Page:Federal Reporter, 1st Series, Volume 2.djvu/168

 BRITTON V. BREWSTBR. 1161 �upon the settlement of tiieir copartnership business Baliiwin assumed ail the indebtedness of the business, amounting to $73,000, and besides that sum was found to be indebted to Brewster individually about $14,000, for which Brewster held bis notes; that a part of these notes were transferred to "J. B. Brewster & Co.," with Brewster's guaranty of their pay- ment ; that at the time of this settlement Baldwin was largely insolvent, which the defendants well knew, and that on ànd before August 10, 1870, Baldwin was, to the knowledge of defendants, contemplating the stoppage of business, and an assignment for the benefit of his creditors; that thereupon and in view of these facts the defendant Brewster, "fraudu- lently combining and confederating with said Baldwin, formed the fraudaient plan and design of inducing said Burr to make a copartnership agreement with said Baldwin, and to con- tribute to the capital stock of the firm so to be formed the sum of $50,000, upon the corrupt and fraudulent agreement with said Baldwin, and with the fraudulent design and inten- tion that said Baldwin would and should thereafter use said $50,000, and the funds, property and credits of the firm so to be formed, in paying the said indebtedness due from Baldwin: to Brewster and 'J. B. Brewster & Co.,' and the said indebt- edness of Brewster & Baldwin assumed by Baldwin." �It is then alieged thai in pursuance of said fraudulent com- bination and intention the defendant Brewster falsely and fraudulently represented to Burr that the business carried on by Brewster & Baldwin had been largely profitable, to the extent of over $100,000 a year; that Baldwin was the best man for the business in the city of New York, and that they could make $40,000 to $50,000 a year in the business; and that the defendant Brewster fraudulently advised and urged Burr to go into the partnership and to put in his $50,000, and conccaled from him the losses of the last year, and the fact that Baldwin was largely indebted and insolvent, and contemplating an .assignment ; that Burr, believing and trust- ing to these representations, made the partnership a^greement, and contributed his capital, in ail $65,000, to the firm ; that in pursuance of the same fraudulent design and conspiracy, �T.2,no.2— 11 ����