The morning news. [volume] (Savannah, Ga.) 1887-1900, 1890-01-05
AN INJUNCTION ON HAND.
a PORT ROYAL AND AUGUSTA
STOCKHOLDERS MAKES A STIR.

An Accounting Of the Company's OPP
erations, and 5000 Defsulted Bonds
and Interest Wanted by Leo sheyer
of New York, q Stockholder in the
Road A Temporary Injunction
Granted by Judge speer, and the
Case to be Heard Jan 2o-Gen. al
exauder and Pat Calhoun served
With the Papers Yesterday.
One of the most voluminous bills in equity
ever fled in the southern courts has
been fled in the Office of Clerk King
of the United States circuit court in this
city. accompanied by the order of Judge
Emory Speer to show cause, etc.
The complainant is Leo Speyer Of New
York, and the suit is against the Fort
Royal and Augusta Railroad Company,
with the folio wing codefendants: The Cen
trail Railroad and Banking Company OF
Georgia in its corporate right and as the
lessee, the Georgia Railroad and Banking
Company, the Georgia Railroad Company,
the Augusta and Knoxville, the Port Royal
and Western Carolina, the Richmond and
West Point Terminal Railway and Ware
house Company, and tbs Union Trust Gem
pany Of New York.
The suit is for an accounting Of the oper-
ations of the Port Royal and Augusta rail
way, for the recovery OF S5,6l3 defanlted
bonds Of the issue Of July 10, 1873, second
series, and interest from the maturity OF
each coupon.
The order to show cause on Monday, Jan.
20. why an injunction should not be issued
.ss,sn och N
the bill, with the temporary injunction and
restraining order granted by Judge Speer,
was served upon Gen. Alexander last night,
and also upon Patrick Calhoun, the Cen
trail general counsel
EFFECT OF THE ORDER.
The order temporarily enjoins and re-
strains the Port Royal and Augusta Rail
way Company from making, and the Cen
trial Railroad and Banking Company from
receiving payment of interest on the bonds
secured by, or into the sinking fund pro-
vided for under the mortgage datedMay l,
1882;
Each and all the defendants from doing
any act to change the existing status OF the
Port Royal and Augusta. Railroad Com
pany both as TO property and management
and from consummating or carrying into
effect any contract, engagement or agree
ment whereby the stocks and bonds Of the
Port Royal and Augusta Railroad Com
pany standing, owned or registered in the
name of the Central Railroad and Banking
Company, the Georgia Railroad and Bank
ing Company, the Georgia Railroad Com
pany, or either of them, or any agent Of
theirs, from transferring, assigning, pledg-
ing, selling or delivering to any person or
persons;
The Central Railroad and Banking Com
psny from making any further purchase of
stocks or bonds of the Port Royal and Au-
gusta Railroad Company;
THE oENTRAL's HANDS OFF,
The Central Railroad and Banking Com
pany and the Georgia Railroad and Bank
ing Company, and the Georgia Railroad
Company from attempting to exercise the
power Of voting at any future meeting Of
stockholders and bondholders of the
Port Royal and Augusta Railroad Com
papy Of the stocks and bonds set out in the
bill, and voted at the annual meeting of
stockholders Of the Port Royal and Au-
gUsta Railroad Company Nov. 10, 1899, by
the Central Railroad and Banking Com
pany, and John w. Green, president of the
Georgia Railroad Company, until the
legality of ownership and power to vote
the same is finally adjudged ana deter
mined by the court.
THE BIGGEST DOCUMENT ON RECORD.
The suit was instituted by Frank H.
Miller, ESQ.,. of The Augusta bar, as counsel
for complainant. 1t would take every
column of the. MORNING NEWS to reproduce
the declaration and its exhibits The
declaration alone covers about sixty closely
typewriter legal cap pages, and the ex-
hibits printed and written are even more
voluminous
The various deals, consultations, leases,
and general management with which the
Port Royal and Augusta Railroad Com
pany has been directly or indirectly con-
nected for the past eleven years are set
out at length, and the allegations
are that the interests Of the Port Royal and
Augusta Railroad Company have suffered
by the consolidation, and the minority
bondholders of their rights, the complainant
alleging that the road has been run in the
interest Of the Central, the Port Royal and
Augusta having been charged with what
ought not to have been charged to it, while
1t was deprived OF traffic which belonged to
It, so as to throw the benefits to the Central
and the Georgia Railroad companies.
THE NOVEMBER ELECTION.
The papers disclose that there was a great
deal of friction at the election of directors
of the Port Royal and Augusta Railroad
Company ct Augusta on Nov. 10, and the
action at the meeting is set out in the
declaration, and the court Is asked to set
the election aside
1t appears that proxy of the Georgia
Railroad Company's bondholdings in the
Port Royal aud Augusta to the amount OF
$300, 900, and that proxy of the Central's
bondholdings in the Port ROYAL and
Augusta TO the amount of 100000 were
voted, against the objections of Leo Speyer':
representative, which objections were over
ruled, and the old board was reelected
and the complainant, after showing
that the directors are Connected
in an official capacity with the
different defendant railway companies, and
that while the Port Royal aud Augusta
railroad has earned, since 1880, net earning
TO the amount Of S44S, 745 43, ''the directors
have never in the past made an honest eff
fort to ascertain the net earnings applica
BILE TO the payment of interest, nor done
anything to show how much these earnings
may suffice to pay"