The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1893-07-11
onosED IT'S DOORS.

Tho Greatest Real Estate Company In the
West Forced TO the wall-The Presidents
statement
DENVER, Col, July l0-The Chamber
lain Investment Company, the largest
real estate concern in the west, closed
| its doors this morning, The liabilities
direct and contingent are $685., lis,
and assets 100000. The failure was
brought about by an attachment sworn
out by ID. II. Furguson, president OF the
Denver Savings Bank, for 5000, on
which he held securities greatly IN ex-
cess Of the amount, The action OF the
bank is not regarded iavorably by the
people OF Denver, for II is known that
had 1t not been Tor the universal hard
time the company would have been
able to pull through, The sheriff
served the papers and took possession
last evening, there apparently being no
Sunday law In Colorado, except posse
bly, TO regulate saloons, The vice presi'
dent OF the company is located in Lon
don where thrae,quarters OF the liabili-
ties will fall, They have other offices
in New York, Fort Worth and San
Antonio, Texas. 49,,
Denver people will suffer but little,
All the personal property OF the CHAM
berlaln Bros, has been turned into the
assets, Colonel Lewis O. Ellsworth,
formerly receiver OF the Denver q Rio
Grande Railroad, has been appointed
assignee, DIR. II, B. Chamberlain, pres
ident OF the company, made the follow
ing 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, IT, Worth, San
Antonio, Spokane Falls, Helena and
other cities, We were joined in our
various enterprises by clienisin Denver,
eastern cities and Great Britain, In
the process OF improving these proper
ties II became necessary to build ways
Of rapid transit to aud through them.
In this way VIC became involved IN the,
construction and maintenance OF
electric railways in each oil
these cities. While in tho
midst Of the operations came the Barring
crisis, and from that time--the fall OF
la90-we have been burdened with
these dependent interests, We found
It Impossible to secure the financial co.
operation from moro than few inter-
ested With US. Therefore the burden
OF construction and maintenance has
fallen almost exclusively on tile Cham
beTlain Investment Company, and the
continuous drafts on our financial re-
sources, with the care Of other enter
prises 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 largo properties by in
diyidual customers, frequently on part
payment, and then because they were
either unwilling or unable to pay inter-
est and the mortgage at maturity, we
have taken up and held their real es.
tate notes to prevent foreclosure and
consequent loss to the customer beyond
the limits OF prudence.
In the effort TO protect our customers
We have advanced in the last three
years upwards Of $4,000. To fund the
direct liabilities OF tho company for ten
years at a low rate Of interest, We COM
menced last fall tho issuance, through
the Franklin Trust Company, OF Brook
1yn, as trustees, OF $500, 900 six per cent
ten year debentures. placing with them
the collateral OF tho company inae-
pendently valued at three times the
amount OF the debenture certificates.
Something more than hall Of these de-
bentures have been certified and put
out and We were in q fair way TO place
the balancewhich would have provided
for tho company's direct liability. The
financial conditions in the United
States were such that there was almost
no market for these securities. AS We
had previously sold other securities In
Great Britain we naturally looked for a
market.
The failures Of Australian banks, in
volying upward OF $500, 100000 OF Brit
ish funds, brought about distrust in
every form Of foreign Investment.
These extreme financial disturbances
abroad, being followed go directly by
American difficulties OF unparalleled
scope, made 1t impossible to place our
bonds as fast as we needed the funds to
meet our obligations. In other times OF
stringency we have found the banks Of
Denver most willing to make tempo
rary loans, but the present situation in
Colorado has made 1t impossible for
them 10 render tho assistance which
otherwise We believe We would have
obtained"