Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1906-08-30
]. B. SAX SUED
FOR S32S2.14
ASSOCIATES IN "oTTUMWA
CROWD" ASK FOR ACCOUNT
ING OF MONEY
AlIege That Defendant Received $3.50
More Than Price Agreed Upon For
Stock Of Local Holders in Old Trac-
dion G. Light Co.

from WEDNESDAY, Dally.
Alleging that in completing trans
action in which the stock of the Of
tumwa men interested in the Ottumwa
Traction and Light company was con-
veyed to H. M. Byllesby and company,
of Chicago, ]. B. Sax secured $3.50
for which he made no accounting to
his associates, three of them, ]. H.
Merrill, j. W. Garner and Calvin Man.
ming have filed suit asking for an ac-
counting and Judgment against Sax
for their pro-rata share of the amount
The petition was filed this morning
In the Office of the clerk of the dis
trict court. 1t alleges that the plain
tlffs were stockholders in the Ottum-
wa Traction and Light company before
December 10, 1905, and that they to-
gether with Samuel Mahon, William
Daggett, deceased, w. r. Daggett, and
the defendant, had been interested in
the street car systems and electrical
plants in the city of Ottumwa since the
organization Of the original company
which used electricity as motive
power.
Decide to Sell Stock.
The plaintiffs claim that these men,
eign stockholders, became known in a
general way, as the Ottumwa crowd,
That they acted together in harmony
of interests. Further the petition
states that during the year 1905 the
stockholders desired to dispose Of their
stock if satisfactory terms could be
made. That negotiations were enter.
ed into with the "St. Louis Crowd"
composed of Francis Bros. & Co., D. r.
Francis, and ]. Scullen, but that these
negotiations fell through with after
these parties had secured quite large
amount Of stock in the corporation.
At later time the parties Interested
in the Ottumwa Gas, Light, Heat and
Power Co. became interested in the
proposition and also other parties re.
siding in Chicago became interested
The Chicago parties desired to control
all of the preferred and common stock
of the corporation, desiring either all
Of it or none.
H. M. Byllesby and company of Chi
cago are said by the petition to have
been the representatives of the Chi
cago people and the active party to the
deal
One Man to Negotiate Deal.
Further the plaintiffs claim that the
Cttumwa crowd decided to turn over
the negotiation of the transaction to
one of their number, J. B. Sax, he to
be assisted by Major Samuel ,Mahon
1t was understood that the defendant
was to act for himself and his associ
ates and that their interests were iden
tical.
Continuing, the petition claims that
an offer was finally made for all OF
the preferred and common stock of the
corporation. A number of trips are
said to have been made to present the
matter to different stockholders and tt
secure their consent to sell at the price
stipulated.
To Act Without Compensation.
Then the plaintiffs state that on De
cember 49, 1905, the defendant went tt
Chicago to close up the deal repre-
senting only himself and the Ottumwa
crowd and Lawrence Garner and H. w
Garner. According to the petition il
was the expressed oral agreement that
the defendant should act without com
pensation for what he should do. The
expense of the several trips made by
Mr. Sax and Major Mahon, it is claim
ed, were paid by the members of the
Ottumwa crowd, in proportion to the
amount of stock they held, as were
the other expenses of the transaction
1t is also claimed that all of the
other stockholders conducted their ne
gotiations through other channels, and
that Mr.. Sax only represented those
named
The petition then states that the de
PENDANT, in his negotiations with H. M
Byllesby & Co., at Chicago, insisted