The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1903-03-14
Motion for Injunction Made to Pre-
vent Sale of Stock or
Change Of Status.
RESTRAINING ORDER GRANTED.
Bill Filed Before Judge Lurton Al,
leges That Minority Stock
holders Are Not Being
Treated Fairly.

Upon allegations contained in bill pre-
| sented by the attorneys Of the minority
\ stockholders of tine Southern Pacific Rail
road Company, Judge Horace Lurton Of the
United States Circuit Court, at Cincinnati
O., yesterday granted n restraining order
against the Southern Pacific Railway Com
! pany forbidding it in any way transferring
or disposing Of the lease Of the Central Pa
cfic road or of any of the rights OF the
Southern Pacific Company until the motion
| made for an Injunction can be heard. The
date set for this hearing is April 1, al
Nashville, Tenn.
The Southern Pacific Railway Company
is also forbidden from selling or transfer
ring the shares CT the capital stock of the
Central Pacific Company and further re-
strains the Southern Pacific Company. its
officers. directors. agents and attorneys
from permitting the officers, directors or
attorneys of the Union Pacific Railroad
Company from voting upon the capital
stock OF the Southern Pacific Railroad
which may stand in the name of the Union
Pacific Railroad Cimpany or in the name
of the Mercantile Trust Company.
Further. that any election of directors of
the Southern Pacific Railroad Company be
forbidden and that the present directors,
office agents and officers be restrained from
in any way, altering. changing or amending
the bylaws of the Southern Pacific Com
pany or IN any way. changing the existing
regulations in respect to the time or place
of the. annual stockholders meeting or the
election Of directors.
INSTRUCTIONS OF THE COURT.
The court instructed that the defendants
against whom the order Is issued show
cause on April ]. 1903. in the Nashville
cha mbers. why an Injunction shall not be
granted as prayed. and further orders that
the bill be. served upon the defendants on
or before March II.
In granting the order Judge Lurton said :
81 express opinion upon the merits of
the case made by the bill and its exhibits,
further than to say that it seems to me that
the compliments are entitled to have the
status preserved until they can give notice
and be heard upon an application for pre-
liminary Injunction
The motion for the restraining order is
the outcome of suit which was filed in
lr ny, THURSDAY aaT by Talbot J.
representing the minority stockholders
asking for an injunction against the Union
and Southern Pacific to prevent the Union
the annual election on April of directors
of the Southern Pacific
In the application 1t is alleged that the
Union Pacific, having secured control Of
the Southern Pacific, the two roads are
practically under one management to the
of the interest of the stoclsh olders
of the Southern Pacific. Diversion of traf-
fic and other acts for the benefit of the
Union Pacific are alleged.
FOLLOWING the aCtlOU taken IN hentuCky,
where the Southern Pacific obtained its
the attorneys for the Plaintiffs
came 10 Cincinnati to lay before Judge Lur-
ton of the Kentucky Circuit motion for a
restraining order to be issued until an ap-
plication for an injunction can be heard.
Senator j. b. Foraker. Edward I.auter-
bach of New York and Augustus Wilson
Df Louisville represent the applicants; judi
son, Harmon Colston. Goldstein and Head
ey appeared for the Hartman interests
HOPED FOR EARLY DIVIDEND.
The plaintiffs represent the Keene-Taylor
element in the Southern Pacific. The Keene
faction is said to hold about $50. 0.OGO worth
of Southern Pacific stock. having bought
this amount through pool some time ago
in the hope of an early dividend.
The Union Pacific people, who are in the
Southern Pacific Board of Directors it is
said. oppose a dividend at this time, figur-
ing that the money would be more wisely
expended in the shape Of improvements and
oetterments.
The Keene following has resorted to the
courts in an effort to prevent the Union pa
,ific from voting $50, 900 worth of stock
which II holds in the Southern Pacific
against a dividend for the latter company
The Keene people figure that they viii he
able to create such changes in the directorv
IF the road at the annual meeting as will
De favorable to the declaration Of a diyi-
lend instead. as they allege, of having the
earnings of the Southern Pacific diverted to
on the Central and Union Pa
,ific railways in the interest of other Har-
imam holdings.