National Republican., 1883-02-14
WESTERN UNION SUITS.
An Injunction Granted Against the Pro-
posed Lcnso OF the Mutual Union Lines.

An Injunction Granted Against the Pros
posed Lcnse OF the Mutual Union Lines.
ALBANY. n. V, Feb. 13.--The senate finance
committee have received q communication
from the attorney general in which he notifies
them that since the communication of the
attorney general and comptroller with refer
cnce to the taxes of the Western Union Tele-
graph company, the supreme court has al
lowed the company TO intcrposc defense in
the action referred to in the communication.
The occasion, therefore, for speedy action has
passed, although the ultimate situation re-
mains the same in case the people are success
full. The attorney general says that if the
state collects the amount due from the COM
pany by judgment and execution the courts
will probably afford the company immunity
from attack by the people for acts on increase
of capital stock prioc to the year 1888
New York, Feb. 13.--An action has been
commenced in the superior court by Josiah G..
Ric1, stoclholdor in the Western Union
Telegraph company, TO restrain the consum-
nation of the lease of the Mutual Union COM
pany by the former A bond was filed this
morning in the case by the plaintiff
NEW York. Feb. 49, - The injunction
granted by Judge Freedman in the superior
court to-day at the suit Of Josiah G. Riei, re-
SlIdlUlng tnO Western lulOu ana MUTUAL
Union Telegraph companies from carrying
into effect the proposed lease of the lines and
property of tho Mutual Union is accompanied
by an order to show cause, rcturnablc ON the
twcnty-third instant, why tho injunction
should not be made permanent. Mr.. Ricff Is
the owner of 100 Western Union shares, and
claims that the purchase of tho Atlantic and
Pacih aud American Union companies was
illegal, its object being the destruction of all
lines. Tho Mutual Unions at
tempted increase ofstocli 10 $40 900 O0O he says,
is fraud on the stockholders and u device
to make it appear that the capital stock was
fully paid in. The object of the proposed
lease Is to give the Western Union entire con-
troll of the Mutual Union, the price paid being
far above the actual value of the lease. Mr.
Ricir further asserts that the Western Union
has all the lines 1t needs and does not require
the Mutual Union wires. He cites the action
brought by the attorney general of Pennsyl-
vania prohibiting one company from acquir
ing the lines of competing company, the
Offending Company's lines lin this case the
Western Union) to he forfeited, and says that
by this lease his interests as n stakeholder
would be imperiled. He seeks also to cnjoin
the company from taking steps in the future
to acquire an interest or control in the Mutual
Union, and prohibit the payment of interest
or dividends upon the bonds or stock of that
company,
ALBANY, n. Y, Feb. 13.-The senate finance
committee to-day indefinitely postponed the
resolution instructing the attorney general to
sue the Western Union Telegraph company
for taxes on capital stock. This action was
taken after consideration of letter from ex-
Attorney General Francis c, Barlow, in which
he asserted that by such suit the stock alleged
to be Oyerissued would be localized,