Minutes - 292

On motion duly seconded and carried, the reading of the minutes of the session of May 19, 1908, was deferred.
Thereupon, Mr. Murray Carleton, Chairman of the committee appointed by the Board to see Messrs. Brown Brothers & Company, in reference to the proposed reduction of the capital stock of the Higgins Oil & Fuel Company, reported that Messrs. Brown, Brothers & Company would take no action in the matter unless so directed by the court, which report was, on motion, duly seconded, received.
Thereupon, Mr. Carleton stated to the Board that Messrs Brown ,Brothers & Company had rendered statements of their judgments against this Company, on which interest had been calculated on the basis of annual rests, by which the interest was added to the principal at the end of each year, thus forming a new principal for the ensuing year, and Mr. Carleton requested that the Secretary be instructed to write to Messrs Brown, Brothers & Company that it was the understanding of this Board that it was not permissible to figure other than straight or running interest on said judgments. Whereupon, the Chair stated that there being no objection, the Secretary was so instructed.
Mr. [Hm?] J. Wollman, Vice President, entered and resumed the chair.
Thereupon, after further consideration by the Board of the report of the committee to pass upon claims, it was moved and seconded that said report be received, approved and adopted, which motion was put to a vote and unanimously carried, except that Mr. Smithers did not vote.
Thereupon a communication from Messrs. Brown, Brothers & Company was submitted to the Board, enclosing statement of a claim against this Company, amounting February 1, 1908, with interest at 6%, to $905.53 and explained as follows: "During the continuance of the Receivership, we have thought it advisable, in the interest of the Houston Oil Company to keep in touch with the Higgins Oil & Fuel Company, and have had a representative on the Board for some time who has served without compensation, but to whom we have paid certain amounts for reporting on the property, as per statement enclosed." Whereupon, on motion duly seconded, said claim was approved and allowed by the Board.
Thereupon, on motion duly seconded, the following resolution was unanimously adopted:
Resolved, that the report of the Committee to Pass upon Claims be, and is hereby, referred to the committee heretofore appointed by this Board to obtain the assent of the floating debt creditors to accept the proposed second issue of Timber Certificates, with the request that said committee take up the matter immediately with the floating debt creditors and secure if possible their agreement to convert their indebtedness into the securities to be issued under the decree, and that the General Counsel of this Company is hereby requested to take every legal step which he may deem desirable and advisable to secure the passage of the decree embodying the recognition of the claims shown, this day by said report which has been received and approved by this Board.