New-York tribune., 1893-12-02
DOWNFALL OF a BIG HOUSE;
ABE, STEIN & CO., IMPORTERS OF HIDES
IN A RECEIVERS HANDS
ONE OF THE LARGEST FIRMS IN ITS LINE IN
THE WORLD DRAGGED DOWN BY TIE SUS-
PENSION OF LONDON HoUsE-LIA-
BILrTIEs UPWARD OF 81. 100000,
u,rrrY r,pcr ASSETS
WITH LARGE ASSETS.

PENSION OF 4 LONDON HOUsE-LIA-
BIIITIEs UPWARD OF 81 100000.
WITH LARGE ASSETS.
The house Of Abe Stein & Co., importers OF
goatskins. hides. etc. at No. 81 Gold-st, was
placed in the hands Of receiver yesterday.
The house is one OF the largest in its line in
the world doing a business of s5OO0,0OO year.
The receivership was precipitated, 1t Is de-
clared by the sudden and unexpected suspension
Of the London house Of Jacob Stein Co.,
through which the New-York firm did its busi-
ness Abe Stein the senior partner, who is
now in London. telcgrap phed that information,
and also that drafts for large amount had
gone to protest. The liabilities of Abe. stein
e. Co are placed at 81 10000. with large assets
the exact amount of which cannot be de-
termned at present. The firm had branches
I'm many foreign countries. and the effect of
the failure is expected to be farreaching.
David VILE. of the II. B. Cahin Company,
has been appointed by Judge Bookstaver, of
the Court Of Common Pleas receiver for the
firm He was required to give bond of $780,
OOO The proceedings were brought by W. II.
Hlldrcth a member of the firm, for dissolu-
ton of partnership.
The firm Is special copartnership, COM
posed Of Abe Stein and william II. Hdreth.
ton. and Edwin S. Barrett. Of Concord special
partners for $1,000 each. The latter two are In
business in Boston under the style of Edmands
& Barrett wholesale dealers In foreign skins.
Bradstreets reports say that Abraham Stein
began the business about twenty years ago,
and formed the firm Of Abe. Stein & Co. In 1883,
composed of himself and Samuel T. Preston as
general partners and Edmands and Barrett
special partners for Sl2.5OO each This amount
was subsequently increased. until II is now
$50 600 each. Mr. Pre- ston retired from the firm
In 1856 and Mr.. Hdreth took his place as gen
erel partner The partnership has been re-
newed several times. and on July |, 1892, 1t
was renewed for two years. Bradstreets
shaded the firms credit rating one degree.
In January last the firms statement showed
assets Of about 1864 900 and liabilities Of 1854,
900 OF the liabilities $4,000 were bills payable
and open accounts. The assets consisted prin-
cih3lly OF merchandis and bills and accounts
receivable The business OF the firm during the
late money stringency was somewhat contracted,
but the house was able TO meet all It's oblga-
tions at maturity
HEAVY LOSSES BY OTHER FAILURES
In the application for the receiver 1t was
stated that the firm was insolvent. that the con-
Germ had sustained heavy losses by failures
S35. 900 by John j. Mcconnell and 1000 by
Charles IIngsworth. both OF Philadelphia
that bankers had curtailed credit| and that
drafts to the amount of $4,000 had matured
In London and could not be paid. II was also
said that the firm had been compelled TO
sustain number Of other firms by ndorsing
their commercial paper TO be discounted by
the banks. II further said that Abe
Stein had telesraphed from England that a
large number or drafts held by parties who have
discounted them. drawn by the firm and Its
branches Jacob stein q Co. OF London,
had matured and could not be paid
The firm occupies a large building at No 81
Gold-st. \ large number OF clerks were AT work
there all day yesterday. The clerks said that
none Of the partners were In town. Mr. Hildreth
having gone TO Boston, but that he would re-
turn to-day.
Horwtz & Hershncld attorneys for Mr.. Hill
drcth said that the appointment OF a re-
ceiver for Abe. Stein & Co. was caused by
the failure of the house through which they
did their London business-Jacob Stein * Co
which was entirely unexpected and which was
not yet understood.
PROTECTED DRAFTS WENT TO PROTEST.
Drafts which had matired on London of up
ward Of 100000 and for which the New-York
firm had made provision by transfer Of funds.
were allowed TO go 10 protest on Thursday, ana
this had forced the Ncw-York firm TO apply TO
the court for a receiver In order to protect its
creditors the partnership being special one.
Had II not been for the sudden failure of Jacob
stein & Co. which Is entirely inexplIcable 70
the attorneys. the firm here would probably
have been able 10 go on Ihe staghauon IN
business had resulted in the firm having to
carry a large amount # merchanl.sr, which
had helped TO compllcate affairs y .ihstand-
ing this. and losses by failures ard deprecia-
ton. the firm did not have To ask Il single eX-
tension In the late financial distress. which Is
saving a great deal when the large amount OF
business the firm transact cted Is considered
Horwitz & Nershheld further said that the
firm did a business of over Sl.GOJOOD annually.
There are branches all over tn" world. In Eng
land Germany Russia. Arabin Asia, Australia.
China and South America. The liabilities are
about 81 5000 i'm round numucrs the greater
part of which Is due 10 banks ana bankers in
Europe. II IS impossible al present To give an
estimate of the assets but II Is known that
they are large. The entire property of the firm
has gone into the hands Of the receiver with
out preferences. Mr.. Stein went to Europe
about three months ago in the regular course
Of business as he does every year. ana he would
leave London At once to return here To take
personal charge of the adjustment of the frm's
affairs The attorneys thought that In all prob
ability the firm would be able to adjust its
affairs and go on in business.
The news Of the receivcrshp caused great sur
prise In trade circles and among the banks and
bankers who had business relations with the
firm.