The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1876-04-25
The Pacific Mail Putting On It's
Coat of Mail.
ReeklessneS in Taking Out Life Insurance
Policies.
7 CONVENTIONS and LAWYERS FEES.
Peter B. Sweeny Next to the
Front.

Tho Erie Railway Company once 30 prolific OF litiga-
ton in the courts. has retired into the back ground
and the Pacific Mall Company appears TO have come TO
the front take its place. In connection with the
latter company two motions were set down for argu-
ment yeserday-one before Judge Barrett In Supreme
Court Chambers. and the other before Judge speir,
holding Special Term OF the Superior Court In tho
first motion, which was application behalf Of
Rufus Hatch to allow him inspect the books OF the
company, the counsel not ready to proceed with
their argument, and the accordingly post
poned until to morrow. There ing prompti-
tude, however, arguing the second motion, rather
the order to show why the temporary inunction
granted few days since, on application OF Rufus
HATCH TO restrain Sidney Dillon and Jay Gould from
acting trustees or the Pacific Mail, should not be
made permanent
The hearing opened by the submission by ex-Judge
Fullerton, counsel for the defendants OF adavits do
nying all the principal allegations contained IN the
complaint. The reading OF these andavs being con-
cludcd, Mr. Scwcll behalf of Mr.. Hatch opened the
argument for the permanency OF the injunction. In
reference to the statement made by Mr. Dillon in his
affidavit setting forth he refused Mr. Hatch
TO the books OF the company he said he desired
reference on that point, because ne saw NJ pion's
As to the rest OF the allegations he insisted that they
not iarly and squarey met but denied in groups
II not denied that the debts Of tho company were
only l600 900, and that the defendants have issued
million mortgage and that they got into col
lison with the Panama Railroad Company SO that the
latter got up half dozen suits against the Pacific Mail
aud have attached OF their steamers in San Fran
CISCO. claim ng that the company them $500 000
Moreover, the Pacific Mail had sued tho Union Pacific,
Df winch Mr. Dillon President and whose interest II
Is to pay into the hands OF the Union Pacinc. Tho
defendants were directors of the Union Pacific and
trustees OF the Pacific Mail cannot God
nnd Mamnion. The defendants be directors Of
the Union Pacific aud trustees OF the Pacific Mail, and
honest, or they will ruin both. He next argued that
The act OF 1870 on which defendants relied as exempt
ing them IRON the jurisdiction OF the Superior Court
unconstitutional.
Judge Fullerton insisted in reply that the temporary
Injunction be vacated as having been improperly
granted being TO restrain the acts OF corporation.
The aiidavi.s of defendants sweepingy deny know
edge the palntiis' alleged items information Mr..
Dillon denies ever having refused plaintiff access to the
books or that the stock OF the company was deprc-
GATED by bad management, that the taxes loft
purposcy unpaid, that Gould intended allow the
Acapulco to DO seized by tho Marshal that defendants
might apply TO dissolve the company On the
trary, Mr. Gould ntcricred To prevent the seizure
which known Mr. Hatch and tho alcga-
Moreover, the defendants put their hands IN their
pockets and paid 500 600 cash protect the company
Mr. Sewell-Thcy had good security.
Judge fuerton--You have 10 doubt but they were
pnttcd To security
Mr. Scwcll--Yes.
Judge Fullerton (severely)-Then your remark was
Without foundation II this charge, SO hippantiy made
In MIR. Hatch's affidavit was true, they never had
better opportunity Tor dssoiving the company
In conclusion Judge Fullerton mentioned that within
The last eight hours the defendants signed bonds
IN $3.50 900 tor the benefit Of the company
Mr.. Sewe replied that II not u motion against
corporation but two trustees
Judge Sper, ut the close Of the argument, took the
papers, rcservrg hts decision; tho temporary ijunc
sion meantime operating as stay against the dcen
dants