The copper country evening news. [volume] (Calumet, Mich.) 18??-1907, 1896-04-14

!, aud Hoyt as trustee under the mortgage
aud after notice TO them OF motion III
| the courts ia New York for an injunction
| for restraining the sale which had been
postponed TO March ?, 1896, they offered
| TO postpone the sale 10 June u, 1916.
| This postponement was made at their
request, aud counsel In your behalf im-
mediately began preparations TO lay the
facts which have disclosed TO you about
these bonds before the court IN Michigan.
| A statement of the claim made there In
your behalf is in print. and VIII be iur-
| u shed by the committee 10 such share
holders as desire To read IL.
After a careful examination oil the
| IN Ortgsge, one counsel has given an
| opinion that ON a true instruction oi
| the mortgage at the time the decree was
entered. only the interest was due upon
whatever valid bonds there were. The
decree for the full face value and interest
was obtained on an ex parte hearing.
the directors of the company entering no
appearance in your behalf and allowing
the question TO go by default as far as
you Were concerned. Our counsel state
their opinion to be this: That out of the
Sis, 900 bonds issued, $50. 900 OF them
are invalid; that as TO the $4,000 in
other bonds held by the Hoyts in one ca
pacity or another the circumstances con-
nected with the holding OF the 5000
bonds make il at least open TO inquiry
as to the validity of the remaining 10
bonds
"'Out OF the whole S115. 900 bonds is
sued it appears that 100000 OF them
were invalid; that six only Of them were
sold for 90 per cent of their face value in
accordance with the vote OF the stock |
holders, and the remaining $4,000
bonds are in the hands OF two Of the di- |
rectors either as trustee or partners. and |
were obtained under such circumstances |
that the burden certainly il upon them
TO prove their validity. At each time
that counsel went to the court in Michi-
gan in your behalf, seeking to Obtain
delay, in order to provide for what we
then supposed was an honest debt, we
were opposed vigorously by the president
Of the corporation, who appeared in per-
son, and argued that there should be no
granted TO the shareholders
Mr. Phillips replied to the foregoing
'eport in forcible language, claiming that
he New York management bad acted
airly, and that the proceeds oi the bonds
lad been properly expended upon the
lie recited the circumstances
nder which the bonds were issued and
enerally defended his clients from the re-
ections cast by the report. Mr.. Ashley |
Dok up the case for the compliments,
nd with much earnestness reaffirmed
hat the committee had reported, ac-
,ntuatlng the same with particulars
hich were quite as strong as the report.
would require columns OF space to re-
Eat all that was said, and space is not
valuable for that uae. The matter il to |
; thoroughly ventilated in the Michigan
'urt; and the findings OF the court will ,
st determine justice in the issue. Ire
Getting must have encouraged share
,lders good deal. Their counsel ap- ,
airs to be waging a vigorous warfare
their behalf Just before the meeting | ,
)sed Chairman Talbot inquired II the
or directors or any officer of
e company had any report or, state
mt TO make. There was no response"