Publication: Electrical World
New York, NY, United States
The Postal Telegraph Company.
The wires of the company were opened for business on Monday last between New York and Chicago and the intermediate points reached by the company's lines. The rate is to be a uniform one of twenty-five cents for twenty words between all points. This schedule was decided upon some time ago, but at a meeting of the Board of Directors held recently Mr. Hugh J, Jewett suggested that the company make its schedule identical with that of the Western Union. He was supported by Mr. Thomes Dickson, and to some extent by President Joel B. Erhardt. Mr. Jewett's proposition took the other members of the board by surprise. Some of them did not hesitate to accuse Mr. Jewett of acting in the interest of the Western Union, of which he is a director. Other very definite intimations were made, it is said, that Messrs. Jewett, Dickson and Erhardt were all acting in the interest of the Western Union Company. This open rupture has resulted in the resigantion of Messrs. Jewett and Dickson, and it is expected that President Erhardt will resign. All of the resignations will be accepted.
It is understood that all these directors have disposed their interest in the company within a few days, and that it has been acquired principilly by the other directors. When Messrs. Jewett and Dickson went into the board it is said that they gave the impression, or caused it to be understood, that they would turn over to the company the telegraph wires along their resepctive railroads, the Erie and the Delaware and Hudson Canal Company. Friends of the company say that no steps have been taken in this direction, and also that the course of the two gentlemen has been toward obstructing the progress of the company as a competitor to the Western Union. Mr. Jewett is a co-trustee with President George S. Cox, of the American Exchange National Bank, of a majority of the stock of the company. It is considered likely that he will retire from the office.
At the meeting of the directors in this city on the 8th inst., the resignations of Messrs. Jewett and Dickson were accepted. Their places were filled by the election of George S. Hart. Vice-President of the American Loan and Trust Co., and W. K. Soutter, of the Stock Exchange firm of Soutter & Co. Mr. Jewett also retired from the trusteeship of the majority of the stocks of the company, and H. L. Horton was elected to succeed him. United States Marshal Joel B. Erhardt sent in his resignation as president of the company, but not as a director. His resignation as president was accepted. The office will be filled at the next meeting. The company has made contracts with the Bankers and Merchants', the American Rapid and the Southern telegraph companies for exchange of business.
|Keywords:||Postal Telegraph Company|
|Date completed:||March 25, 2009 by: Bob Stahr;|