The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1873-02-10
ago that you draw the dividends on it as pre-

MT. hag!anQ: nave not sdIQ 6fat IL was
all preferred stock. 1 told you that 4,490
shares which bought from the city Is pre-
fcrred stock, and which shall issue rs pre-
ferred stock but did not say that the
whole of that 1855 shares is preferred
stock.
Judge Crump: On how much Of the stock,
then, of the 4,490 shares do you pay this
preferred dividend; this three per cent. divi-
dend? Don't you pay the dividend on the
whole of that?
Mr.. Ragland: certainly will do that, be-
cause have the right to do it.
Judge Crump: And you E
CAN'T REMEMBER
exactly how many shares Of this 1,255 shares
Of stock was preferred?
Mr.. Ragland :, No; but can find out.
Judge Crump: Can you tell me the exact
number OF shares that the city sold you?
Mr.. Raglahd: 1t is 1856, think.
Judge Crump: When you bought that
stock from the city of Petersburg, see by
letter Of yours to the Board of Directors
that you claim that that stock ought to have
been preferred stock from The beginning;
that il ought to have been increased by 30
per cent. as preferred stock in the year 1861.
Mr.. Ragland: don't recollcct, but ] will
tell you what my recollection is about it. My
idea was that if they increased the stock of
the Petersburg Railroad Company, and if
they had two kinds Of stock,
AND THEY wATERED TT,
I have always believed that when you
water stock you must have two kinds of
Water-you must have fresh water and salt
water. believe that everything follows its
kind. If there was q preferred stock when
this increase was made, and a. common
stock, of course the preferred stock should
have followed its kind the same as this COM
mon stock. That is the view / have taken
on this thing; that is the reason why made
that report, and that is the reason received
the money on it.
capital stock Of a company is increased fifty
per cent. it increases the preferred stock
Just as we'll as the common stock?
Mr.. RagIand: Most assuredly.
Judge Crump: Then when you asserted
upon this stock tliree per cent. of uncollccted
DIVIDENDS FOR NEARLY THIRTY YEARs3
Mr.. Ragland: Whatever time is set down
there lin the annual report).
Judge Crump: You say 81 claim that the
"prcferred stock created by the act OF
March %, 1913, shall be distinguished
" from common stock by the issue of GER
",ilicates marked preferred,' and indicating
/" what that preference means. AS long as
"the State or city held this preferred stock
cit was a matter Of no moment; but
"wished to sell my preferred stock as freely
.'as my common stock.
"2d. ! claim that the increase OF fifty per
"cent. made in the years 1S61-'62 embraced
"both kinds of stock, common and preferred,
"and that the increase in each case followed
''its kind, so that the preferred stock now
"amounts to 1852 shares, of which ! hold
81, 400 shares. | want preferred scrip for
"tlmt number Of shares.
I'D. | claim that by q fair and proper
construction OF the act creating that pre-
"fcrrcd stock there shall be paid or every
share of preferred stock out of gross
"receiDts q semi-annual dividend of IA per
"centum on the 1st day of July and the lst
"day of january Of every year forever: and
Gin addition thereto, the full amount Of all
"diyidends declared out of net profits.
"4th. I claim, as owner Of 4,49O shares OF
"prelerred stock, am entitled to S249, 800
ain money. being amount Of dividends now
"due and in arrears upon the stock own.
81 herewith submit to the Board the pro-
/" fcS>ional opinions Of McSsrS. John Lyon
sand William Greene, two lawyers in whom
Z" T have great confidence, and also an ac-
count made out with great care, showing
.stbat l nm entitled to the sum Of S249, 800
{. claimed above, and also Il report OF all
"transfcrs Of stock ever made by the city of
Petersburg, showing that am entitled to
"4,49O shares of preferred stock claimed by
"mc. I am wiling TO submit my claims to
"thc Board or to the stockholders, as the
Board may prefer"
SIr. i.agIand: Read The whole of it.
Judge Crump: That is all
Very respectfully,
"REUBEN RAGL4xSp."
Then comes the opinion, and here comes
the statement referred to i'll your letter show
ing that there is per cent. Of dividends I'm
claimed, due upon that stock from July,
1914. up to 1872, with the exception Of the
wears 1865, 1865, 'G0, and '67. Then you
claimed that you were entitled to per cent.
on this stock which had not heen drawn by
the State or the city for the preceding thirty
years
Mr.. Ragland: You see what I claim in
there.
Judge Crump: Do l understand you TO
claim that the three per cent. that ought 10
have been paid to the city, that you are entl'
tied to that-S9, 900 a year-during the time
the city held this stock?
Mr.. RagIand: Yes, sir.
Judge Crump: And that for the twenty
years that the city Of Petersburg held it and
didn't claim it you arc entitled to three pei
cent. for those years:
Mr.. Racland: Yes, sir.
Judge Crump: The Board of Directors, tc
whom you referred this matter, consisted o
whom?
Mr.. Ragand: Reuben Raglaud, T. T
Brooks, William Il. Mallory, 5. A. Plum
mcr. john L. Stevens, and Benjamin II
Nash.
Judge Crump: Did Benjamin II. Nash ac
cede to this?
Mr.. Ragiand: He did.
Judge Crump: MesSs. Mallory, Plum
mer, and Brooks were interested at thai
| time in the the stock; were they notI
| Mr. Ragland: They were.
Judge Crump: Then, it was referred tc
| stockholders?
Mr.. Ragland: Yes, sir.
Judge Crump: When you got into the
stockholders meeting didn't you and they
own majority of the stock represented ir
that meeting?
Mr. Ragand 1t is hardly worth while tc
ask that. We had nearly 10000 shares.
Judge Crump find, in looking over the
proceedings Of that meeting, that some o.
| these stockholders desired time to examine
The legal aspect Of this question.
Mr.. Rasand: Yes, sir; they did.
Judge Crrmp: Was the claim presented
to the stockholders at the next meeting, OF
was it not presented until the June meet
ing?
Mr. Ragland: They hadn't chance be,
| fore the June meeting.