New-York tribune., 1909-05-21
DENYEXPRESS CHARGES
n +. PL4TT 4CTIVE YET.
Tinted States ASSETS $1,000, 900
Earnings Fell Last Year.

-, United States Express Company had its day
40 she Supreme Court yesterday and through ex
-s,,ce Morgan J. O'Brien denied every allegation
-. in court Monday by counsel for John l.
-5ev in the latter's application for mandamus
e-r,jtting him examine the books OF the express
rorppany his action for d receiver and for the
dissolution Of the company.
The Dudley charges included many counts Of mis-
-,.nscement and wrongdoing the part Of officers
md directors Dudley. the plaintiff. is the holder
If one hundred shares Of stock, and directs his
spplcstion for mandamus against Edward T
pat as treasurer. although all the officers and
sirectors are defendants in his suit.
The answer Of the defendants-vhi is no less
voluninous than the charges-gives an intimate in
hight into the company's affairs. It offers assur-
snce that the officers and directors willing 10
furnish 70 the shareholders every reasonable oppor-
,unitv 10 investigate; that full reports Of assets
and earnings are file with the treasurer, and
rbat annual reports file with the Interstate
Commerce Commission and the Public Service
Commission.
Edward T Platt- speaking through counsel, char
screrizes the charges malicious and unfounded
accusations" Similar language Is used in the an
,Eering affidavit the charge that the officers
and directors are "appointees and puppets Of
Thomas c. Plat" As 5y2e allegation that eN-
Senator Platt is unable through physical weak
ness 10 attend the ordinary and usual duties of
presdent that he seldom goes his offices and
that his services practically OF no value, the
answer is:
SalG lRpnaS = EHatt does lafthiDiN aitelH 10
the once II the company daily. with the eNceP-
ton Of SATURDAY. and participates in the conduct
of the companys business.
In his affidavit Edward 7. Pratt denies Dadley $
statenent with regard 10 certain alleged charges
being made within the last two years hy large
number Of shareholders against the efficiency and
honesty Of officers and directors and attacks the
so-called committee consisting Of A. /. Banister
ard Samuel : HIATT. whom he accuses Of conduct
ing an attack since April, l2y1 against officers and
directors Of the company by issuing misstatements
of fact He denies also that their Investigations
have been hindered.
Mr Plat. says that the officers and directors are
managing the company with the utmost integrity,
efficiency and economy" he quotes statistics show
ing that the earnings from express business
fo- the year 1905. following The financial panic
were only 49, -. about S5elo less than Tor
the year previous. Nj Platt says:
As shown by the records in 1880 the assets Of the
company DID exceed $2,5ea.0uo exclusive OF the
Baltimore ONO contract II Is n9l li9e & Lii 5 ne
1G Although the nominal par value OF the inter-
on information and belief. no such sum of money
was ever subscribed to the capital OF the company
II has been the policy Of the officers ana directors
10 accumulate fund equal 70 the face value OF
Outstanding shares. together with reasonable sur
out of its net earnings, and over ana aooNe us rs
smo,niinr 10 over 50 zoe Although the com
pany has been existence since 1874, about one
half Of this amount has been accumulated during
the existence Of the present board-JhaJ Is to say.
since April leOl-and the same time the company
has been able distribute among its shareholders
fair rate OF dividends
For the year ended June 90. 1875. the total net
income Of the association was S5i0Ii3 % ne net
earnings from the operation OF the express business
So 73s s. For the year ended June 50 ~
the net earnings from the operation Of the express
business S5i4 .e95 -.
The decrease in net earnings followed the genera!
decrease in business following the financial panic
which occurred the fall OF 1917. the exceedingly
eApensive requirements and eXaCtiOnS OF conlillS-
Sions created BY national and state governments,
Increased cost transportation owing 10 The con
tinuaIv increasing exactions Of railroads for hSIer
percentages under contracts for express service
and the increased cost Of labor and supplies ..
Statements showing earnings and expenses y
months m - and including the month or FEBRUARY
$40 -. on 6Ie in the Office Of the deponent I'd
1srd T Pla-t. where they can be inspected nf llle
os-iriore~ or auv other shareholder these reports
indicate 70 the best Of the deponents know leiEe
and heller that the net earnings from express blsl-
ness for the year ending June 81. 1873. VIII snow A
large increase over the net earnings for the year
ended June 81 1905
Mr o Brien, his argument. said that the
United States Express Company had assets OF
about 100000. and that the proceeding was an
attempt Of a small number OF stockholders 10
Hrest the control Of the company from the pres
ent management Justice Guy asked from what
sources the capital Of the company had been IN
creased. E1-Justice O'Brien replied that Il was
entirely from the conpany's earnings
Justice Guy reserved decision