The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1884-07-15
A FINANCIAL CRASH
Visits the Large Manufacturing Estab-
lishment of b. ID. BufOrd 4 Co.
An Assignment Made to Mr.. j. NJ. Blu.
fOrd..-The Assets will Over.
balance the Liabilities.
4 Blow at Rock Island Industries
-Four Hundred Men Temporal
rily Thrown Out of En-
plOyment.


When the distressing news was her
aided throughout the city yesterday after
noon that the well known manufacturing
firm of B. d. BufOrd s. Co had closed its
doors and gone into insolvency, the surprise
was only augmented by the great regret
felt over the disastrous affair. Calling at
the county clerks office the reporter
found that Mr. j. NJ Buford, cashier of
the First National bank, had been APP
pointed assignee, and had filed his bond
in the sum of $500,00 with Mr.. P. L.
Mitchell and Judge Cornelius Lynde as
sureties.
THE CAUSE.
The stringency of the money market,
and depression in trade made it impos-
sible for the firm to longer continue in
business without making some settlement
with their creditors. Mr.. B. D. Buford,
the president of the corporation, held a
conference with the directors, and it was
considered the best way out of the diff
Guilty to make an assignment, so that all
creditors would be treated fairly.
BEGINNING OF THE TROUBLE.
Up to the commencement of the year
1881, the firm of B. D. Buford & Co was
in prosperous condition. 1t was on the
night of the last day of 1850 few hours
before the Inauguration of the new year
that the fire demon visited the large and
extensive works, and they were entirely
Quilted by New Years morning. With an
enterprise commendable, the firm immedi.
ately commenced to rebuild, and the result
was that new and more commodious shops
occupied the site of the destroyed build
ings. In the fall of 1881, business was
again resumed, with largely increased
facilities, but the market vas remarkably
dull, caused in a great measure by the
serious floods, which worked immense
damage to the farmers, and agricultural
implements were in small demand. The
loss aCcruing from the fire, and the de-
preston of business, combined to involve
the firm in debt, and on May l, 1882, a
trust deed on the real estate was executed
for $100,0O February 8, 1888. another
was executed to W. II. Singer, head of the
firm of Singer, Nimmick & Co, steel man
ufacturers, Pittsburgh, for S154, S29 90 =.
| Their Indebtedness has been constantly
growing larger from that time, until their
| liabilities foot up to between
$4,000 AND 100000.
Mr. J. II. Yore, the treasurer of the
| firm, was visited last evening, and he
made the following statement: The
direct cause of the assignment was from
the clamoring of petty creditors, who
threatened to issue attachments if theiI
claims were not met We did not want to
show one creditor partiality over another,
hence the steps taken The assets will
amount to about $500, 10000, so that
the lab lities are more than covered. We
have agencies ia Kansas City, st. Louis,
Peoria, St joe St Paul, San Francisco
Portland, Denver. indianapolis, C0lum-
bus, Milwaukee, New York, and also in
New Zealand The employees have been
carefully looked after, and none of then
will lose dollar from us There is about
s.. 900 due them, and their claims will be
considered first, and AS soon as an order
| can be issued from the courts they will
be paid in full don't think we will be
compelled to suspend business Longer
| than II month or six weeks. The orders
which have been coming in for our new
sulky pillow alone could run the establish
ment successfully. A meeting of the
creditors will be called as soon as posi-
BILE, and some sort of settlement will be
effected at that time
No one regrets this failure more thar
the Daily ARGUS, as it was one of Rock
Islands most prominent industries ant
gave employment to nearly four hundred
men, and at some portions of the veal
they employed even greater number
The pay rolls amounted to over $50, 0OC
month, and as long as the works art
shut down the loss of this large amount
will be felt. A great many families ART
depending upon the pillow works for snip
port, and we trust the time will be shor
before the machinery isstarted in motion
The Messrs. Buford have devoted tht
greater part of their lives in building W
this large institution and to be confronted
with such trouble after years of hard anc
persisting work is certainly very distress
ing to them.