New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-12-27
Now Workers. Application
for Permission TO Bring
Action Denied.
Git AGAINST PRESENT
AND EX-DIRECTORS
u,;lI;am W. Niles's Lawyers APP
noiuted Special Counsel to
Conduct the Case.

,.,i. Dec. -6.-ReCeivers Of the ST.
san Francisco Railroad to-day
b"-'' dirsctcd by Circuit Judge Sanborn
"'' r-rited states District Court 10
I'D Wv restitution suit against present and
.r9 directors Of the railroad.
10, -s. order Of the court is qualified only
~, rroyiso that suits shall be brought
-. snccial counsel appointed to-day
-, that they can be successfully
maintained -.-, lii. -. 80.
I'd that such suits would he success
~ e generally agreed. as the attorneys
80 men who represented William ".
,-I,s of New York. a Frisco stockhold-
i, his petition for permission 10 bring
.i,r,iop suit. The suits are TO be
- IN the sale to the Frisco of feeder
g-.s that were promoted by syndicates
!, which certain Frisco officials were
members.
Tho order of the court to-day was two
s.Id-it denied the application Of Mr..
,.r,s for permission 10 file suit; ii dl-
-..,e5 the receivers to file the suit II
.ss;r counsel thought the action could be
maintained
The court appointed as special counsel
.,r the receivers John d. Johnson and
Ioomis Johnson, who were attorneys for
Niles These attorneys were given eX-
,lrs,ye charge of the suits, which there
Nv were taken from the jurisdiction OF
2. Evans. general counsel for the
Frisco Railroad and Henry ;. Priest
counsel for the receivers.
Attorneys for Niles had argued that
the receivers were not the proper per
sons 10 briu- suit because two Of them
" c. Nixon and W. 3. Biddle-had been
,,osslv associated i'm Frisco affairs with
hose whom il was desired to sue.
Judge sanborn ruled against this point,
and held that the receivers were the
proper persons To bring suit. However,
he vested exclusive control Of the suit
in James W. Lus6, chairman OF the re-
eeiyers. who was appointed receiver less
than a month ago. Mr.. Lusk, who lives
in ST Paul. previously had no official
connection with the Frisco.
Judge Sauboru iu his decision was
careful 10 make plain that he had
formed no opinion as TO the justice OF
the allegations against former officials
Of the railroad He said.
The transactions of which complaint
s made are so varied and complicated,
and the rights and liabilities OF the
PARTIES concerned are conditioned 10y so
many facts and circumstances, that the
court cannot form, and ought not to
form. any opinion concerning these rights
or the liabilities Of any party until each
Of the parties ir interest has had an
opportunity 10 present the facts on which
he relies and To- be heard upon the claims
Of the parties Interested, and no such
opinion has been formed or is minated
by the decision upon these petitions.
Springfield. Mo. Dec. 26-Suit AGAINST
the 81. Louis d san Francisco Railroad
asking judgment for $500 600 for alleged
excess rates charged shippers and uaN-
elsrs since tine Missouri rate laws have
been in litigation was filed in the Circuit
Court here to-day by Attorney General
Barker This is one Of twelve suits which
The ATTORNEY General announced he would
Gle in view Of the United States Supreme
Courts decision UNFOLDING the Missouri
Bo-ceut passenger fare and maximum
freight laws as constitutional
William " Niles. lawyer. Of this
city, whose petition 10 sue former Off
:srs and directors Of the St Louis y San
Francisco Railroad was denied by Judge
Ssnborr al 81. Louis yesterday, said last
neninc
judge Sanborns decision does not ne
cssafIy mean the final elimination OF
uy suit from the calendar. 1T simply
means that the receivers are given the
'ra opportunity to sue, and If the court
should later decide that they have not
reformed their duties properly any
sockfolder shall have the right To bring
cut"
Nr Niles. as the owner Of GO shares
li Frisco stock. on December asked
the Federal District Court at ST. Louis
,or permission 10 bring restitution SUITS
against the former Frisco directors ana
1afciais, charging eXorDitant syndicate
profits. ON the same day the receivers
,sked permission to file similar suit in
lfhalf Of Bridget Duffy, holder OF l"I