Wilmington daily gazette., 1873-10-28
ORDERS.
From thsEvsaing Teleeraph.
The waste Of BnmkrupGey,

SIR II would like to add my experience of /
bankruptcy to that Of some Who KnOwsn too
have been Interested creditor in estates that
have been thrown into court, and have learned
something of the cost of that mode OF winding
up suspended concerns. But it seems to me thai
hs has Jared better than have. Thrty-three per
cent out OF an estate in bankruptcy Is something
have never been fortunate enough TO get even
hfleen, with chance of five more, goes ahead of
my best dividend. This was realized in the case
OF Il. H. and B, a. Yettcrlein. They suspended
about three years ago, with liabilities amounting
to nearly $2i9,O00 At first they proposed 10 pay
20 cents on the dollar, time being given for the
pOyment, This was without security. Subse-
quently they offered 50 cents with good security.
With thls 1ntter proposition the Philadclphia
creditors were eatisiled, but the New York credi-
tors refused 70 accept it and forced the estate into
bankruptcy. The general opinion OF those who
tnvesfgted The business was that Il would realize
assnrplus Of hiiy thousand dollars beyond the
gulraRteed hfy per eent, of the Indebtedness
u nder the management OF the Bankruptcy Court
II has paid, and that only recently, 16 per cent.
Some POople are sangnine eiIough to think that
further dividend mary be paid ! should be glad
to think 50 too, bat have yet to the Rrst sign
of 4 i0undatlOn tOE hope. So far then the estate
has not paid as much as was offered, but actually
not as much as intereat OH The amount of the in
debtedness. Gcosser cases Of waste doubtless have
occurred in the experience Of others as they have
in mypwn but this is bad enough In all conscience.
Not only have the creditors been defrnuded by the
bankruptcy machinery out of sixty-eight per
cent oi the mOnsy actually offered them but The
debtors have lOst the tfty thousand dollars which
most of their cTeditBrs were perfectly willing that
they should have. Sull, was not disappointed.
had been theEe before, and had Jared much
worse. had been u creditor of estates that had
paid only two and three per cent. In bankruptcy.
| Therefore when found that the Vetterlelns had
been forced into court, Iadopted plan resolved
ON some years before. ! at once wrote Of the
amount OF my claim, carrying lt 70 the profit and
loss amount. 1 expected nothing, and therefore
took what came By The gclee Of the bankruptcy
officials pretty much a, one receives an unlocked
fog legacy. was glad 70 have L, but wondered
l at ats coming. wondsrad that when hank
ruptcy had eaten up 30 much Of the pie ID should
pause in its meal aud leave Ench Pltlfnl bit OF
crust. some OF those who advocated pushing
the house into bankruptcy explain this small ~
salt BY referring @ the liga1ion that obstFueted
| the settlement II, say they, there had been no
/ lawsuits, better dividend would have been real
ized and paid sooner. OF course but who ever
heard Of q large estate being wound up In hank-
ruptey without litigation. There always have
been lawsuits In such cases. and there always will
be- Ltlgatlon u inevitable In the nature Of things
Il and the creditors may thank their lucky starr
when 1t Is not pEoonged until there ere no longeI
funds to carry 1t on with. For, indeed, have
heard Of instances In which there has been some
talk Of bringing the creditors In debtors 70 ths
estate in order 70 dcitay the expenses Of is set
tiemont. Ia fact, thoWhOle course Of bankruptcy
under the existing law, D monstrOusly extFava
CANT and utteIly Wastefal thai ! eau only marVe
q a tho fOolhardinesg of any business man WhG
rejects in It's favor an hOnOnbla proposition iron
bis debtor l tel assured he Oaly does 20 be
! cause having no pers0nl expeFienes Of bank
fuptcy he neglects % inquire concerning h. III
lOFgsis hia ordinary hnalnola prudence and start
; venture without bgsl coontlng tho riak.
al VIcTiN or BANKRUTTCE.
Philadelphia, October IS.