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Los Angeles - November 6, 1953 80-11 Mr. Wm. Reinhardt: Referring to Mr. Stoddard’s S-311 of October 16th, and your R-153 of the same date, In connection with status of the matter of Issuance and sale of bonds by the Las Vegas Valley Water District: As I told you, I have talked to Mr. Beebe and Mr. Hamilton of the O'Melveny firm, and both of these gentlemen are quite Insistent that a law suit be broughtj but in my conversations I gathered that they were not quite certain of the nature of the suit, or Just what they were going to ask the Supreme Court of Nevada to decide. Mr. Beebe advised me that he hoped to have such a suit filed the first week in November. While in Las Vegas yesterday, I discussed the matter with some of the Directors of the District, and in particular with Mr. Campbell, President of the Water District. He stated that there has been some discussion with Mr. Beebe about filing of a law suit, but that the Directors of the District were not sold on the idea and felt it would delay the sale of the bonds and subject them to more criticism than they were now getting,because of the feeling in Las Vegas that since the bonds had been voted the District would soon be in operation. While I was in Mr. Campbell’s office, he phoned Mr. Hamilton, and I gathered from the conversation that Mr. Hamilton was still of the opinion that a suit should be brought, but that he had not definitely determined the nature of the suit or when it would be filed, Mr. Campbell stated that he was quite worried about the delay, and urged that speedy action be takenj but Mr, Hamilton’s conversation which I heard, was rather evasive other than to emphasize the fact that they were going to bring suit, subject, of course, to approval of the District. The District is having a prospectus prepared by some specialist, which will not be completed for submission to the District until December 15th, Whether Mr. Hamilton intends to wait until the prospectus is prepared, or whether he intends to file suit prior thereto, is something I have been unable to determine. I do feel, in view of the conver-