Andover Mining Corp. V.AOX

Utah Property

[potts1]

Folks, I think we are on the wrong track here. Andover Mining Corp owns 83.5% of Chief Consolidated Mining Company. Chief is an Arizona corp., registered as a foreign entity legally doing business in Utah. Sherman Young, an Andover director is listed as Chief’s agent in Utah. To my knowledge, Chief has not been forced into or filed for bankruptcy. What Andover’s trustee has available for sale is not any of the projects, joint-ventures, land or any other assets held in Chief’s name. The question is who is likely to acquire the Chief stock and at what price.

[souwester]

Precisely. Lots of potential issues re subsidiaries, however. Sun on the other hand is a wholly owned subsidiary. A nightmare which could have been avoided.

[dosco]

83 pc is a lot... who knows who owns the rest. if chirf decides to sell and give aox the proceedings then mothers debt is paid. why should we protect as owner chief... are dead anyway. 83pc means the remaining 17pc have a problem.

[souwester]

potts1, Makes one wonder: why didn't Andover just pledge its shares in the subsidiaries as security for a loan? Presumably, the shares per se were totally unencumbered.

[potts1]

I don't know but Chief stock became unlisted once acquired by AOX. I suspect in today's lending environment, difficult to establish a value for the shares.