New-York tribune., 1891-10-14
HOEY STILL A DIRECTOR.
HE FLATLY REFUSES TO HAND IN HIS
RESIGNATION.

TIE DEPOSED PRESIDENT OF THE ADAMS LA
PRESS COMPANY VOTES FOR HIS OWN Sue
CEssoR-HENRY SANFORD PLACED
AT THE HEAD OF THE BIG
CORPORATION.
The discharge Of John Hoey from the office OF
president of the Adams Express Company, which
was effected at the meeting Of the directors oil
the company on Monday, on a charge Of NAL
feosance in office. and the resignation of the vice
president. Clapp Spooner, were followed yesterday
by another sensational development. The vast in
terests of the company demanded that successors
TO the deposcd officials be elected speedily, and
meeting Of the directors. managers as
they are called on the companys roster,
was held at noon yesterday Contrary to
expectation, Mr.. lIoey was present at the meet
ing He had been thrust down from the high
pedestal of his official place, but he was still
on the list of directors, and as such he entered
the executive offices of the company yesterday.
Mr.. Spooner, on the contrary, had resigned his
directorship at the same time that he gave up
the vice-presidency lie remained yesterday at his
home at Bridgeport.
The sensational incident of the meeting came
at the outset. One of the directors arose and
asked Mr.. Hoey to resign from the board, telling
him that such the desire of all the other mem
bers. This Mr.. Hoey fatty refused to do, and
he is said TO have made somewhat elaborate
defence Of his position to his colleagues Ihey
might put him from the presidency. ne said, nut
it was beyond their power to debar him from the
privileges Of the dictatorship. When the vote for
the election Of a president and vice-Dresident
was taken Mr.. Hoey cast his ballot with the rest
The other directors acquiesced under protest and
made no further objection to his sitting as men,
Der Of the Board. Some of them were of the
opinion however that they had the right TO eject
Mr. Hoey. and the question has been referred to
the c0mpany's counsel.
MR. HoEYS SUCCESSOR.
Henry Sanford. of Bridgeport who was
largely instrumental in pushing the charges
against Mr.. Hoey and Mr.. Spooner, was
elected president OF the company by
vote of to 2. Frederick Lovejoy, OF this city.
was made a director in the place of Mr. Spooner,
and was then unanimously raised to the vice
presidency. Both Mr.. Sanford and Mr.. Lovejoy
have been long and prominently connected with
the Adams Express Company. The minority
vote for the presidency went to L. c. Weir, a
trustee of the company, who had been manager
of the company's interests at Cincinnati. There
are three trustees, two Of whom had been MIR.
Hoey and Mr. Spooner Their places were de-
clared filed by the newly elected president and
ce-presdent There is yet one vacancy In the
board Of directors to be filed.
After the meeting one Of the directors asserted
that neither the prosecution Of Mr.. Hoey nor the
institution Of civil suit against him had been
considered 1t was not known that there were
any evidences Of malfeaSance other than those in
dicated In the charge. A committee had been
appointed, however, to examine the assts of the
company and report upon Its general condition
The members Of the committee Mr.. Sanford
Mr. Lovejoy and William b. Dinsmore. They
will make their report at the next meeting OF
the board which will be held probably on OctO
| Der 90.
| The board Of directors is now constituted as
| follows: Henry Sanford OF Bridgeport president
Frederick Lovejoy of New-York, vice president
| Clarence A. Seward William b. Dinsmore, b. {
Weir, j. @. A. Herring. William II. Damsel, Waldo
Adams and John Hoey. Whether Mr.. IIocy can
hold his scat against the will of his associates in
! the board is yet to he seen. Clarence a. Seward
is also the attorney for the company, and its
secretary He presided at the meeting yesterday
which WAS held at the headquarters of the com
pany. at No. 80 Broadway.
The publication of the action of the directors
of the Adams Express Company created the pro-
foundest interest yesterday in business circles
forty years or more and for three years had been it
presdent. His reputation had been of the best, AMI
the great corporation, of which he was the head
was a pillar Of strength in the investment world
No less closely has he been identified with another
widely known institution, Hollywood" at Long
Branch! where he has lived in luxurious maSnlh-
| cence
WHERE THE TROUBLE BEGAN.
| As indicated Yesterday. Mr.. Ioey'S deposition
| from Office and the enforced resignation OF Mr.
Spooner were the outcome of suit brought
against Mr. Hoey, Mr. Spooner and Henry {. Taft
by Henry c. Sherburne, for an accounting OF profit
made in a transaction in express company stock
The suit was heard in April last before
Judge Ingraham, of the New-York Supreme
Court. Mr. Sherburne alleged that from these
transactions his profits should have been $751;
| 500 but that he had received only 100000
The hearing of the case indicated that the entire
profits of the deal amounting TO half million
dollars or more. had come from the treasury ol
the Adams Express Company. Mr.. Hoey. wh'
was the vice-presdent Of the company al
the time of the alleged transactions. ad
mitted on the witness stand that his profits there
from had been $4,000.
| In 1882, after negotiations with Mr.. Spooner
then the Eastern agent of the company. and Mr.
Hoey. Mr. Sherburne and Mr.. Taft sold to th'
late w. B. Dinsmore, who was then president o
the Adams Express Company, one-half of the stocE
Of the New-YorI and Boston Dispatch Express
Company, one-half Of the stock of the knsley EN
press Company. and one-half interest in the Unior
| Express Office business in Boston. Sherburn'
was president Of these companies and Taft wa
general manager, and one of the provisions OF TIN
transaction was that they should retain thoS
places A year afterward Mr.. Sher
burne was divorced from his wife, and he tool
his young son with him to Paris, where he hal
since lived Il thought / might be les
unhappy among new scenes and places, ne sald
| and ! wished TO remove my son, only tourteei
wears of age from all possibility of contact or cor
respondence with his mother.
Before going away, Mr.. Sherburne alleges, n
turned over his interest in the New-England com
nanies IN Mr. Taft. 10 be held in trust. In 1855