The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-08-31
IN THE HANDS OLA RECEIVER
TIE NICARAGUA CANAL COMPANY
CAN'T PAY IT'S ELoATIN6 DEBT

610,OOO,O0 OF Securities In Order 60 Pay
on $3.50. OOO-Sccretary Atkins of tho
Maritime Canal Company Put In Charge.
The Nicaragua CanA Construction Com
nany. OF which Warner Miller is the President.
won't into the hands OF n receiver yesterday
because it could not raise the money neces-
sary to pay it's floating debt. Tho immediate
cause Of the application was q Judgment for
S4O33.60 obtained against the company by
Andreas & Co., one Of its Greytown connec.
lions.
The application for tho appointment was
n AIDE by Louis Chable. q stockholder. to Jud &c
Benedict in the United States Circuit Court,
and there was race to get an execution for
tho amount of the judgment issued before It
should BIO under the protection OF the court,
AS the execution wasn't satisfied when 1t was
issued. and rs no levy was made 1t is believed
that the stockholders won the legal race.
Judge Benedict appointed Thomas b. Atkins
receiver. Mr. Atkins Is Secretary and Treas
urer OF tho Maritime Canal Company. which is
the parent company in tho canal building en-
torprise. and which has n capital stock OF
S10o.000.ooo. Tho capital of the construction
company is S12.00O0OO paid up. 1t was Or
ganized under the laws OF Colorado on June
10. 1887. Its principal office. whilc techni-
cally in Denver, was really in this city, at a.
and AZ Wall street
In his application for the appointment Of a
receiver Mr.. Chable says: The corpora
ton was formed to construct q canal from
the Atlantic to the Pacific Ocean through
the territory OF the republic OF Nicaragua.
The principal property of the company Is
in Nicaragua. A demand has been made on
the company for the immediate payment OF
S23S0O0. which sum is unpaid. On Aug 8 o
dro Tod f,rc vi toI,
pany could not pay. and from day to day other
sums are falling due which the company can
not pay. Unless a receiver is appointed some
OF the creditors will attach tho company's
property. to the injury Of the general cred
itors."
The judgment entered yesterday was on
bill of exchange for the sum OF $4,000. dated
July II. and payable thirty days from sight;
was discounted by AndreSs / CO. It was pre- pre-.
sented to the COMPANY on July g. making it
due on Aug t. On Aug T; o. when it was not
pany has been in need OF money for u long
time. and since the ON Embarrassment OF Horace
ceivershp has been talked OF repeatedly, but
the cfiict.s always denied that there was a
likelih"o Of the financial difficulties leading
,Exss ena.sT Miller was found yesterday
been entered but before It was known
that a receiver, had been appointed. He
iior some time that was all he would admit.
1T is true that of late the company has been
present financial difficulties it has been trying
to get money to carry the work OF construc.
SUBSTANTIALLY impossible to get subscriptions
to keen things moving"
How long since any work was done:'
1T has been some months now since tho |
last work Of dredging was done"
is It. true that The officers Of the company
that a clerk of the company's counsel WAS no.
titied that Il any person favorable to you was,
posed BY stockholders uniriendly 70 you!"
That is the first have heard Of it"
What will be the effect OF this on the work |
Of the construction Of the canal? Will it |
"It ouGh. not to- The maritime company
10 which the concessions were mado will re-
main intact. is unimpaired. and ought to
DO able after times improve to revive the en-
That seems to assume that the present
company Will cease to exist"
sS psns e1
oiities. There is no reason why it shouldn't
bring up the ENTERPRISE and push
more assistance or BY being reoreanized.
Mr.; Miller would make no statement about
From another source it was learned that
'ince Jan. very little work on the canal has
dp Saa h for the oS Month
american republic. The war there has re-.
arded things. A few weeks ago the directors
Jaw that supply OF money was absolutely
leccssa.y and an appeal was made to the
to ais by means OF a circular. The
L: ;hold YRS held H. meeting at the company's
,1ice last week. They wero informed that
loating debt, Of S2S5, 900 would have to be
AIKEN up. The directors were authorized to
borrow $1,000 They couldn't do 1t on So
urity OF u face value OF SlD.OU0.OOO, and tho
eceivership was the sequence.
The directors OF the company besides Mr..
iillcr. are Stuyvesant Fish. W. seward Webb.
'!ement A. Griscom. Henry o. Armour. John
y. Mackay. Smith NJ Weed. George w. Davis.
ienry b. Slayen. Jucob W. Miller. Henry r.
ioyt. and j. l. Rathbone. Mr.. Weed said to
eporter after tho receiver was appolHted
Tho company had to 20 int tho hands OF a
eceiyer because it could not raise money to
ay its floating debt. That debt was 100000
I which little less than 100000 had to be
aid ut once. The rest was due to the mart
me company. and was not pressing. Tho
eceivership will not affect the maritime COM
any. which holds the concessions for building
he canal The work will probably be con-
nued by a. new company or by the old ono re-
rgnnized"
Tho construction company has spent be-
ween $4,000. 900 and S5.OU0OCO SO far. and In
ayment has received stocks and bonds Of the
laritime Company. Hiram Hitchcock Is
resident OF tho maritime company.
n REUNION OF THE SMITHS