The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-10-26
PAIGE SUES CASCADE COMPANY.
Serious Charges Against Stockholders
the Basis for Damage Claim.

Serious Charges against Stockholders
the Bssis for Damage Claim.
An interesting complaint was filed in
the superior court yesterday by II. G.
Paige. bsing an additional suit commenced
By him against the Cascade Fire and
Marine Insurance Company. including It's
receiver. c. A. Riddle, l.. V. Moore and
vie. DR.. Rufus IL. Smith, f. c. Hughes,
H. II. A. Hastings, the law firm of Hughes
4 Hastings. w. I. fvey. John Schram and
Argos Macintosh.
Peige In this complaint seeks to recover
p5.0C0 damages as the result of the alleged
middle in which the Cascade Fire aud
Marine Insurance Company IL said to have
sosten itself some time ago. In August,
is9i, the complaint alleges, the company
had been insolvent for four months, its
earital impaired. its liabilities had ex-
cseled its assets. its assets were invested In
worthless securities, FIVE losses exceeding
tle0oV wore unpaid: large portions OF its
capital stock were held by irresponsible
parties and its financial condition was
such as to render Its capital and the GER
Eihcates representing it of no value what
swr. Mr.. Paige alleges that the defend
ants knew of these conditions. On or
about June IS 1894. be says. he believes
that the defendants entered into q con-
spiraey 20 dispose Of their own and each
oihs-s' shares of the capital stock. and for
the purpose of defranding their creditors
In general and Paige in particular. Fur
Their. tbs defendants. by false and fraudu-
lent misrepresentation as TO the actual
condition of the company's Affairs. in
duce4 Paige to purchase $50 shares of
~. I'D.
don and II. A. Pratt Tho plaintiff.
Paige. alleges that the defendants repre-
sented that he. Paige. should be elected
assistant secretary of the company. and
also iha. the removal OF Judge Gordon
and II. A. Pratt as stockholders would
better improve the financial condition of
the company; that they also urged him TO
induce John ii. Hilton. with whom he
had confidential relations and who was a
man OF means. TO invest in the company's
stock.
Every ore of these representations, Paige
Gays. was false except that be was elected
sssiaiant secretary of the company. OF
tie shares purchased bv Paige nifty were
10 bis own name and 100 In the name of
his friend Hilton. The plaintiff says he
Paid &, 80 In cash, and gave his notes for
Nop about November l. 1891. lie further
alleged thar the defendants faisifed the
books whereby il was made TO appear that
Paige and Hilton had purchased the stock
belonging TO the defendants instead of the
stock actually owned by Judge Gordon
and II. A. Pratt. lie also alleges that the
sole object Of falsiiying the books was 10
relieve the defendants of their responsible
icy as stockholders aud to cast the burden
On Paige. On November - Paige claims
TO have FIRST learned that he was q victim
o. a conspiracy. and gave written notice
10 the stockholders that he and Hilton
seuld not recognize the transfer Of the
stock as being legal. Paige says he be-
keres. however that he Is personally iis-
BE for the debts Of the company. Ills
nnpaid subscription 10 the stock amounts
10 ss,T0 In closing he sets forth the
damage his credit has sustained. his name
dishonored. his means Of support taken
sEay, as we'll a. great mental injury lie
therefore prays for judgment for sSa.ooo