The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1869-02-03
Sensation In Mercantile Circles--Rumor-
ed DefhIcation of promins mt Merchant.


We find the following strange record, in a
San Francisco paper, of Mr.. j. c. King, for
merly of this city, whose failure in business
is noticed in our correspondents commercial
letter
About three years ago, Mr.. James c.
King, who had been q merchant at Honolulu
came to this city and established a commits
sion house for the sale of sugar, mOlasses,
pulu, and other Sandwich Islands products,
and did considerable business, both on COM
mission, and on his own account About a
year ago, he went East, and entered into
business connections with certain German
houses in New York; procured letters OF
credit TO large amount, and returning, en-
tered into commission and banking bust
ness here, drawing bills upon his New York
correspondents. Soon after he had started,
gentleman possessed of considerable cap
ital came out from New York, aud he with
another man OF means, entered into business
with King and they started the firm of
James c. King q Co., commission merchants
with an Office at the northwest corner of
Sacramento and Davis streets. The new
partners of King contributed considerable
amount of capital, variously estimated at
$4,000, more or less. Soon after the CO.
partnership had been formed, King went to
New York, and there chartered, at large
prices, several vessels then on the way TO
this port, 10 load cargoes of wheat for Liver
pool. The vessels were duly loaded and dis
patched, under the terms of their charter
and sterling bills were drawn upon the car
goes through the agencies of foreign banks
Having completed his arrangements on an
extensive scale, he formed house in Liver
pool 1t is now reported that he had bills to
the amount of e2000 which were returned
as protested few weeks since for nom
acceptance. When this blow fell upon the
partners in this city, they made every effort
TO secure the creditors of the concern, and
make good their losses. Two vessels, stand
ing in the name of King, were mortgaged to
one of the creditors, and a bill of sale of the
same property was subsequently, made to
another. By an unfortunate omission on the
part of the frst-Damed creditor, he had failed
to place the mortgage of record, and the bill
of sale consequently stood good, and the last
man took the vessels. Shortly before their
failure, the firm received cargo of coal from
Liverpool, which was sold on credit, but
when the conduct of King became known
here, one Of the partners discounted the bills,
aud proceeded TO New York, to investigate
the affairs of the firm in that quarter, but he
is reported to have been stricken down with
apoplexy shortly after his arrival there
Yesterday, il was rumored on Change that
King had managed to raise In the neighbor-
hood of 100000 upon bis letters of credit
and wheat cargoes, and that he had taken
sudden departure for Paris, leaving his part
ners, both here and in New York. in he lurch
and penniess Attachments were reported
to have been issued in this city, yesterday,
against the concern to the amount of some
So, 900, and the Office was taken in charge by
the Sheriff Outside of the banks, their in
debtedness in San Francisco is not supposed
to be very great.
King is reported TO be the owner of plan
tation at the Sandwich Islands, but under
the circumstances il is doubtful if the place
is free Of incumbrance. Ii is also stated that
the firm made some $4,000 last year in the
cod-tishing business. However this may be,
they are now insolvent, and the prospect of
their creditors reaping a dividend from the
assets is by no means fattering.