The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1890-07-31
A CONTRAST I.
Two Chapters in the History
of the Dixon Crucible .
Company.
WRECKED BY ITS PRESIDENT.
RESURRECTED BY A RECEIVER
E. F.C. Young 10 Be Relieved Of His
Honorable and Successful
Stewardship and Then Made
President Of the
Company.
The Shameful Story of Orestes
Cleveland's Defalcations.

Chancellor McGill has issued a decree,
which declares the Joseph Dixon Crucible
Company solvent and directs that it be
taken out of the control Of the receiver.
E. F. G. Young, on August 1. The
Dixon Crucible Company became insol-
vent in the early part of Janu-
ary. 1881, mainly through the
mismanagement and questionable
business methods of Orestes Cleveland
who was then president of the company.
Its liabilities were over 100000 and so
hopelessly involved had the company be-
come under Cleveland's presidency that
there seemed to he little hope of saving
anything from the general wreck. Mr..
Young took control of the affairs Of the
company, however. and by his excellent
management has succeeded in the short
space of nine years in extricating it from
its difficulties and placing it on sound
financial basis
By the annual reports which Mr..
Young has filed with the Chancellor it
appears that the company began to make
money almost as soon as Mr.. Young as
Sumed control of its affairs Its profits
averaged $100, 900 a year, md for the year
1889 they amounted to $126, COL SO, while
up to July of the present year they have
amounted to almost $4,000.
A SUCCESSFUL RECEIVER.
On July 10 Mr.. Young filed his petition
In Chancery praying to be relieved from
the position of receiver. In. his petition
he sets up these facts:-The mortgages
upon the company's property had
been paid and cancelled, and that q
re l.nl +or@
bysthe company to pay all claims lawful
ly allowed against the receiver as directed
by the court. The claims not secured
by the mortgage have been paid
and the company Is solvent and
able to do business. The plant is in an
ness. and the receiver has paid out
f99S, ,932 S3 of the earnings of the com
pany, besides large sums for the improve
ment of the plant in Jersey City, for the
erection of mill and for the purchase of
property at Crystal River, Florida,
for the purpose of securing cedar
which is needed in prosecuting the bust
ness of the company. Claims to the
amount Of $77, 7,54772 were disallowed by
the Receiver, the greater part of which
were held bv the bankers and brokers
with whom Orestes Cleveland dealt when
he was at the head of the company.
Upon reading the testimony and the
made an order referring the matter to
James B. Vredenburgh Master In Chan
Gerry, to take testimony in the case and
report whether the Joseph Dixon Cruel
BILE Company was solvent and able to re-
sumo the management of the company
when the receivership terminated and ad-
Just the details which are generally re-
ferred to Master in suits of this nature.
A DESERVING COMPLIMENT TO MR.. YOUNG.
On July 81 Mr.. Vredenburgh filed his
report which, stripped of its legal YER
biage, finds that the receiver had dis
charged his duty with skill and ability
and that the company was solvent and
able to resume control of it's affairs.
The report also states that in the judg-
ment of the master the integrity, ability,
courage and good Judgment which en-
Rbled the receiver to rescue the property
Rnd franchise of the company for the
stockholders is of the value of $4,000 per
annum to them and he recommends that
that sum be allowed Mr.. Young.
Upon receiving this report the Chancel-
lor on Tuesday signed an order ter
fninating the receivership and approving
Mr.. Young's course. In compliance with
Mr.. Vredenburgh's reconsideration
the Chancellor fixed Mr.. Young's
compensation at $4,000 per annum. 1t
was originally fixed at 81, 800 and by this
appreciation of his services Mr.. Young
will receive over $21 900 more than he has
been paid. The company will be imme-
diately reorganized and on September /,
Mr.. Young will be elected president of
the COMPANY