The Baltimore County union. [volume] (Towsontown, Md.) 1865-1909, 1885-04-18
A Bad Failure-Many Persons Involved.

D&N rebluT0-uduy E0r6OuS AAVOiNCos
The Belair Kgis of last week furnishes the
Ioiowing additional particulars of the recent fail
ure In that county;
The failure of the Northern Hartford Packing
association continues to be the theme of converse
uon. The operations of the association were
wiue' spread, and farmers, laborers and store
Seepers, not members, have suffered heavy losses
us collapse. 1t was organized in 1883, with
ABOUT thirty-one members, each of whom, upon
joining, gave note for the capital stock issued
10 MIN, the number of shares being in proportion
10 the capacity of his canning factory. These
no.es were intended to be used, if needed, to pro-
vide funds with which to carry on the business OF
the association. A president, treasurer, secretary
ana directors were elected by the members The
directors appointed an inspector of canneries,
whose duty it was to see that the goods were
properly packed. A common label and brand,
called "The Red Seal" were adopted, and it was
hoped that demand could be created for the
Red Seal goods, which would make them standard
articles in the markets, thereby securing better
prices than could be obtained by individual mem
bers who would also be relieved of the trouble of
selling their goods. A great saving was also
hoped for in buying cans, &C.. in large quantities,
by the directors. The Red Seal brand was ex-
tensively advertised and a broker was employed
to travel through the West and introduce the
goods.
"By the terms of membership all sales were to
be made through the directors, and the members
were required to ship their goods whenever and
wherever ordered.
"a comparatively small portion of the pack of
1883 seems to have been sold during that season,
dividend of 20 cents a case being all that
declared for that year. The members again
packed in 1884. By this time many of them,
having realized very little for two years. work,
were indebted to the banks for loans, to their
neighbors for corn and tomatoes, to their hands
for labor, and to store keepers for cashing their
checks. All this time the goods were held by the
association for higher prices. The market, how
ever seems to have been overstocked and the ad-
vance did not come. After hoping against hope,
the directors lately determined to SELL and Messrs.
Smith Wcks, can makers, of Baltimore, became
the purchasers of all the Red Seal goods, supposed
to amount to 100000 cases of corn and 10000
cases of tomatoes, all of which were either in
warehouses under control of the directors or still
in the hands of the packers.
THE goods, however, could not be found, and
ssIie of the members began to look into affairs.
Their examination, cursory as it was, created the
greatest CONSERVATION. 1t was found that the
association was largely indebted to Smith Wicks
for cans, &C., and further investigation revealed
a mixed and unfortunate condition of affairs. All
the Red Seal goods that were known to be held
in the county, as collateral for loans in the
hands of the members not sufficient to sat
isfy Messrs. Smith & Wicks claim. Besides their
individual liabilities for material labor, &C., the
members feared they would be called upon to
make up the deficiency, by assessment upon the
notes they gave for stock, the deficiency being
roughly estimated at from $4,000 to 100000.
The outlook was appalling and no cheering ray
Of light has yet been thrown into the gloom
"The stockholders at a recent meeting appoint
ed committee to procure a competent, disinter-
ested expert accountant to examine the affairs of
the concern and try to bring order out of the
chaos that seems to exist in the books and ac-
counts. 1t is hoped that if this is done promptly
more can be saved out of the wreck than was at
first thought would be the case, and the accounts
of the individual members could then be properly
and equitably adjusted. The members say that
although their losses are heavy, if their creditors
will be lenient with them they recover from
the blow and pay off their Indebtedness. Other
wise, if compelled to sacrifice their property, they
will be ruined.
"The distress caused by this failure in Hartford
county is unparalleled in her history. The feeling
is intense, but in the absence of any accurate
knowledge of the state of affairs, opinions differ
as to where the responsibility belongs. The
officers of the association had the implicit
confidence of the members, and no charge is made
that any of them have applied the funds of the
association to their own Their friends assert
that much of the shortage in goods is owing to
the fact that some of the members sold them on
their own account in violation Of their agreement
with their fellow members"