The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1876-05-08
The Great Berkshire Failure.

The failure OF Harvey Arnorld IL Co., of
the North Adams print works, carrying
down five other cotton mills, is even more
disastrous in its results than at first ap-
peared. The total liabilities, 1t is thought,
will rise over, rather than fall below, the
estimated 81, 250, 900 and not lees than 1900
men, women and children in the six mills
are thrown out of work. MIR. Harvey Ar
mold was the main stay of these large
manufacturing in;erests-the firm of Har-
vey Arnold & Co., Of the print works, is
made up of Mr.. Arnold, bis adopted son,
f. II. Arnold, and A. G. Houghton Z. IL.
Arnold 81 Co., formerly O. Arnold d Co.,
consists of L. II. and Harvey Arnold and
operated the Union cotton mill at North
Adams, and the Arnodsville mill at the
South village; Harvey and f. Ii. Arnold
and A. G. Houghton are the controlling
stockholders in the Williamstown cotton
manufacturing Co. and the North Pownal
cotton mill; and A. G. Houghton ant A.
A. Smith are the largest owners in the
Beaver cotton mill at North Adams. This
combination has been carrying great
amount of Improbable property. The
Pownal mill, it ia said was bought
ouQ httCu Wy va tliC mil,
too, was bought on credit while the sever
al mills have expended largely for rev ma
i6e s"c exception option Of tho ' small Xrnoldsyille
mild were in a condition TO make goods ea
cheaply as any mills in the country. As
long as prints could he made at a profit.
these large establishments could be kept
up, but with dull market the other print
works in town closed in consequence, and
credit shortened, their fall was only mat
ter of time. The commission house of Uar-
vey Arnold Il Co. would not let them draw
more than two-thirds of the value OF the
goods actually in New York, so of late
their effort has been to rush out the prints,
buying the cloth when they could not
make enough, and get them in market SO
as to draw against to meet their paper
And people, seeing the mills running often
till ii o'clock at night, have thought that
the Arnolds we're doing a money -makiug
business.
Even at North Adams people have hard.
ly yet begun to appreciate the extent OF
this failure. In Adams alone, saying moth
ing about Willamstown and Pownal, the
several firms paid tax of $15 900. Har.
vey Arnold, E. II. Arnold, A. c. Houeh-
ton aud A. A. Smith will probably lose
everything. except their residences. Mrs.
Harvey Arnold owns the two fine Arnold
places on Eagle street, aud has willed them
to her sons wife, Mrs. L. Fl. Arnold, and
Mrs. Houghton owns her house and is tax
ed for it. John f. Arnold sold his interest
in the business, some time ago, but holds
some 800, 900 in company notes, land 1t will
probably take all he Ia worth. Oliver Ar.
mold loses hut 50, 900, and is still wealthy
Jerome jackson holds some 81 900 of the
paper, and it is said is pledged to secure
about $l2, 900 more held by another man,
but he Is one OF the substantial men of the
town, and can stand it. The calamity is q
severe one for Il. w. Brown, the Boston
and Albany station agent and coal dealer
whose loss will take all he Is worth un-
less the coal company in New York,
for which he has done very large
business, help him to 90 on. The two
savings banks found their doors besieged,
Friday .smorning, by anxious inquirers,
but many of them were satisfied with the
statements of the officers, that, as far as
they knew, the banks had not lost anything,
while others wanted their money, and the
bank paid out S22, 900, the run continuing
all day; they can give out 5000 900, il
necessary, before stopping. The Hoosac
valley bank decided to avail themselves of
their right to require notice, until they
could find out just how they stood. r Il.
Graves. of New York, has a mortgage on
the print works of about $40, 900 for money
loaned to build up with after the fire, and
II is said that there arc no other preferred
creditors except the wcrkmen. A few
days ago the national bank offered the
Arnolds $4,000 on their property, but
they conclsded not to take it, knowing
that it could not carry them over.
Many of tho merchants lose from one or
another of the firms, but probably not
moro than one will suffer seriously. The
North Adams fire district loses about ST..
600, but the greatest danger to the towns
is that many of the families thrown out OF
work may have 70 be supported at the pub
lie expense before they can find employ
ment. The whole number OF men, women
and children in the six mills Is probably
not less than 1900, and it is said that they
have five weeks pay due them.
The Boston I1upelier says that the Ar
mold failure is likely to affect commission
house there that has acted as selling agents
for the Berkshire firm. The house has
nearly million of paper In the banks, and
there is much anxiety to know how much il
Is involved with Oliver Arnold & Co. The
smaller Fall River corporations will lose
about 81, 900.