The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1914-01-23

of the Kauai Railway Company. when
Messfs. Alexander & Baldwin, Ltd, be-
came Interested financially In the Mat.
son Navigation Company.
| The above action reducing the earn.
ling power OF the Kauai Railway Com
lpany, and not only preventing the pay
ment Of dividends upon the stock of
said company; but ieopardizing the
CONTINUATION Of divideDls upon the pre-.
ferred stock Of the McBfyde Sngnr
Company, Ltd, TINS preventing the
McBrydc Sugar Company, Lid, from
borrcwiag further on tho stock Of Tho
Subsidiary company. Charge unsusi
tanned. f''s Yt
Charge Giving over the execu
tion Of said trust created nnder said
pooling agreement (stovk pooling agree,
inentl and indenfures to the personal
execution and performances Of and by
j. p. Cooke, with no adequate cheek OF
review, and often with no authoriza,
ton OF qeview whatever BY any other
officers, directors or stockholders Of
said Alexander a BALDWIN. It'd. IN VIC.
lation Of the obligations Of said trust,
| Whereby many irresponsible. reckless
and unauthorized acts were done IN the
name Of Alexander & Baldwin, Ltd, ny
said J.. p. Cooke. with the personal aid
and assistance Of said Wallace Alexan.
der, Elmer j.. Paxton ana Walter Il.
Dillingham;. No decision in report
Charge YIlTA--That the provision
requiring McByde Sugar Company.
Limited, n pay $4,000 per annufi. IN
payment and on account Of the new
bond issne. was in direct violation OF
the resolution Of the STOCKHOLDERS. All.
thorizing said new bond issue. IN that
said resolution expressly provided that
tile bonds to be issued were pavabIe
after ten years and abefofe twenty
years, provision neutralized by the
hoard Of directors In drawing the trust
deed, which Il permissible would war
rant the Directors m executing trnst
deed under said stockholdefs resolu.
zion, providing that the McBfyde Sugar
IC6mnahy, Ldmitsd ehonld nay the
whole Of the bond issue the first year
after the same was issued and sold No
decision in renort.
Nharge YlIIB--The Arrangement
whereby the trustee innder tia ori einal
bond issue of 80 .000, 900 was superseded
] by a trustee under the control Of mem.
bcrs Of the hoard Of directors Of Alex.
ander \ baldwin, Limited, the trnstee
under said original bond issue being
rnnneuvered cut OF the trust solely IN
the interests Of Alexander & Baldwin.
LII. and wholly against the interests
Of the stockholders Of the McHrvde
sugar Company, Limited Charge I'M.
Charge IX-Managing the property
and it's collateral companies and affairs
not in the interests Of the stockholders.
nor as required under the Trust. bnt IN
the interests and with an eve solely IA
the advantage, Immediate ana intimate
Of Alexandct 4 Baldwin. Itd.. and IN
terests controlled by them. Charge
/ dismissed VIZ ~
chctge XA--The redemption Of the
$laO,OOO bond issile Of the Kauai Flee.
the Comsany bvi Alexander & Bsldwfn,
Ltd. and the charging alp Of the samc
IN open account aeainst the NcBfyde
Sugar comnany, Limited, payable upon
demand, CharSe dismissed n
Charge XB-The redembtion by Alex.
ander baldwin, Ltd, Of the $75 900
loan from the First National Bank of
Hawaii, secured by Kauai Electric Com.
parry stock, and the charGine,up Of such
payments on open account payable on
demand, against the McBryde Sugar
Company. Limited, when the payment
Of said loan operated at once and III
revocablv to place said Kauai Electric
Company stock. given as security for
said loan, directly under the lien Of the
rain bond issue Of the McBryde
Sugar Company, Limited, az a frsl
charge thereon, thus preventing said
stock from being used thereafter ae 4
means Of assisting to raise money FOR
the McBryde Sugar Company. Limited
Charge dismissed.
The New Bond Issue.
The main allegation from Mr.. Kin.
pey was IN respect 10 the issuing of 4
new bond issue BY the agents. with
which to tefire the existing bonds and
whereby the rate Of interest was low.