New-York tribune., 1875-09-24
HENRY CLEWS G co.

HENRY CLEWS co.
CREDITORS OPPOSING THE FIRMS DIS
CHARGE IN BANKRUPTCY.
CHARGES CONCERNING THR TRANSACTIONS IN SOUTH
ERN sHCURITTEs-THR BOOKS SAID TO GIVE NO
SATISFACTORY ExPLANATIoN-ALLEGED PRIVATE
SETTLEMENTS WITH CERTAIN CREDIroRs-sEcUR-
tiles IMPROPERLY TRANSFERRED UNDER COLOR
OF A LOAN-A SINGULAR CLAIM UPON THE
FIRMS PROFITS AS FINANCIAL AGENTS OF THE
UNITED STATES.
A petition having been filed in the District
Court Of the United States for the Southern District OF
New-York by Henry Clews and Theodore s. Fowler, OF
the bankrupt firm of Henry Clews Co., for
@ discharge from all their debts and other claims
provabe against them, the opposing creditors met yes
terday afternoon at O'Clock, at the office OF Edgar
Ketchum Register in Bankruptcy, at No. 129 Fultonst
Mr.. Clews present and the Registers rooms
filled with creditors and lawyers repre-
sentng them. G. A. seixas appeared for Mr.. Ccws,
and after an informal conference with the persons pres
ent requested an adjournment Of the proceedings for one
week in order that certain creditors might have an op
porunity to prove their claims and TO e notices OF a
pearance. Mr. Stokes acting for the Register, then ad
ourned the hearing until Thursday Sept 30 at o'clock
reservng all rights for the creditors and stated that OBJ
jections must be sent IN on or before that date.
The feeling among the creditors present was very un
favorable 10 Mr. Cews and OF them in private con
versaton sharply criticised his conduct and condemned
In severe terms many Of his operations which nave
suits and the examinations made Under the bank
rupcy proceedings. The alleged transfer OF worthless
color of loan the of the depositors Of the new
H Was @ p % G srons a1r " oe creditor
stated that the bonds OF the State OF Georgia negotiated
by Cews Co. TO the amount of 81 100000 had been
repudsted by the Legislature Of the State There were
many expressions Of bitter feeling that the accounts ana
books OF the hrm did not show clearly the nature OF he
transactions between the firm and the officials of the
Southern States, the bonds of which were put on
agents. Several persons expressed the belief that the
securities OF Georgia North Carolina, Alabama, aud Mis-
sssipp held by the firm might be made valuable and be
acknowledged by the authorities if the books and vouch
ers OF the bankrupt firm showed a clean record and
creditor stated that at the time of the failure the south
ern securities held by Henry Clews & Co.. state bonds
amounted in the aggregate TO nearly - 100000 These
bonds ,bs waS Sss stated wfs ,ns ysn ana d il
the moneys received from the sales have been
honestly paid into the State treasures there cannot be
with interest. Great doubt was expressed whether
the books Of the firm would be Of any value
The payment OF the bonds and securities referred to- II
was estimated would make handsSi9s nee dividend ana
II was reported that about thirty creditors VIII inter
grounds, each involving allegations OF fraud. u was
asserted that evidence would be for,hcom-that tes
mony had in fact already been given in Georgia court
that the accounts OF Clews Co. had been falsiied IL
was claimed also that the ADVISORY CohHitteo Whgn
had not been appointed at meeting of creditors ana
that the members Of the Committee had never seen the
books when they certified that the assets would pay al
the debts OF the firm, ii given TO dispose OF
them. Instead OF the assets being sufficient TO meet tne
the trustees expenses in closing the concern
1t was also claimed that several creditors who
bankruptcy proceedings had been settled wth pflsae!
among them being Messrs Richards Brothers, Cham
pagn, ILL., ellison & Townsend LeetOnia, ONO; r.. o.
spaulding Buffalo, and L. L. Schmieder OF NO; ooi
Broadway, whose suit the firm was originally placed
the SheIifrs hands.
AGREEMENTS FOR THE DIVISION OF PROFITS AS
FINANCIAL AGENTS.
About noon Benjamin II. Cheever Of Washington, D.
c. called the Registers Once and filed claim against
Henry Clews Co. for balance due on contracts of
March 27, 1869. $150,O0O; less by cash, $1,000
$14O5O0." Attached to this claim were copies OF the
agreements or contracts made by the firm with Mr.
Cheever and James Van Buren,. Following are the al
legged contracts and accompanying papers:
Should we be appointed by the United States Govern
ment financial agents IN New,iork or In any CITY or
profits of the with Il. II. Cheever and James Van
buren, onoquarter each they being partners in sIeh pro
washington. d. c.. March 90. 1869
,h1 19f fSSys Ssys .sea at SEX ''
should we be appointed by the United States Govern
ment its financial AGENTS in London Paris % or lranhiol
b. H. Cheever and James Van Buren, one-quarter eacn,
they being partners in such proportion: c,vxsA Aco
Washington, D. O.. March 27. 1869.
The above IL correct copy OF inc orlSIni uocutht
denosited in our office w. A. STAGG.
Mr. Cheever stated that be also represented James Van
Buren, who had a similar claim and that they both pro-
tested against Mr. Cews receiving discharge from his
liabilities After the adjournment OF the hearing Mr.
Cheever informed a reporter Of THE TRIBUNE that he
WAS prepared to show that Henry Clews Co. had re-
ceivcd over 100000 profits as fiscal agents OF the
United States and that his claim for onequarter OF that
sum was presented in good faith. He had sworn to Its
correctness before the Register, and able to sub
stantiate it, said Mr. Clews had deceived him. and II
was understood that the books OF the firm did not
contain any entries OF the transaction. The agree
ment was very plain and could not be misunderstood,
but Mr. Clews had evaded payments under IT, caiining
that there profits Mr. Cheever also stated that
him that Mr. Habicht Of the firm OF Clews, Habcit
Co.. London, wodd have one-quarter or these prons-
leaving the remaining quarter for Mr.. Cews Mr.:
declined TO give details concerning his claim and
the nature services rendered until after his coun-
prepared the in the suits which would DO
begun against the firm 10 the money claimed to
be due under the contract.