The New York herald., 1873-09-10
UNABLE TO PAY.

The Suspension of the New York Ware
house ind security Company-Its As
sets and Liabilitics-HOyv They Arc
Involved.
Further invest igations into the reported failures
published In yesterdays issue OF this paper prove
that as far as the New York Warehouse and Sc
curlty Company is concerned the information
about It's suspension was correct. Mr.. Bell, the
Secret etary, would make no other statement than
that already given by him. The status OF the Conn
pany's financial condition will be gwen tomorrow
at the meeting OF creditors which has been called
for that purpose.
MI. william ii. Guion, one OF the directors of this
company, makes the following statemcnt:-' as
sets OF the New York Warehouse and Security Conn
pany amounted to about $500, 900; but without
looking over the books he could not state how
much OF this was in the form of unpaid loans. Tho
liabilities OF the company were In the vicinity OF
$l,300, ,00O The Missouri. Kansas and Texas Rail-
way owed the company $lOO0,000, one hall OF
which was secured by bonds of the road and notes
OF the
LAND GRANT, RAILWAY AND TRUST COMPANY,
and the other half by the personal guarantee OF
live oil the railroad directors, two OF whom were
Messrs. Francis Sklddy and sheppard Candy, who
are likewise directors III the New York Warehouse
and Security Company. Three more OF the direct
a2tee is not officially known. Francis Skiddv Is
President OIL the Land Grant, Railway aud Trust
Company, and 1t Is presumed tnat stock OF thus
concern, which recently sold as high as 1876. ts
not worth nearly as much now, and 1t IL doubtful
whether 1t would sell at present at par, since tha
suspension Of the Warehouse company. 1t Is sup
posed that the notes OF this corporation held by
the lOrmer company will cover all tue Liabilities.
At the creditors meeting tomorrow 1t Will be
ascertalned whether
TIKI SUSPENSION OF THE WAREHOUSE COMPANY
will be only temporary or final, as everything de.
pends upon their action. Ihe loan OF the last
named company, which Will mature next month,
would, in MIR. Guion's opinion, be good within
year at least. The Missouri Kansas and Texas
railway In completed and doing u large business,
winch Yields heavy returns. Already Sl2, coo,t 20 OF
Its bonds have been negotiated, chiefly III Europe,
leaving So, 900 900 which the company had been un-
able to place. IL these were not taken abroad
they would be sold here TO stockholders of the
Land Grant Company, to pay OF the bonded debt
OF S15, 900, 000 Tue Warehouse Company also made
loan OF 500 900 to the New Orleans, Mobile and
Texas Railroad Company, whose road Is not COM
pletcd. THIS loan matured last spring and remains
unpaid but 1t secured by the personal guarantee
| OF two persons connectcd with the road,
| and Mr.. Gui0n believed that the Warehouse
Company would eventually obtain the money.
He iurther said that the Warehouse aud
| Security Company made loan OF $4,000 to the
West Wisconsin Railroad which Is secured By tho
bonds OF the road and the personal guarantee or
OF its officers. This loan was good, but had not
several other railroad companies.
In regard to the reported ilnres OF Messrs. Fran
els okiddy anu Sheppard Candy nothing iurther
has been asccrtalncd. The latter tlys that many
erroneous statements have been circulated, but he
did not feel willing to make any explanations ut
present. lie did not know whether he would b0
compelled to suspend or not.