The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1913-03-30
JACK WAITE LOSES
AN IMPORTANT SUIT
Lee Mantle Gets Decision
That Sustains His Case
Completely.
Special to The Tribune.

Special 10 The Tribune.
WALLACE. Ida. March 2s.-The Jack
Waite Mining company and It's principal
stockholders, defendants in a suit
brought by Lee Mantle. former owner OF
several claims now owned by the Jack
Waite company, in which Mantle asked
for an accounting TO determine what sun,
the defendants still owe on their stock
agreements, and further asking that the
Officers be enjoined from incurring fur
ther Indebtedness in the name Of the
court last week when Judge w. w.
Woods handed down q decision in favor
Of the plaintiff The defendants named
Robert shefrels. Lewis Adams, John
Daley and the Jack Waite Mining COM
pany.
Mantle complained that on November
!: 1909. he was the owner OF the Bullion.
Croesus, part of the Mantle fraction and
Lucky Boy lodes, all lying In the Eagle
district, and that on that date he. en-
tered into lease and contract OF sale
SlS7, 900; that afterward Burke secured
options on the remaining portions OF the
claims from other people for $4,000,
making the total purchase price $500
the initial payment on all of which was
TO be SIS, 900: that later. to meet the
payments and develop the property and
take over the lease and contracts from
Burke. the Jack Waite company was
formed.
1t was further claimed that the defend
ants and other members OF the company
subscribed for 900 900 shares OF the cap
ital stock at % cents a share. sufficient
to make the purchase price OF the prop
erty- or this. y cents a share was paid.
and II was agreed that this 100000
shares OF stock should be assessed at %
cents share before any other stock Of
the company should be assessed Mantle
alleged that this agreement was made TO
make the treasury stock more salable,
a h3 cnro ~ ha rpl
paid from so TO GO cents per share. Man
tie claimed that only cents per shade
In addition TO the original y cents had
been paid by the subscribers. excepting
two assessments levied on all the Issued
capital stock of tho company.
Instead OF making the treasury stock
develop the mine, according TO Mantle.
balance OF the purchase price OF the
property. Mantle claimed to have pur-
chased $4,000 shares OF the treasury stock
not subject TO assessment until the orig
inal subscribers had paid the full %
cents share. and that on July ], 1911.
he served notice on the company protest.
ments against the treasury stock and
demanding that the balance OF 153 cents
a share, or s155.ooo. still owned by the
Subscribers FRS n,o on taeir or,sinal stock ! Gur
that the sale Of a portion OF his stock
claimed delinquent by the company be
made void
The court granted a perpetual injunc-
ton against the company and its officers
from levying any further assessments
against the treasury stock until the pro-
moters have paid the full % cents a
share for their original subscriptions.
holding that the treasury stock is not
asscssa bic until the original subscriptions
are fully paid, making absolutely void
the sale OF Mantle's stock for delinquent
assessments. It Is said that the officers
OF the company will not appeal the case.