Beverly v. Richards

In July, 1923, plaintiff had $3,300, which she wanted to safely invest and so informed her friend, defendant herein. Defendant was president of the Richards Storage Company, had loaned the company $10,000 for building purposes and received a certificate for shares of preferred stock to that amount, which he held as security. Plaintiff claims that defendant induced her to invest in shares of preferred stock of that company by representing that it was perfectly safe, came ahead of everything, the buildings more than covered it, would pay seven per cent, dividends, which she could have…