The Owosso times. (Owosso, Mich.) 1897-1926, 1904-07-01
MUCH DEPENDS ON IT
Big Sums Hang In Balance In Michl-
gan Central Suit.
STATES CLAIMS TOTAL 100000
The Road Sues For $4,000, ooo-BIair's
Deputies Claim Defense of Company
Is Only Technieal-Withhofding In
formation the Charge.

Detroit. Mich, June 2S.-The prtn-
cinal alone of the. amount claimed by
lhs state Of Michigan from the Miehi-
Kan Central Railroad Company for
Aa,ck Aaxsa. which. Il. is claimed, the
ktass wss deprived Of because OF thS
chlse STATEMENTS Of the road Tor many
yea,s ysgardtug its actual condIeion'
In capifaA isans, ete, aNoonts 70 o.
CSC. 1000 Both Thomas e. Barkwortn
and Otto Kirchner, who are associated
with Acknowledgement Blair, and VINO
were together yesterday afternoon at
Mr.. Kirchners once putting on tho
finishing touches to the bill OF COM
plant which is to be fled in the cir
cult court of Ingham county, say that
the interest will bring the total amount
to which, they contend, the state Is en-
titled, TO the enormous amount or
$1,000, 900. The amount OF damages
for which the Michigan Central is
suing the state for the repeal OF Its
special charter is $6,000,000.
1.-THE only defense the company has"
said Mr.. Kirchner, "is technical one,
that we did not find 1t out soon enough
and that the statute of limitations pro-
tects it. Well, If that is so, there is
some satisfaction in putting 1t on rec
ord"
eyes," put in Mr. Barkworth, "and
a mighty poor defense, in nay opinion,
It is."
"Our answer to that" continued Mr..
tKirchner, as that the statute of linn
itations will not help anyone who will
fully withholds information which in
itself would constitute a cause of ac-
ton"
, Didn't Make Report Specific.
In the information of the state
against the Michigan Central, after
rec1ting the act Of March %, 1916,
whereby the Michigan Central was Gre
ated and the act Of Feb. 10, 1855,
amendatory thereto, allowing the COM
pany to extend its lines without the
state and increase its capital stock,
the attorney-general goes on to say
that "the said company did not make
the report specified in the said section
80 to the secretary OF state, but design
edly made reports not in accordance
With the actual requirements Of said
section, emitting some Of the items
therein embraced, and making false,
fraudulent. deceptive and misleading
statements with respect to other items
thereof"
The information says that all Of the
capital stock was not reported, nor
was the amount of all loans made pub.
lie, and that through such false reports
"the basis adopted for the payment
and receipt of the annual taxes was
through all the years since 1854 err
roneous, fraudulent and deceptive
Other derelictions alleged against
the company are: Failure to report the
length of the road in operation; the
cost Of maintenance, and the amount
Of other indebtedness Of the company,
besides that for material and work. 1t
is further alleged that the company
did not. after the year 1854, pay to the
state an annual tax OF three-fourths of
/ per cent upon its capital stock paid
in, including the 100000 of purchase
money paid to the state, and also upon
all loans made to said company for the
construction Of the railroad as pro-
vided for In said act.