New-York tribune., 1885-01-18
IHE COURTS.
Mr.. BURDEN ANSWERS A COMPLIANT l..
BROTHERS DIvULGE SERIES OF DIsAGkhh"ENi'
INTERESTED IN OTHER ENTERPRISES

MR.. BURDEN ANSWERS A COMPLAINT.
BROTHERS DIvULGE SERIES OF DIsAGRhE"hNi'
INTERESTED IN OTHER ENTERPRISES.
The Burden Iron Company, of Troy, was IN
corporated in 1891 with a capital OF S2,ooo'ooo 'o
A. Burden and /. Townsend Burden brothers' hao ioi
merly conducted the business as firm Disagreene"'
arose between them as management of the business
and neither was willing TO or could come TO inc
proposed for the purchase Of the interest OF tpe
The final adjustment reached by the formation OF the
corporation There 1000 shares Ut
81 900 each. OF these James A. Dur' M
den took 900; l. Townsend Burden, ooo'
and were put in the OF tho John l. Arts
begun by l. Townsend Burden against the company, MS
br6her MIR Arts and two other newly elected trustees
for the Appointment OF receiver and accounting In
his complaint l. T. Burden charges that his brother anu
ness into their hands to}fjury and that OF tne
company that these two defendants are nterestea anu
ful responsibility and building 1t up At the expense
OF the Burden Company that James A. Butuen n.y ns
that he has expended $4,000 OF the comlanys
money in fancy farming that he has been zee
rendered him unit attend to the business that III
November 1884 dividend ofi17 per cent was decarea
ngs profits surplus, and made 10 enable James a.
Burden to draw for large amounts on the c3pahy 70
meet his personal liabilities and tnat the m
refused to accede to the planhs reasonaoic IT,
quest to have the matter corrected; o,,.,,or
The defendant, James A. Burden mas jus, maui ha
to the complaint. The answer and the aidaVit when NC
makes to oppose the motion for temporary receiver %
tell long story OF unpleasant relations petween ,io
brothers For considerable time after their 'ater
death, he says, they worked harlnonousy % in
Then l. Townsend Burden began TO oppose his plans m m
every way and tried to frustratc all his purposes no
made agreements for the firm which resulted ID heS @ ~
osscs-in instance OF 100000 This hnaiiy eu 10
open rupture James wanted his brother 10 ouy @ gu.
his interest or that after price was aSeea on. ie
the others's share. This was not agreed to' anu
in Which JAMES should have one-haf the stock
and the controlling interest, t"o mn, ~ in
Of Town1ends portion hI,a being ~ oct bs t trustee
and to enable james to retain conlroinhe mteIcs.
This plan finally carried out But Few months avr
the formation OF the company Townsend Decihc
isfed with the situation and especially ~ holIls
smaller number of shares than his brother lie attp'e
to induce James to part with one snare anu m mJ m
found that lie could not as James alleges, pesai @ @
has since continued a sysiem OF c0npin' ~ ,b m
of which, in my judgment, this action Is part ehuep
myself in the ownership OF the stock oi the soinPanS,
James A. Burden denies any con piracy prtMeon
Mr Arts and himself lie that Townsend mas never
been expelled from the rlghiu exercise ot .ho t,
Of trustee and that his position mas shpy p.c .n"'
connot overrue the majority Mr. Arts has been In the
employ OF the firm AMI company Tor more thah tm,nty
two years. Is very competent and worth To the company
the $4,000 he receives lie was appointed anu llis
salary nxed that sum Oh the motion of j. Townsend
Burden himself. james A, Burden admits that ne u
interested In other enterprises but denies that ne hs
used the companies funds or patronage TO bud UP suc
companies Hcassers that he has not ovcrfa" MS dly
dends 10 any greater than his brother that Doh
have equally ndulged In fancy farming or similar
luxuries that his Gamessl health Is now quite good
enough enable him attend 10 the business and that
he has devoted much more attention To- u thah NJ his
brother Dr. I. VI. Markoc and DIR. Austin Flint very
that James A. Burdns avcrmcnts as TO his health Mr.
Artss affidavit supports him In other respects lie aso
shows that the management Of the company has bccn
conservative and safe After deductlng the IL per cent
dividend the company had Oh hand on january 1850
exclusive Of all Indebtedness l9l 600 After the pay
ment Of all dividends. the property OF the COMPANY Is
worth about 100000 more than when the company wa
organized in lSsl that the dividend OF !. per cent
represented accumulated surplus earned aud retained
In the treasurs for more than three year"