The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-08-05
HALE AND NORCROSS SUIT,
M. w. Fox Speaks of the Great
Victory Gained in
Court.
THE CAREER OF H. M. LEVY.
Representatives Of the Hobart Es-
tate VIII Apply for a
Rehearlng.

M. W. Fox, who gained a great victory
by the Supreme Courts decision, rendered
on Saturday in the Hale & Norcross suit,
was congratulated all day yesterday. In
| reply to an inquiry as to whether criminal
| proceedings would now be instituted, Mr..
Fox said:
| That is matter which now concerns the
Grand Jury and the District Attorney. fought
this battle alone, without the assistance OF any
ofthe stockholders OF the robbed mine. For
my part shall never swear out warrant for
| the arrest of Alvinza Hayward, II. NJ. Levy or
| any other person connected with the litiga-
| ton. The facts were placed before the public
when the complaint was filed in the Superior
| Court. The information has since existed, and
1t exists now. 1t is for the authorities to act If
they deem best.
l began this suit because my rights as a
stakeholder were ignored. went to Harmon
long time ago, saying that as | intended to
visit Virginia City wanted as stockholder
to look at the ore body and therefore would be
pleased if he would give me permit to enter
the mine. He said to me, "Why, Mr.. Fox,
that is not necessary. ] will write to the SUI
perintendent and he will meet you there and
show you through the mine" When l had
transacted some business in Virginia City
went to the superintendent and asked him if
he had received a letter of the kind from San
Francisco that had been promised. He replied
in the negative and told him the story. Then
he said: "Why. Fox, did that old - --
- Harmon tell you such story. He knows
very well that / cannot admit you on his
orders" l asked, son whose order can you
admit?" He replied: "The order of Sam
Jones will allow you to go in Then l tele-
graphed to my secretary here to see Harmon
and ask what was meant by telling me that
could see the ore body. Harmon reflected
moment and responded: This man Fox is
always misunderstanding somebody"
saw the ore being taken away at night and
this to go on?' He answered, 81 am here to
take out the ore-not to dispose of it,"
While this case was pending in the court, a
year or longer ago, an emlssary from the other
side came to me and said, "Fox, why cannot
this dispute be settled?" / answered, ''There
is no reason why it cannot" He pursued the
subject further, asking on what terms 1t could
be settled. replied, "By paying to the stock
holders of the company the full amount on the
face of my complaint" He replied, "Gou can
get the full amount of your claim, $2O0,0 600.
with interest l am authorized to pay you
$500, 900 if you will sign this stipulation (pro-
ducing the paper dismissing the complaint"
/ told him that would not dismiss the suit for
any amount.
Concerning Leyy's career Mr.. Fox said:
Fl. NJ. Levy, who figures with HAYWARD in the
litigation, first came into prominence during
the Sierra Nevada deal in 1879. He knew the
superintendent and got inside information
concerning rich developments in the mine. In
through friendly support, $40, 900. He con,
tinued inspeculation, and through the assist
ance OF Hoefich, and the Indifference of
mickey anu got COnlrOl OF NOrcrOSS ana
| Savage In the fail Of 1886 the ore body was
discovered, and in March of 1887, Hayward
and Hobart took Levy into camp.
When asked if $500, 900 would REIN burse
| the stockholders for the amounts wrong
| fully taken from them Mr.. Fox said:
Four million dollars would come nearer the
| sum. know what has been going on at Vir-
| ginia City. / have had men working for tw o
! years to trace these robberies on the Comstock.
This community should be rich and prosper
hoo had nf
| 10000 and assessed for $50 600 900. The
| money has gone to rich men who conspired to
| rob the stockholders.
Mr. Fox maintains that the decision of
! the Supreme Court will impart greater
| security to people whose money is invested
| in mining properties. 1t will assist in
| breaking up schemes and conspiracies to
deceive and swindle stockholders.
| Attorney William Rix, one of the repre-
sentatives of the Hobart estate in the
litigation, says that a petition for re-
| hearing of the case is sure to be filed as
| the defendants, Hayward and Levy and
| the Hobart representatives, will not be sat-
| isfied to rest under conviction on the
| charge of fraudulent ombination. He
thinks that rehearing Will be granted.
"The defendants in the case cannot be
| satisfied with the Supreme Court decis-
ion" said Mr.. Rix. Neither can the
plaintiffs"
"And certainly the stockholders and the
| men who have been specializing in the
| stock with the expectation that the de-
cision of Judge Hebbard would be fully
sustained must be disappointed.
~ cannot go into the legal aspect of the
matter. but everybody concerned in the
suit has something to feel gratifed about.
| The decision is partially favorable to the
defendants and partially favorable to the
| plaintiffs, and both sides have an i'm
mense amount of litigation yet before
| them.
1.-THE Hale & Norcross case is yet long
way from settlement, and it is likely to be
| in the court for years.
'From the defendants point of view,
the affirmation of fraudulent action is the
most serious matter, though there is $210,
1877 80 that must be paid on the Judgment
| unless a modification of the decision can
be obtained on rehearing.
ut must be understood that the nature
of the alleged fraudulent combination is
technical matter largely based on negli-
only be supported in a civil proceeding,
and there is no other side to it.
"This charge and the matter Of $780,
1877 80 are the only issues absolutely de-
cided by the Supreme Court, and all the
rest of the case is to be gone over in the
new trial.
III think that the defendants can now
introduce new evidence enough so that no
material damages can be obtained in the
future proceedings. New evidence will be
presented by both sides. and, of course, it
is within the range of possibility that there
may be an award OF damages as nigh as
before.
"The Hale G. Norcross stock is pretty
sure to go up somewhat as result of the
decision. It went from 81 45 on Monday
of last week to 81 65 on Saturday, and /
think it may go up forty or fifty points this
week. If Judge Hebbard's decision had
been fully sustained the stock would have
advanced to four or five times its present
rate"
1.-THE decision is satisfactory so far as it
goes" said Judge McKissick of plaintiffs
counsel last night, '.but of course would
have liked it better had it been absolutely
final. had for months expected a modified
Judgment, but not quite as modified as it
is. / have not looked into the decision
very infinitely, but it is very evident that
it saddles the charge of fraud very clearly
on Hayward and Levy. That in itself is a
great point and on it hangs all the rest.
"The judgment seems to me to be positive
to the extent Of $4,000 and interest,
which will make the amount about $3.50 900.
Regarding the $3.50, 600 the decision is not
quite so clear, and leaves the question in
doubt as to whether this sum will be