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The Cuttack-Vijaywada section, constructed by Madras Railway, was merged with BNR following a historic agreement on July 23, 1902. The connectivity to Cuttack along the east coast became possible only after the construction of five bridges on the rivers surrounding Cuttack. In March 1887, BNR entered into an agreement with the then Secretary of State, Government of India, to take over the Chhattisgarh State Railway, convert the 149-mile long Nagpur-Rajnandgaon stretch into a broad gauge (BG) network, lay a new 480-mile long BG network from Rajnandgaon to Asansol located on East Indian Railway (EIR) network and another 161-mile long network from Bilaspur to Umaria to connect Katni-Umaria Railway.īNR was formally inaugurated on March 3,1891, by the then Viceroy Lord Lansdowne. TR Wynne was appointed the Chief Engineer and Robert Miller the Chairman. On February 23, 1887, BNR was registered as a company with registered office at 132 Gresham House, Old Broad Street, London.
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So a modified guarantee scheme was introduced to attract investment and the scheme presupposed an assured return of four per cent to the investor with government getting three-fourths of the surplus after paying interest charges and all lines would be the property of the government. As expected, no private investor could be located at this term. The government was persuaded to allow private companies to execute the project but without any guaranteed return on capital. Thus, the plan to connect Nagpur to Kolkata (then Calcutta) via Asansol was finalised in 1884 and, accordingly, land acquisition was completed by 1886 but the work on the project could not be started immediately as the resources had to be transferred to fund the North West Frontier war. Soon it was realised that such a small railway network was not enough. The proposal was sanctioned in 1878 and the Chhattisgarh State Railway, a metre-gauge network covering a distance of 149 miles (232.65 km), was commissioned in 1882. In 1863, Sir Richard Temple, the then Chief Commissioner of Central Provinces (subsequently Madhya Pradesh and now both MP and Chhattisgarh and also parts of Maharashtra), in a report, emphasised the need for constructing a light railway network from Nagpur to Rajnandgaon to facilitate transportation of foodgrains to fight famine in the area.
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He retired as the Chief Operations Manager of South Eastern Railway (formerly Bengal Nagpur Railway).