The Laurens advertiser. (Laurens, S.C.) 1885-1973, 1908-04-22
LEGAL COMMITTEE
MAKES STATEMENT.
Some Comments on Visit of Mr.. RiegeI
to Laurens and Status. of
Ware Shoals Contest.

ware SnOaiS contest.
The published accounts of the recent
visit of b. d. Riegel, of the Ware
Shoals Manufacturing Company, to
Laurens and his purposes attracted
much comment here and called forth a
statement from the legal committee
representing the minority in the now
famous controversy.
This committee, consisting of Messrs.
f. p. MCGOWAN, A. C. Todd and r. A..
Cooper, was appointed at the stock
holders meeting in the court house last
year to investigate the condition of af-
fairs and if possible to effect an AMIGA
BILE settlement between the c%ontending
interests, and also to take any other ac-
ton they deemed advisable and neces-
sary to protect the interests of the mi
nority stockholders. The pending suit
by the stockholders is the result of this
committees decision on the matter af-
ter they found a settlement impossible.
These committeeman in reply to inter-
rogations said:
1--WE hardly think it proper for us to
discuss the merits of or any legal ques-
tions involved in the cases now pending
against the Riegels in reference to the
Ware Shoals matter.
"As to why these steps have been
taken, we can only say that last sum-
mer we were appointed a committee of
the local minority stockholders at a
meeting held here to look into their
rights and take such legal action as was
necessary to protect their interests.
This was a large and representative
meeting of the minority. There were
over 100 stockholders present in person
and about half as many more repre-
sented by proxies. The minutes of this
meeting show that there was not a dis
senting voice with the exception of Mr..
w. K. Richey, who is now an attorney
for the Riegels. We we're given full
power to act. This committee, to-
gether with the other attorneys in the
case for the plaintiffs, commenced these
suits against the Riegels, because they
thought then and still think that the
same are necessary to save the prop
erty rights of the local stockholders.
These actions have been brought for
the benefit of all such stockholders who
care to join in. They were not COM
menced in the interest of any one
stakeholder. This meeting of the mi
norlty, as stated, was very representa-
tive. The Riegels were invited to be
present then, but they respectfully de-
clined. A very full and exhaustive dis
c%ussion of the history of Ware Shoals
mill and the conduct and acts of the
Riegels was had. AS stated, we were
given full power to act. Since that
time stockholders who were not present
in person or by proxy have voluntarily
told us that they approved of the course
pursued by the plaintiffs. Not a single
one has objected or requested the with
drawal of consent as expressed at said
meeting"
About the visit of Mr.. Riegel here
on Saturday their comment was: Last
week Mr.. Riegel spent two or three
days in town in consultation with his
attorneys. During this time he inter
viewed privately a number of local
stockholders. A great many positively
and emphatically refused to sign the
statement he had prepared for them.
We do not know the nature of the
statements, nor do we know exactly
what arguments or representations
were made to those who signed. 1t has
no very material bearing upon the liti-
cation anyway.
1T is a little strange that Mr.. Riegel,
after living in this country for over
two years and a half, should Just a few
days before a motion for injunction was
to come up interfering with his schemes,
should suddenly desire to meet and be-
come acquainted with his local stock
holders when heretofore ne had been
earnestly requested and asked to meet
with the minority and had declined. AS
a matter of fact, he has been securing
Laurens, Greenwood and Abbeville
counties for statements from stock
holders %favoring the proposed issue of
preferred stock, and it is not improba-
bic that some stockholders have signed
the same without being in full posses
sion of all the facts from both sides.
The statement of Mr.. Riegel that
he is to pay 81, 900 rem for the mag
n%ificent SIS, 900 house is a little anus
ing. He states that he agreed to paw
for the house, and at the directors
meeting he said he did not want to do
SO, and the majority of the directors
excused him. We had not thought that
1T was the object of the cotton mill to
build this kind of houses for the pur-
pose of renting them. Six of the board
of directors, by the way, are his kins-
men. The local directors present voted
that he pay for the house.
eve would correct another error in
the newspaper accounts of Mr.. Riegel's
visit here to the effect that the mill had
earned 5000, 900 in the last IL months.
The financial statement of the mills
condition, dated January 81, 1908, shows
that the mill has earned, since June 30.
1907, in round numbers $81, 900 and that
previous to that time it had earned
$93, ZOO. This covers a period of about
two years."