Daily inter mountain. [volume] (Butte, Mont.) 1881-1901, 1900-09-10

SUE DIRECTORS
ANOTHER CHAPTER ~ THE LITI-
CATION OF THE SUNRISE
MINING COMPANY.
INTENT TO DEFRAUD IS
ALLEGED IN COMPLAINT,
Alvin X. Godfrey Of minneapolis Is
the Plaintif-Wants Defend
ants to Pay Damages.

The complicated affairs of the Sunrise
Mining company of Granite county in
which a eumber of Butte people are in
terested, resulted to-day in the filing of
another suit in the United States court.
About a year ago the court appointed a
receiver for the property in the effort to
straighten out matters and it was sup
posed that the troubles of the stock
holders had been adjusted. The estate
Of William Thompson is made a defend
ant in the new suit but it is understood
that all of the stock owned by the late
William Thompson was sold some time
ago to James A. Murray, who purchased
it for St. Louis parties.
Alvin X. Godfrey, a resident of Min
neapolis and owner of 1900 shares of the
stock of the Sunrise company. is the
plaintiff and the defendants named are
Q. J. Mcconnell, administrator of the es-
tate of William Thompson, deceased;
Henry Williams, James L. Hamilton and
J. H. Harper of Butte: Angus A. Nc
Donald, Malcolm L. Mcdonald, Frank M.
Durfee and David NJ. Durfee Of Philips
burg and the Sunrise Mining & Milling
company. Mr.. Godfrey. in his volumin-
Gus complaint. alleges that he brings the
suit on behalf of himself and other
stockholders in the Sunrise company.
During February, 1899, the complaint
states. c. D.. Mcclure, the St. Louis mill
lionaire. was also a stakeholder in the
company. Mr.. Mcclure at that time
IIldue d request upon IHe OIlceTS ana
trustees of the company that they should
in the name of the company and for its
benefit commence an action in the courts
against the above-named efendant and
also against w. r. Kenyon, now a resi-
dent Of New York and Fred w. Sher-
man, now a resident of Utah, for dam
ages for having conspired against the
said defendant corporation. The djrec-
tors refused to bring action.
The complainant then appointed Frank
D. Brown of Philipsburg his agent and
attorney, in fact to make a demand
against the defendants to recover dam
ages which the company had sustained
by reason of the wrongdoing of w. R..
Kenyon and Fred w Sherman. Mr..
Brown urged the directors to hold a
meeting for the purpose of Investigating
the matter and e~ndeavoring to secure
held in July. 1899. and April, 1900. no ac-
ton was taken. The complainant also
renewed his efforts to induce the Off
GERS and trustees to bring action and
furnished them with all the evidence but
they refused and he now believes they
will never consent to do so.
Mr.. Godfrey alleges that on Jan. 20.
1897, the defendants and Fred w. Sher-
man were elected directors and trustees
of the company, F. NJ. Durfee being
made president. Durfee and Sherman
were the owners of 800, 900 shares, Of
which they had pledged 127, o29 shares to
the Merchants and Miners National
bank of Philipsburg as collateral secuS-
ity for an indebtedness, the remaining
1873, 81 shares being held by ]. H. Harper
as assignee of Durfee and Sherman.
Harper owned $500 shares and NJ. L..
Mcdonald 5000 shares.
Angus A. Mcdonald was then president
of the cha & Miners bank. The
complaint alleges that on March II. 1897,
A. A. Mcdonald, NJ. l.. Mcdonald, j. H.
Harper and F. M. Durfee, entered into a
contract in which the bank, Robert Nc
Arthur, David Sterrett, Mrs. Fred w.
Sherman, VIM. Thompson and Henry
Williams We're parties of the first part,
and j. l.. Hamilton, j. H. Harper, F. w.
Sherman and w. r. Kenyon parties of
the second part by the terms of which
the parties of the first part agreed to sell
to the parties of the second part 300, 900
shares OF the stock held by the bank and
j. H. Harper e tai. All of the stock was
to be placed in escrow in the bank, and
by the agreement the parties of the Sec
ond part We're to work the mines for four
months. pay the mi 81, Os3.76 to be APP
piled to the credit of Durfee and Sher-
man. pay Harper for an unknown party
1884. 73. pay Harper as assignee of Dur
fee and Sherman, $19. 341. 81, and also pay
Harper for other unknown persons ST.
745. 95. Unless the payments were made
and the mines worked the contract was
to be declared void.
Godfrey alleges that thereafter as a
part of the scheme to injure and wrong
the company and the stockholders there