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HERALD COMPANY v. BONFILS

No. C-1000.

315 F.Supp. 497 (1970)

The HERALD COMPANY, a New York corporation, Plaintiff, v. Helen G. BONFILS, also known as Helen Bonfils, also known as Helen B. Davis; Palmer Hoyt; and Helen G. Bonfils, Charles R. Buxton, Stephen H. Hart, Palmer Hoyt, Warren K. Young, Joe W. Bruce, Barry Morrison, and Isadore M. Rosenblatt, as trustees of the Denver Post Employees Stock Trust; and the Denver Post, Inc., a Colorado corporation, Defendants.

United States District Court, D. Colorado.

August 8, 1970.

Attorney(s) appearing for the Case

Fred E. Neef, Robert Swanson, and Allan B. Adams, Neef, Swanson & Meyer, Denver, Colo., for plaintiff.

William H. Erickson, Erickson & Littell, Denver, Colo., and Walter J. Predovich and Lester L. Ward, Predovich & Ward, Pueblo, Colo., for defendants Bonfils and Hoyt.

Jay H. Topkis, Paul Weiss, Goldberg, Rifkind, Wharton & Garrison, New York City, for defendants Trustees of the Denver Post Employees Stock Trust.

William C. McClearn and Edwin S. Kahn, Holland & Hart, Denver, Colo., for defendant Denver Post, Inc.

MEMORANDUM DECISION

CHRISTENSEN, District Judge (assigned).

This is a derivative action brought by a minority stockholder of the Denver Post. Various claims, counterclaims and parties have been dismissed, but on the core issue the Court has found that defendant directors in control of the Post misused substantial corporate assets in acquiring for the corporation at an inflated "control" price a large and crucial block of "Children's Hospital Stock" and caused...

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