The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1902-06-16
ENDS SHALE SUIT.
Judge Hazen VIII Name Re-
ceiver For Company.
DissOlYes the Kansas Gold Field
Syndicate.
FUSS OVER A PROCESS.
Gay & Robinson We're to Guar
antee One.
They Failed to Deposit $780,
900 as Required.
'USS OVER A PROCESS.


Judge Hazen this morning dissolved
the partnership existing under the name
of the Kansas Gold Field syndicate and
Tuesday morning he will name receiv-
er for the company.
The suit to dissolve the partnership
was brought by S. S. OFT. A B. Poole,
George A. Poole and W. H. Poole
against E. W. POlndexter, z. 5. GUM
ton, A. 3. Quinton, H. p. Dillon, F. A.
Lewis, w. w. Manspeaker and Edwin
Scott.
The contest was based largely on the
validity of a contract for a process to
extract the gold from the shale in the
gold fields of Ellis and Trego counties.
The company controlled some 13O,OOO
acres of land. F. G. Gay and W. =.
Robinson entered into a contract with
the Kansas Gold Field syndicate to fur
nish a process. Gay and Robinson were
to experiment and If their process was
successful they were to form a syndicate
to operate on the 10000 acres of land.
The agreement was that Gay and Rob
inson would place S100,000 in the hands
of George E. ROss-IAeWin, of Denver.
If the process was successful Ross
Levin was to pay the 500. 600 to the
Kansas Gold Field syndicate and a new
syndicate would be formed. The old
syndicate was to have the 800, 900 and %
per cent of the stock in the new con-
Germ. Ross-Lewin was to be the sole
judge of the success or failure Of the
Gay and Robinson process. In deliver
ing his opinion Judge Hazen said: I'm
the case of S. s. OFT and others against
E. ". POindeXter and others there was
so much of the case the court will not
review it in detail I believe both sides
think the court skeDtical on this enter
prise
1T appears that in 1898 Mr.. OFT and
Mr.. Poindexter and others were i'm
pressed with the idea that there was
commercial value in Kansas shale- Then
10 of them got together to form syndi-
cate, each having q. tenth interest Fin
ally some one took a one-twentieth in
terest. Mr.. OFT also had some interest
in a process and in some shale. Poin-
dexter was interested in shale lands.
They went into the company which pur-
chased 1876, 600 acres of land. The COM
pany entered into a contract with Gay
and Robinson that they would put up
100000 with w A L Thompson, and
that If the process should produce val
ues a company would be formed with
them. This proposition was not carried
out and another made Gay and Rob
inson would put up 100000 with Ross
Levin OF Denver and II they found GER
tain values q company would be formed.
Levin, it seems. did not receive the
money but guaranteed the payment. It
is eontended that they wish to fulfil the
contract Since the case was brought
Robinson has gone into bankruptcy and
it seems that Gay works for a monthly
salary, which gies them no financial
Inc question IS Wn6LneT ElOSS
Levin can be held liable on tie guaran-
tee. IF he can not, then the contract
is void. The agreement Is plain. Gay &
Robinson agreed to put up 800 600 with
Ross Levin to be paid over to z. w.
POindexter upon a demonstration being
made of the shale carrying commercial
values that could be extracted with
profit
Levin agreed to pay over the money
Gay and Robinson placed in his hands
He was not liable until Gay and Rob-
insOn placed the money in his hands
| There is no question that this contract
is not in force and never was Row it
crops out that Levin was interested in
the Gay and Robinson contract. lie
was to pass on the contract in which
he was interested.
For more than a year nothing has
been done but they are awaiting the
Fahrig process to carry out this con
tract A fair consideration shows that
this contract is not in force and never
was It appears that the syndicate has
! only II, 900 acres OF land with which 10
fulfill a contract for 20, 900 acres of land.
/ COnsiderabl has been said about this
being a mining and not a common part
nership. There was a limitation letting
| people into this company. In order to
be a mining company the mine must be
! worked. Considerable was said about
more members wanted the partnership
continued instead of dissolved. The com
| pany seems to have only experimental
/ It seems that there was not harmony. ]
am certain that the company could moi
continue. My judgment is that whether
| a mining OF a commercial partnership
| that it should be dissolved. whether the
death of Tewksbury gives cause for dis
solving the partnership I will not decide
although I think it would be cause
| enough"