Evening journal., 1921-06-16
ORDER COMPANY
INTOELECTION
Italian Star Line, Inc, Fail
ed to Comply With Char
ter, Court Holds
FRAUD CHARGE
is ALLEGED

On petition OF IdSq uale Ouiidi OF
New York. Chancellor Curtis has
appointed Victor Barsky as master
to hold an election Of directors Of the
Italian Star Line, Inc, a corporation
Of this State. Wilbur l.. Adams is at
torney for the petitioner.
In his order, the Chancellor states
that "it appears that an election OF
directors of the said corporation was
not held on the first Monday in Feb
ruary, A. d., 1921, that being the
day designated by the bylaws of
said corporation for holding such
election; and it further appears from
the said petition that ii would be
useless and futile that an order
should be made for the holding OF an
election of said corporation"
Mr. BarslSy Is to make his report
to the Chancellor at 10 o'clock three
days after the holding OF the cleo
ton. As to the time OF holding the
election is left to the master.
According to the petition of Mr..
Gulla. the Italian Star Line. Inc. was
organized June 13, 1919, with an au-
thorized capital stock Of $l,2OO.0O0
and in September. 1920. that amount
was Increased to $4,000. 900. The
petitioner is the owner Of 21O
shares of the stock. The corporation
had its local office at 927 Market
street.
In accordance with the bylaws of
the corporation, an election OF di-
rectors should have been held last
February, but no such election was
held
The petition states that the United
States District Court for the south
ern district OF New York, at the in
stance and request of the United
States Shipping Board, which was a
creditor. appointed George e. Nc
Cam as receiver.
E. Paul Yasselli, president OF the
ship corporation. has been indicted
by the United States grand jury OF
the southern district of New York.
charged with commissions OF crimes
alleged to have been committed by
him in the transaction. conduct and
management OF the business OF thA
corporation since the appointment Of
the receiver the petition sets forth.
The petition states that there are
$500 common stockholders, all Of
Italian birth or parentage. most Of
whom were Woodworking, illiterate
and easily Influenced men and wo-
men who fell prey to the false and
fraudulent statements circulated by
advertisements and otherwise"
Mr.. Gulla, the petition sets forth.
was selected president OF a protective
committee organized by the stock
holders of the corporation. held in
New York, on March %.
The corporation, on April 2S, 1920,
purchased the steamer Liberty
Land" from the United States Ship
ping Board for $1,5S432O.75 on the
instalment plan, and, before the ap-
pointment OF the receiver, had paid
on account $15S.432.7S.
Application has been made in New
York for a rule to show cause why
an order to turn over to the United
States Shipping Board the steamer
Liberty Land. No ORDER or decree
has been issued by the court as yet,
however.
The petition charges that the will
ful failure. neglect and omission OF
the directors in not calling a meet
ing was for the sole purpose OF
avoiding civil and criminal prose.
eutions by attempting to prevent a
full and complete investigation OF
their several and joint acts Of FRAUD
and mismanagement especially II
the declaration by them and the pay.
ment Of dividend on the common
letOck