Show NON assessable STOCK we notice that certain mining companies in their lurid advertising lay great stress upon the fact that their stock is fully paid and non assessable this catchphrase catch phrase strongly appeals to inexperienced investors and yet it at is a fact that purchasers of this class of stocks often loose their entire investment just because their stock is non assessable just what is meant by fully paid is misleading and the term is as often meaningless but it looks well and sounds well and is a favorite bait for suckers if a person buys non ashable stock he cannot be assessed in the usual way but this ain in many instances is no protection when the treasury stock in the company Is sold and the receipts are insufficient to fully equip and develop the companas comp anys property to a producing basis one of two things must occur the property must be closed down or the company must borrow money with which to continue operations if the mine is closed the investor gets nothing for the money he put into the enterprise if the property is mortgaged it is more than likely that a foreclosure will follow in due time in which event the investor also loses out it is a rare case indeed when the proceeds from the sale of treasury stock will be sufficient to develop a prospect into a producing and paying mine and if the stockholder cannot be assessed the company is in a position comparable to the man between the devil and the deep sea he is practically hopeless on the other hand if a person owns stock in a really good company which owns ground of merit and promise he should be willing to pay a small assessment on his stock occasion occasionally i ally in order to keep development work going if his stock is assessable a lie he is in a position to protect his inheres interests S and who should protect this interest but the stockholder himself he cannot expect his friends to come to his rescue and the company is powerless because no provision has been made in its articles of incorporation for just such an emergency many instances can be cited where companies have been compelled to make their stock assessable in order to save their properties for their stockholders and many of these eventually arrived at a dividend paying period nonas non as assessable s es sable sounds well when spoken by a silver tongued promoter but its sweetness turns to bitterness when the investor loses ills his money through his inability to protect his interests |