Evening journal., 1915-12-28


corporation. without auy influence or .
suggestion thereto having been made by
! this defendant or his associates.
This defendant. upon information
and belief, denies that said resolution
would have been adopted by said
board Of directors but for the feet
that he and his associates were inter Z
ested in the purchase of said stock.
This defendant admits that said
finance committee on March S. 1915,
considered said matter and that ma
jority of said committee did not vote
In favor of said resolution and that
therefore. the action OF said commit
tee did not amount to a recommenda.
tion of the adoption of said resolu-
tion."
Mr.. DUPONT adds that at a further
meeting Of the directors on March 10,
} a motion for the corporation 10 pur-
chase the stock Wili rejected. Alfred
' /. DUPONT, William dupont and Fran
( els / DUPONT voting for the motion.
and f. L. Connable not voting, and
all the other directors voting against
/ II. Pierre S. DUPONT denies that at the
: time of that meeting he had invited
4 any other member Of the board. except +
: John p. Laffey TO participate in the /
d purchase Of the T. c. DUPONT stock. |
8 Mr.. DUPONT also sets forth that ma /
e jority Of those present "were entire
e ly uninterested in the acquisition OF
: said stocks and only three OF them (
= voted in favor of making an offer for
n the acquisition thereof" Continuing,
> the answer says:
il This defendant further alleges that
IF at said time he and his associates
we're open minded on the question Of
b. selling said stock to said corporation
n and would have entertained a propO-
n sition In reference thereto n the same
ne had been made, although he denies
of that either he or his associates were
r. under any obligation whatsoever
n, either to receive any such offer, or il
VI made, to accept the same.
I'D "This defendant denies that either
ad he or any of his associates failed or
of neglected to perform any duty incum-
er bent upon him or them as directors
m OF said corporation or otherwise, and
on denies that either he or they, or any
I'm of them. fradulenly or in breach OF
of any duty or trust, secured any ad-
nd vantage whatsoever to themselves az
i'd the expense of said corporation or
lis its property. as alleged in paragraph
al eight OF said bill Of complaint
&c Mr.. dupont tells OF the organization
re of the dupont Securities Company
and of the financing by himself and
lly his associates of the purchase of the
T. T. G. dupont stock He adds:
of "This defendant denies that said
to corporation so formed used the credit
'es Of said L. l. DUPONT de Nemours
lid Powder Company in any manner
al. whatsoever for the purpose of pur-
as chasing said stock"
in. Mr. dupont sets forth that the du-
ell Pont Securities Company borrowed
re- Ss,50O0O0 from j. p. Morgan and
Company and gave its obligations fol
Ter S59OOOO0 to 7. c. dupont The loar
lid was secured by a pledge Of stock as
Ter collateral, as was the obligation L
ity General dupont The loan from Nor
on gan and Company was PERSONAL,
'el guaranteed by Pierre S. DUPONT fo
hu S4,250,O00; by Irenee DUPONT for 81,
re- 100000; by Lammot DUPONT for 81,
~ 100000: by John ]. Raskob for S34O.
70 600: by A. Felix DUPONT for S6S0,00C
5e aid by r. r. NJ. Carpenter for $4,000
me Mr. duPonts answer adds:
its This defendant denies that IL wa
om his. intention or that of his associate
the to obtain funds necessary TO pay sal
Ital obligations from dividends to be de
or clared upon the stock so acquired b
10 them, as alleged in paragraph eight @
lcl5 said bill Of complaint.
or "This defendant denies that Il
he'd placing said loans either he OF hi
the associates made deposits OF the fund
ars, of said r. /. dupont de Nemours Pow
der Company received from war col
rtly tracts or otherwise with the sal
uir- banks and financial institutions 70
and the purpose of influencing their actiO
ara in the above regard or for any othe
aint purpose whatsoever, and this defer
'aiJ dent states that the allegations /
'aaI, said bill of complaint to thai efle,
and are entirely false and unwarranted.
This defendant denies that tn
saiu stock so acquired from 4. Colema
saiu DUPONT is now in the name OF sal
ON DUPONT Securities Company. as ale
lsefl ed i'm paragrs ph eighth of the bill
por- complaint, and alleges that no pr
said ferred OF common stock of said ca
that poration is now owned OF In the nan
said of the said DUPONT Securities Coz
liam pany."
and The dupont Securities Compai
now owns 126,62S shares of the col
-, mon stock of e. |. DUPONT le n
mours and Company, being the sto
received as dividend upon the sa
saiu common stoc. OF z. !. DUPONT de \
saiu mours Powder Company purchas
the from n Coleman ,duPonf the answ
says:
)rtly The answer refers to the reorga
z by ization of the new powder compar
Will and adds:
view Among other things any right
ock- action such as the one set forth
here said bill of complaint, il it existC
Pont was sold and transferred on said da
plain TO said f. l. DUPONT de Nemours g. c.
king Referring 10 the recent big diyider
upon the answer says that the defendant
such nies that said dividends were &
ased clared in pursuance OF any scheme
redit make use of said corporation or
mes assets for the payment OF the pl
ever. chase price Of the stock so acQuiF
du- from T. Coleman DUPONT"
ac- This defendant denies that I
.,.-,,o,,t nc eafd additional divide