Evening journal., 1917-11-15

and Company. who used the time to
which the company was entitled to visit
stockholders throughout the United
States and induce them, by arguments
as representatives Of the company, to
vote against requiring the defendants to
account to the company for the profits
realized by theIi on the purchased n
the stock OF T. Coleman dupont"
The petition alsv alleges that the de-
PENDANTS caused the heads OF depart
ments, superintendent Of plants at VIII
mlngton and in various parts Of the
country, anc other influential employees
Of the company. to influence the en-
ployes in their various departments or
under their control TO vote stock held
by them against the resolution, under
intimations that contrary course would
interfere with their standing with the
company, their present employment or
their hope Of advancement, and as a
result thereof 1929 officers and en-
ployes Of the company holding 1868
shares voted at said meeting; all Of
whom except three holding 452 shares
voted against said resolution requiring
the defendants TO account to the COM
pany for their profits aforesaid
petitioners further show that some
OF the defendants. by direct represen-
tation or through officers OF the COM
pany, induced stockholders TO vote
against requiring the defendants 10 ac-
count TO the company for their profits
aforesaid. by Suggestions or statements
to the effect that II the company re-
quired the defendants to account to II,
they would resign their positions with
the company, and. as result large
blocks OF their stock might be put on
the market. and thus a greater loss
might accrue to the company than
would be compensated by tho profits
which the defendants would be required
to pay into the treasury Of the com
pany.
petitioners further show that after
the decree had been entered In this
cause and before the meeting Of the
stockholders on October TO- 1917, the
defendants. while officers Of the com
pany, induced stockholders to vote
against the resolution by showing to
the larger stockholders, with the un-
derstandlng. however that they would
treat It entirely CONFIDENTIAL what was
claimed to be the opinion Of eminent
New York counsel, a former justice OF
the Supreme Court Of the United States,
given TO the defendants to the effect that
the decision Of this court that the
profits on the purchase Of the stock
Of T. Coleman dupont had been OBJ
tained by the defendants in fraud OF
the rights OF the company was erron-
eous. and representing TO such stock
holders that such eminent counsel sits
as an upper court"
While the name OF the ."eminent
New York counsel" referred to above
is not given In the petition, IL was
reported today that he is Charles f.
Hughes, who resigned from the SUI
preme Court bench to become the Re
publican nominee for President.
The letter soliciting proxies in be-
half OF the defendants sent out by II
NJ. Barksdale, ]. A. Haskell and C. L.
Patterson is set out in the petition
which adds:
petitioners show that this letter to
the stockholders by three Of the d.
rectOrs and three vice-presidents OF
the company, enabled the defendants
to use the influence OF the company
itself through its paid officers, to Sc
cure proxies OF stockholders In an
effort OF the defendants TO perpetuat'
their fraud which had been adiudgeC
! by the court in It's decree"
The letter OF T. C. dupont, address
cd to the directors OF the duPon
| Company, also Is set out in the petl
tlon, the letter concluding:
81 think II fair that the stockhold
ers should know directly from IN
that / believe that they have no rlgh
or interest whatever in the stock whic
/ formerly owned. and that If Tor an
reason the sale to Mr. Pierre S. du
Pont was not effective. then the It'll
to stock is properly mine
The petition alleges that 4. c. du
Points letter was sent out to Great
"the impression upon the stockhnider
that the court was in error In III
finding. and that there was no frauC
on the part Of Pierre S. dupont anC
his associates. and further. that ever