4
until the
appleration for the apple of
on recommia made in
Care Not" on
Jam
of the vital importance of the fact that the actual individuals
in control of the aircraft were Communist sympɛthizers and
claimed to hold them on behalf of the Communist Government.
Nevertheless, never again did any one on the Nationalist amenion
side take any step in the court to obtain any order remedying
this state of affairs. Further in Cases Nos. 1, 2 and 3
our
NO
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the plaintiffs proceeded in a dilatory manner. They never filed
I believe they found difficulty in any pleadings.
establishing their position as plaintiffs.
12th December 1949. There was on this date signed between the
Chinese Nationalist Government and Chennault and Willauer
a contract under which the said Chenault and Willeuer
purchased all the assets wherever situated of CNAC and CATC.
It was alleged that this contract was assented to by the
Board of Directors of CHAC and by persons acting on behalf
of the shareholders of CATC, including persons acting on
behalf of the 20 Pan-American interest.
17th December.
Chennault and Willauer sold their interest
under the contract of the 12th December to a new entity
incorporated in Delaware called CAT. INC.
20th, 21st, 22nd. 23rd December. Application made to the
Hongkong Court to join as additional plaintiffs in cases
Nos. 1, and 2 Chennault and Willauer. Applications
rejected by the Chief Justice on the grounds that
interests of Chennault and Willauer conflicted with those of
the present plaintiffs. (N.B. Chennault and Willauer clearly
took the wrong step. They should have started a new case
themselves and the previous plaintiffs in cases Nos. 1 and 2
have withdrawn. Also the step was further wrong because
Chennault and Willauer had already on this date sold to CAT.
INC. and about the same time the defendants in cases Nos. 1,
2 and 3 applied to the court for the discharge of all the
injunctions. Game No. 3 was taken as a test case and the
Chief Justice refused to take off the injunctions. He said
he was asked to remove them on grounds of fact and law
w.ich could only be decided in the action. He pointed out
/also