New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-02-16
GRAND TRUNK RECEDES|
Denies Corporate Legality OF
Southern New England.
CHARTER is CALLED VOID
Signature of Charles M. Hays
Declared Not Binding in
Dissolution Suit.

Concord. y. H., Feb. 1.-THE Grand
Trunk Railway Company, Of Canada,
filed to-day in the Superior Court for
Merrimack County bill in equity 10 test
the legality of the Incorporation of the
Southern New England Railway Com
pany.
The bill quotes the articles of incorpora-
ton filed at the office of the Secretary OF
State and says that what purports to be
the signature of the Grand Trunk Rail-
way Company. of Canada. by the late
Charles NJ. Hays. the president, is not the
legal and binding signature of the Grand
Trunk Railway Company. but was his
unauthorized act. and that il was beyond
the power of the railway company TO blnd
itself TO the purchase of the shares Of the
capital stock of the alleged railroad, and
that the act is therefore void.
Ii is further alleged that the route set
forth in the articles of agreement does
not describe a route within the meaning
or contemplation of the statutes; that the
ful! amount of the capital stock. I,Or'VO
was never legally subscribed in goou faith
by responsible parties. and that the sub
scriDtiCn of the Grand Trunk Railway
Company was not the legal subscription
or that company. ard that the subscribers
10 the articles of agreement never became
= CORPORATION, provisional or otherwise,
and never possessed authority TO organize
and eject officers.
The bill describes the organization of
the company and the vote of the directors
on January 80, 1913. levyinG an assessment
OF s. a share. Counsel for the road con-
tend tina, this vote is void, for the reason
TINT the assessment was not levied 10
ray the expenses incurred in making the
necessary surveys. etc. but was levied
chiefly 10 pay expenses alleged TO nave
been incurred i'm the campaign TO secure
q charter for railroad from the Legs
iature of New Hampshire. purpose not
within the powers of the corporation.
Ths complainants ask that the South
crn New England Railroad and its OIL
GERS and agents be enjoincd from taklnS
any action for the purpose of establishing
the corporation as q permanent railroad
corporation, and that the subscription as
levied against the Grand Trunk Railway
Company and the other compliments re
declared void.
Providence Feb 15.-"This has nothing
whatever to do with the proposed line
from Palmer to Providence said Vice
President John S. Murdoch, OF the South
orn New England Railway, speaking To-
DAY of the action brought for the disso-
luton of the Southern New England
Railway Company in New Hampshire.
This move" he added. concerns only
the stretch planned TO be built from
White River Junction, VT to Boston, and
10 action of a similar nature is expected
to be taken in connection with the
Palmer to- Providence route, which VIII
DC completed as soon as financial condi-
tons warrant.
The Southern New England Railway
Company has distinct organizations In
New Hampshire, Massachusetts ana
Rhode Island The present suit affects
only the extension proposed TO parallel
the line of the Boston & Maine Railroad
IN New Hampshire.