The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1898-07-15
MUCH AT STAKE.
Control of the Gas Company in
Question.
Bankson Taylor's Suit for $4,000 OF Its
Stock on Trial Before Judge
Severance.

The suit of Bankson Taylor, of ST..
Paul, against John B Meagher, Of this
city, was on trial before Judge Sever
ance Friday in chambers. Upon the
result of this suit depends who shall
control the local gas company. l..
Patterson is the retiring president of
the company, but John B. Meagher
controls the majority of the stock at
the present time, and change in the
officers will very likely occurr. The
purchase of the r. D. Hubbard inter
est in the company, through the First
National bank, Of ST. Paul, brought
about the change in control. In case
Mr.. Taylor wins his suit, he will force
Mr.. Meagher to make over to him
$4,000 of the cOmpany's stock, and
then Messrs. Patterson and Taylor
together will have controlling inter
est. This fact adds ZeSt to the suit,
which is of more than ordinary inter
est.
Mr.. Taylor, who is practical gas
man, visited the city several times
last year in an endeavOr to secure an
option on the local plant, and gave it
out that if his plans were successful
Mankato might have an electric
street railway. He was not as success
full as promoter in this instance as
he claims to have been afterwards,
when he undertook the work Of secur-
ing for Mr.. Meagher the Hubbard in
terest in the company. Mr.. aylor
claims that Mr.. Meagher agreed to
pay him for his services in bringing
this about by transferring to him
$4,000 Of the capital stock of the
company. AS the stock was consider
ed of little value, 1t is evident that
the contract which went with it was
considered worth considerable.
Mr.. Taylor says that Mr.. Meagher has
refused to transfer the stock to him,
as agreed. Mr.. Meagher denies that
he is indebted to Mr.. Taylor.
Mr.. Meagher was represented today
by Lorin Cray as his attorney, while
Mr., Taylor's attorney was Frank
Ewing, of st. Paul. President Henry
P. Upham, of the First National
bank of St. Paul, and Henry O'Shea,
assistant manager of the St. Paul Gas
Co., were present.
Mr.. Meagher was the first witness
called and identified seven letters
written by him to Mr.. Taylor IN re-
gard to the transfer of the stock and
bonds from Mr.. Hubbard to himself.
The plaintiff looks upon these letters
as being strong evidence for his side
of the case.
Mr. Taylor testified to the alleged
agreement, and related the substance
of a number of conversations alleged
the have occurred between himself,
Mr.. Meagher, Mr.. Patterson and
others, in which his work and COM
pensation were talked over. 1t de-
veloped during the testimony that a
change in the management of the
company was proposed as soon as the
transfer of the stock had been effect
ed or soon afterwards.
Mr.. O'Shea testified to a converse
tion which he had heard in January
He said that Mr.. Meagher said to Mr..
Taylor that the former wanted the
latter to see about a note or some
thing, and that as soon as he did that
Meagher would give Taylor $4,000
stock. Mr.. Taylor said "all right"
This conversation was in the office Of
the ST. Paul Gas Co.
L. Patterson was next called. He
said that the consideration for the
Hubbard interest was S45, 1000. In the
talk in regard to Mr.. Taylor securing
an option on the local plant, the
price was to be $S5, 900, but the offer
was withdrawn by telegram the after
noon of the last day. Mr.. Taylor had
proposed to secure the sale of the
plant to the ST. Paul company. After
this was off Taylor spoke of getting
other parties to buy Mr.. Hubbard's
interest. and the talk was that the
bonds were to bring Is cents on the
dollar, with the stock thrown in. Mr..
Taylor said that he thought he ought
to have $50, 900 of the stock, which
was one-half of Mr.. Hubbard's stock,
for his work. Mr.. Patterson had con-
sidered the price heavy but had said