The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-01-08
OF CHARTER
Attorney General Crane After the NJ, K.
and 7. Of Texas.
ALLEGES VIOLATION or CONSTITUTION
In that the Kansas Corporation II
Dominating the Texas Company
for Its Own Bencfit.

Austin. Texas, January Tin the dis
trict court of Dallas county Attorney Gem
eras Crane filed suit for the forfeiture OF
the charter OF the Missouri. Kansas and
Texas Railway company OF Texas. He al
leges that this corporation is dominated by
the Missouri. Kansas and Texas Railway
company Of Kansas In violation OF sections
and that in spite of an agreement that the
Texas corporation should be freed from the
control Of the Kansas concern nothing has
been done towards complying with The
law in the case.
In slbstantlation OF the allegation, the
attorney general advances that investiga-
tons made at the instance Of the railroad
commission have developed that the Mis-
souri,, Kansas and Texas OF Texas is
charged UP with tne locals refunded on
cotton concentrated at Denison from Texas
and Indian Territory points, but does not
get a division OF the through rate charged
for the movement of said cotton to the
seaboaild via East st. Louis.
The Missouri Kansas and Texas OF Texas
is chartered under special act passed by
the Twenty sixth legislature authorizing
the formation of associations. organized
for the purpose of acquiring the rights.
franchises and holding OF railroad corpora
tons sold under foreclosure, etc, The con-
stltutionality OF said act has always been
questioned, and while he was attorney gen
eral Governor Culberson practically gave
IL ae his opinion that 1t would not stick
II tested by. in effect. declining to approve
the charter Of the Missouri Kansas and
Texas of Texas, when it was submitted to
him; the said charter, which is now on file
in tho secretary OF states Office, Is in
dorsed by him as being IN line with the
special act referred to. but nowhere does
IL appear th"' Hs ""o '"''9'"' VI ~" -"
ing been made TO conform with the consti-
rutional provisions which govern in the
premises.
Dallas, Texas. January This after
noon Assistant Attorney General Il. p,
Hill acting for the, State. hled suit in tue
| Aorr,.enth district court az Dallas county
,-.,.I,., ,,o ,.h,,.t.r or the
TOT Nne io'"N'"p :" Wv
| Missouri. Kaiidab aud 'heNas hallroao oo"'
pany OF Texas ami for the appointment o
| roooi,.o. N .,okn ch.rg. of nh The com,
|
panys property
| Judge w. j j. Smith, who prtsides oYei
| tho Tourteenth district court, examined tn,
| ,,.,t,,u all -, r,d,o ttui and set th,
peIiUo" n'eu Wy
bearing OF the case tor a. ~ 1ahuals -
The petition IL a very lengthy one anu I'M
| covers numerous alleged violatlons oil ln'
State constitution by the detendaut com
pany.
Briefly stated, II recitea:
]. That the defendant railway company
has Violated article y, section .. OF lhe
constitution OF the state OF ieNas, whlcn
prohibits The lease or purchase or IN any
way obtaining tho control oil any railroao
owning or having under its control a par
allsl or competing line OF Runway
g That IL threatens to violate the same
section OF the constitution stu furtner III
mat IT threatens to conSoiluate win INC
Sherman, shreveport and Southern Railway
company, which Is a competing hne WIN
Its said ROAD.
3. That the defendant company, being a
corporation organized and existing under
and by virtue OF the laws OF the state OF
Texas. has violated the constitution of the
State in permitting itself 10 become con-
solidated with The Missouri. Kansas and
Texas Railway company. corporation Or
ganized and existing. under the laws of IN,
state of Kansas. and has injured the pub
lie by dlverting it's trsflic TO the line Owned
by the said Missouri. Kansas AMI Texas
Railway company and thus impoNerlshins
Itself and then making such impoverished
condition produced by It's violation OF law
pretense for the contention that the rates
liked by The railroad commission Of Texas
are contisoatory and void.
4. That L has violated still another sec
ton OF the constitution in issuing stocks
and bonds for purposes not authorized by
law.
g. That 1t hiss violated its charter OBJ
legations by illegal management because.