Daily inter mountain. [volume] (Butte, Mont.) 1881-1901, 1900-08-10
|sHERlFF'S SALE
IS POSTPONED
THE COURT TEMPORARILY RE
STRAINS HIM FROM SELLING
BANNISTER CO.'S MINES.
FRAUD ALLEGED IN
TRANSFER OF STOCK.
James W. Forbis Paid 100000, Be
lieving It to Be Without
Membranes.

James w. Forbis has commenced In the
o1str1ct court an action having Is its OBJ
set the prevention Of the sale Of the Ban
MS sale tomorrow. He has named as de-
tendaats in the suit Calvin M. Gates, the
Sheriff p. II. Regain Of Silver Bow County.
An order temporarily restraining the de-
PENDANTS from making the sale has been
able for hearing on September %. A bond
oa N.1O has been furnished by the plain-
TIT. In the complaint Mr.. Forbis states
defendant and the Bannister Mining COM
pany and that Alex G. Johnston is cashier
Of the former and secretary OF the latter;
entered into negotiations with the bank
for the purchase Of 17s. 1876 shares OF tho
Hannister r stock and also for the
claimed to be the owner on conditions:
that the bank alleged that the property
could be sold free Of All encumbrances FOR
owner Of the stock, and that the Bannister
company owned the cumse lode claim.
Further; that TIE bank had = claim against
property on a certificate OF safe from the
sheriff; that the total amount Of the claim
held by the bank against the Bannister
title in the Valley claim and all OF it's stock
to the plaintiff: that while negotiations
were pending, a; g; Johnston; as 2 repre-
sentative OF the bank. said he had no
knowledge of any other Indebtedness or
encumbrance on the property or the valley
lode claim.
Mr.. Forbis alleges that prior to the date
OF the agreement on the part r. the bank
to sell. Calvin NJ. Gates brought suit
against the Bannister company in the dis
trict court at Helena to recover Judgment
for 81. 1895. which sum he alleged was due
him for services as a Waterman at the
property; that the bank was well aware Of
the claim and suit. but fraudulently con-
cealed the fact: that on December %, 1899,
he paid the bank $500 on the purchase
he paid 5000 and $50. 900 more: that while
these payments were being made the bank
said nothing, about the Gates claim and
suit, and that Johnston and Powers. upon
whom had been served, allowed
the case to go by default, with the result
that on January 6 Gates secured a judg-
ment against the Bannister company for
.. after the plaintiff in this action had
paid the bank in full for the property.
Gates assigned his Judgment to the bank
and the latter certified 1t to the clerk OF
the court in this city for satisfaction; that
an execution was issued and Sheriff Regain
instructed to sell all of the rights of the
Bannister company in the Valley and Te-
cumseh lode claims.
T.. The property in controversy is located in
! the southern part Of this city and is valu-
able for both mining and residence pur-
poses. The ore taken from the vein of the
Tecumseh by the Bannister company was
very rich in gold, much of 1t assaying as
had been worked to advantage several
months litigation arose over a side deal OF
some of the parties interested, the vein
petered and operations suspended, since
which time nothing in the way of develop
ment has been done.