Page:Federal Reporter, 1st Series, Volume 7.djvu/704

 692 FEDERAL REFOBTEB. �of Oliver & Eobinson, and the Wayne mortgage, so called, which was contributed to the firm by H. M. Eobinson,, and upon the bond accompanying which he afterwards brought suit at law against Oliver after it had so been contributed as a pait of the capital stock of the firm. It should be added that H. M. Eobinson was one of the active parties engaged in consummating the so-called Bufifalo agreement, as well as in forming the new partnersbip ; indeed, it may be said that he was the real man represeuting the Eobinson interest in the original firm of Oliver & Eobinson ; and the transactions in question, as well as the evidence in the case, clearly indicate that he so continued in a great measure after the formation of the new firm. It appears that Hunt & Eschelman, pend- ing the transactions aboVe stated, bought most of the mort- gages against the property in question, including the G. Haines & Co. mortgage, which was, after assignment to Hunt, put in as capital stock in the new firm by Haines and Eanney, who composed said firm of said Haines & Co., and the E. & G. E. Haines mortgage, for which Hunt gave his notes, which were afterwards paid by the firm of Gunning- ham, Eobinson, Hteinesife Go., and never presehted to Hunt. Notwithstanding the fact .that the $35,000 mortgage had been put into the firm as capital stock, Hunt and Eschelman afterwards instituted proceedings to foreclose the same, to which proceedings we shall hereafter have occasion toallude. And it appears that the firm of Cunningham, Eobinson, Haines & Co. paid all the expense of such foreclosure, and subsequently received $46,000 as the proceeds of timber sold from the lands covered by sale, although Hunt was the nom- inal purchaser at the sale. A letter of Cunningham to G. J. Eobinson, of date January 25, 1872, refers to Eschelman as "a very quiet and comfortable partner." The copartner- ship articles between Cunningham, Eobinson, Haines & Ean- ney were signed for Cunningham by Hunt, who is his father- in-law, thus establishing the fact that Hunt then knew that Cunningham was using the mortgage, the legal title to which was in Hunt and Eschelman as capital stock in the firm. Although Oliver proposed voluntarily to place the title to his ��� �