New-York tribune., 1909-09-15
UNITED WIRELESSSUED
CHARGE OF CONSPIRACY.
W. Scott Sims Seeks Triple Dam.
ages Under Anti-Trust La1C.

W Scott Sims. the inventor OF the torpedo which
bears his name has brought suit in the United
States Circuit Court against the United Wireless
Telegraph Company. the International Telegraph
Construction Company. Christopher c. Wilson and
Harry Shoemaker under the Sherman antitrust
law. and asks triple damages. the first amount
claimed being s3l. $50 making the total So O51 Mr.
Sims. who says he owns l25 shares OF the Inter
nationals stock charges in the complaint that his
loss has been caused by a conspiracy to sthe COM
petition and thus put the International company
out OF business
Mr.. Wilson is president Of the United Wireless
Company. and Mr. Shoemaker Is now a director
They hold the Offices in the International
company. The complaint says that the latter COM
pany was Incorporated in 1894 in this state with a
capital stock OF 10000. and established plant in
Jersey CITY Mr. Shoemaker who is inventor
Was the consulting engineer. and the company had
acquired the rights. according 20 the complaint TO
his patent. known as the radio telegraph system
and to all his inventions that might be patented
The Shoemaker system. the complaint says was
installed IN many vessels. and the company was
doing profitable business when the United Wire
less Company was organized. with a capital OF
s2oooop The complaint continues:
on July g. 1905. the United Wireless Telegraph
tent 10 stne all competition between the two COM
panies and TO absorb and destroy the business Of
Pany. bought majority Of its capital stock and
on acquire chattei mortGage for $500. and
Things began to happen then. according 20 Mr.
sims. lie says In the complaint that Mr. Wilson
made himself president. and installed the vice
president. the treasurer and the secretary Of the
United Wireless in the same positions in the IN
ternationaL They were s s Bogart W A Dibou
and c. c. Galbraith. Then the Shoemaker radio
telegraph system adopted by the Wireless
company. the complaint says. and large profits
were made installing IL in vessels II Is further
charged IN the complaint that the United COM
pany sued to foreclose the mortgage OF $3.50
which. the bill charges. was null and void and
then the Wireless sued the International in the
New Jersey courts for Ee.9I and got Judgment for
y342ss
on this Judgment the Jersey City plant OF the
International was about 10 be sold when a minor
ity stock holder. Philip {. Kullman appealed to the
courts for the appointment OF a receiver for the
International company, and the sale was stopped
kullman's petition Is recited I'm the complaint
and contains further charges against the United
Wireless Company He alleges that the officers Of
the International company acting in the interest
OF the majority stock holders. had executed a
mortgage I'm favor OF Dutlh. Smith, Mcmillan &
Co. Delaware corporation. for the purpose Of
"fraudulently hindering the National Electric Sig
Mailing Company" corporation which al thar
time brought suit against "the said International
Telegraph Construction Company on account OF
some alleged violation OF patent rights"
II was alleged by Kuman that the making OF a
mortgage was part of conspiracy 10 defraud
the creditors and minority stock holders Of the In
ternational company" and he added that the tudg-
ment obtained by the United Wireless Company
was not based on an honest debt. Mr.. Sims In his
complaint alleges that the United Wireless Com
pany owes the International large Of money
because of It's appropriation of the Shoemaker sys-
tenn The defendants make general denial.