The New York herald., 1876-12-16
THE COURTS.
The Emma Silver Mine COmpany'S
Little Game.
sCHENcK WAITING FOR HISsHAND.
Maintenance Of the Suit the Sole
Question at Issue.
IMPORTANT TO NEWSPAPER EMPLOYEES.

The eslssrstsd suit of the Emma Silver Nine CON-
pany Of London uimilcd) against Trsanor W. Park,
H. W. Baxter and William N. Stewart was continued
yesterday In the United States Circuit Court, before
Judge Wallace Mr. W. e. Stoughton and William d.
+. Foulkes barrstcr from London, appeared as
counsel for tho plaintiffs, and Messrs William A.
Beach, r. Phelps and s. B. Chittenden appeared for
the defendants General scheDck, late Minister from
the United States TO London and Mr. Park Of tho
defendants, were in court during the proceedings
These gentlemen win figure prominently as witnesses
In the caso should tho important question, which is
yreliminary tho subject Of forensic argument TO
ihe right Of tho plaintiffs, the company, to maintain
Tho action at Issue, be maintained by the Court
Counsel for the defendants contend, and with
great force and lengthy discussions seek !
MAINTAIN tho ground they have taken TO
defeat their opponents at the very outset
OF the contest; that the suit ought to havo been
brought by the Shareholders and consequently could
net be maintained py the company. Should tho Court
rule tho point well taken will bc fatal to the whole
In that event, according to the English law, the
original shareholders only rcvive the suit and
Of tho ''originals interested In tho scheme
when came TO SO untimcly end there would be
plaintiffs legally entsed to sue. With this great
object to attain, In view Of counsel for the defendants
and tho neccssny TO deioat them their chosen
y,
Tor this severe preliminary diminishing ON both sides
becomes apparent
ing OF shs deposition Of william Henry Tooke,
tary Of The company, taken by commission in London
which read by Mr Foulkes Mr. Tooke testified
that he became secretary OF the company about tho
9th 9th OF November, 1871, upon the representa-
tions OF Mr. George Bompas his cousin, ana Of the
tered on one these days or the day becre he knew
nothing whatever Of It's affairs but became secretary
the representa- Of Mr.. Bompas, his COUSIN be-
m
followed to tho presence of witness at certain meet
ngs ana with regard 70 hs knowledge OF the company
bat nothing OF interest TO the ELECTED.
Tho testimony OF Mr.. John O. Stanley, taken In
london before commission, then taken up by
Mr. Foulkes and road Witness was one OF the origi-
nal directors oil the company In November, 1871, he
had something to do with the company Colonel Sturt
jccscd.
Mr.. Stoughtou said In reply to Mr. Bcach's objec-
ton that tue plaintiffs had right to Introduce testi
mony showing how the company was got up
Mr.. Beach-Grant was tho promoter Of the enter
prise and paid $500 carry out the plan and
English usage Mr. Beach further objected to the tes-
tmony in regard to tho doings and declarations OF
Grant and more especially as to tho acts and doings
Mr. stoughton remarked that hc had word TO say
With regard TO this mode Of promoting enterprises Of
this cha. cter In England be would quote case from
volume IL Of Chaunccys Appeals to show that this
Infamous practice not tolerated In England in
London ITSELF Judge Wallace said II he satisfied
that the directors were procured 10 act by fraud be
be competent The difficulty, he said, that tho
complaint was brought, not BY ssockhodsr, but by
MI. S.sugh.on thought the Court would have no
difficulty In maintaining the action II II shown
ssat the money was paS over on fass
Of tho stockholders, although they had an interest
in H.
Mr.. Phelps Of counsel for the defence. then arose
and made elaborate argument the competency OF
the evidence He said the question is II upon this
dcclarasion It IL admissible for plaintiff to prove
that Grant brought bear upon directors any
proper influence He would repeat tho statement OF Mr.
Beach that the method adopted TO bring this
adopted in London Is NO matter how courts of jus
tice may animadvert upon t. Can the defendants be
held responsible for thisf Irrespective OF the ques-
tion II the company maintain the charges, they
have evidence connecting Grants transactions with
Park. The legal scope OF tho case 10 hsnone OF tho
rhe Ccurt-Assuming that Park was fraudulent in
ton Dc maintained sealns. him
Mr.. Phclps-If the plaintiffs nnd causs Of scsion
by crossing the Atlantic they nnd causo Of action
OF this sort is not an injury 70 corporation nut TO
the shareholders. The English courts havo d cided
that remedy extends only TO the original subscribers
There is not person In these sad remains OF corpo.
ration who was an original shareholder.
Mr. Stoughton In reply, said that the PLANTING
entitled show tho successive steps to the complete
fraud. There was, first, payment OF money ON the
from The company tho delivery OF the
property-the money TO be handed over 10
these men, the money must first DO obtained
by OF subscription, and the subscrip
tions obtained by representations. Part OF tho
scheme Of the representations was to organize the
scribe The plaintiffs would show that the directors
relied Park that prospectus arranged by him
scheme, and Mr. stoushton submitted that tho plain
ins were entitled show the entire scheme. Al the
of the argument at this point the Court adjourned
70 Monday next
NEWSPAPER MEN ENCOURAGED.
The newspaper called the Republic, short lived
hough was. started, supposed, under favor
blc auspices Its tenure Of lifc however proved OF
mort duration. Following it's demisc suits in
ntuod by tho city editor. assistant city editor and
vnrious reporters against tho stockholders to ro-
cover the salaries alleged to bo duo them timc
Tho paper suspended It's publication. These suits
wero prosecuted In tho First judicial Court
and judgments rendered against tho deicn-
dants for $S77 O3 An appeal taken
from these judgments the Supreme Court, and upon
such appeal tho case came recently to trial before
Judge Van Worst holding Supreme Court, Special
Term. demurrer was interposed to the complaint,
tho purvicw OF the statute OF lS4S and could be
cased under such statute as laborcrs servants ap
prentices, the suit being against tho stockholders
Jointly and severally Judge Van Worst gave his do
eision In the yesterday in which nc overrules tho
demurrer, holding that editors, assistant editors ana
reporters como under the category OF Iaborcrs and
servants. Tho following embodes the moro Important
points OF his decision -
The services OF q reporter for newspaper are CON-
monty well understood, as Is the meaning OF tho word
His duties reporting proceedings OF courts. public
meetings. legislative assemblies and oner services Of
kindred character often aborious IN tho extreme,
Is they are responsible His duties do terminate
with tn day, but often extend into the night Also Hc
needs employ not only his hands constantly, but
his eyes, hts and his brain ALSO The value OF his
services hts employer depends upon his ddcty hts
work and the accuracy OF his reports. within the mean
Ing Of tho scctiou in question ho Is truly both
aborer for and servant to his employer, and h
Titled TO Of tho stockh odcrs Tor hts in
reporting for the newspaper the success oil which de-
pends greatly upon his labcrs. An editor,
and rho~o