The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1899-10-28
THE WAiALUA LITIGATION.

The affairs of private corporations
are ordinarily of no special inter
est to the general public, but the
status of the Waialua Agricultural
Company has become a matter Of gen
eral public interest for number Of
reasons.
It's stock is owned by nearly 500 per
sons. 1t has deservedly been consider
ed one of the most promising of the
recently foated plantations, and the
pressure to obtain it's stock has result
ed in the heaviest litigation ever be-
fore the courts of this country.
Two sets of subscribers are claiming
10000 shares of stock worth a par
value of 100000 and now worth on
the market about $1,000 900. One set
are known as the San Francisco sub
scribers," the other as the Honolulu
subscribers"
The company has recognized the Ho-
nolulu subscribers, received one assess
ment from them and entered their
names ON it's books. The San Fran
three suits in equity to compel the COM
pany to issue the shares to them and
have secured injunctions prohibiting
the issuing of shares to their rivals.
Circuit Judge Perry has just decided
in favor of the San Francisco sub
scribers.
Meanwhile, the company being I'M
able to deliver shares, both of the rival
sets of claimants refuse to pay assess
ments. The company cannot enforce
payment against the Honolulu sub
scribers by selling the shares, because
it is placarded thirty-three deep with
injunctions prohibiting it from dispos-
ing OF the shares. 1t cannot proceed
against the San Francisco subscribers,
because it does not recognize them and
has already recognized the Honolulu
people; and il the shares are issued to
the San Francisco people the Honolulu
claimants threaten to Immediately
bring suit against the company for the
shares which they nave partly paid for
and which the company has agreed to
issue to them. Meanwhile the expense
OF developing the plantation is going
on. Assessments to the amount OF $780,
900 have been collected and spent, and
Castle & Cooke have had to advance
the company $325,oOO which is now due,
and there DIS no money in the treasury.
A mill must be erected costing $780,
900. and pumps and railroads to the
amount of 100000 must be paid for
during the coming year, besides the
running expenses for fourteen months,
at least $4,000 month, or 100000,
making a total necessary expenditure
within the next fourteen months Of
1885 900 with no allowance for further
development.
To meet this there is available $780,
600 not yet paid in by the assessable
stock not in litigation, and during the
course OF next year a small sugar crop
amounting TO about 100000. The Edi-
tor of this paper owns no Waialua
stock. Moreover he is a member of the
Bar and as such is in duty bound to
cheer on a course which would appear
to promise lucrative practice to a
large number of his professional breth-
rem for several years to come. But
leaving the lawyers out of consider
alton, the best interests of the stock
holders and the company would seem
to be served by delivering the company
from the injunctions now crushing the
life out Of it and the cloud of litiga-
tdon pending and in prospect which il
allowed to go on bid fair to involves In
ruin one of the. best enterprises in the
country.