Deep Oil Development Co. v. Cox

In 1937 the Deep Oil Development Company reorganized and secured a charter from the State of Texas covering one million dollars capital stock, divided into 40,000 shares. On November 20 of the same year the stock was increased by stock dividend to two million dollars. On April 4, 1938, the Company increased its shares to 400,000 at a par value of $5.00 per share. The corporation was formed for the purpose of buying, selling, storing and transporting oil, gas, salt brine and other mineral solutions, to own pipe lines and all other general equipment necessary to operate producing oil wells. The…