As the Federal armies occupied the country, they took charge of the railways, which were then run either under the direction of the War Department or the railroad division of the army. After the war they were returned to the stockholders as soon as "loyal" boards of directors were appointed or the "disloyal" ones made "loyal" by the pardon of the President. Contractors who undertook to reopen the roads in the summer of 1865 were unable to do so because the negroes refused to work. The companies were bankrupt, for all money due them was Confederate currency, and all they had in their possession was Confederate currency. Many debts that had been paid by the roads during the war to the states and counties now had to be paid again. All of the nine roads in the state attempted reorganization, but only three were able to accomplish it, and these then absorbed the others. None, it appears, were abandoned.[683] SEC. 2. THE INTERREGNUM; LAWLESSNESS AND DISORDER Immediately after the surrender of the armies a general demand arose from the people throughout the lower South that the governors convene the state legislatures for the purpose of calling conventions which, by repealing the ordinance of secession and abolishing slavery, could prepare the way for reunion. This, it was thought, was all that the North wanted, and it seemed to be in harmony with Lincoln's plan of restoration. General Richard Taylor, when he surrendered at Meridian, Mississippi, advised the governors of Tennessee, Alabama, and Mississippi to take steps to carry out such measures; and General Canby, to whom Taylor surrendered the department, indorsed the plan, as did also the various general officers of the armies of occupation. But these generals were not in touch with politics at Washington. The Federal government outlawed the existing southern state governments, leaving them with no government at all. Governor Watts and ex-Governors Shorter and Moore were arrested and sent to northern prisons. A number of prominent leaders, among them John Gayle of Selma and ex-Senators Clay and Fitzpatrick, were also arrested. The state government went to pieces. General Canby was instructed by President Johnson to arrest any member of the Alabama legislature who might attempt to hold a meeting of the general assembly. Consequently, from the first of May until the last of the summer the state of Alabama was without any state government;[684] and it was only after several months of service as provisional governor that Parsons was able to reorganize the state administration.