The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1872-09-03
The Pennsylvania Central and the Ma
tiOnal Railroad Company.
A Threatened Rival to "Tom"
Scott.
Inc Question Of Another Through Line from
Philadelphia to New York.
THE MYSTERIES OF A JERSEY CHARTER.

q,
The argument in the case OF the Pennsylvania
Railroad Company, under the guise OF stockholders
of the National Railway Company, against the No
tional Railway Company was begun in the Supreme
Court in this city to-day. The case IL designated
on the Court dockets Sellers ct al. VS.. The Ma
tional Railway Company, but Ia in reality backed
by the Pennsylvania Railroad. 1t Is an application
to restrain the National Railway Company from
collecting instruments negotiating their bonds and
proceeding generally with the work on the road,
which promises to be
MOST FORMIDABLE RIVAL
to this gigantic monopoly now under the manage
ment Of "Tom" Scott. E. s. Miller appeared for
the plaintiffs, and Samuel Dickson, william Mere.
dith John O. Buttt and Charles Gibbons for the
defendants Mr.. Miller then opened for the plain
tits, giving history of the published by US
when the matter was before the Court last month.
He said that In 1860 the Attleb0ro Railroad Com
pany was Incorporated, and the statute provided
that II work was not begun within three years the
charter should fall. Three years expired and no
work on the road had been begun nor had the CON-
pany been organized After the expiration of the
three years they obtained an act Of Assembly OK.
tending the time for commencing the road to i've
years, then they obtained subsequent charters in
creasing their stock ad 1ibttuna Then they applied
to the Court of Common Pleas of Bucks county
TO CHANGE THEIR NAME
to the National Railroad Company. He would argue
that the Common Pleas OF Bucks county had no
power to make this change. Next they made con-
tract with Mr.. Hamilton, who was to give them
through line to New York by consolidating the
Hamilton Land Company, the Milestone and New
ton Railroad and the Peapack and Plainned
Railroad Company, oil Of New Jersey. This
he did, not by transferring the franchises
OF these companies, but by selling to the defend
ants, Pennsylvania railroad company, sufficient
stock to enable them to control these New Jersey
companies, and on the following day the defendants
voted to increase the stock Of the Little Attleboro
Railroad Company to $4,000 900, and peculiarly all
this stock was owned by the company itself. On
the I'd Of September 1871, they filed under oath ar.
tcles OF association under the name OF the Yardley
to the middle of the River Delaware. This COM
pany consisted entirely Of the gentlemen who
only difference being the par value Of the stock.
Next the Attleboro Company and the Yardeyville
e wp2 70 ana this they
ware They were, however, calculating without
their host for year before his contract with them
HAMILTON HAD SOLD OUT HIS LAND
in New Jersey for $50 900. The charter of this
Hamilton Land Company was for educational, re-
to build connecting railroad upon it. Next they
got In New York charter for trust company in
sse g. a the
yM ssr,I &c. on this they We're to
i to;no, anosner railway further they OBJ
for Mr. Miller in his anxiety for the interests Of
asked him II he Thought the Supreme Coz" Court TOT Of
outside Of the State. Mr. Miller replied ii Tat Re
deemed the real question to be, whether Pennsy.
or lease, or consult fate with any road out of the
State other than connecting road. He said he
could show that these defendants had
and that there was no connection whatever across
the Delaware, and they finally consolidated with
New Jersey companies all of them, consolidated
then joined the stanhope Railroad Company to the
National Railroad Company. After all this in add:
Stock stool It nies s 'ss record of Mortgage Of
$4,000 600 upon which to raise that much
HHns g Ems Nra not % the ~
said bef0rc this last action taken the charters
OF two OF these New Jersey companies expired from
non-use.n He thought he could show that these
defendants were no legal corporation, and In order
to prohibit them from extending the liabilities and
endangering the rest OF his clients he would argue
| for the Injunction they had prayed.
FOR THE DEFENCE.
Mr. Gibbons followed for the defendants giving a
history OF the company its character, &C., from the
beginning The name was changed according to
the Attleboro Company and the y New "V Je r.
| sey corporations In the usual course of bust
ness. In order to give the Pennsylvania Company
! control OF through route to New York, Mr.
Hamilton agreed to transfer to 1t all his New Jersey
! stock in exchange for all the common stock
should demand no dividend on this common stock
until after the holders OF the preferred stock had
received ten per cent Of their subscriptions. After
COMPLETE CONNECTION WITH NEW YORK
the company opened an office in this city and in
vlted subscriptions to the preferred stock, it being
distinctly stated to each subscriber that this
Hamilton contract existed. AS to the plaintiffs
allegation that in the charter OF the StanhOpe Com
pany the clause giving 1t the power to merge the
i've other companies OF New Jersey was surrepti
tiously inserted after the .engrossing, he de-
manufactured by the
ENEMIES OF THE ENTERPRISE
The proofs, they said, were certain letters. Those
letters were extracted nom the New Jersey news
papers-not even the originals could be produced.
by the oath Of the engrossng clerk himself
This was scheme set on foot by men who
Sns who Wsd % this soH sa e.
New Jersey. Why these very bills filed by these
S so Il ~ Rgste Sap ar
were at once sent to parties in New York YhQ were
rOS o THIS Tsn m T nst SaG 50
mitch dreaded Vas ~, small AFFAIR, but was one OF
the largest and most lbefal i,.rnchses ever given
by this commonwealth. II required thy reau 70 Sv
April next; and these plaintiffs sought to embark
the company in this sort OF litigation so as to rem
possible. He would not say the plaintiffs
themselves were actuated by these motives,
but those behind were. He could show that Mr..
Sellers had no interest Whatever involved in this
enterprise; therefore was not entitled to equity.
The principal cause OF action alleged against the
National Railway was that the original charter OF the
Stanhope Railroad Company was changed after 1t
had passed the New Jersey Legislature.
THE FOLLOWING AFFIDAvITS
will efectually disprove this -
STATE qf Ner Jersey, Mercer County, s-Jeremnh H. Lup-
ton Of full age beng duly sworn according to lazy de-
poseth and saith IL was the engrossng clerk OF the
House OF Assembly during its session for the year ISL
ana cngrossed the bills for that session Y remember
during said session of engrossng bill entitled An act
TO Incorporate the Stanhope Railroad Company" have
this day examined II In tho Office of the Of State
and find to be In the handwriting Of myself and my AS
sstants Miss Mary Beagle and Miss Anna beagle ~
now as y then was 70 the best Of my knowledge ana be-
member of said House and chairman OF the committee
On Engrosscd Bills taking his receipt Tor the same IN the
nxadn