The morning call., 1893-02-03

The Greenebaum Failure
in the Courts.
WHOLESALE FRAUD CHARGED.
A Creditors Petition for an Account
ing-Colius;on and Conspi-
racy Alleged.

c. w. Craig filed a complaint in the
Superior Court yesterday. in which he
charges a conspiracy to defraud h i'm in con-
nection with the recent faiiare of Alfred
GreeDebaum & Co.
The parties sued are the Anglo Cali
forniaD Bank. Ignatz Steinhart, its manager,
Alfred Greenebau doing business as
Alfred Greeuebaum 81 Co.. S. w. Levy, his
father-n-law, and William Lewis, his
brolher-in-law.
The complainant AYERS that on April 10,
1892, he sold to Alfred Greenebaum Il Co.
merchandise valued at Sl649 SO. for which
he took Gieenehaum's promissory note,
payable August %, 1892; that the goods
were sold on credltand upon the representa-
ton of Greenebaum, Levy and Lewis that
the first named was solvent; that these
representations were that at the time OF the
transaction Greenebaum's assets approx
mated 100000, his total Indebtedness
s65000 aud his net capital Sl55.00 of which
100000 was a gift from his talher-in-law,
Levy.
Craig alleges that the representations
were made to him by Greenebaum aud Levy
In pursuance OF a conspiracy made April
13 1892, between Greenebaum, Levy, Lewis,
the bank and its manager, Steinhart, with
view to defrauding him and other creditors
~ UTeeheoaulll, anu tHaJ GIeeueDHuU N
Co. were not doing any business with the
Angl0-Californian Bank at the time
The complaint next reads as follows:
That the plaintiff is informed and believes and
Therefore AYERS the fact TO be that IL was agreed
by and between said Alfred Greenebaum said s.
w. Levy. said William Lewis, sale Ang0.Cali
f0rnian Bank Qimtted) and said IGBaIZ oteinhart
that said Alfred Gieeneba um Co. should buy
upon the market said Alfred GTeenebaum then
being in good standing IN the commercial world
large quantity Of goods. wares and merchan-
disc upon credit and then hypothecate The said
goods, wares and merchandise with lie SAID
Anglo Californian Bank (mied) for moneys
which he should receive from said bank and
which moneys lie should deliver TO said S. w.
Levy, and mat said S. w Levy and said Alfred
Gfeenebanm should secure said bank and said
lgnatZ Steinhart aud should permit the said
bank TO sell The said goods ana charge com
mission therefor IN addition 10 interest ana
that In reby and from such manipulation the
assets OF said Greenebaum & Co. would be
placed beyond the reach OF THIS plaintiff and
other creditors OF said Greeneb um & co., and
said Greenebaum 4 CO. could thereby. with
the aid and assistance of said bank. said lgnaiz
Steinhart, said William Lewis and said ). w.
Levy, coeTce this plaintiff and other creditors OF
said Greenehaum & Co. into cheap settlement
OF their claims against said Alfred GTeenebaum
& Co.
Craig next AYERS that in pursuance OF this
fraudulent scheme Greenebaum bought
upon credit goods valued at $4,000; that
before the maturity of plaintiffs note
GTeenebaum turned over TO the bank, Stein
hart, Levy aud Lewis the goods so purchased.
and after placing large majority of his
assets out OF his possession, caused with the
other defendants his remaining assets to be
attached by other creditors.
The plaintiff further AYERS that at the
time OF said transaction Steinhart caused
Levy ana others TO execute to the bank
other collateral securities besides the goods
oblained that the moneys SO obtained by
Levy and Greenebaum were returned and
deposited with the Anglo Californian Bank
at the request Of Steinhart; that II was
agreed between the bank and the other de-
PENDANTS that II was TO be represented TO the
creditors OF Greene baum and 10 the plaintln
that said assets were used for the purpose of
paving to Levy large sum, inclGil ling the
100000 given by Levy to Greenebaum; that
ever since this levynR OF the attachment the
bank has permitted Levy and Greeuebaum
10 sell the goods while knowing that the In
debtedness of Greenebaum and Levy was
simulated, and that the Angio-Californian
Bank and Steinhart were fully acquainted
with all the terms Of said conspiracy and
collision.
1t is next recited In the complaint that
Craig recovered Judgment for SlG91 "a and
S23 % costs, but found nothing OF value in
Greene baum's possession when execution
was levied; that Greenebaum. with the
consent and conniyanee OF the bark and the
other defendants, transferred to Levy and
Lewis, without consideration, property
valued at S120 600; that after such DISPOSE
ton of his assets Overtures were made to
the creditors TO settle for 20. 80 and 80 cents
on the dollar of the amount OF their claims.
aud that plaintiff was offered 30 cents on
the dollar,
Craig demands an accounting OF all
transactions entered into by the defend
ants: that the transfers and hyp0theeatous
be declared null and void that the defend
ants be restrained from disposing OF any OF
The property, and that plaintiff have judy
ment against each and all Of the defendants
for the full amount of his claim against
Alfred GTeenebaUm & Co.
Messrs. kOthsehild u Ach are the attor-
news for Mr.. CTaig