Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-01-01


caring interest at the rate of )
a, 1r annum. That the business OF
'ittsburg Traction Company in the
Nation of passengers has been and
large and profitable one, earning to
company from SlcOO to Sl,J0O per
hth-The capital stock of said Du-
e Traction Company consists of GOOOO
IS of the par valne of $50 each or q NOM
capital of S3,OOO,OaO, but your orator is
ormed and believes that of said capital,
cry small portion, il any. has been paid
said corporation in cash. The capital
1 stock of said several street railway COM
pany,s who lines are as above stated, oper-
ated by the Duquesne Traction Company, is
for each company a very small capital, and
| your orator is informed and believes that a
very small part, If any, of the capital stock
of said several companies has been palu lor
| in cash.
The Amount of Indebtedness
| of the said Duquesne Traction Company. Sc
cured by mortgage, is $1,000, 600 represented
! by negotiable bonds of said company. Your
! orator is informed and believes that the
| aforesaid Indebtedness represents the entire
cost of the construction of the said several
street railway lines operated by said Du-
| quesne Traction Company, and the prop
erty ana equipment owned by said COM
pauy.
Eighth-Your orator is informed and he
lieves and so charges, that heretofore the
business of Said Duquesne Traction Com
pallE IN the transportation OF passengers iidS
been rs compared with the business ot the
Pittsbury Traction Company small ana
Improbable business, not earning to SAID
company the amount of its daily expenses IN
the operation of its line
Ninth-That the system or street railways,
As aforesaid operated by the Duquesne
Traction Company, was completed ana the
said Traction Company commenced the
operation of the same on or about June !,
1891. and during the progress of the con
stfuction OF said lines and ever since the
opening the same 10 public travel the officers
of the DuGuCsne Traction Company nave
been negotiating from time to time with
certain directors and large stockholders Of
the Pittsburg Traction Company, with a
view of selling under forms OF law the Sa1d
nnqueSne Traction Company and the lines
operated by il to the PitrSbure Traction
Company. and said negotiations continued
and were so proceeded in that at : meeting
of the Board of Directors of the Pittsburg
Traction Company. held December Ia, 1881,
the said defendant. Z. \. H. VI idencr, an
nounced "a rho board that he had arrived ut
an agreement with the Huquesne Traction
Company by which the PittSburS Traction
Company would secure the operation of the
lines o: the DuqUeSne Traction Company
and the lines OF street railway here
tofore operated by il: and thereupon
presented to the meeting a written copy of
= proposed agreement for the approval and
ratification of the Board. Until the preSen-
tation of said written COPY TO tine Board n
majority of the Board of Directors of the
PittsbuIg Traction Company, including
COur orator, as YOUR orator Is informed. Dc-
lieveS and charges, were in total Ignorance
of the contents as well as the substance of
said agreement. The said proposed agree
ment was, therefore, read TO the meeting,
and a majority of the Board of Directors
voted for the approval OF the same, but your
orator voted against the approval thereof.
Afterwar0, on December Il. 1891, at spe-
cial meeting of the stockholders, called for
that purpose the said agreement was pre-
sented to the stockholders of the Pittsburg
Traction Company. and at said meeting
was approved by a majority Of the stock
holders present, hut your orator voted
against the approval and ratification of said
contract, and your orator is informed and
believes that the said contract has now
been executed by the officers of Said Pitts
burg Traction Company and the officers
of the Duquesne Traction Company and the
several railway companies, departments and
parties thereto, and it is proposed to carry
the same into effect on and after January !,
lS92
To Operate as a Single System.
Tenth-And your orator ful ther shows
that by said agreement it is proposed that
the system of railways heretofore operated
by the Pittsburg Traction Company and the
system of railwayJ heretofore operated by
the Duquesne Traction Company shall in
the future be operated by the Pittsburg
Traction Company alone as single system
of rail way for the transportation Of passen-
gers between the business portion of the
city of Pttsburg and the East End
district of said city, and that to such
end the PittsDurg Traction Company
shall. for the term Of 90 years from and after
the first day of January. 1892, enter into and |
have the exclusive possession. control and |
nagement of all the property and appli- |
ances OF the Duquecne Traction COMPANY
and of the railways heretofore operated by |
said DuGuesne Traction Company, and all |
future branches and extensions thereof, and |
maintain and operate the same, together |
with the railways heretofore operated by |
the said Pittsburg Traction Company aban- |
doning the use and operation of such por- |
tiOnS of the railways heretofore operated /
by the Duquesne Traction Company as |
may he rendered unnecessary by the |
operation of two systems of railways |
as one single system; and the earnings of the |
PittSbur" Traction Company made in the |
the payment af certain expenses stipulated |
in said agreement. shall be applied by the |
Pittsburg Traction Comnany to the payment
of interest on the bonded Indebtedness of \
both the PittSDurg Traction Company and |
the Duquesne Traction Company with the
taxes levied thereon, and $4,000 of so much
thereof as shall remain is to be paid by the
Pittsburg Traction Company TO the Du-
quesne Traction Company semi-annually
before OF on the goth day of January and
Juiy in each and every year.
BY the said contract ii is further provided
that upon the expiration of the term in
said contract limited, or in case OF a breach |
Of the terms of said contract emitting the
Duquesne Traction Company to treat the
term as expired all property delivered by |
the Duquesne Traction Company to the |
Traction Company, including all
the railways heretofore operated by the |
Duquesne Traction Company and all future
thereof, and 425-lG00 of all prop
erty hereafter to be acquired shall be sur
rendered up and delivered by the said Pitts
burg Traction Company to the Duquesne
Traction Company.
At the Duquesne's Option.
And it is further provided in said agree
ment that in case of default in any of the
things threin contained to- be done or per-
formed on the part of the PittsbuTg Traction
the Duquesne Traction Company
may, at its option, cause the said term in
said contract limited to at once cease and |
of all the railways heretofore operated by |
the DuqueSne Traction Company and the !
premises, with the appurtenances and all
additions and improvements thereon.
Elcventh-And your orator AYERS and |
charges that the real purpose and object of
said agreement is to suppress and entirely
do away with the competition for the car
liage of passengers heretofore existing be-
tween the Pittsburg Traction Company and
tue DuGuesne Traction Company, and to
secure TO said Pittsburg Traction Company
4 monopoly of the carrying of passengers
between the business part of the CITY and
the East End district, and such will be the
effect OF carrying ont said agreement
And further, that by said agreement the
passenger railway companies heretofore
operated by the Duquesne Traction Com
pany propose to wholly and entirely aban-
ion the use and exercise OF the franchise to
them respectively granted in and Dy their
several charters, and to hereafter delegate
without warrant or authority of law the use
md exercise of their respective franchises
to the Pittsburg Traction Company, And
ihe sala Duquesne Traction Company, by
said agreement, wholly abandons ali use or
ANerciSe of its powers and duties q IL o,.a N fad |