The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-10-06
WANTED TO DISSOLVE.
Newman Erb Appointed Receiver for
Coffin & Stanton.

New York, Oct. 5.-Newman
Erb has been appointed re-
ceiver for the firm of Coffin & Stanton,
well-known bankers, in the United States
court in a suit brought to disolve the CO.
partnership brought by Walter Stanton
against William E. Coffin, his partner.
The present firm was formed on Jan. 10
last, succeeding q former firm, and Mr.
Stanton declares he is desirous OF disolving
II and closing up the business. Mr.. Coilin
also consented to the appointment of
the receiver. The liabilities are stated to
be s, ,600, 900 and the assets are said TO be
sufficient to pay the liabilities if Judi
ciously handled and not sacrificed. The as
sets consist largely of stocks, bonds and
credits. Mr.. Stanton further declared
that an equitable division of the assets
can not be made without great loss to all
parties, except by sale thereof and divis-
ion of the proceeds. This is the firm which
Is involved in the litigation over the city of
Ironwood, Mich, bonds.
sTRAITBNED FINANCES.
New York, Oct 5, 1880 p. NIT turns
out that straitened finances had as much
as anything to do with the receivership.
Today the Manhattan Bank refused to
certify checks for them because their ac-
count, formerly a large and active one, had
been drawn down 20 a small sum, and
for sometime past they have been
planting their paper, or in other words
securing loans from country banks on their
notes. Their paper is said to be scattered
all over New England and is placed TO
some extent in the west. One of their
notes, on which they secured sl5,0 900 from a
Connecticut bank, went to protestto-day
lt was due on five days notice and it was
called last Saturday.
note for S5, 600 held by a western bank
is said to have fallen due two or three weeks
ago. Payment was demanded, but Coffin x
Stanton could pay only $500, and ga We small
notes extending over period of protracted
length.
The firm had a handsomely engraved
form of note, showing that it borrowed ex-
tensively.
In the case OF the Connecticut bank men
TONED, the collateral for the note was So
GOO, Illinois Central railroad per cent.
bonds, and Sl4, 900 per cent. bonds of the
American Debenture Company. The de-
Denture company was a creation of
Coffin Il Stanton's. 1t issued
its own bonds and these were
placed in trust with the Atlantic Trust
Company, to secure the securities which
came into the hands of Coffin & Stanton.
The debenture company was authorized to
issue S2,0OO,0O0 of bonds. II put out from
July 3, 1898, 81 ,000, ,0C0 of the bonds, but up
to date has retired all but S2l6000 of them.
Inc actual cause OF the strlugency in the
ahalrs OF the firm appear TO have been their
inability to find n market for the municipal
securities which came into their hands. 1t Is
feared that the banks which made loans TO
them will sustain considerable losses
They were rated by Bradstreet at between
100000 and 100000, but Of late their
credit had been poor. The London office
of the firm was at 43 Threadneedle street.
The firm is composed of William e. CONN
ana Walter Stanton, and has been in exis-
tence about ten years.