Rock Island daily Argus. (Rock Island, Ill.) 1886-1893, 1890-10-17
HE OWES MILLIONS.
A Michigan Lumber and Salt
"Baron" Assigns.
LIABILITIES PUT AT $1,000 -c c,J.

The Collapse Carries Down Firm Mt
Grand Rapids. Which Is Short About
5000, 000-The Failure Not Likely to
Seriously Affect Other Points-Hopes
of His EmpIoyes-A Big Lot of Assets
To ne Divided.
MILWAUKEE, Wis, Oct. IA private
dispatch just received here says: K. G.
Peters the millionaire lumberman of
Janlstee, Mich, has assigned TO Mr..
Henry. OF Detroit. Peters is quoted in
mercantile agencies at 81, oOp,0oo This is
the most stupendous financial crash
known in Michigan for many years. Mr..
Peters is great lumber and sa!I "oaron,"
and il is said that his liabilities are in the
neighborhood of 100000 Soon after the
announcement that Peters had assigned
to A NJ Henry, of Detroit, brother in
law of eX governor Alyer, Il telegram was
received from Grand Rapids sta,i2g that
Arthur Meigs & Co, of that city, firm
in which Peters was largely interested,
h ad failed with liabilities aggregating
nearly $500 Mr. Peters WAS interest
ed in score of big enterprises in north
ern Michigan. He had made money rap
idly III numberless ventures, and rs
wealth rolled in upon HIM his operations
grew to enormous proportions.
He Had Unlimited Credit.
While lumber and salt were his special
ties, he dealt in everything that promised
gain. and his confidence in his own abili-
ties as a financier infected others to such
an extent that almost unlimited capital
was always at his command. Bankers
eagerly discounted his paper, and mer-
chants and manufacturers with idle funds
are said to have placed large sums of
spare cash with the marvellous money
maker for investment. Mr.. Peters credit
WAS not confined to northern Michigan,
but extended 20 Detroit. Milwaukee. Chi
cago, and SIN aller cities. While il is be-
lieved his liabilities in the three places
named are considerable, the information
at hand does not warrant any fears that
serious consequences will follow at either
of those points. The collapse, however
will probably have a far-reaching effect
in northern Michigan.
The Creditors Widely Scattered.
A gentleman at Manistee, who is famil-
lar with Mr. Peters financial operations
is reported to have said last nigE. that
the creditors are widely scattered. and.
while their claims aggregate an euor
nous sum, the losses extend over a terri.
tory so large that they will be hardly felt.
Much excitement exists among the EN-
ployes of Mr.. Peters, who will he de.
prived of work at the beginning of win
ter If the various establishment shut
down. 1t is believed, however. that "A
portion Of the immense business VIII be
continued by the assignee. ami the opin-
ion is also expressed that soma of the
wealthy men who have heretofore had
such confidence in Mr. Peters may yet
come 10 has rescue.
Has Confidence ia Him Yet.
James kneeland, vino has been the in
dorser OF a great amount OF Mr.. Peters
paper, and is probably his heaviest Nil
waukee creditor. said last night: a heard
OF this matter last night, but my informa-
ton was not Of a definite nature IL i,
true that am Mr. Peters creditor for q
large amount, but have good security.
| have the utmost confidence in Mr. Pc
ters" The Milwaukee correspondent OF
the Mani-tee National bank. of which
| Mir. Peters is president, is the National
| Exchange bank Grant Fitch. the cash
| Ter, expressed the belief that the Manis
| tee bank would not be affected, regard
! less of Mr.. Peters personal obligations
Some of Peters paper is held by Milwau.
/ kee banks but not enough to cause the
! holders concern.
| Gen. AIger Is All Right.
A telegram from Detroit says that Pc
| tiers secured Russell A. Alger and the De
| troit National bank by 81. 90 bill oil
sale two hours before he assigned; alsC
! that the assets in Manistee, Grand Rap
! ids and the lands in the northern PENN.
sula, lumber, etc, on had, if judiciously
| handled will, 1t is thought, cover the liza
I Dilities