The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1875-04-21

necessary tnat COnslueraDle amount oil
their stock should be sold that at the time
of such request, certain persons had circu-
lated in the city of London false reports,
to the effect that the mine was nearly en-
hausted had been sold to the plaintiff
company at an extravagant price, and that
false representations had been made affect
ing the sale thereof. That this defendant
declined TO comply with said request, and
notified the plaintiff company that be would
not consent to the sale of any portion of
the stock owned by him or his associates,
until a committee appointed by the said
board OF directors should proceed to Utah
and make an examination of said Emma
mine, and property, and report to said
plaintiff company as TO the truth of said
reports, and whether or not this defendant
or any of his associates had made any
Misrepresentation or false representations
in any respects in relation to said Emma
mine and property. Whcreupon the said
plaintiff company appointed i. Bridges
Willyams, esq, their deputy chairman, and
a member Of said board to proceed to Ctah
and examine said mine and property and
report thereon.
That the SAID Willyams was in all re-
spects person suitable and proper to
make such examinations, inasmuch as he
experienced in the smelling of silver ores
and acquainted with the value thereof.
That, under said appointment, the said
Bridges Willyams proceeded to Utah and
made a thorough examination of said
Emma mine ON or about the list day of
March, 1879, and four months after the
said plaintiff company had entered into
possession and operation of said Emma
mine and property, and after such eXami-
nation the said Willyams made his report
to the plaintiff company, in substance and
effect that the said mine was of greater
value than had ever been represented by
these defendants, or any person or party in
their behalf, and that all the statements to
the contrary thereof circulated as aforesaid
we're untrue; and the said Willyams made
large purchases of stock in the plaintiff
company upon his said examination. pay
| ing therefor more than the par value
| thereof.
| FAVORABLE REPORTS TO SHAREHOLDERS
That on the eth day of March, 1872. Il
meeting of the shareholders in the plaintiff
company was held in the city of London 4:
that said meeting was largely attended ;
that the chairman of said company stated
| to and publicly informed said stockholders
| of the facts relating to the purchase of said
| mine hereinbefore set forth, and especially
| the manner in which the past history and
product thereof had been asccrtanod and
verified, and of the appointment of said
| Willyams to make such subsequent exam
nation thereof; the report of the said Willy
ans upon such examination, in which re-
port, among other things, the sad Willy
ans stated that upon such examn ition he
did not find anything that did not fully
come up to the representation of the vend-
ers. And this defendant fully informed
| said shareholders of bis acts and statements
in reference 10 such sale, of his refusal to
| sell any portion of his stock until such re-
port had been received from SAID Willy
ans and the said stockholders being then
and there fully and truly informed of all
the acts and representations of these de-
| PENDANTS in respect to such sale, and of
the then actual condition of SAID mine,
from the report of the agent of said com
pany, then and there unanimously approved
such sale and of all the acts and statements
of this defendant in relation thereto. That
afterward and before the LIST day of June,
| 1872, another meeting of said shareholders
was held in London, which was largely at
tended by said shareholders and officers of
said company that this defendant did then
and there publicly offer and propose to pay
to all said shareholders who desired to re-
tire from said company the par value of
their stock, and receive a conveyance of
the shares of stock by them owned which
offer of the defendant was declined by all
such shareholders. That in the month of
June, 1872, Mr. John G. Stanley, another
of said board of directors, was appointed
| for the purpose of making and did make Il
report to the plaintiff of the then condi-
ton and value OF said Emma mine: that
| said director Stanley made thorough en-
| animation of said mine, and afterward re-
ported to the plaintiff that it was of greater
value than the vendors had represented or
the said Silliman reported that about the
list day of August. 1872, the said Anderson,
chairman of the plaintiff company, pro-
ceeded to said mine to examine the same
| that he remained at the mine, or in the
vicinity thereof for more than two months;
that he made thorough exhaustive exam.
ination thereof, aided by mining experts of
his own selection, in the absence of this de-
| PENDANT and his associate vendors, and up
ON such examination addressed this defend
ant letter, from which the following is Il
correct extract:
| WALKER House, SALT LAKE CITY,
Sept. 90, 1872.
My DEAR SIR: have been through
the mine, and am far more than satisfied
with what have seen. think il quite
impossible for any one to go through with
out full conviction that it is a mine of
immense wealth, and that we are in pos
session of splendid property.
And this defendant AYERS that at the date
of said letter the plaintiff company had
been in possession and occupancy of said
Emma mine for the period of nearly one
year that it had realized out of the pro-
ceeds thereof and divided among the share
holders nine monthly dividends upon its
capital. And this defendant, upon the faith
of said Andcrson's report on said NINE,
telegraphed in the agent of this defendant,
and said agent did purchase and pay fol-
on account of this defendant 1000 shares
of the capital stock of said company all at
price higher than the par value thereof
And this defendant AYERS that since the
said plaintiff company hath entered into
possession of said mine and operated the
same by its own agents and employees the
said plaintiff company hath made and di.
vided among its stockholders thirteen
monthly dividends upon its capital at the
rate of Is per cent per annum, amounting
in all to the sum of more than 5000, 900 in
gold coin.
| CHARGES OF DECEIT REPELLED.
|
true, as stated in said complaint, that the
silver ore in said mine has given out or be-
come exhausted that, although it is true
that the particular deposits heretofore
worked have diminished in richness and
value, that such diminution is common &c
ore deposits in all silver mines that in the
common and ordinary method of working
such mines, explorations by means OF
shafts, tunnels, and other excavations, fol-
the purpose of tracing the direction OF
lodes, veins, and masses of the ore, and OF
laying open and discovering new masses
and deposits, are usuallYpracticed and car
ricd on that in the management and work
ing of said mine, the plaintiff company has
been inefficient and unskillful during tt
possession thereof; that no such of any
proper exploration has been made, or at
tempted to be made in said mine during
the possession of the said plaintiffs thai