The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1908-12-30
RECEIVERS FOR SEMINOLE.
JUDGE WATTS ANNOvvNCDc my
ClSIoN AFTER HEARING
ARGUMENTS.


Judge Says This VIII he ,he p.s.
way 10 Unravel the Tanx,e-No
Receivers Named, Thoueh S.v.-.,
Are Suggested.
Cheraw. Dec. 2S.-Judee waAs, 10
night, after hearing the arrs-..
announced that he would appO.p, re-
ceiVers for the Seminole Sesu,m,..
company In accordance with tAe ra-
quest Of J. c. Klueh. He ssosaa ..,.
on the allegations made he wa, ,nt,..
fed that there should be an ,.,,.st,-
cation of the affairs that cou,o on,v
De done by a receiver. IF it be trre. -
said Judge Watts, "that these eom-
missions were paid. it shocks my con-
science. or course, it is a had blcv
out see no other remedy"
The bond was fixed at s6o,eos for
the receivers and $4,000 tsr the
value of the property. Messru Huper
sinkler and Frank g. Tomphins were.
suggested by the attorneys for the
plaintiffs and others may be sugeestefY
by the attorneys for the defendants
tomorrow. The case was a long one.
but very interesting. The passages
between the attorneys, the allegations
made and answers returned, the argu-
ments, were all listened to CLOSELY.
The argument Of attorneys for Kluphr
was that the Seminole company was
mere she'll and for the protection of
the stockholders the receivers shosrlds
take charge. The argument of artor-
neys for the trustees was that the
trustees were not responsible for the
action OF some Of the agents and that
no case has been made out; also that
there was protection inside the COM
pany that had never been asked. The
argument OF Mr.. Bellinger for the.
Seminole company was that the al
legations were irrelevant and there
was protection inside the company for
the stockholders.
When the case was called there was
an array Of attorneys on each side.
The Klugh complaint was represented
by F. Barron Grier and Nelson & Nell
son; Patterson by Lyles & Lyles, Rud-
dell by Chas. c. Simms; the Seminole
company by G. Duncan Bellinger ana
Aycocks xap9 Muller. Messrs, Huger
Sihsief, Jennings Owings and sseveral
others represented some of the stock
holders. 1t was agreed that the Kiugh
case should be heard first.
The following is the stenographfc
report OF the remarks made by Judge
Watts in announcing the decision:
II do not care to hear further from
you gentlemen in the matter. The
case comes before me on the sole
question as to whether or not / shalr
appoint receiver. AS to the merits
Of the case. I have nothing to de with
them. The question is whether or
not sufficient showing has been made
for me to appoint a receiver. I am,
of the opinion that justice imperative
ly demands that a receiver should be.
appointed. l think that under the.
showing made here that IL Is an ex-
ception to all cases that have been
before our supreme court and the al
legation here is that the stock was
purchased tom the Southern Life at
an extravagSnt price. the price doubIy
more than 1t was worth, and i think
that matter should be looked into and
unhesitatingly say that the commits
stons paid shocks my conscience. If
they are true it is a shock to any
business man in the world. AS to-
whether or not 1t Is true i do not
know. I am not saying that il is so
Or not. 1t is an allegation made here
before me and realize the fact that
whenever you put a corporation I'm
the hands Of a receiver you strike a
bad blow, but the directors and presi-
dent brought this state of affairs ON
themselves, and IL is high time that
the strong hand Of the court should
interfere and allow the matters to be.
investigated by a receiver and let.
whatever assets that can be recovered
be put in the hands of the court fap-
the stockholders.
II will hear nomination for the re-
ceiver."
The morning session of the court
was occupied with reading the cu1Y--
plants and the two answers and with
arguments for the appointment of a,
receiver by Mr.. Grier. This argument
was at times heated and there were.
oo..o.al i..4o.....