St. Paul daily globe., 1894-06-30
DAKOTA TIN sWINDLE.
EKGLfSHMsN HAVE INVESTED MANY
MILLIONS IN IT..

New YORK, June 29.-Judge La
combe has appointed Albert A. Latoux
temporary receiver for the Harvey
Peak Tin Mining, Milling and Manu-
featuring company. Accompanying the
application for a receiver charges
of fraud are made against the trus-
tees of the defendant company,
Lewis May. James Flanagan, William
M.Dean, William Remsen. George Ehret,
Charles d. Despler, Herman knubel,
Louis d. Weber, w. L. Flanagan, the
estate of Frederick W. Foote, the estate
of Henry Clausen Jr.. the estate of
Daniel S. Appleton, Samuel Under
meyer and the Farmers Loan and Trust
company. Complainants in the suit are
Charles Fletcher, Henry Landon Maud,
Charles Edward Denny. Edward May
nard Denny and John Scudmore Sellon.
The history of the case as told by the
documents is briefly as follows:
The Harney Peak Tin Mining, Mill
ing and Manufacturing company was
incorporated under the laws of this
state April 16, 1854, to do business
in the Black Hills region of
Dakota. The principal organizer
of the company was James Will
son, and the trustees were William M.
Dean. Charles u. Despler. Herman
Knubel. Oliver F. Barry. W. J. Russell,
James Wilson and Charles NJ. Field.
An Issue of S5,0CO.000 was made at once
to purchase, as it is claimed. property
worte only $4,000. On Jan. 81 second
issue of s5,0O0,OO0 was made to
Oliver F. Barry as trustee, and the
following year third issue of like
amount 10 Henry Clausen Jr. The
English complainants afterwards took
part of the stock, which they now say
was issued to the trustees as a blind,
and that the books were SO juggled as
TO make it difficult to discover the
fraudulent conspiracy and:gains, which
they allege was divided among syndi-
cate of stockholders.
In 1890 an agreement was entered
into between Samuel Undermeyer and
Edward Sabine Barring Gould, Right
Hon. Lord Thurlow, and John Taylor,
of England. and the Harney Peak Tin
Mining. Milling and Manufacturing
company. by which~the Englishmen OBJ
tanned 10000 shares of stock at 500 par
value in addition to 81, $50, 900.
Only small sum of the money was
paid, but two subsequent agreements
were made by when the Englishmen
were to issue G1,000,000 IN bonds of an
English company, giving security for
the rest, which they failed to do. but
81, 100000 was put on the Black Hills
property, which was issued to the En-
giish company in part payment and
partly as security.
Another $1,000. 900 mortgage was sub
seQuently placed and about 400 mining
claims were purchased, but all attempt
was made to work not more than twen-
ty of them, and the only thing mined,
according to all affidavit of George
N. Hamilton, was LOCO tons of ore,
which has never yet been treated. The
Englishmen, who had invested between
S3,000.000 and $1,000, 900, becoming sus-
picious. sent over agents to investigate,
whom it is alleged round that the Amer
ican members had put up only $3.50, 900
in cash for all the property.
Samuel Undermeyer. it is charged,
while on salary of $1,000 actually rep
reSentS 100000 in casn and stock, and
others have received sums more or less
exorbitant.
Not more than 5000, 900. it is said, has
been expended in working the mines
and building the mills, aid the English
men want to know where their millions
went to.
The books of the company were
seized at 3S Wall street this afternoon
and SuDpGnaS served Oil the defendants.