, 1874-02-14
THE COURTS.
Suit by the Globe Insurance
Company.
The P O. B. Company-A Bank
rupt's Homestead,

4 COSTLY HpoRADO.

COSTLY ELpoRAno.
Reuben ?. Layton is again in trouble sbon+
bis Eldorado Ditch. About two months aco +.
tiled bill to restrain sale under a trus,-deea
obtained under false p1etences, and yesterday ha
rehearaed similar story, which il, in b1ief =.
follows: In May, 1879, one A. T. Rice, actin9
al agent for Clarke, Larton i Co., Of this citv
purchased sheEif's certificate OF eale Of tha
Eidorado Ditch, from Malthuer City to Burnt
River. The judgment on which the Shc,i1's
rale w1s made WAS said to have been obtained hv
default against the Malthuer Il Burnt Rxer
Consolidated Ditch & Mining Company Thomas
J. Carter and w. q. Packuood nretendsa
to hold the certificate which they soM
Tor 81, 7oo. Rice, as agent, gave notcs for this
amount in the name of the firm OF Clarke Law.
ton d. Co.
In September last, one of the notes, being IN,
$1,000 in gold, Was sent on here to the Manafa
turers Bank for collection. About the hame
time Carter borrowed $50 OF Lsyton Represent
ing himself to be the holder Of the notes IN
question, and promising to credit that sum On
the st, COO note. When that was presented, how
ever, no endorsement Of $50 was made, and tho
firm refused to pay. Shortly after, the panio
came, and Clarke, Layton l. Co. being ternporn-
| Eliy unable to pay anything, and Holmes. thu
Cashier of the Mauufacturers' Bank, PRESSING
them for payment, Layton individually raye
| trust-deed On certain lots in McIroya
subdivision at the ". 3 Of tho S. ". 4 Of
Sec. !. SO, 13, which was due in sixty days after
date. This has 1natured and is unpaid, and tho
Trustee has advertised to sell. Layton asserts
that the whole scheme is q swinule that tneze
never Was such corporation as the Mathuer
| Burnt River Consolidated Ditch aud Mining
| Company; that the Judgment and Sheriff.
| certificate arc void; that the consideration for
| the notes has wholly failed. Wherefore be asks
| that Holmes may bo restrained frcm selling
under the trust-dced, aud the sale may be de-.
| cided fraudulent, and tbs notes ordered to ba
| surrendered.
| TIE GLOBE INSURANCE coxPAN1's TROUBLES,
| 4 voluminous bill WIS filed lato Thursday at.
tornoon, in the Superior Court, by the Globo H.
| surauco Company Of Chicago. George T. Clarke,
! and A. F. Fawcett, against William II. Steven
sou, OF Fru.port, M1ch., aud wife. and tho Atlas
| Insurance Company. Tbs complaiuants stata
that the Globe, in November, ISL, opened its
books for stock subscriptions. Among those
who became stockholders was the defendant,
Stevenson; and, induce by him, Ciarke and
Fawcett subscribed Stevenson took 500 shares
and paid for them by 1000 shares OF stock in tho
FrultpoEt Magnetic and Sulphur Springs Compa-
share, which stock was accepted by the
! officers Of the Globe, Stevenson having
represented it as good, and the
came one OF the Directors OF tho Globa Insur-
ance Company, and Was chosen one OF tho
officers OF the Fruitport Company.
In August, 1872, the affairs Of tho Globe be-
came involved a1d tho capital stock impaired BY
the losses in the great fire, and By the failure Of
certain stockholders to pay for their stock. ~
meeting Of the Company was held and an agree j
ment was made to call for Is per cent on tla
par value OF the stock, or 10 ask tho stock
holders to surrender stock equal to 80 per cent
OF this amount held. Clarke and Fa.cett paid tho
Is per cent. Stevenson, however, surrendered
so per cent of his stock aud received new certii~
Gates to the amount OF S32 500 he having actually
had SIC, 500 worth OF stock before. OF this nav
stock hia wife ostensioly held $50 shares.
