The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-07-24
THE ERIE RAILROAD TROUBLE.

An Important Decision by tho Attorney
Gonoral-The Dissolution OF the Eric
Company Threatened-The Grounds OF
Complntnt-Serious Questions OF Cor
pOrate Power To BE Determined.
John @. Angel, having commenced suit against
che Erie Railway Company, his attorneys, Barrett,
Redfeld Hill, submitted the afrdavits and pa
pers in the case to the inspection OF the Attorney
General, with request that he should bring an
action for the dissolution of the company In the
name OF the people Of the State. This the At.
torney General declined to do upon parte state
ments and suggested that notice OF the applica-
don should be given to the Erie Company in order
to give the company full Oppo ltunity to be heard.
Thw was done on the sth inst. The company ap-
peared before the Attorney General by Its coun-
sci, ex-Judge Shipman and William NJ Evarts.
Mr. John 8. Hill representing MI. Angel and ex-
Judge Fullerton representing the Erie Protective
Committee OF London, addressed the Attorney
General At length, and many afidavits were read
The Attorney General has now decided that suf-
nclent facts are proved oy the papers presented by
MI Angel TO justify the interference OF the AttOr
ney General and he will forthwith commence suit
to dissolve the Erie Company; The grounds lor
company, first, in purchasing certain coal lands
with view Of mining coal second, in purchasing
Erie Railroad Company; third in leasing the At
lantlo and Great Western Railway, and last, in
the declaration OF dividends.
The Attorney General Is careful to say that he
does not lmpute bad latin to the directors OF the
company IN committing the excess OF power com.
planned OF. The following is the decision =
In the Matter Of the Complain. Of John c. Angel vs.
ns as 70 I cG to hrn sk s
acton against the Erie Railway COMPANY IVA" aud its direct
them se 10 a for Or s
ooS G e BY 1f s
sS and crdos o hs cnsS sns- s d
until
so%'sss' ara rsy aa nag
sls.nsnt entirely iaisS sa.s.n ass.ion: q
ssn sSS 'sf
81 s 81 we f
%"y me any 81 sA ey
she trust imposed upon them as such drectors: And
.Isamsas tSs council Tor The eSnpsny ihas I.s
Company POSSESSES ancer Charter and the laws the
+ 50 be yO4 he es
n s.w a s G% hs Erie osd q ne
upon the afidsvts the charge Of the complainant that
s made q, the is
thoTity under The charter elsewhere satnorzinT the
sompsny Tor it The counsel for the Company in the
ss ss d the Sy t. g. n S
provides method By Which railroad Pan hoa
e &c the s "
Railway Company subject the prohibition in the
pany 70 is funds the purchase Of
ys na g e Of
powers expressly granted necessary to the exercise
regard to the purchase of coal lands or stock
IN. s ss % s S 40
R.ny his argument claimed to find the power ,S IN the
franchise; and originally granted to ne bud
Eric hallway has derived any such authority
s% s an Of e
"a az BUSINESS OF
should mine !, its own coal ~ the com,orv to e.s. Tho
Great western " the Atornsy General not
Ssps 'rSs eGSsI
CT so@pan
nos SSnd0' in this s ' act it's rue
Sew 4oFn h .en ao ao o Appsa sa
made under ina, act wa, AS but i is
81 C sse S. Ts
mos. i OUTSIDE S he state :u,,as al ssssass
may ana railway n another STATE raises s
s s
ne on Of I'm me Ss s OF %
si the ATTORNEY General is not satisfied lie
'Sa 'nS sISSs
only Question nc not be sp to nsn
Suggested wherein Il is claimed that !ne company have
essary to be examined now, as questions already ex
amined sufficient TO authorize the commencement
Of action. They may therefore, be properly tor the
courts to pass upon.
without making an elaborate argument but simply
giving impression the Attorney Generals Of opinion
that the ed acts of the company raise
rious questions OF corporate power which should be de-
termined by the courts.
As the directors have acted in good faith manage
rnent of business OF the corporation safely be
LEFT with them pending the litigation.
The Attorney General IN asserting 70 the commence
ceedngs shall be conducted to occasion little In
convenience TO the business OF the possible
DANIEL PRATT, Attorney General.