The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1898-02-07
STEREBERG WINS.
Vice Chancellor Refuses a
Receiver on David
Wolff's Application.
COUNSEL MAKES GRAVE CHARGES
Says the Assistant Prosecutor OF
Essex is Against Wolff.
COUNSEL MAKES GRAVE CHARGES

me SternberS-WolT matter was peiore
Viee-Chancellor Pitney in the Court OF
Chancery again this morning. Charles
Thompson, of the firm of Dickinson,
Thompson & McMaster, of this city, and
Mr.. Chandler Riker, of Newark, applied to
the V-ice-Chancellor for Il receiver to take
charge of the business.
Mr.. Riker read the new petition OF Rose
| Wolff and David Wolff, two of the de-
PENDANTS in the original suit. The petit
ton sets out that on November 6 an in
junction was issued by the court at the
suit of Lazar Sterhberg and Rose Stern
berg, restraining David Wolff, among 9TH
er things, from drawing any promissory
notes or checks of the L. Sternberg Com
| pany. except for ascertained debts due
by the company, and salary due him, and
from ~discharging employees except for
cause. and from making any list of GUS
/ toners of the company.
Rose Wolff owns 499 shares of the stock
of the company and David Wolff one
| share. Lazar ~Sternberg under the preten-
sion of said injunction has assumed to
exercise all the powers of Board of
Directors and the secretary and
treasurer of the company and has con-
tinued in the pay of said company EN-
ployes who were discharged by the petit
| toner who is treasurer of the company.
He has engaged new employees, discharged
| some and transferred others contrary to
the provisions of the bylaws of the COM
pany. The petition also charges that
| Sternberg had insulted Wolff and entirely
| destroyed his authority and influence ,as
treasurer among the employees. In con-
| sequence of which one employee, Nathan
Gross told Wolff that he would take no
| orders from him and Ella c. Reilly the
bookkeeper, has also refused obedience to
Wolff's orders as treasurer OF the COM
pany and declined to furnish Wolff with
a statement of his personal account.
Sternberg according to the petition has
assumed absolute control over the hnan-
cial affairs of the company, the receipts
and deposits at the bank of all moneys
of the company and the payment of the
| same by check and has continuously
overdrawn the account of the company
The bylaws of the ompan provide that
the president may call a meeting of the
directors on the application of two mem
bers and yet, according to the petition,
Sternberg has refused to call such a meet
| ing. The receipts of the business have
been insufficient to meet the current ex-
penses and obligations of the company, in
consequence of which,, suits have been
begun against the corporation in New
York.
Sternberg is also charge with preventing
Wolff from obtaining the mail of the COM
| pany for the purpose of preventing Wolff
| from learning the condition of the bust
| ness. The petition next sets forth the
| fact that the Court of Errors and APP
| peals has set aside the injunction issued
by the Vice Chancellor and then sets forth
| the recent troubles in the Newark store.
| The petition closed with a prayer for a
| receiver. When Mr.. Riker had finished
| reading the petition Mr.. Hood, counsel
| for Mr.. Sternberg, asked for time to an
| swer the petition, and the Vice Chancellor
said he was entitled, to it.
Mr.. Riker protested strenuously, and the
Vice-Chancellor said that there was
nothing specific in the petition. The al
| legations were altogether too general. Mr..
| Riker then called attention to the raid on
| the Newark store and spoke of the de-
| t~ectives, whom, he said, Sternberg had
| employed to dog Wolff. He also spoke of
threats and assaults, and the Vice Chan
| cellor said~that they. could have the Of
| tenders arrested.
"Oh, yes, we can arrest" exclaimed Mr..
Thompson, springing to his feet; but
what good will it do? The Assistant
Prosecutor is on the other side and the
Grand Jury will do nothing.
That's not fair" cried Mr.. Hood, pop
ping up, but before Mr.. Thompson could
| say anything, and repeated his appeal for
time to answer. He said he wouid be,
ready on Wednesday.
THAT'S reasonable" said the Vice Cham
cellor, and the case will go over to
| then. .sThere are reasons outside of any
| thing produced here why the court will
not decide this question today"
Mr.. Thompson made another strong APP
| peal. but the Vice Chancellor was obdu-
rate and the matter went over to Wednes-
day at Newark.
Mr.. Riker then applied for an order to
| discharge some of the employees whom
Sternberg insisted upon keeping in the
| employ of the ompany The Vice Chan
| cellor said that he had no authority in
| the matter, and the case ended for the
day.
Mr.. Sternberg said to a reported for
1.-THE News's that the case in Brooklyn
was i~nstigated by Wolff. A suit for $246
was begun against the company in Essex
County Courts, but was discontinued
when the p filed its plea. Then
the plaintiff went to Brooklyn and at
tached some goods in the ~company's store
there.
STABBED FOB FUN.
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