The weekly clarion. [volume] (Jackson, Miss.) 1863-1882, 1870-05-12
EIGHTH DIsTRIcT COURT.
II. S. AIcComb, ct al.

ii. D 01cC0mps CT al.
VS..
G. T. Beauregard. ct al.
The said defendants, by their attorneys,
come, and for exception and answer TO the
petition of the plaintiff, say that they are
legally in possession of the offices OF Dlrec-
tors of the New Orleans. jackson and Great
Northern Railroad Company, by an cleo
ton held according to law on the third
Monday of April, 1869, at the Office of the
company, after legal notice, and that they
have so held from that date to the present
time; and that by the charter OF said COM
pany they are respectively entitled TO hold
the said Office until their successors arc val
idly elected; that the defendant, Beaure-
gard, is the President of the board, and that
the said plaintiffs, if they dispute their title
| must do so by the appropriate writs OF quo
! warranto, or after legal proceeding for that
purpose; and that the said parties cannot
| try their right or claim to this office in the
manner adopted in the said petition; and for
| this cause they except to the same and pray
| for dismissal of the petition with costs.
2. These defendants except TO the writ Of
| Injunction because the said plaintiffs, until
their title be established, lave no right OF
| claim to the control of the funds or proper
| ty Of the said corporation, or restrain the
| board of directors in the management OF
control of the same.
3. That the I'M JUNCTION has been IMPROVE
IDENTIFY granted upon the facts stated.
AdherIng to these exceptions, and not
waving or impairing the same, and claim
ing judgment thereon, they answer, deny
ing all and singular the allegations of the
petition, and pray for trial by jury upon
the same.
And for special answer to the allegations
Of the petition, they aver that the said par
ties were not legally elected to the Office of
directors Of, nor had the said parties any
power TO elect a President of any board OF
directors, for the New Orleans. Jackson and
Great Northern Railroad Company. because
they say that by the charter of the said cor
poration the third Monday of April, 1870,
being the 18th of the month, was the day
for electing directors for the year next en-
suing; that all the preparations therefor
were made according to the charter, under
the direction of the president and directors,
by advertisements, appointment of commits
sioners according to the same, land that
majority of the shareholders appeared to
vote on the day appointed; but that the
election was prevented by an Injunction OBJ
tain from this court, by the said McComb,
against the New Orleans, Jackson and Great
Northern Railroad Company, its officers and
agents, whereby they were njoined and re-
strained from proceeding with the election
until the further order of the court, as will
appear from the said writ, and the suit in
which it was Issued remaining IN this court,
and to which reference is craved as part
of this answer.
That thereupon and in obedience thereto
the election VAS not held and the meeting
of the stockholders dismissed, to abide the
result of the said cause in the said court.
These defendants further answer that the
said suit remained in said court, and the in
junction still continued unrevoked until
Monday, the 18th April, 1870; that these de-
PENDANTS were served with notices which
showed that the said McComb had gone into
this court some time on that day and volun-
tarily dismissed his suit.
The defendants aver that it was dismissed
in the afternoon # that day, and that no
tees did not TeacL them until TWENTY-FIVE
minutes after p. NJ. That before this time
the said McComb, with an apparently or
ganized band, came to the Office of the COM
pany, then in charge of the President and
Directors, and announced his intention to
hold an election for directors of the said
company for the ensuing year,and proceeded
to have commissioners to receive votes,
which had been printed and prepared, and
TO place them In hat, and to count them.
1t has always been the habit of the COM
PAW to administer an oath to the commits
sioners; but this was not done in this case,
nor was there any examination of the stock
books to ascertain the capacity of the share
holders. The votes received were those of
McComb and the persons that came with
him. The whole transaction was begun and
completed in the course of about an hour
in the afternoon. There had been no notice
to the President and Directors of what was
proposed to be done. The President and
a portion of the Directors were present pro-
testing against the illegality of these pro-
ceedings and no action of the President and
Directors had been taken or could have been
taken by them under the circumstances
aforesaid for holding any election. No APP
pointment of commissioners had been made
by them for an election that day. The usual
period for opening the polls, 8 A. NJ, at such
elections, had elapsed several hours before
the intrusion of these parties. No public
notice was or could have been given OF an
e.ection that day, and large portion of the
stockholders were in absolute Ignorance of
the marauding expedition of the said Nc
Comb. He assumed to be the corporation
and board of directors. He brought his
commissioners, of his own appointment. and
he proposed to hold an election for his own
hehoof The defendants admit that he holds
in his own name one hundred shares. and
there were other votes. as they are informed
at this mock election, of about three or four
thousand shares. The vote, as they learn.
was the stock that had been subscribedsfor
by the State of Louisiana and the city of
New Orleans, and which had not been trans
ferred to him on the books of the company.
The title of MeComb to the stock of the
State has been under examination in this
court for many days. Grave issues, affect
ing the public honor and plighted faith of
the State of Louisiana. the obligation of
contracts, and the power of the State to
impair or affect them, have been under the |
of the court, as well as the
hs
done. BY a rare specimen of inspiration
McC0mb has determined that this court |
would at some time or another fulfill all of |
his hopes and expectations, and on that I
second sight he voted. as the defendants are |
informed, 35,360 shares of full paid State
stock, for himself and his co-workers and /
for number of persons who held his pro-
ceeding in absolute and thorough contempt.
The sale OF the shares of the city present.
ed a similar question of plighted faith, pub
lie honor. ana the inviolabi1ity of contracts.
and in addition to these. the integrity of the
of SALE which the authorities of
he city impeached in petition filed in this
court, and in which an Injunction against
he New Orleans. Jackson and Great North
I'm Railroad Company was awarded forbid
ling the recognition OF the. sale, and Sc
frustrating the stock itself. In the course
# the trial, 'i5 appeared that Mount, the
treasurer, became acquainted with the
ADOPTION of the ordinance of the Sele about
A. NJ Saturday, April ?, 1870. That he
anne to his Office about 8 A. NJ, of that day. |
md left it in less than an hour for his home
wo or three miles distant and remained
here till the period of / p. NJ the hour he
lad appointed for receiving bids; that be
vas counseled to do this by Harry I. HAYS,
m attorney for MeComb, lest injunctions
night be served upon him; that his assistant
conway. remained in charge of the office: L
M IN relation TO the time for receiving
ids gave prevaricating answers to an in
uiring person, who was interested in hay-
ng exact information, misleading and de-
Giving him: that about l p. NJ, Harry T.
lays and L. III. Moore, another agent for
TcComb. were at the house of the Treasurer
rging him to immediate action on the
lbject; and about P. NJ conveyed him to
ne Crescent City Bank to award the con-
act; that McComb met them there. and
nat they and the President of the bank.
sttled the affair. 1t further appears that
IcComb says he put into his bid, that the
resent City Bank was TO be the place of
endezvous, but no such thing is to be found
the paper; that there was no notice of the
lie 20 any party save by letter to the Pres
lent OF the New Orleans, jackson and
reat Northern Railroad Companv. RECEIVED