The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-10-31

States circuit court of appeals in ST..
Paul yesterday.
The fact that his burly figure was
not visible in the court room afforded
relief to the people who are battling
with him for control of the property of
the Colorado Fuel and Iron company.
Mr.. Gates is seldom present when mat
tiers Of moment to him are pending.
But he was represented.
The hearing before Judge Sanborn
yesterday is the outcome of the market
raid made by Gates and his associates
a year ago last spring, when Colorado
Fuel and Iron took the center of the
speculative board, and 1t was an
nounced that Gates had made the coup
Of his life and got the property at his
own price.
He did apparently get control, but
there were those among the stock
question of who should direct the af-
fairs Of the company has been before
the courts in many guises since then.
Yesterday the matter came up in the
form Of a hearing on the petition of
John G. Osgood and some Of his fellow
directors of the Colorado Fuel and Iron
company for permission to appeal from
an order of United States Circuit Judge
Caldwell, appointing g. master in
the stockholders of the company, to be
held Dec. 10. A writ of supersedeas is
prayed for staying all proceedings I'M
til the case can be heard on its mer-
its in the United States court of ap-
peals.
A stipulation was entered into yes
terday by which the court sent to the
clerk Of the circuit court at Denver an
order granting the petition, which, if
~ fa7~11 md nI NV fnln 3, 1>.1
fore next Saturday, will, on that day,
become effective. This action was
taken because Saturday is the last day
upon which the order may be filed.
The hearing of the arguments on the
petition will begin this morning at 10
o'clock before Judge Sanborn.
Fight Began Year and Half Ago.
The fight for the control of the COL
orado Fuel and Iron company, which
possesses properties estimated to be
worth fully $50,000,O00, began in April
Is, 1901 when John w. Gates and some
Of his associates got control Of the
company. At the annual meeting in
August, 1901, J. ". Gates, J. J. Mitchell
and John Lambert, of Chicago, and J.
A. Blair, of New York, were elected di-
rectors of the company The board
numbers thirteen members.
Shortly after this election, a con-
troversy arose between the chairman
of the directors, John G. Osgood, and
J. w. Gates, Osgood claiming that
Gates wanted to sell the company to
the steel trust, which Gates denied.
The affair came to a crisis in July Of
this year, when Gates attempted to
control majority Of the stock for the
purpose of electing the directors at the
meeting, Aug. 20. In July Gates
brought successful action in New York
against the assistant secretary of the
Colorado Fuel company and the Knick-
erbocker Trust company, to compel the
trust company to permit him to ex-
anime the stock books of the fuel
company. He afterward brought three
suits in the Colorado state courts
against the fuel company to compel
an inspection of the stock books and
to require the directors to keep stock
books in accordance with the laws of
Colorado. One suit was abandoned by
Gates and the other two were de-
cided against him.
Gates then brought suit in the Unit
ed States circuit court at Denver to
invalidate the bylaws passed in the
interest Of the present directors and to
compel the directors to select the list
of stockholders found on the books of
the Knickerbocker Trust company.
Closing Out Stockholders.
The present management claimed
that any member holding stock at the
time Of the annual meeting had a right
| to vote. The books of the Knicker-
| booker Trust company are closed
| twenty days before the annual meeting
and the owners of stock by transfers
| made after that time would be without
voice in the meeting.
Judge Riner, of the United States
circuit court. decided the case adverse
| ly to Gates on Aug. 10, the night pre-
ceding the annual meeting. The con-
troversy was then at so acute stage
that 1t was feared that two boards OF
directors would be elected and there
upon George f. Bartlett, a stoekholder
brought an action in the state courts
and obtained an injunction against the