New-York tribune., 1873-12-27
THEJAY COOKE BANKRUPTCY
CONDITION AND PROSPECTS OF THE FIRM.
lEUR STATE OF THE LIABILITIES AND AssETs-THE
CREDITORS ENCOURAGED-JAY COOKIES C0NFI-
DENCE IN THE NORTHERN PACIFIC RAILROAD,
UNsHAKEN-HIs DEFENSE OF THE PROJHcr-

DENCE IN THE NORTHERN PACIFIC RAILROAD,
UNsHAKEN-H HIS DEFENSE OF THE PROJRcf-
TIE 1EMBRIls OF THE FIRM COMPLETELY RUINED.
rBY TELEGRAPH TO TIE TRTBUSE.l
PHILADELPHIA, Dec. 2.-The publication OF the
sworn statements of the assets and liabilities OF the
bankrupt firm of Jay Cooke & Co. has awakened
new interest in their affairs on the part of the
general public Who are now able TO the magnitude
OF the wreck, and TO know who are the victims OF
the greatest financial catastrophe of recent times.
The creditors of the firm eagerly scan the lists OF
assets and compare opinions as to their value and
the percentage they are likely to realize on their
claims. much larger number of the creditors live
in Philadelphia than in New-York, or in Washing
ton. The Philadelphia house afavorite deposit
bank for capitalists and business men, and for
people of moderate resources who had ac-
cumulated small sums which they wished TO
put by in safe place. very large proper
tion of its liabilities are to individual depositors
and mercantile and manufacturing firms The
Washington house also did a considerable deposit
business, chiefly, however, with persons connected
with the Government OF in political life. 1t never
had large transactions with the business community
OF that city, The New-York house had very extern
siye dealings with country banks and great share
of its liabilities to these institutions for balances
in its hands at the time of suspension Fortyseyen
National banks II savings banks, and over 300 bank
ing firms are among its creditors. The losses Of the
Washington house small sums, and do not
materially affect the business interests of the city,
The principal members of the bankrupt firm reside
here and the interest in the result Of the failure is
not only more intense in this city than elsewhere,
but information with regard to it is accurate
and easy to obtain. The decree Of bankruptcy was
issued from the United States Court for this dis
trc that the settlement of the affairs of all three
of the banking houses of the firm must be made
here. The creditors are generally surprised at the
extent Of the liabilities On the 9th of September
the firm published statement in which the liabilities
set down at 81 93 400 and the estimated value
of the assets including the property OF the individ-
nal members, at Sl5,S75,l20. The result OF a more
careful examination has been to swell the total OF
the liability side of the account and to shrink the
other. The claims upon the firm are now stated as
follows:
Philadelphia house. s3Osno; Philadelphia house. Sc
cured, s,1T,774; NewYork house, A,5s4l3i New-York
house, secured, 1854; Washington house, Ae7,5s9;
total s9sis,25o; individual liabilities, 81 sos; grand
total 81, ,oos7s6.
The number of creditors is as follows: Phadel-
phia house, 1,454; New-York house, 155; Washing
ton house 74. The estimate of assets, as sworn to
by the members of the firm, aggregate little over
Sl3 OO0 OOO of which over $3SO0o00 is the property
of the individual members. This item does not in
clude the estates of Mr.. Moorhead and Mr.. Fahn,
stock which will make probably over S5,0OO0OO in
addition. OF the firm assets, S6,OC0OO IN
round numbers is in obligations of the
Northern Pacific Railroad Company, principally
notes for money advanced to build the road secured
by deposit of the Companys bonds as collateras.
or by certificates of the stock of the Oregon Steam
Navigation Company. There is also very large
amount of other railroad obligations of uncertain
value (the Lake Superior and Mississippi Railroad
figuring for 81 29 OOO) beside miscellaneous stocks
aud bonds and Western lands, the present worth of
which cannot be accurately ascertained.
The undetermined value of the assets of the firm
makes tho creditors almost as uncertain as ever
about The worth of their claims that the state
ments have been furnished them They are, how
ever. unquestionably encouraged by the pub
lcation of the lists. Day before yester-
day prominent lawyer, who is the attor-
ney for number of claimants, said he did
not believe the estate would pay 10 cents on the dol
lar, and men who estimated the dividend high.
25 per cent were spoken of as absurdly sanguine.
To-day there are plenty OF people who hope to
realize 50 pee cent, but these are men who do not
know the frghtful shrinkage an estimate is subject
TO in going through the mill of bankruptcy.
The bankrupt laws, like the briers in the fable
that tore the wool from the lamb, rob the poor
debtor of his substance at eyeysep of his progress
III the property of the Cookies could have been put
the hands Of trustees and carefully managed in the
interestpf creditors, the loss would not have been
serious. As 1t Is, no one can predict the result The
principal creditors, and in fact ninetenths of all the
creditors, desired to save the firm from the bank
ruptcy court But the public was then SO suspicious
that proper exertons to avert the extreme and dis
astrous results Of insolvency were denounced as
evidences Of dishonest purposes The present plan
of the large creditors here is to try to avoid the loss
inseparabe from an immediate liquidation of the es
tate by the receiver, by putting it in the hands OF
trustee under the 43d section of the bankrupt law
This course must be assented TO by twothirds of the
creditors. 1t is believed that there will be no trouble
in getting the consent of the requisite number at the
general meeting of creditors to be held here on the
18th Of January.
The most sanguine man in Philadelphia as to the
final result of the settlement of the affairs of Jay
Cooke & Co. is by all odds Mr.. Jay Cooke himself.
His bump of hOpefulness would astOnish phrenol-
oRist In the midst Of wreck that in the eyes of
Others is irretrievable and appalling he continues
cheerful and actually believes his firm will in the
end pay dollar for dollar. If allowed to manage the
assets, he says he could have realized handsome
fortune after paying all liabilities. The palatial
banking ghouse Of the firm in Third-st is still regu-
larly opened every day, but the atmosphere of the
place seems heavy with disaster. Dust accumulates
the massive walnut counters There is no clink
of coin rustic of bank notes to be heard or hustle
of borrowers and lenders coming and gong. A few
employees. faithful to the last. still haunt the place
aud talk together in melancholy undertones, and
occasionally friend of one of the partners comes
IN, or an ignorant creditor appears, thinking that
an appeal to headquarters may secure some ad-
vantage for his claim.
The head of the firm still lives in that magnificent
palace called Ogontz at Chestnut Hill, some nine
miles ont of the city into which he put million