, 1870-10-29
ADAMS EXPRESS IN TROUBLE.

A "Reminiscences OF the WRr-LoEaa
FFOce~ dttR* Tn tsssnttoss 40 tho Old
Admins Express ComPany-HistoFy
OF the aesv Company,
Frona the Stse Y'o1k Times, OF II.
Legal proceeding have been commenced in
the supreme Court, Special Term, in the form
Of an action brought by Edwin Enhtain, Lewis
E. Dinsmore, +, Sanford, and g. Il. Saoa-
mAkar, TruBtees.nf tbs old Adsns Express
Company, FOR the appointment Of \ re-eiver,
and 10 compel an accounting The plaintiffs,
who are stockholders Of tie old Adams
Express Company, allege that when the war
pAny was formed at the South for the pur-
pose Of carrying on the boriaess Of tho
Adams Extress Company III the So1.h-
cru States, and that it has eince c1rri.d en-
hueipesa euccersfully on the capital OF the
Adaus Express Company, and that its assets
that the defendants nov deny this. =, d a1s
eudeaVcziug. In defiance OF their i'd ,eiary
duty, to secure the profits Of tbs company for
themselves and co-conspsr1tors. bS Pretend
Ing the original sale to have been valid, and
thus deprive the stockholders Of the old
Adams Express Company Of their property iu
and right to the revenues OF the Southern de-
partment Of their company. On tlese
grounds plaintiffs ask to hare the dufaudauts
removed from their trusteeshlp; that they DO
cnioined, pending this action. from interftr.
inf with the prnpertr ard books Of the old
Adams Express Company, and that IecetTer
be app6i:teu ef the II aet property.
Judge Barnard gr1nte.l an order to chow
cause why tbs relief demanded IN the cou1-
plant should not be granted
3 crues- action aEsir.t the defendants aud all
the other stockholders, allegiug in their COM
plant a. follows: Tlat il 1854, Alvin ADAMS.
VIM. B. Dinsmore, and Ed*ard s. Sanford
we.e sppo,nsea trustees Ct tho A1an,s e.
Ing. and Samuel II. shoemaker being appoiut-
ed in his stead: that Board OF Managers
Was appointed. with authority to divide the
pEof3te to such An extent n thee might from
tinne to time determine, the original Interest,"
sLa1es: thai in this vav the association
conducted ,busin:s until April, 1866,
when tie nnluber Of shares WAS Increased
to 100. 600 ehafes. which were e4uslly divided
among those shareholders whose names ap-
pearas1 on the hooks Of tha association on the
8nsh of April. 1866, Subsequent to which time
the 1sreciAtion was known as Adams E1presa
Company, new; about the same time tha
manager. passed unanimous resolution d.
rectinE tho division among the shareholders
except s. 000. 900 reserved t. run the COM
raDy, PROVIDED outstanding certificates Of
shares we're surrendered. and a certificate Of
tntaseat In suEplus earnings accepted in leu
thereof. TN the Snth OF April 1S'J, all OF
the 2,0U0 share we're outstanding. e1-
cept le-s than 1000 owned ~ the as
sociation in common, md all tho owners
surrendered their certificates therefor, aud.
received certificates OF interest in the su1plns
eaKDtngp. After Ru:h division Of surplus
earni, ss the owners were known IA Adams'
Express Company, old. Snch surplus asra-
iner consisted OF debts due from individuals,
from other express companies. stockin yarl-
GUS corporations. real estate, and cash, the
larger portion OF which has been converted
into money, and from time to time divided
2uaoDK the defendants. On presentation of
their certificates, the undivided portion re-
manning in the hands Of tho trustces. They
then 1eTe- to the fact that VARIOUS suits had
been commenced agains. them by the En-
eteins and others. and pr1y for III investiga-
ton OF their acrouuts, and discharge from
further Liability.
On this complaint Judge CArdozo restrained
the Ensteins and all other stockholders from
commencing other tuits, or prosecuting those
commenced, until the final determination OF
the ac.ion hrought by the Trustees. Snbsa-
Guently judge Cardozo granted an order ic-
qutEinE the Trustees to chow cauBe why this
injunction in their favor should not be modi-
fed 80 far as to permit the appointment Of 4
receiver. On this motion, now tho calen-
dar, the argument will take plaza in = few
days. .a
Edward l.. Andrews 1ppeArs for the E1s-
steins; Blatcaford, Seward, and Griswold for
the Trustees.