The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1911-06-05
Houehton Department
VICTORY FOR THE c. & H.
Judge Streeter Refuses Temporary
Injunction to Prevent Merger.

Judge A. n. Streeter late Saturday
afternoon refused temporary injunc-
ton to w. \. Chadbourne and to H. w.
Denton. TO prevent the contamination
OF the Calumet a Hecla consolidation
plans. lie likewise ordered the disco
luton Of the restraining order secured
by these gentlemen some weeks ago
from Commissioner Marsch. In effect
the decision Is a decided legal victory
for the Calumet & Hccla interests and
merger plans.
There are. however. two other re
straining orders still outstanding
against the company. one before the
federal court I'm Detroit and the other
before the circuit court in Detroit at
Lansing. The hearings in both of
these cases have been held but the de-
cisions have not yet been announced.
As far as the local court is con-
cerned it is the opinion of lawyers that
no further action can be taken by th"
Chadbourne- Denton interests 10 hold
up the merger.
The decision followed a lengthy
and learned judicial exposition of prac-
tically every law point involved. Judge
Streeter went into detail on many oi
the subjects concerned. He explained
that the petitioners had perfect right
under the law TO examine the proper
~ of the corporations interested with
out any legal warrant from him, If
they so desired. He explained that
the consolidation was not prohibited
by the law, that the statute of this
state on corporations had been i'm effect
since 1871, and that i'm common prac-
tice the question of property value
greater than capital stock had never
been doubted; that the legislature was
aware of the discussion of the values
OF the Calumet Il Hecla property itself
for many years and that no corpora
ton in the state had been subjected
to quite as much general discussion as
to its worth and property valuation.
lie explained that the laws Of the
state permitted the purchase Of shares
i'm one mining corporation by any 9TH
er mining corporation; that the statute
permitted consolidation by a three
hfths vote of the shareholders and that
the directors were justified under the
law In voting the Calumet Il Hccla
stock ownership of Ahmeell at the All
meek meeting.
Judge Streeter elaborated the point
that it was incumbent upon the Den
-Chadbourne people 20 show that
some fraud had been perpetrated; that
they had simply asserted a fraud but
that the Calumet & Hecla people. con-
trary to the rule, had showed that
they had acted for the interests Of all
the shareholders of all the companies
and that nobody had been favored i'm
their action. He explained that the
shareholders of all these corporations
had confidence I'm their directors and
that the directors had confidence i'm
/ the ability of their manager and that
there was not one single line Of tes-
timony presented TO the court from
which the court could infer that the
action taken by the Calumet & Hecla
officers was in favor of any one cor
poration Interested"
The court also stated that a contin-
uation Of the restraining order would
Doe a gross injustice to the shareholders
Of the eight other corporations inter
ested, the shareholders Of which were
quite as much affected as Messrs. Den
ton and Chadbourne.
Today in Circuit Court.
Today's session Of circuit court was
devoted to hearing and acting upon
naturalization applications. thereby
Transforming subjects of foreign po-
tcntatcs into American citizens
Tomorrow morning the criminal cal
ondar will be taken mp again, the jury
reporting at Q o'clock after being cx-
cused for a fun week on account of
the merger injunction hearing. The
first eases on call are those Of Leo
Ryan Charles Craze and Quincy
Adams of Hancock, charged with as
sault with intent to commit highway
robbery.