian, as
well as information contained in Enid's file, indicates that Enid ceased to be
an operational railroad in March 1983. The evidence of record establishes that
Enid no longer possesses the characteristics of a railroad carrier employer. The
Board therefore finds that effective March 31, 1983, the date it last had
employees, Enid Central Railway, Inc. ceased being a covered employer under the
Railroad Retirement and Railroad Unemployment Insurance Acts.
Original signed by:
||FOR THE BOARD
Secretary to the Board