Allen

The appellant, together with one Keane and one Grismer, were charged with devising and putting into execution a scheme to defraud purchasers and prospective pur chasers of stock of two Idaho corporations, —the Lucky Friday Extension Mining Company, for brevity referred to as “Extension”, and Pilot Silver-Lead Mines, Inc., here called “Pilot”.

The alleged false and fraudulent pre-tences, representations and promises were found principally in the allegation that the scheme devised was “that defendants would and did cause these corporations to sell ■ stock to investors upon the representation that the proceeds therefrom would be used by these corporations for the exploration and development of the mining properties of Extension and Pilot respectively; * * * that defendants * * * would and did conceal from the stockholders * * * information concerning the receipt and expenditure of moneys * * * that defendants would and did appropriate and divert from these corporations a large amount of such corporate moneys to their own use and benefit.” Additional portions of the scheme were that the defendants “would and did conceal the fact that defendant Allen was promoter of these corporations…