Eston Group Seeks Control Of Argus

Eston Group
Seeks Control
Of Argus

Second Committee
Opposes Management
In Proxy Battle

A third group of stockholders,
headed by Louis Eston, the De-
troiter who filed a million dollar
damage suit against eight Argus
officials, has entered the proxy
fight for control of the company.

The new group, calling itself the
"non-management and independent
proxy committee for Arg;u,s" is
seeking thp pipntion of its five nom-
inee .s.

A;iv;.,n,,» m^cpendent sharehold-

committee," organized by Jo-
seph L. and Gerald Gidwitz of
Chicago, earlier entered its slate
of six candidates. The present man-
agement of the firm is proposing
its own slate of eight men.
Charged Mismanagement I

Easton is an investment counsel
lor who filed a $1,180,398 damag^
suit in August against seven Argusj
directors and two former company
officers charging mismanagement.

The company and two director
have denied the allegations an<
i-ked for dismissal of the suit

t no action has been taken 01

oir motions.

;n a letter solicting proxies foi
me annual meeting and electiol
next Wednesday, Eston also aske<
+h-i+ +»-'" ni^..<;,-iri of directors b

the purpose o
.io-..0 ...^ m,,Ls before the stock

Sders and giving them time t(
'.onsider them."

On the question of delaying th(
election, the management has sen
oul a new letter i;o stocknolder
asking, "are these efforts directe<
' ward the best interest of Argus,

'•-, and its stockholders?"
"s 'Prwt'"- ^ood

'nt supplies its an,"
is.\ci b'J ^..oS-^ig that the company
is being run successfully under
the present operating committee
and that its financial position and
current earnings are "good."

In connection with the group
from Chicago, the company asks,
are the men "att'";i ? to seize,
control of the <:• for pur-1
poses best known to inemselves?"

The management appeal for
proxies also declares that William
Dale Bost, also of Chicago, th®
largest individual stockholder of

• company (with 8,000 shares),
is announced that he is voting
for the election of the manage-
ment slate.

. The newest stockholders group
headed by Eston disputes the nec-
essity of the Reconstruction Fi-
nance Corp. loan on the grounds!
jthat "the company does not need
! to pledge all of its assets, includ-
ing its inventories and receivables
,for this kind of a loan."
| Question RFC Loan
I The Detroi i asks stock-
holders to con i i.irefullywheth-
n, n,, .,n+ ti-jg RFC loan is in the

is of the company.
he live nominees proposed by

•on are Thomas M. Corcoran,
Detroit city assessor; Edward T.|
J Downs, Detroit mechanical engl-1
'neer; Harris L. Greene, New York
lawyer; LeRoy Payne, Detroit law-
iyer and president and generakman-
'ager of the E. & B. Brewing Co.;

.and William A. Tretheway, Detroit
builder.

Greene is reported to own 100
shares of Argus stock while Trethe-
way is listed as owning 300 shares.
'None of the other men is listed,
i in company records as owning}
'Argus stock, i
Greene and Tretheway are listedi
"'ong with Eston as being mem-1
s of the "non-management and:

ependent proxy committee fort
gus, Inc." ?