St. Paul daily globe., 1895-04-18

means of such charges, utterly with
out foundation in fact, were enabled
Ito secure the co-opera ton of a ma
jority of the stockholders.
In view of the unwarrantable attack
upon the management there seemed to
be- no other outcome than
FINAL DISSOLUTION
affairs. 1t has been frequently asscr,el
that no necessity existed at the time
for placing the company in the hands
of receivers. The absurdity and unre-
liable character of such assertions are
best shown by calling attention to the
fact that the receiver has been OBJ
liged to borrow large sums of money
to keep the business in operation, not
withstanding the fact that he has con-
inued to claim the business was in
a prosperous condition, and that he was
making large profits for the stockhold-
ers. To carry out their programme and
give apparent truthfuIness and color
to the erroneous and false statements
repeatedly made and sent out, the re-
organization committee furnished e-S-
pertS to the receivers for the examina-
tion of the books, and as undoubtedly
intended and anticipated, it did not
take the so-called experts any great
length of time to furnish sensational
items for publication in the papers and
use by the reorganization committee,
to aid in carrying out their scheme. AT
the proper time, and in the proper
place, the startling revelations of the
so-called experts, paraded in the daily
press, will be fully explained. 1 de-
sire to say that every contract and
every item of expenditure and all of
the business of the company was with
the approval and in accordance with
the honest judgment OF the directors
at the time, and for the best interest of
the company.
After the receivers were appointed,
1 personally gave them all the assist
ance desired and would have contin-
ued to do SO. but for the unwarrantable
and unjustifiable assault upon me per-
sonally in breaking into my safe and
examining my private papers. l pro-
pose to resent this indignity and Ell
croachment upon my private rights to
the fullest extent of the law. 1t is a
weil-known fact that the receiver has
been, or will be in the future, a heavy
loser. The receiver kindly maintained
the combination prices, and stored his
goods, while competing distiilers
UNLOADED THEIR STOCK
at paying prices, leaving the receiver,
at the date of the disruption of the
pool recently, with his manufactured
product on hand, to be sold at less than
cost. while his competitors, selling their
goods at a profit, while he was main
tanning prices, can now afford to. and
undoubtedly will store, while the goods
OF the company are being put upon
the market at a loss. With such facts
before us, it required but little imagina-
tion to determine that the assets of the
company have been very materially
reduced since its affairs were placed in
the hands of a receiver.
JOSEPH B. GREENHUT, President.
The report was referred, and then
Levy Mayer moved that Mr.. Greenhut
be requested to resign as director His
motion was carried, but he positively
refused. Mr.. Mayer was on his feet in
an instant with a set of resolutions re-
moving Greenhut peremptorily. and
reiterating the various charges already
made against the official. The express
ident lost his temper. You're too
smart" he shouted at Mayer. You're
just about reaching the end of your
rope; no removal you make will be
legal" The resolutions were, how
eer. adopted, with only Greenhut dis
senting, and the Iatter's attorney filed
notice of protest, alleging the action
to be illegal. The election of directors
followed their terms of office being re-
duced from three to one year. There
was no fight over the election, the
slate having been prepared in advance,
and Greenhut's attorney simply gave
notice, that the election of seven men
was Illegal, as the eX-president had
not yet resigned. Several resolutions
We're adopted approving of the reor-
ganization committees action in seek
ing to recover trust property alleged to
be Illegally held by Greenhut, and CIV
ing the new board full power to take
necessary action regarding the 81, ,00O,-
OOO OF contested bonds. The directors
were also empowered to bring suits
against other eX-officers of the trust to
recover any moneys or property that
may appear to be due the corporation.
Just previous to adjournment a young
attorney appeared and served the pa
perS in the 900 libel suits. 1t was
said that the suits would allege various
misdemeanors on the part of the de
PENDANTS. In an interview at the close
of the meeting Greenhut declared that
the entire action of the day was illegal.
These people will find themselves
in a pretty fix with an
ILLEGAL DIRECTORY
trying to do business" he said. '"They
nave elected man to fill my position,
winch is not vacant, and consequently
can take no action that will hold. 7
will fight them to the last moment, and
they won't find the thing so easy as
they think. There are stockholders.
There was a Wall street meeting today,
and the whole thing is a stock jobbing
scheme"
The defendants in the Greenhut libel
suits professed to be much amused by
the affair. 'It is childish and foolish, -
said Levy Mayer; "of course we all
feel very sorry for each other, and par
ticularly for Gen. McNulta, but the
whole thing will come to naught."
Among the resolutions passed by the
StoShhOluerS was one winch provides
for radical measures in the handling
of the trusts bonds. The resolutions
gave the new board of directors power
to take steps to practically annul the
S1,OO0,OO issue of bonds which Greenhut
is charged with having sold to himself
and his associates at so cents on the
dollars. AT the time of the issue in
question the Greenhut management
authorized SS,OOO,OOO in bonds, and de-
posted $2.5OC.00O to redeem rebate
vouchers, but issued only $1,000, 900,
which, it is claimed, they now control.
Today's resolutions provided for the
issuance of the total $4,5OO,OOO, which
throws Greenhut into the minority as
bondholder, even though he still
holds the entire $1,COO,OOO first issue.