Paragould soliphone. (Paragould, Ark.) 1918-1950, 1921-12-14
PAR-A-TEX OIL COMPANY MAKES
ANNOUNCEMENT COMPROMISE
SETTLEMENT With TEXAS men
Long Drawn Out Issue Apparently Drawing to a
Close Officers of Par-a-Tex Announce the
Issuance of Dividend Checks to Be Mailed
Immedately-Burk- Sheffield Company An
nounced Settlement Several Days Ago-Va-
ried Angles of Affair Caused Confusion.

/, ed with the management OF the or
ganization and believed the direct
ling officials did their best in poin
of representing the interests of thu
stockholders, considering the va
riety of circumetances that arose
during the life and up to the pres
ent period of the company's opera
|tions. They appear to be especially
inclined to credit the ability ol
President Sam P. McHaney ant
Secretary Treasurer Harold Pierce
However, the directors of the com
pany are given credit for the sup
port they extended the active Off
cials.
1t will be remembered that the
Par-a-Tex Oil Company and the
Burk-Sheffield Oil Company. both To-
cal organizations, were sold to G
H. Kadane and w. B. Munson, Of
Texas, during June of last year
THE two companies were sold for
total of s350,000, and Of thai
amount 100000 was in cash ano
notes; the remaining amount o
$3.50, 900 was in stock issue in the
Western Drilling G Producing Com
Fpany, Texas organization. The
purchase was made by Messers. Ka-
dane and Munson, presumably fol
the Texas company. The cash and
stock issue considerations were di.
vided between the two companies
upon basis of two-fifths for the
Burk- Sheffield and three-fifths fol
this Par-a-Tex, an estimated equa
|division, it is said, in point of as
sessed valuation of the two
properties In accordance with
the terms of the sale contract
the $15O,00O of stock issue was tc
have drawn two per cent interest
per month for a period OF nine
months and then redeemed in cash
according to information supplied
by those effecting the deal. The
|stock was never redeemed. Then
followed a series of litigations and
|Other efforts at an adjustment with.
out achieving the fulfillment of the
contract on the part of the pur'
|chasers, finally resulting in the com
promise adjustment as announced.
The Burk-sheffield Company sever.
|al days ago issued statement tc
its stockholders announcing that il
had brought about compromise
settlement of its 100000 worth oI
Western Drilling 4 Producing stock
upon the basis of 25 per cent, Ia
per cent less than the compromise
|announoed by the Par-aTex Com.
pany. The statement of the Burk-
Sheffield Company to it's stockhold-
|ors, issued several days ago, indicat-
led that it's settlement with Messers
Kadane and Munson had been
|achieved and that a dividend of SO
per cent would be issued those who
supported the proposal to accept the
i25 per cent settlement OF the $50.
1000 stock issue held by the com
pany in tho Texas organization The
Burk Sheffield Company, according
to information issued, has some
money on hand in addition to the
recent settlement enabling it to is
sue dividend Of 30 per cent. II
is presumed the 80 per cent divi,
|dend upon the company's capitalize.
ltion of approximately $4,000 will
go forward at once, according to the
Interpretation of the statement the
company sent to it's stockholders
proposing the action of settlement,
upon the stock issue score.
1t is reported that the compromise
settlement with Messers. Kadane
and Munson also includes an adjust.
ment of the $50,0O0 commission
transaction that developed as re.
Isult of the sale. contaminated last
summer. The adjustmen. :, is said
calls for the payment of 25 pei
cent of the $500 commission deal
1t is stated that a Texas man by
the name of Roberts is associated
with local individuals in the latter
transaction. Roberts was in Para
lgould at the time the sales were
made last summer and was presen,
when the deals were COnsummate ted
His commission proposal, however
was denied and Mr.. Kadane, one Of
the purchasers, is said to hav,
agreed to take care of Mr.. Roberts
Ito the amount of $4,000, after
those engaged in effecting the sale