Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-10-06
SEABOARD AIR LINE.
Result of Election of Directors an
of Recent Litigation.

Result of Election of Directors and
of Recent Litigation.
The result of the annual election of direc-
tors of the Seaboard Air Line Railway
Company. which was held in Portsmouth,
Va, yesterday, and to which reference
was mad. in The Star of last evening end
ed with victory for both sides, according
to the respective claims.
President r. Curzon Hoffman and the
directors selected by him were reelected,
and the party headed by Mr. Thomas F.
Ryan of New York, which was trying to
Dust Mr. Hoffman, secured an order from
Judge Simonton of North Carolina for per-
mission to examine the books
The Ryan party, which about a year ago
secured what it believed was majority of
the stock of the road, has all along con-
tended 1t had a right to know the exact
condition of the company's affairs. and
maintained as its due the privilege to have
the books examined President Hoffman
refused, however, to permit this to be done
ana there the question has, remained until
now. e
Mr.. Ryan also secured from Judge Simon
ton an order for the appointment of a
special master to take testimony as to the
following charges made by him:
That President Hoffman has carried
elections and installed himself and asso-
ciates in official control of the Seaboa I'd
system. not because he and they owned the
majority OF the stock in the company but
because his official position enabled him to
effectively secure proxies of the scattered
stock"
Iar Ryan further charges that president
HCfmans ownership of stock is 500 800
ana that since his election no dividend has
Deen paid upon the common stock of the
Seaboafd company, and that he receives
regular salaries from the roads composing
the system, amounting to about s1S.OOO n
year" ''o :"
He further charges that "the firm of r.
e. Hoffman & Co., Of which President Hoff-
man is member, has secured illegitimate
pronts by manipulation Of purchases and
sales OF materials amounting to MANY
thousands OF dollars annually" and in re-
eard 10 the pooling agreement that 'it
was planned to perpetuate for five years
the alleged control of the Seaboard system
py directors McLane, Watts and Robin
son, the two latter since deceased: also
that the pooling agreement is absolutely
revocable by any stakeholder at any time:
lhat President Hoffman and Directors Nc
Lane and Watts illegally and fraudulently
ana without the knowledge or authority Of
the stockholders of the Seaboard company
USED the moneys, credits and securities of
the Seaboard company and the Raleigh and
iaston company to obtain money to secret
~ BUY 1000 shares of the pooled stock
from dissatisfied holders, and that a ma
Jorlty OF e,321 shares placed in the pool
were induced to go in by the offer of $lo5
a snare made for the pooled stock by Mr.
Ryan, which was afterward declined,
II mas been claimed in some quarters
mat Mr. Ryan represented the Southern
railway company, but in conversation on
the subject yesterday he said:
90 not represent the Southern railway
and never have. In desiring to secure con,
troll Of the Seaboard, 1 represent onIv the
interests of myself and a few other stock
holders