Conp1ainauts assert that they did not, and
could not, know of the value OF the stock in tha
FEnitport Magnetic and Sulphur Springs Com
pauy, but relied wholly on Stevenson, who as~
stock valuable, and worth $50 900. Clarke and
Fawcett hare since asce11ained that the stock ot
said Fruitport Company is not worth more than
10 cents on the dollar, nor has itever been wosta
more than that largo amount of stock has
beou issued in excess Of that authorized by sho
cha-ter. and the assets not more than equal to
thelabilities. When complainanta did diecoverthis
fraud. they Immediately offered to return the
Truitport Company stock to Stevenson, and d.
maudsd that LIE should surrender tho stock in
tue Globe held by him, which he refused to do,
and they therefore hare brought suit.
THE p. o. B. COMPANY.
An immeuse petition and bundle OF afidayts
appeared yesterday afternoon in company with
Mr.: Bentley, and asked to DO fled In The
petition 8 very minute AMI accurate account
Of all tha Comrany's doings sincc tbs
other things, it VAS mentioned TIA:
when the petition in bankruptcy was fled ~
}.tss f5a ssued to- es9
deed for s., 500 given IN favor OF ". D. Msth-
eney by the Company. Mr.. Bentley, attorney
for Herbert, now files petition to have sht
injunction dissolved aud Herbert allowed ta
,nI Efot13 p,.1
Eerbert, and others, and notice given that thu
motion to dissolve be called up before Jud3s
Blod2ett this morning.
A DAxKnUPr's HOMESTEAD.
In the case Of ". G. Pohlman, 4 bankrupt, tha
question was raised some time ago. whether,
when Z bankrupt had, previous to the p1cceed-
ings, conveyed his land BY trust deed, releasing
the homestead, such release would operate IN
favor OF fcEeditoEs, OF If the homestead exemption
must still be set OF to him, Judge Blodge!t Eeld
emption to Trustee, the homestead exemption
would remain to the bankrupt as against 81 othes
creditors.
ANOTHER TA1-F1oHrER~
The international Bank Of Chicago filed bM
against P. Ii. Cteaty yesterday in thu Clrcun
Court to restrain Cleary from collecting thst
on its capital. Tho motion for au injunction viii
be argued this morning before Judge Fa1xel-
UNITED STATES COURT.
Robert E. Hastings and John Y: Hastings sa esnr
menced an action against the Lakeside Publaa'
ing and Printing Company for $1,000.
BANKRUPTCY ITEMS.
Walter l.. Dladcn was adjudged bankrupt y
default, mad warrant issued returnable March
13.
In the matter at William P. Thompson ct Il.
a discharge was issued to Thompson.
Joshna DaT1eu was appointed Provisional
Assignee in the matter Of ". Frank Wentworth.
with liberty to take possession OF and rnn as
hotel In the usua! course Of business. I
Jacob Metz Was adju1ged bankrupt By CO..
fession. and G. ". Campbell appointed P1cfF {
sional Assignee. T
William ?. Cray fled petition against Paai
SutclifIe, manufacturer OF trunks aud Talses'
claims $500 due him on ten nosea
which have been unpaid for more than fourteSn t
days. 4 rule TO show cause was mnde Tor fen f
%. &
In the matter Of the Garden City Manufscta.- + +
ing and Supply Company Az order was made y, 70. E
the sale OF The Company's real estata vhlca ~ Il
mortgaged to A. 4. Hesing for $50, Wo, hna u !:
the Connecticut Mutual Life Insurance coz !:
pany for $4,000 additional The premises as F
Block Is In Walsh & McAfnllen's Subdls1slon O. i
The Z II Of Sec 20, 80, II. +
In the matter OF Robertson, Elsie d TO- ~
order WAS made for tho bankrupts to daasa1a " 4
the Assignee their books OF account OF e0oe
rauua uithir }un 3sva altar RarFicA. l.