Motion for Appointment of Receiver Fails: Alleged Mismanagement of Funds the U, 8. Court last Friday, Judge Purdy heard a motion by the International Finance & Exchange Corporation, Inc. that a bill filed by Mr. Louis Martel, a former director, tasking for the appointment of a receiver to investigate the present affairs of the company, be dismissd,_Miemanagament" of the com Pany's affair was alleged, Mr. F. J. Schuhl, in support of the motion, said defendants had no legal right {3 sue the corporation or to demand the appointment of a receiver, as plaintiff was not at the time of the filing of the officer, director, shareholder creditor of the Corporation. In the Dill it was not allege) that the Corporation had been dissolved or was insolvent or in immediate danger of being 80.
The motion also stated that the bill contained insufficient facts, to constitute a valid cause for action of equity.
Mr. Fox, opposing the motion, argued thatin the circumstances the Court was the only place of appeal and the appointment of a receiver' was the only adequate remedy.
Judge Purdy said the only allegations were that certain sums money had never been accounted for by the Corporation. The Corporation had issued shares in respect of these sums and therefore might be financially injured. It might be more than the affair was worth for the receiver to investigate this matter. On the other hand the receiver might not be able to find out anything at all. The motion of {dismissal would be granted.
Text read from the printed page and cleaned; old type leaves the occasional error.