The Topeka state journal., 1909-03-29
CAUGHT IN The net
Kansans Are Implicated With
Denver People.
Charge Is Attempting to Wreck
New Railroad Company.
GRIMES AND HUNGATE
Topeka Men Who Are EnjOined
i'm the List.
Claimed That They Attempted
to Influence Stockholders.

Denver, March 29.-Conspiracy to
wreck the Denver. Laramie & North
western railroad. under construction
from this city to the northwest, and
the Northwestern Land and Iron COM
pany. owner of valuable mineral lands
in Wyoming. to be tapped by the rail-
road. is charged in a complaint that
has been filed on behalf of the two
companies in the district court here
by Attorneys John NJ. Waldron, John
d. Milliken formerl yof Mcpherson,
Kan, Horace Phelps and A. d.
Quaintance.
asked against the following, who are
charged with having entered into
conspiracy to throw the two COM
panies into the hands of a receiver,
and to bring about their own sue
cession to the executive positions in
the companies:
B. F. Young, an attorney in the
Kansas office of the Burlington.
Nees Olsen of Wichita, Kan, a for
mer agent in selling stock of the
complaining companies.
F. H. Tillitson of the Hayes-Tillitson
detective agency of Kansas City.
Wilson I. Devenny, in the hotel busi-
ness at Loveland Colo. formerly an
employe of the land and iron COM
pany.
A. NJ. Stevenson. attorney and poll
tician of Denver well known through
out the United States as Republican
leader.
Frank F. Grimes. former state
treasurer of Kansas.
Otis f. Hungate of Topeka. Kan
sas attorney and county attorney.
The complaint gives a history of the
organization of the companies, includ-
ing the larger business transactions,
purchases of materials and supplies
and the like, together with the sums
paid out, the introduction closing with
the statement that there has been in
vested in the neighborhood of $16,-
100000.
None of those named as defendants
is a stockholder, says the complaint,
except Davenny, who is stated to hold
a contract for several shares of stock
who are not to be delivered until after
the railroad reached the properties of
the coal and iron company.
Notwithstanding this condition, say
the companies, those named "have un-
la wfully combined, confederated and
conspired, one with the other, and
with divers other persons to the plain
tiffs unknown, whose names, when
discovered, plaintiffs pray leave to in
sert herein, and whom, when discov-
cred. plaintiffs pray leave TO make
parties defendant hereto, to wreck,
ruin and destroy the enterprises and
business of the plaintiffs and each of
them, and to destroy and impair the
credit of plaintiffs and each of them
and to embarrass them and each of
them in the raising of money and in
the sale of stock, and to place them
and each OF them in the hands of
receiver. and to procure the appoint
ment of a receiver for each of said
companies to take charge and control
of the business, assets and property
of them and each of them
kilograms to Stockholders.
It is charged that the defendants
sent and had sent kilograms to stock
holders and investors in the COM
panies advising them that action af-
fecting their interests in the North
western Land and Iron company is
about to be taken,' meaning, the
plaintiffs say they believe that an eff
fort would be made to obtain the ap
pointment of a receiver.
The object of these kilograms, it is
alleged, was to frighten the stockhold-
ers and embarrass the companies, and
prevent them from raising funds,
cause dissension among stockholders
and to impair the credit of the COM
panies.
Some of the stockholders did come
to Denver, it is stated, and conferred
with the defendants, and it is charged
that efforts were made to obtain pow
ers of attorney from these, for the pur-
pose of instituting an action for the
appointment of a receiver or receivers.
1t is charged that the defendants,
through Stevenson, sent the following
SC4SSAo an ~ - ID e1OSI e1I IOiA'
Kan, an agent of the defendants:
Outside attorneys and detectives are
Investigating both companies and will
have a receiver appointed in few days.
Notify your stockholders to come out at
once and get ahead of them"
Vaughan is said to have visited stock
holders in various parts of Kansas and
sought to have created dissension among
them The statements regarding the
companies and the officers. among them
that the cOuDa0ieS "are big frauds and
the officials thereof thieves, stealing the
company's money. wasting and uselessly
expending the same and APPLYING the
same to their own private use,' and
that nothing has been paid to the con-
tractors for construction work, and