The sun., 1918-12-05
MACKAY ENTERS
SUIT TO DEFEAT
CABLE SEIZURE
Burleson's Action After
Armistice Is Declared
to Be Illegal Act.
WILSON'S SPEECH CITED
Petition of Commercial Com
pany Charges Government
Ownership Is Goal.
WILSON'S SPEECH CITED

petitloned the courts yesterday to
order Postmaster-G General Burleson to
take his hands off the company'e
property and keep them off. A suit
IN equity was begun in the United
States District Court with the filing
Of bill of complaint. The company
asks that the Postmaster-G General be
enjoined from further interference In
the affairs of the company. Its sub
marine cables and land equipment
we're seized by the Government with
those of other cable companies by
proclamation OF President Wilson
dated November 2.
The seizure Is alleged TO have been
illegal on the grounds that it was
an exercise of war powers that ex-
pired with the signing of the armis-
lice and violation of the constitu
uonal provision against the taking
Of private property without due
process of law and just compensation.
It Is further alleged that the seizure
was made to bring about Government
ownership.
II is charged that the Postmaster
General, as one who has committed
himself to Government ownership OF
telegraphs and cables, is not an un-
ha
trusted the operation of the company
and its compensation for the period of
Government control.
The complaint was signed by Charles
E. Hughes and William w. Cook as
counsel for the company. 1t was
sworn TO by Clarence H. Mackay,
president.
Systems Taken After Armistice.
Order No. 1851, In which the Post
master General announced that he had
AIKEN possession Of the marine cable
systems and instructed that they be
operated without immediate changes
Is under private ownership, bore no
date. 1t is alleged in the Commercial
company's complaint that 1t was is
sued on OF about November 16. The
armistice was signed November II.
The company's leading contention is
that the war sded with the signing
of the arInistice and that the power
given to the President by Congress
July 16 to assume control of wire and
wireless systems for the duration of
The war automatically ended. To sup
port this view the complaint quotes
the following sentence from the ad-
dress to Congress November IL in
which the President announced the
signing of the armistice:
The war thus comes to an end, for
having accepted these terms OF arm
ist!ce 1t will be impossible for the
German command to renew it."
In this connection the complaint also
questions the validity OF President
Wilson's proclamation taking posses
sion Of all marine cables owned by
tompanes organized under the laws
Il the United States. The proclama-
ion was dated November 2. The Gov
ernment. under its terms, came into
theoretical possession Of the lines at
midnight OF that day.
Delay I'm Executing Order.
ne p!dlnLlII dleBeS LHdI IHo fTeSl-
dents proclamation was not legally
Executed until November Is. five days
after the armistice was signed. and
the same day on which the Postmaster
General issued order No. 1851.
IN summing up the complainant
contentious on this issue the bill says:
That the recent war is no longer
N continuance, 1t having been ter
minated beyond possibility OF renewa
IN November II, 1918. by an armistice
That said proclamation dated Novem-
Der 2. 1918, did not become a procla.
nation and was not proclaimed or an
nounced signed, countersigned, made
public or effective until after Novem.
her II, 1918, namely. about November
49, 1918, and that no seizure OF pos
session Of said cables was attempted
claimed or made until on or about
November 16. 1918"
Il is from the threat that lies ovei
rather than from actual interference
Up 10 this time that the company asks
relief. Pending the granting OF a per
hanent injunction ID petitions that tho
'ostmaster-G shall "be enJoinet
from carrying out his claim that HI
has taken possession and assumed
control OF your orators said marine
able system, and that the defendant
'S officers and agents. may be en-
'g.red from interfering with youl
'rators property or business afore
said. or from taking any steps oil
making any demands on your orator II
connection Herewith"
II is alleged that interference by tn,
Postmaster General would result II
treat injury to the company and b.
diverse to the public interest.
step TO Government Ownership.
The complaint attacks the attempted
-eizure Of the cables as a step pre-
l!minary to Government ownership
y alleges that II is the intention o
he Postmaster General to merge tn,
'onpany's stan and equipment will
hat Of the Western Union Telegraph
Company. whose cable lines also cam
within the scope of the President
Continued on Fourth Page.