The New York herald., 1877-09-14
THE TELEGRAPH POOL.

sTocKHoLDER BRINGS suIr TO RESTRAIN TIM
COMPANIES FROM CARRYING OUT THEIR AR.
RANGEMENr.
Action has been commenced In the supreme Court,
Kings county by ono OF tho stockholders oi tho Al.
lantic Pacific Telegraph Company, which latter is
now under arrangement 10 pool the earnings Of said
company with tho Western Union Telegraph Company
ior twenty years. Tho plaintiff. Jesse Johnscn, who
Is ,ne owner oil twenty shares Of tho stock ot the At
lantc and Pacific Company sues 10 restrain the two
companies from carrying into effect ahe proposed pool
arrangement. Tho complaint sets forth that tho two
companies arc competing lines, and that The action
brought In the interest OF certain OF tho sockoldsrs
that In August last the trustees o tho Atancand Pacbo
company made an arrangement with tho Western
Union to pool the earnings of the two companies fos
twenty years, tho Western Union Company 70 receive
seven -cishihs ana the Atlantic aud Pacific Company
one eighth of tho earnings but arrangements have
been made dividing tho expenses OF tho business,
and that the Western Union was to have tho ontire
control oil the operations Of tho two companies, the
latter named company TO take 10 900 shares Of ths
Atlantic and Pacific stock at $50 per share
aud pay for It In the stock of tho West.
crn Union Company. Tho planth also alleges
that said CONTRACT as to dividing tho earnings Of
sad companies WAS illegal and contrary to pubic pol
pan,cs ana lhat this arrangement carried in
order that the Western Union Telegraph Company, by
controlling botn companies, might so manage that th0
Atlantic Pacific should bear the creator portion of
the expenses of making such Joint earnings and 70.
lcvc the Western Union thcreIrom, and In order that
the officers of the Atlantic and Pacific might proht
largely thereby. That tho transaction made as aforo-
said worry injurious 10 the Atlantic anu racine hud
greatly deprecated tho value OF us property
That the officers Of the Atlantic and Pacic ARC about
TO further proceed In this transaction by signing
written agreement as TO dividing the earnings OF the
two com panies aud mako this agreement IN every
respect tho Western Union shall desire, being nu
enced by belief that they have given the western
Union control OF their company ana oil the election
OF their own IN oIlcc aud by tho furthol
TACT that their interests and property In Atlantic and
Pacific has converted into an interest aud prop
Atlantic and Pacific a number sufficient to and who
do tho Atlantic and Pactc are tho persons who
have done aforesaid and that they viii not COM
menco any suits 10 prevent such acts That the az
rangements and agrcem here set forth are fraud
ulent aud illegal conspiracy Dstwccn the two PARTIES
whereby the officers OF the Atlantic and Pacific, wrong
fully connvug with tho officers OF the western Union,
sacrificed the rights or the sockhouors other tnAh tne
Western Union or its treasurer
Wherefore tho plentin dcmands Judgment ana &c.
cree OF tho Court restraining the Aunntc ana raotno
ana It's officers and agents from proceeding any iurhor
with or recognizlng auy manner, or asserting TO
inc contract as TO dividing tho earnings OF tho two
comnan,es. and adudgins tho agreement so 70 do
void; also restraining tho officers ana agents nom
carving OUT contract or IN any manner proceeding
10 sign any papers yet unsgnei giving evidcoco OF
su,h nrr, euient; and also restraining and cnjoinng
the Wcsorn U Union Company It's oficcrs aud agents,
md narttcuiary tho Treasurer OF the Atantc and Pa
clao Compauy IRON voting on any OF tho stock of sho
lattor company which hau ueeh Pu'enaso" " snw
Western Union Company. .
Tho Defendants havo twonty days 70 snswcr'ths
CompalnI