202 F. 288 | W.D.N.Y. | 1913
An order to show cause to modify-the order of April 2, 1912, appointing a special examiner to take testimony within or without this district, to limit the taking of testimony to the. cities of Chicago and Buffalo, was granted on the ground of the respondents’ claim that they will be irreparably injured by a continuation of such examination at Pittsburgh, if the complainant is permitted to compel a disclosure of confidential relations existing between respondents and their customers, especially as many members of the complainant corporation are respondents’ competitors in business, who will profit by the frivolous and prying examination of witnesses in that city.
It has been necessary for me to read the record of the examination and the proceedings to punish certain witnesses for contempt of court in failing to produce books, papers, and documents described in the subpoena duces tecum, had before Judge Orr at Pittsburgh. The testimony already taken indicates that the respondents daily receive from their customers a large number' of orders for the purchase of shares of stock, necessitating the making of so-called trades, which several witnesses have testified are telegraphically communicated to the Consolidated Stock and Produce Exchange at Pittsburgh. If such trades are actually executed at Pittsburgh the respondents probably have not disobeyed the injunction of this court, for in such case the quotations or prices of sales, it might be presumed, would be the prices fixed on the floor of the Consolidated Stock and Produce Exchange of Pittsburgh. But the complainant urges that such trades are. not so executed, and that there is in fact no stock exchange in Pittsburgh conducted in good faith, at which such trades can be executed or completed. It appears that respondents have telegraph wires running from Pittsburgh into their offices at Buffalo, N. Y., and have business relations relative to sales of stock with the Consolidated Stock and Produce Exchange.
So ordered.