Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1891-08-04
A BIG FAILURE.
ABRAHAM sACKER, HEAVY DEAL
Err IN COMMERCIAL PAPER,
Also Extensive Commission Merchant and
Banker, New York, Makes An As.
siSnment-His Affairs.

| NEW YORK, Aug. 3.-Abraham Backer,
| dealer in commercial paper at 2S5 Broad
way, made an assignment yesterday with
out preference, to Benjamin F. Emstein OF
Townsend, Dyett & Emstein, lawyers
at 3i7 Broadway. Backer was a
| heavy dealer in commercial paper and
also capitalist of the firm Of A. Bacier Il
| Co., dry goods commission merchants at
| 2e5 Broadway. He also manufactured
goods at Glastonbury, Conn, where he
| had fine mill. These goods were
| principally for the Southern trade,
Backer having been merchant
in the South for many years, coming TO
| New York twenty-seven years ago. His
| assignment, it is said, does not affect the
firm of a. Backer & Co, although he was
| the principal partner and capitalist.
| His son, \. d. Backer, being
| the company. Backer's principal
| business was dealing in commercial paper.
| His large connections in the South and
| Southwest enabled him to handle great
deal OF commercial paper, either as a
| broker or purchaser. Some of this paper
he iudorsed and had discounted in his
bank. on which he has acontingent liability,
and some of it he sold outright. He drifted
1t is said, gradually into this branch of bus
mess by buying at first for personal in
| by placing help for merchants
with whom lie had dealings. He was said
| to obtain some of the best paper made, and
he handled about Sl5,0O0,0O0 annually.
| Backer was very popular in financial and
! mercantile circles, and had the confidence
of banks and brokers in this city and
elsewhere, was director in the City bank,
and in several Southern banks. He had a
number of bank accounts where he got his
paper discounted. Backer's assignment, it
is said, is principally due to the condition of
the money market, which made
it very difficult for him TO float
a quantity OF commercial paper which he
handled generally, and also TO the decline
in certain Southern railroad bonds in which
he was a large holder, His trouble, it
is said, in relation to the Southern
railroad bonds was the result of
his connection with the Macon
construction company of Macon, Ga. This
company was organized about four years
ago, Backer and another New York mer-
chant being among the directors. The
company had claimed 4 capital of
$500,G00 Backer, 1t is said, lent
the Macon construction company
a large amount of money, which he was
unable to recover He could not be found
at his office yesterday. The clerks said he
did not come down to business on account
of the assignment, and that it was a com
plete surprise to them.
His liabilities are said to be about 81 000,
81, 100000 contingent The latter is said to
be all right, and no loss is anticipated.
The contingent liabilities are mainly
Endorsements on commercial paper dis
counted by banks. The liabilities
are principally 10 banks in this city and
elsewhere 10 individuals. 1t is generally
understood that Backer Will not be called
upon to pay the full amount of liabilities. The
assets of the property taken care of, will, it
is said, more than cover the liabilities. and
ali creditors will probably eventually be
paid in full. The books are being written up
with a view to get at the actual condition
of affairs, and the assets, according to one
who is familiar with Backer's affairs,
include about Sl,500,000 of the
bonds of the Georgia Southern and Flor
ida railroad. and Macon and Birmingham
railroad, about SI50000 Alabama state
bonds and large amount of other securi-
ties, valuable mill plant at Glastonbury,
Conn, and sl5O, 900 TO 100000 worth of real
estate in New York city.