Knoxville & Augusta Railway The Knoxville & Augusta was incorporated in Tennessee in 1881 for the purpose of building a railroad from Knoxville to the North Carolina state line. It was consolidated the same year with the Rabun Gap Short-Line Railway Company and the Clayton Railroad Company to form the Rabun Gap Railway Company.   Georgia's Railroad History & Heritage. Copyright, Steve Storey. Railroad History | The Depot List | Locomotives On Display | Odds & Ends | Sources & References | Home