The sun. [volume] (New York [N.Y.]) 1833-1916, 1897-03-02
4 STOCK QUOTATION co. FIGHT.
hot Accusations Made In New Jersey Against
PRECEDENT sfrnine,

The bitter fight for the control Of the American
Telegram Company was transferred TO the
Chanccry Court in Jersey City yesterday. The
proceedings were before Nicc.Chnnccllor Ste
vcns In Chanccry Chambers. Two bills wcro
filed, both having the same purpose. which Is TO
restrain the stakeholder from holding an cleo
ton to-day, which was ordered to he held by
Justice Lippincott OF the supreme Court. Ono
bill asks for an order to restrain tho stockhold-
crs from holding the election and also TO compel
Robert +. Strainc, the President. and Charles A.
Lamson. the Secretary and Treasurer, TO bring
the company's books into New Jersey and make
n statement Of the cOmpany's affairs.
The company was organized under the laws OF
New Jersey ON Nov. 3. 1895. with II capital stock
OF 100000. The directors elected at the ORGAN.
ization meeting were Albert Is. Chandler, VII.
liam ii. Baker, and John Stevens. President,
Nicc-Prcsidcnt, and Secretary respectively of
the Postal Cable Telegraph Company; Robert r.
Strainc. Charles 4. I-imson, :. II. Merrill, and
Frederick 1aber. Tho directors elected Strainc
President and Llmpon Secretary and Treasurer.
The company is engaged In sending stock quota.
tions 10 Boston.
AT the hearing yesterday Lawyer James II.
NrcdcnburS, representing Messrs. Chandler,
Baker. Stevens. and Taylor, who want to prevent
the election to-day. declared that II the election
~ '''H ~ Niii w ~ nv w Nllt lh'llbl ~
President Strainc, because he controls the ma.
iority Of stock. lie submitted aGidavits to show
that S6O.0O0 of the company earnings which
was In President Strainc's hands has disap.
pcarcd and Strainc has refused 10 toll where
It's or 10, give any accounting. Of II. Tho
afiidarits ALICE that Strainc used the money
10 Dny stock Tor the purpose of controlling the
coming election. For that reason, Mr.. Nredcn-
burg said, The ,NiceG hancel!or should not allow
the election to he held until the Strainc faction
shall have be,n compelled 10 make an account
ing. On FEB. ~, This year. q demand was made
upon President Straine to allow W II. Baker, an
expert accountant, To examine the books, but
the demand was refused.
"Strainc," said Mr.. Vredcnburg. has used
the money Of the company to purchase stock and
secure n controlling interest. while In equity the
stock really belongs TO the company. About $50.
600 has been Illegally uscd 10 control tO-inOr.
row election. II the election is held tomorrow
strhinc viii vote the majority Of the stock 50 as
other stockholders from knowing the company's
real condition."
Shame end his associates, declared that the sole
object OF The opposing faction IL 10 wreck the
s%Gmr@nyi The 1iTes rec ! represent" said
that $50 shares. The intimation that the com.
pany is in bad condition is false. The company
has earned more than s2o. mn n year. II IL
s",vfnf nma rrospcrous. IL debts outside OF the
Mr.. Corbin declared that the opposition is try.
ing TO wreck the company In the interest OF its
FiS?Mli r ih Gd rSil"l r saiG G thaSr rppI%p% Stevens.
IL hardly think that you have satisfactorily met
the charge that Mr.. Shame has mismanaged the
funds. Will" your aiiidayits are full upon every
other question they are almost silent AS to the
charge or misH appropriation Of funds
" MIR. Shame has not Incorporated one
cent, y replied Mr.. COrbin. he has not mis-.
used u penny for any purpose. ! believe | have
met every charge squarcly."
Mr.. Nrcdcnburg hotly denounced Mr.. Shame
a. an cmhczzlcr and II thief, and begged the
Nice-Chanccllor not To permit him TO get away
with the funds.
Counsel has called nv clients robbers. ON.
bczllers, and thieves, said Mr.. Corbin. - but the
atiidarits don't show IL. We will elect Francis
Higgins, your own client, one Of the directors
tomorrow II you want us To. Mr.. Higgins is a
conscientious, honest, hut misguided man."
NlCcChnnccl!or stevens said he failed to see
how Mr.. Nrcdcnburg's clients would be benefited
by preventing the election. Mr.. Nrcdcnburg re-
pl!cd that II an injunction IL granted steps will
be taken To force an accounting.
The Nicc-Chancellor said he would decide at
i J.. NJ. to-day whether TO allow the election or
not. The meeting Is scheduled for . u. VI.