I assume this is the same Bryan Whipple that started the Eureka Southern. Didn't he have some kind of deal with GATX to secure the loan with the track material? After ES went bankrupt, GATX found that they weren't allowed to salvage anyhting. Not sure if they ever got any money back.

Here is the interesting thing about the Yreka Western:

[www.stb.dot.gov]

It looks like there are actually three companies involved. The abandoned Yreka Western was bought from the previous owners by the non-profit Rocky Mining Museum. The STB issued authority to the Colorado Central to oeprate it between MP 0.0 and MP 8.9 . There does not appear to be any STB filing for RMM to buy the Yreka Western, but there probably wouldn't be since it was an adandoned railroad. But, the Colorado Central does have STB common carrier authority and responsibility. If YW cancels or modifies its contract with CC to allow salvage at the end of the YW line isn't this in effect an abandonment of CC's service? Court Hammond and associates are listed as the owners of the RMMM, YW and CC.

The argument that the abandonment still applies doesn't fly either. Court & Co. are moving their circus (under two more company names) to the Wallowa-Union in Oregon. This line had been abandoned by the IN&P, who did not salvage it for several years. The counties were able to somehow force a sale on the basis that the actual salvage had not been done.

When the interpretations of rules and regualtions become "creative", then it is usually time to be a little wary.