The Hawaiian gazette., 1883-05-16

sell and use the telephone apparatus o. ms
ccnraDy IN Pclyresia, Australia. China ard
India. This company learning tat there WIS
= prospect Ct sStahlishing a telepbcue system
IN Hcnclulu sent hither Samuel Hubbard IS
sheir Ageut. he arrived here OcicbeT III,
lS>0 having byousb. with hin considerable
telephcne apparatus and Sccs Connected With
Mr. Berger. At : meeting Ct he subscribers
70 the contemplated company, held November
go, lSS0, Mr.. Hubbard read Or showed q
prospectus prepared by him IL which the
capi.Sl stuck was put az $4,000 divided into
1000 shares a. the par value Ct $40. The
prospectus reads Stuck &c be disposed IS
follows
10 Oriental Bel rslephons &c. fer Patsnt
rights, Dimensions ( {, v1l1ei a.
d. To ORIENTAL Bel relspAcns C, CASUALLY
To subscribers remainder y SelrvS az -
each, trszastzirS 8 srtiees 20 calls as
required. .-..-. -.., ss.-.--s-- -
r,.sl. ................ I.ooO
1; vii thus Be seen that the Oriental Bell
Telephcue &C. secured majority Of The stock.
rbe subscribers proceeded to apply for =
Charter Of Incorporation which was granted
Dec 50th, lSSo, ard the company Crsanibcd
in due form. ard have u,aie = success Of the
f-ch1uges beypsd all expectations. The stock
IS nov sought for AZ S7e 20 SIS per share. Mr..
Hubbard LEFT the Islands Dec. slss. l>So bat
before be LEFT he had received iatsllse0ce that
The Oriental Bell Tslephonc had disposed Cf
It's properly. Il subsequently, transpired that
It bad sold out to the Oriental TelerhCue Co
(liuitej) Of Lc1dc1, which company vas IN
eurpcrsted under the laws q Gge&. Britain on
! February It'll. ISL. There IS Il evidence
| letter dated AZ the Cfice CT the Oriental Tels-
phone Go. limited, Lender, Nay 18th. ISL,
frum samuel Hubbard late special agent
| Oriental Tslephc1e Co 70 II. y Wsteuann,
President Of the Hawaiian Bell relsplCuc c.
requesting hin 70 transfer the SOS shares
standing in his name as Trustee fer the OCieu-
| al Bell TslephCne Co IS fellows SOS shares
70 Oriental Telephone &c. limited and 1ve
sharcs TO Mr.. Berger according to agreement.
On the 9Th June, ISL, during the absence
abroad Of H. \ Wiiemarn. the President Of
the Hawaiian Bell TelePhcUe &C.. the SEER
ary Of The Company Mr. C. o. Berger was
requested by Mr.. L. P. Adams (tefendanil the
Agent Of the Oriental Telephcuc Co. Ct Lon
don ,o transfer the stock t1 this Company.
And i was accordingly ious 3 few days later
By the Secretary = tie instance Of Mr.. vii
! der the Nice-Pzusiisus and i. i now held BY
Mr.. Adams. The Secretary entered this allct-
meur q stock In the stCck-bucS Of the curpur-
/ alton as Of JInulry 6th. 1851 the date when
| the other shares were allotted 70 the suhscric-
srs. At meeting Of the Company held sept
| lith, ISS3, Il was voted 90 charge the Oriental
Telephone Co with S4.5CO being for $50
| shares a. is par valve CT SO. Against this
lcsiou-Nr- Adams protested formally. This
suit was commenced February Esd, ISIS.
Objections are urged by the Defendants
| counsel that this bill Is Improperly brought BY
the corporation, whereas il should have been
brought BY 1ggrievsd SHAREHOLDERS Bus in
this case ! fraud IS charged Is having been
committed against the corporation, IN VgucuF-
| ing an allotment Of shares to be made ~
illus1ry and fraudulsut representations and
think the corporation vas the proper party 70
bring the bill
The counsel Tor the defendant also urges
thaf as the ucvsr IS rot granted BY the char
ter 20 the corporation Of declaring forfeiture Of
| shares, 80 the Court has 60 jurisdiction % de-
\ clare ! flrfsisgry. This may be good law but
Il does not apply, for The biIi does nos ask for
/ j - forfeiture Of the shares It prays that
they may be delivered up for cancellation, Is
| if they never had been allotted. I consider
| this j very Different matter from the ftrfcIture
Of shares for non payment Of assessments.
now pass 20 the consideration Of the
/ alleged false and illusCry Representatives and
promises CT Mr. Hubbard % the H1n0lulu
| Subscribers which, is IS alleged, Induced them
10 allow his Company 20 take a MAJORITY Ct
/ the paid up stock I think the apparent Gun
/ t-aliictiuus nav BE rscu1ciIed without fuQ1t-
ing Intentional illsehocd 70 any ere. Il seems
| % me that Mr. Hubbard did use language
srCui which it iyhs be inferred that Dc isls-
l phuue Instruments coUit b brought CT Oh
II D.
