The Washington herald., 1907-10-25

A complete reorganization Of the Capu-
Eaya Mining Company. the funds of
which, amounting TO more than 81 200, OO0,
the district attorney alleges Eugene
Davis, vice president. and Edward c.
Bryan, secretary and treasurer, appropri-
ated to their own use. was decided on
yesterday by the Capuzaya Stockholders
Protective Association.
It was also decided. under the reor-
ganization to adopt a new name for the
company.
Both men charged in the indictments
with looting the eompany's treasury are
now at liberty on bond. Davis, accom-
panied by Attorney Henry f. Davis, yes
terday entered bond for $1,000 for his
appearance when wanted for trial. Mai.
Samuel H. Walker becoming his surety.
As previously stated in The Washing
ton Herald. Bryan was released Tuesday
night on bond furnished by Nathaniel NJ.
Ambrose.
A meeting Of the executive committee
Of the stockholders association was held
YESTERDAY IN the office Of Fred @. Norris
IN the Maryland Building. and plans We're
decided upon for the reorganization Of
the company upon a sound basis. The
stockholders appear 20 have confidence
in the assets OF the company. as repre-
sented by the group Of mines IL owns and
its machinery.
The affairs of the company were dis
cussed at length by Messrs. Isaac R.
Hit. jr.. president: Paul J. Pelz. vice
nd
+. j. HeighbergeT, Clarence D. N0urse
Fred g. Norris, Daniel Levy, and Frank
A Gillespie. who make up the executive
committee of the association. The OBJ
Ject Of the new company will be 10 take
care of all bona fde stockholders, and
persons who put their money into stock
OF the company in good faith.
Letter 10 Stockholders.
The reorganization Will be along lines
in strict conformity, the officers Of the
executive committee state, with the pro-
visions of the code regarding corpora
ti0ns. After such reorganization, an ap-
plication viii be made to the court
through Receiver Laskey, TO receive and
take charge Of all the assets Of the
company
Ii was decided yesterday To send out
10 al stockholders q circular letter re-
Questing the serial number of certificates
held by such persons, the number Of
shares OF stock represented, and the as
slgnment OF Endorsement on the back of
all certificates When the reports are
all in from these letters, the executive
committee hopes to be able to ascertain
the extent 20 which the stock of the
company has been overissued. In his
bin in equity. District Attorney Baker
charged that Davis ana Bryan had over
issued the stock To the extent OF S300000
and pOCketed the proceeds
The action OF the grand jury in indict-
ing Davis and Bryan. and that of District
Attorney Baker in having the affairs Of
the company placed in the hands or a Fe-
Ceiver, appeared 20 meet the approval Of
the stockholders who attended the meet
ing yesterday. The Protective Associa-
ti0n was formed about "a year ago. and
was brought about. il is said by the arbi-
trary action of Vice President Davis in
refusing stockholders permission TO look
al the books of the company, and in re-
fusing 10 furnish other information.
Mines Need Development.
To a representative Of The Washington
Herald. Fred G. Norris stated last night
that he had visited the group Of mines in
Mexico, and was satisfied that they were
valuable and. when properly worked.
would yield profitable ore.
Il am satisfied said Mr.. Norris, that
District Attorney Baker and Receiver
Laskey will cooperate with the efforts Of
the bona-hde stockholders I'm their reor-
ganizatiun plans, and viii place no OBJ
stacles in the way Of a legitimate reor-
EanizatOn along honest conservative
lines"
According 10 Mr. Norris. the internal
troubles of the company are due excIu-
sivcly 10 Davis and Bryan, and so pro-
nOunced were the arbitrary actions Of
these two that year ago. anticipating
trouble because of the absolute control
exercised by them. it was thought advis-
able TO organize and await developments
Eugene Davis. the vice president Of the
company. who is also described in the
court proceedings as AIva Z. Davis, came
here from Clayton, Ind. and has been
engaged in the promoting of mining en-
terprises since 1890. Bryan was form
erly a stenographer in the Department Of
Agriculture and Davis appointed him his
private secretary. later promoting him
10 DE secretary treasurer Of the Capuzaya
Mining Company.
Attorney John F. Iaskey. the receiver,
said 10 a Washington Herald reporter
yesterday, that he expected TO file his
preliminary report with the court in the
course Of ten days.
The burden of complaint among the
stockholders Of the company" said he.
so far as I have been able TO determine.
IS that money which should have gone
toward the purchase Of machinery and
the development OF the mines has been
diverted by Davis and Bryan to their
own use. All the stockholders with whom
! have talked appear 10 be satisfied with
their investment and appear to believe
that the mines are valuable and need
only developing
Jury Unable ia Agree.
The jury in the suit of Joseph Davis to
recover $l5.900 damages from the Anacos-
tin pDToTnuF Rf1pr T2aflv11F Com