Show SUIT BROUGHT AGAINST i THE CENTRAL PACIFIC bew york march 17 the united states circuit court was asked yesterday by walter morehead and G E emia arnold minority stockholders of tha central pacific railroad a california corporation to declare null and void an fraudulent the of bonds is sued by the bouthern gou thern pacific company and the central pacina railway company the latter a corporation organized under the laws of utah and also of preferred stock of the central pacific ll ailway company the defendants a re the southern pacific company a kentucky organization the central pacific railway company 1 the central trust company as trustee 0 the first refunding bonds 0 tie central pacific ll ailway company hie united states trust company as trustee 0 the 3 12 1 2 per cenec bonds of the centra pacific railroad comparin comp ariy the union trust company as trustee of the south ern pacific as central pacific stock collateral boldn georgc joseph and ed ward william is bonn berdi nand hermann erdman C IL tweed gordon mcconald Mcp onald edward beit bernard iter and the central pa railway company the complaint states that the central pacific railroad i the owner of railways in the state of california and that laws of that state do not permit a railway corporation to isano bonds in excess of its capital stock in 1898 the complaint charges the individual defendants fend ants named organized under the lawa of utah the central pacific railway company that the central pacific kail way company was induced to transfer jail of its properties rights and franchised franch isei to the utah corporation the latter the complaint charges possessed no prope erty was without financial responsibility and the transfer made without consideration was void fraudulent and illegal and took away the constitutional rights of the rendering valueless their stock it is charged thai the individual defendants haing acquired possession of the california properties at once issuer of mortgage bonds upon it i in ece ig of its capitali Alion of about OyO alie bonab I 1 aed being of first refunding mortgage bonds secured upon the properties of the central pacific railroad and in addition of mortgage bonds ac cured upon the properties for a further cause of action the plain tin i allege that yi violation of the capital stock of the central pacific railroad company the individual defendants caused to be issued by tho central pacific railway company preferred stock of the la I 1 corporation which purported to en title the holders to participate in hi profits and earnings of the central pa railroad company in preference to its legally authorized shareholders |