New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-11-03

TIE FIKM ABLE TO STAND WITHOUT AID FROM
THE CLEARINGHOUSE ASsOCuTIoN-NATURE or
THEIR TEMPORARY ESIBABRAssNiENTs.
AT the establishment of II. b. Clafin & Co.
business proceeding usual Saturday. TRIB-
THF reporter had conversations Saturday with H. Is.
Caan and others the confidence OF the firm, and OBJ
tanned the following statement in regard TO the financial
condition Of the house The immediate cause Of the
embarrassment Of the firm said 10 be the fact that
while other large houses had been seeking temporary
extensions their accounts they had been paying
theirs promptly, usual. TO last Friday BY open
accounts are those ordinarily running from so 70
60 days.
Another member OF the firm said 20 desire the public
70 know everything. We DO not wish TO screen one
single thing The report published IN TIE TRIBUNE is
very fair indeed IL is true we are suffering little
emba rrassment-have allowed accounts 10 mature
but regards notes they have all been promptly met
We do not sell our own paper. but do sell that of
other houses, with our Endorsement upon it, Perhaps
one Of the principal Of present embaITass
lnent was that Overreached ourselves in our en-
deavors TO assist Hoyt spragues CO. do not care to
say that we purchased Of them 10 the amount OF mil
Ion this week; but bought very heavily. We are
now negotiating for ssisance Of some sort from the
banks and other corporations. II we succeed III our
efforts everything Will along in regular grooves If
we fail obtaining assistance Will be compelled TO
ask for an extensOn-an extension upon our open ac-
cOuntnot notes. for our current receipts are ample to
meet calls that quarter. Now don't understand me
10 gay failure at all probable II is not possible; il
IN simply absurd 10 think such thing possible. Our
assets are far beyond liabilities, and for TO be-
leve that we fail is 90 stamp the person an idiot"
Elsewhere IL was further stated that the financial
embarrassment of Hoyt spragues Co. had the effect
of cutting off all negotiations; that toe house Of II. b.
Ciaiin d Co. bad not suspended; that arrangements
had been set foot which. If carried Ouss it
hdently expected they would be-wonld enable the
house 20 tide over its temporary trouble without the
necessity Of suspension; and that the firm would be
all right again a very few days II was currently re-
ported among the manufacturers and importers having
dealings with the firm that they had informed the
Clearing House Association that If they expected
70 pay cash promptly heretofore they must ask for
loan of s. OO0OOO The reporter told by members of
tho Association that while this proposition under
consideration, word came from MI Catiin that he
would Mt need the accommodaton-that he would he
able 10 work through without assistance from the banks
The terms Of the arrangement effected by H. b. Cafin
Co were understood their creditors To be- that
ali accounts $4,000 would be paid at maturity or
IN odays and that all others would be paid with notes
at days and four months.
leading Inaneier and intimate friend OF MI. Cafn
IN conTersaon with reporter, stated that the article
VA THE TRIBUNE eDinentlly just and fair. He
wss certain that IL y. Clafn Co., II afforded far
accommodation by those having claims against them
would be enabled 20 meet every dollar OF their obhea-
tions with interest. The action OF Mr.. Claim in
1851 a sufficient guarantee that the cred
would lot suffer by accommodation.
When the crash IN that year the
firm o. ClafiD, Meen Co. suspended payment, like
hundreds OF others. meeting OF the creditors was
held and tue proposition made By a committee. TO
WHOM the Of settlement were referred that the
r give IT. notes for 20 per cent running from
three 20 six months; when these were paid IL the firm
was able IL 10 give notes Tor the remaining 80 per
cent Then when these were paid interest WAS 10 be
paid per and afierward the 20 per cent
These terms deemed 20 be very liberal toward the
creditors. and the greater number unheeiiaiiDrly
aocedcd to them. few, however, demanded 20 Der
cent IA easl Jueir claims against the firm were pur
ehd ~ the speaker and others al ibis figure ana the
ssfteIueut vas made tho terms proposed by the
,Onulttac. The firm resumed business aud the croG
,iors were paid n ful. with interest More Than this
M, CiaGiu pgocared list Of thote who Lad sold their
ebips Tor less than Their lace yaIae, visited them,
paid the difference win gtefest re pad q his man
e. persone who had legal claim against him
tgS00O0 when demonstrated wiu by MS friends for
paying those who bad LEGAL claim araius; LIN, aud
who had acted ungeneroas sp1t toward him when
~ nOet needed yDpatby and aiG IN tl1t.n iepHrd
that he dd no. Nisb mLn 70 he abe
0 say o. truth That &c Lad lOs Cclai ~ u9euIS 10