/ .ll Bell TslspLoue Co. bat L cannot be
/ doubted that BE meant the e Bel Hand Tels-
/ phone q Receiver and the Blake Trans
uittsr,7 because tizss were the instruments
controlled BY this Company and he says that
/ they then had bought up al the patent rights
| OF ether inventors IN The United States That
be bad n mind these instruments g evidenced
/ By the ZANE Il he company to be formed here,
/ AZ appears 81 his prospectus 1. e. The Hl-
/ rEaiiln -' Bell Telephone Co some Of the
Witnesses say that he said these Instruments
/ be nay have said '-Ihese Instruments, mean
/ irz these he had bruG-h. with him L e. The
I Sell Tsiephcue and Blake fransmit.sr and BIS
/ hearers understood the word telephone 70
| &c used N Is generic sense and % include ~
| telephones Of whatever pa-tsrn OF invention
! The consideration be undertook 70 give f0r
/ tins stack n the prospectus vas the PlsCui
| Rights and cuucsssIcus This must mean
/ such as were then held By the Oriental Bell
Telephone Co This Mr.. Hubbard aid vas
/ what he guaranteed There is No pr1of before
ne that this engagement has been broken
Scmc Of the witnesses understood that NJ.
/ Hubbard Ertzrtook 70 pr5tect the HaWailu
| Bell Tsisphcus Co. frum iafriu.smeuts IN this
/ EIuCIom cf the P1feurs Leld b. his COMPANY.
This Il not az al likely. L Is not 70 Be light
y presumed thai a person Would make AZ
| impossible undertaking i slight enquiry
world make Z certain thas unless thsse IL
stTumeuss we're protected By Letters Patent II
this Country, mutations q them, equally en-
cent a. those bearing the oficial stamp of the
company cuuIt BE made abroad and Imported
here or made IN this c0uurrT with complete
IMMUNITY
Every aue y presumed 20 suaU the L1E,
and musE presume that the Hou1I1Lu Sub
scrihers knew that Mr. Hubbard could uos
pruts.s them against infFiagsmeuts IN this
cuuntrT q the tzIsPkoues his Company cor
tr1lIsf-
Il Is ez5isncs that a Few telephones Of tie
Bell Pltsntz we're sold % rssi5euts here be-
FIRE the Company plaintiff was arEznizesf
hut uaue have been E1ld sI1er, except through
the Company plafatiE- Il i pr5Tsn IN svi-
fence Ehas Msssrs " e. Irwin 4 Co have
from the testimony Of Cassidy and Hlbbari
.has they were close mutations e the Bell
TsIsuhune Inff Blake Transulirtsrs 1us d not
bezr the 1f5ciaI stamp and were uos MAMMA
Iared Inter the = Bel Patents" There was
% sEldsncs ofe'sd as The sllrce frsm Eli-h
TIE EiIo TeIePhnne Co received IL fnatri-
nenrs.
L seema strange TIA. tie Hs1oluiu SAB
Fcribers were EIllIag % part with c1urrsI-
Lag proportion Ct the stocE Il the 1an1eu-
plated company for 4 cuusidsrati1u not
evidenced By zayshinrtgt oral and therefore
nc definitely remembered fscizrari1ns, ard 81
1nzf--lei.- pencil mzmnrzlri1rn q pruspectzs-
On the 5thsr hand The Company pl1iatfss does
aos seem 70 have voted, silce IA inc1rpoyz-
tdu- the SICK 70 tie Company represented
b " Hlhbard-
Vi evidence n he way q al lasizu7-eus o.
sgherEiae Il saovl T. have heea presented u
he cam5any PIlizrif q show ihsE he oriental /
Bel Tsleph1ne ca had soIf sGs "a property !
AMI riZhra 70 sr lad becDue merged q tie l
Oriental TsIephone Ca (iini1ssik 4 c5DT Of |
he chatter q lie later COMPANY exhibited /
n Co1r1 shsvs Thar & vas E1E inc5rpoFztsi /
NH February IA, Issl- B1s fhs stocE wa 1
1lIacs,s and the certificates Ihersfor have hesu 1
passed . tiis eunpaug AID are uog kelt b /
"a Arznt Mr.. Adama. TEls transfer wa 4
made . The Lo1don Ca. zpparzu-iy % he 4
fss.s- ,f.,4. rsr.rr5s,f "a f1rs,f III NJ Ts@I