Eureka daily sentinel. [volume] (Eureka, Nev.) 1871-1887, 1881-03-31
PACIFIC COAST ADVIcES
Especial to the sESrrSEL.l
Judgment Rendered Against the
Bonanza Firm for Between
SsOo 600 and 5000, 900.

y uIkEHttU iii EhCnuCAGo
Bonanza Firm for Between
$4,000 and s9OO,OOO.
SAN Francisco, March 30.-This morn
ing Judge Sullivan, of the Superior Court,
decided one of the numerous suits institu-
ted by Burke against the Bonanza Firm.
The suit decided is that of Burke VS.. Flood
ct al. The complaint charged fraudulent
conversion Of only a few feet of mining
grouad, but the principles involved are very
important. The Judge held that resolu-
tionss of ratification adopted at the Con.
Virginia stockholders meeting were inef-
6cient, because not adopted by the unani.
nous consent of the whole body of stock
holders. All transactions except one were
held to be such that the stockholders might
have had notice from the books at the time
Of their character, or at least sufficient no.
tice to put them upon inquiry. Therefore
the statute of Limitation was held to have
run against all except one transaction, in
which Heydenfeldt purchased twelve and
one-half feet of ground from George w
Kinney. The interest of Floods party die
not appear to lave been disclosed to tn.
body of stockholders, and the books con
veyed no notice to put stockholders on in
quiry; so that one transaction was held t.
be exempt from the operation of the stat
ute Of limitation. Defendants therefor,
were required to account for the profits q
that transaction. This accounting must be
the Judge said, to the body of stakeholder,
constituting the corporation. All holders
of stock at this date will be allowed sixty
days after public notice given by the master
appointed by the Court within which to
elect to take the benefit Of the decree
and present their evidences of ownership.
The Court will provide in it's decree that
all parties failing to come in within that
time shall be foreclosed of all claims against
the defendants or either of them arising out
of transactions considered herein. On pay
ment of the several amounts that may be
determined to be due to parties ~electing to
take the benefit of the decree herein. the
| defendants will be released from all claim
against them arising on the part of said cor
porations or its stockholders. The 121
shares of stock issued in this transaction
became equivalent, by reason of several in
creases in the capital stock of the defendant
corporation, and the dividends of the Cali
fornia stock issued to the stockholders of the
defendant corporation, to G, 125 shares of
stock of the corporation defendant, and
1878 shares of the California Mining Com
babIs wiz WHO'LL blC " " a.
ton are to account for said shares of stock
or their value at this date, and for all divi-
dends paid on said shares of stock, as shown
by evidence in the trial, together with in
terest OF such dividends from dates of pay.
ment. Defendants are to be credited with
So, $50 actually paid for ground, with inter-
est thereon from April II, 1872.
1t is estimated that the amount Of money
Flood ct al. will be called upon to pay over
should they conclude not TO appeal will be
between $500, 900 and $500, 900. The de-
cision will have an important bearing on
other suits now pending, involving several
million dollars. The news of the decision
had no marked effect on the price of stocks.
SAN Francisco, March 30.-The decision
Of Judge Sullivan, in the bonanza case,
has been the topic OF general conversation
on the street this afternoon. Plaintiff
and those interested on his side of the
question, in this and other suits, express
great satisfaction, and hold that although
the recovery of a larger portion of the
amount at issue is in this suit, something
over $4,000, GOO is held by the decision to
be barred by the statute OF limitations,
the principle of which they commended is
fully established. They claim that in the
suit to recover the value of the tailings,
to the mount of S26, 000, 900, which is set
for next May, the statute of limitation will
be imperative, and that decision in their
favor is almost a foregone conclusion, as
the case Is much stronger than the one
to-day decided. The case will probably be
taken to the Supreme Court on appeal.
VIM. Alvord, and some 40 or so others,
have brought suit in the Superior Court
PRAYING for a writ Of prohibition, to re-
strain the Tax Collector from collecting
OF taxes on the supplemental tax that
last Fall the Tax Collector, claiming to
act under a special law applying to San
Francisco. made a supplemental tax list
after the regular tax list had been made
up and equalized. 1t is claimed by the
plaintiffs that they have paid all the taxes
legally due, and that the supplemental tax
list is illegal and void. The amount OF
property represented in the supplemental
list is $3.50 900, 600.
A Port Townsend dispatch has advices
from Sitka as follows: The Indians at
Hoochenoo are reported to nave burned
two of their number at the stake for some
offence not stated.
There is fifteen feet of snow at Takon
mining district. Experts and prospectors
are building cabins, in which to await the
opening Of Spring.
The sanitary and educational systems
imposed on the Indians at Sitka by Com
mauder Glass, of the slodp-of war James,
town, is meeting with decided success.
There is much regret at the prospect Of his
departure on relief Of the jamestown by
the steam corvette Waehsuttes.
A signal service station is being estab-
lished at Sitka.