The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1896-03-14
Butte Department.

& Boston, but it is alleged that an in
dependent reorganization will result,
and that while IL is unfortunate that IL
is necessary to close down the mines
and throw out of employment a large
| number of men, IL will eventually be to
the benefit of the community and no
uneasiness need be felt for the out
| come.
There is one interest i'm the affairs
OF the Butte & Boston company that
mas not been taken into consideration
IN any OF the proceedings so far and
may add greatly TO the complications
The Davis estate holds go 900 shares out
OF the total of zoo, 900 but was entirely
ignored in the last bond issue of So
ooo.oOo and all subsequent proceedings
In the management of the affairs Of the
company or in the courts. The stock
is tied up In the Massachusetts, courts
and is not in shape to be handled. The
directors OF the company and other
stockholders claimed that there was
no one legally authorized to represent
the Davis stock and they refused TO
recognize the administrator OF he
estate In the report of the last bond
issue IT Is alleged that the Davis estate
was represented by Robert NJ Morse
and Gideon Wells. as special adn,Anis-
traitors and that they voted the stock
IN favor of the bonding proposition.
me action of the alleged special ad-
illustrators is. however, repudiated by
the estate. At that meeting of the
stockholders 1S442S shares of stock |
were alleged to have been represented, |
making the necessary three-fourths. |
AT the meeting Of the stockholders ON
sept. s. 1883. Judge A. ]. Davis repre- |
sented and voted 1875, 96S shares in favor |
OF the proposition to issue the first |
Sl.OOO,OOO In bonds. Judge w. w. Dix |
on will represent the estate in what
action may be found necessary In the
present case. but IL Is not probable that
any action will be taken until after a
Judgment Is taken in the attachment
suit.
1t is stated that s. NJ. Crosby, presi-
dent OF the Butte & Boston, had ex-
pected to be named as one of the re-
ceivers but for some reason Judge
hnwies did not appoint him. The bill
IN me application of the loan and trust
company covered 40 pages of printed
matter and recttes, among other things
mat under the terms of the first bond
ssue the company agreed to set aside
innualiy 100000 from Its net earnings
'or sinking fund for the payment of
ne bonds at maturity. The new earn
ngs or the company during 1891 and
-o5z were more than sufficient to pro-
zoe Tor such a fund but the company
ilu not set apart any portion of the
amount required but on the contrary
'APehoed ITS surplus net earnings in
ne purchase of mining property which
we're not subject to the mortgage lien
lnu In other ways from which the
'ondholders derived no benefit or Sc {
urity. BY the order of Judge Knowles
ne receivers are authorized to issue
rom time TO time certificates of in
leptedness which Shall be a first lien !
sainst all the property and effects Of {
he COmDAnX in I
'rocure the funds necessary for the
,ertormance of the duties delegated to
mem; provided, however, that the
mount of such certificates shall not G
xceed 100000 without the further or 1
er or the court, and the certificates c
naII not bear more than 10 per cent. .
interest nor be sold at less than mar II
'hey are also authorized to do all such J
Gus as In their judgment may be !
eceSsary FOR the preservation of the 1
ights or the property of the company. v
1cluding the operation of the mines.
assessments and development work
~ the Teasing or all or any part of
ne property terminable at any time at :
ne option of the receivers by previous 7
ouce: They are directed to perform \
uch lapor as may be necessary to I
eep the mines from filing with water .
maintain the machinery In good or ,
en- and otherwise TO keep the prop .
rty intact.
Mr.. Couch is at present out of the
ate, and until his return nothing will
done towards active control on. ope g
ltion OF the properties. Some line of II
,tion VIII be decided upon on his re- q
irn. IL Is not probable. however. that
nyuhlng can or will be done towards %
lie operation of the mines until the o.
ending suits have gone to Judgment N
40 a reorganization of the company N
ade. es