Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1893-07-11
A BIG BREAK IN DENVER.
The Chamberlain Investment Company
in the hands of an Assignee.


DENVER, COL, July 10.-The Cham
berlaiu Investment Company, the larg-
esi real estate concern in the West,
closed its doors this morning. The liza
bililties direct aud contingent are 81
372, lis and assets So, 900, 600. The fall
ure was brought about by an attach
ment sworn out by d. III. Furguson,
President of the Denver Savings bank,
for So, 500, on which he held securities
greatly in excess OF the amount. The
action Of the bank Is not regarded favor
ably by the people of Denver, for 1t is
known that had it not been for the uni
versal hard times the company would
have been able to pull through. The
sheriff served the papers and took pos
session last evening, there apparently
being no Sunday law In Colorado, ex-
cept possibly TO regulate saloons. The
Vice-President of the company is located
in London, where three-quarterS OF the
liabilities will fall. They have other
Offices In New York, Fort Worth and
San Antonio, Texas.
Denver people will suffer but little.
All the personal property OF the Cham
berlain Bros. has been turned into the
assets. Col. Lewis G. Ellsworth, for
merly receiver OF the Denver and Rio
Grande railroad, has been appointed
assignee. Mr.. II. B. Chamberlain,
president OF the company, made the
following statement:
During the years prior to 1890, In
which we were making very large real
estate deals Of property In Denver, we
became largely interested In real estate
in Pueblo, FIT. Worth, San Antonio,
Spokane Falls, Helena and other cities.
We were Joined in our various enter
prises by clients in Denver, Eastern
cities and Great Britain. In the process
of improving these properties it became
necame necessary TO build railways
for rapid transit TO and through
them. In this way we became involved
in the construction and maintenance
of electric railways in each Of these
cities. While in the midst OF the oper-
ations came the Barring crisis aud from
that time-the fall OF 1s90-we have
been heavily burdened with these de-
pendent interests We found 1t impos-
sible to secure the financial cooperation
from more than few of those interest
ed with US. Therefore the burden OF
construction and maintenance has fallen
almost exclusively on the Chamberlain
Investment Co., aud the continuous
drafts on our financial resources with
the care of other enterprises we have
felt compelled TO foster to protect large
real estate interests has had much to do
with our present condition. We have
also encouraged the purchase OF large
properties by individual customers fre-
Quently on part payment, and then be-
cause they were either unwilling, una
BILE to pay interest and the mortgage at
maturity we have taken up and
held their real estate notes
to prevent foreclosure and consequent
loss to the customer, beyond the limits
of prudence. Whenever we have sent
these notes 10 investors we have been
obliged TO guarantee interest and prin-
eIpal, and thus the contingent liabili-
ties was greatly enlarged. In efforts TO
protect our customers we have advanced
in the last three years upwards of $780,
coo. TO fund the direct liabilities OF
the company for ten years 81 low rate
Of interest, We commenced last fall
the issuance through the Franklin
Trust Company OF Brooklyn, as trus-
tees OF $500, 600 six per cent. ten-year
debentures, placing with them the col
lateral OF the company Independently
valued st three times the amount OF the
.deoenture certificates. Something more