Opinion ID: 1692738
Heading Depth: 1
Heading Rank: 1

Heading: Joe and Fred Bateh:

Text: They contend that the $30,000 was furnished by their father out of the common pool so that they (Joe and Fred) would each own 37,500 shares of SECO stock. It was understood that the stock represented by the balance of the purchase price, $17,500 (secured by a pledge agreement), would be purchased and owned by B-D. (It appears that the remaining 44,968 shares which B-D would then own, after giving appellants the 75,000 shares claimed by them, would be sufficient to give it controlling interest in SECO.) The $30,000 paid over by Bateh, Sr., was done in his capacity as their agent for the purpose of acquiring the stock in their names. It was understood and agreed that Brown would take title to all of the 119,968 shares as agent for appellants and B-D, to be later transferred in accordance with their proportionate interests. After the purchase price had been fully paid, title to the 75,000 shares was to be placed in the correct names (Brown had all the shares placed in his name during the period that the stock was pledged to secure the balance owed to the sellers, and it appears that on June 5, 1967, the balance owed to the sellers was paid in full); but Brown, Bateh, Sr., and B-D failed to deliver the stock to them and also failed to transfer their stock on the transfer books of SECO.