The San Francisco call., 1896-02-28
HALE & NORCROSS FIGHT,
Efforts of Jeremiah Lynch to
Rally the Stock
holders.
Denial That He Has Made an ALI.
ance With Robert F.
Morrow.

The contest which jeremiah Lynch is
making to wrest the control of the Hale
e. Norcross mine from the present board
of directors is receiving marked attention
in mining circles. He AYERS distinctly
that it is not his purpose to close down the
mine il be gets control, but on the other
hand he does propose to introduce meth
DDS of reform and economy in the man
agement. He says, however, that the
mine had better be closed than kept run
ming under what he calls 'the waste and
extravaganza of the present board
In an interview last evening Mr.. Lynch
said:
"Since my recent visit to Virginia City
Il am convinced that the mine can be
worked proftably to the stockholders
Yet, when 1 consider that since the first
decision of the Superior Court was rem
iered four years ago the sum of $500, 600
has been taken from stockholders in as
sessments, and in addition to that 500, 900
has been squandered, cannot be blamed
for saying that it would be better to close
down than continue running under such
waste and extravaganza"
"They take out an average of four tons a
day, and here and in Virginia City thirty
people are employed, all of whom live like
vampires on the stockholders"
Mr.. Lynch was asked what success he
the support of stockholders for change of
management, and his reply was:
There is every prospect that will con-
troll vast majority of the stock before the
day of election. Stockholders are coming
to my Office every day giving offers of sup
port. No, / cannot tell you now how
many shares of the stock we control, but
] mo will 11rrh md fa1r
chief objection, l find, comes from the
directors. Of the seven directors six Of
them do not own more than five shares
apiece. They have no more interest in
the mine than Congo African. OF
course, they want to keep themselves in
office, and flourish OF the expense of stock
! holders.
t'They have circulated the absurd rumor," !"
| continued Mr.. Lynch, ''that have made
an alliance with Robert F. Morrow to get
control of Hale & Norcross. Now, want
to affirm distinctly that have not made
an alliance with Mr.. Morrow or with any
other person who does not own stock [
rely for support in this contest on stock
holders who are weary of paving assess
ments to perpetuate a career of waste and
| miSmanagement. Since seeing the mine !
am convinced that there should be no as
sessment this year. and that mining ope-
rations should not be suspended. In Jan
Va bulo yCal tnc pIcScut UOaTQ e4-
/ pended $1,000. The work performed could
have been done Tor $4,000"
l Mr.. Lynch mentioned that there was
rich ore in the north end of the mine
which could be worked to the profit of the
stockholders, but, he said, it did not
serve the purpose of the present directory
to work it.
! In the Superior Court, when Judge Heb.
bard found that $750,OO0 should be re
turned to Hale & Norcross, he based his
estimates on car samples attesting tn,
value of the ore. The Supreme Court in
dicated that battery sample would hay,
been better or fairer test of the ore value
1t is cited as significant fact that Super
intendent Ryan subsequently testified tina
after battery cleanup had been made
showing $26 to the ton, there was found il
the mortar additional gold which brough
the value up to $39 per ton.
From this it appears to Mr.. Lynch tha
J the car sample is really the fairer test O
the two. No one he AYERS, Can approx
mate how much gold the mortars hat
withheld in the Comstock The mill
! have always been paying on the battery
sample, when much of the gold was mo-
. then shown.
The principal value OF Hale & Norcros
to-day is the legal assets. The, sum O
81, 900, 600 is Que the stockholders, and Mr.
Lynch is confident that it will be paid
The proper method to pursue. in the jud g
, ment of Mr.. Lynch. is to run the min
economically, cut off high-salaried yam
! pires and get an honest return for none,
/ expended.