The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-08-04
A FOUR MILLION FAILURE
BACKBR OF NEW YORK
MAKES AN ASSIGNMENT.


His Inability to Float the Quantity of
Commercial Paper Which He Gener-
ally Handled the Cause-His Trouble
Also Attributed to His Connection
With the Macon Construction Com
pany-His Assets Comprise Large
Amounts OF Southern Securities-Be
Form srly Lived ii Savannah.
NEW YORK, Aug. 3.-Abraham Backer,
a dealer in commercial paper, at No 2S5
Broadway, made an assignment to-day,
without preference. to Benjamin F.. Elm
stein of No. 247 Broadway. MIR Backer
was a capitalist and a member Of
the firm of A. Backer & Co., dry
goods commission merchants at No. 2S5
Broadway. He also manufactured goods
at Glastonbury, Conn, where he has fine
mill Their goods were principally for the
southern trade. He sold goods which he
manufactured there through his own firm Of
A Backer & Co. His assignment, it is said
does not affect this firm, although be was
the principal partner aud capitalist, his son,
c. Backer, being the company.
HIS PRINCIPAL BUSINESS.
Mr. Backers principal business was deal
ing in commercial paper. His large connec-
tions in the south and southwest enabled
him to handle a great deal of paper, either
as a broker or purchaser. Some of the
paper he indorsed and had discounted in his
banks on which he has contingent liability
and some of it he sold outright. He drifted,
it Is said, gradually to this branch
Of business by buying at first
for personal investment, and then extending
it by placing paper for merchants with
whom he had dealings He is said to have
obtained some of the best paper, and he
banded about $4,000. 900 annually. Mr..
Backer was very popular in financial and
mercantile circles, and had the confidence
OF banks and bankers in this city and else
where. He is director in banks here and
il seven southern banks. He had a num-
ber Of bank accounts where he got his
papers discounted.
CAUSE OF THE ASSIGNMENT.
Mr.. Backer's assignment, it is said, is
principally due to the condition of the
money market, which made il very difficult
for him TO float the quantity of commercial
naper which he generally handled, and also
to the decline in certain southern cities, ia
which he was a large holder. His
trouble, it is said, in rela-
tion to southern railroad bonds
was the result Of his connection with the
Macon Construction Company of Macon,
Ca, of which he was one of the directors,
and to which he 10 said to have loaned much
money. His liabilities are said to be about
", COZ, 900, of which 81, 800. 900 is direct and
81, 100000 contingent. The latter is said to
be all right and no less is Anticipated.
The assets according to one who is ia
mliiar with Mr.. Bncker's affairs, include
ABOUT & 100000 of bonds of the Georgia
Southern and Florida railroad and Macon
aad Birmingham railroad; about $3.50, 900
of Alabama state bonds and large amount
of other securities, the valuable mill plant
ct Glastonbury, Conn. and S15O,000 to
S2J1, 600 worth of real estate in New York
city. Mr.. Backer came to New York from
Savannah.
CAUSES SURPRISE IN MACON.
MACON, GA. Aug. 3.-The reported fell
ure OF A. Backer OF New York is received
with considerable surprise in this city to-
day. But the officers of the construc ion
company, now in the hands OF a receiver,
are unable to understand why the indebted
ness of the company to him should be
claimed as the reason for the failure. Mr.
Backer, it appears, failed for $1,000
OJC, while the construction COM
pany owes him only $3.50, 900,
secured by collateral of the bonds in the
Georgia Southern and Florida, and the
Macon and Birmingham. OF the former he
holds bond for $400, 900, secured by $500, 900
worth of bonds, and Of the latter $3.50 900,
secured by 100000 worth of bonds. Mr..
Backer also holds one and a half shares in the
Macon Construction Company representing
$4,000; and $4,000 In the Macon and
Savannah Construction Company, or one
ebara