The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1894-11-02
PACKING TO BEGIN
WHITAKER WILL SOON BEGIN OPP
GRATING HIS PLANT HERE.
Judge Reed Makes His Decision With
Reference to the Receivership
Which is Accepted as Final by All
Parties Concerned-Visitor Pre-
dict Bright Future for Wichita.

1Ac CoScaoi Tue diiO"dHCe 10 DC uid3c W
Mr.. Levy as receiver OF the Whitaker
packing house WAS finally disposed of yes
terday in the district court, by Judge
Reed rendering his fnal verdict This
/ case has attracted considerable attention
| and its settlement was OF great moment
| to Wichita. Ia bis decision Judge Reed
/ fully reviews the evidence aud passes upon
I the question of whom the accrued interest
should go. At the time of rendering the
decision the night previous the judge had
not fully determined this portion OF the
| controversy, and il was continued until
yesterday morning, when the fiual verdict
was given, which is as follows:
By the court-Tbe matter pending is
whether or not the receiver should nave
deducted from his allowance of ten thou
sand dollars the interest which was OBJ
tanned on this trust fund. The receiver
for the purpose of preserving the trnst
funds put them into the bank Of which he
was PRESIDENT for a certain length of time,
then the bank loaned it out at interest, aud
the interest coming in on it went to the
credit Of the bank. The question Is whether
that interest Should be deducted from the
amount allowed the receiver.
NOW, Mr.. High "On Receivers lays
down the doctriue, or rather expresses the
the doctrine laid down by tie courts as
! follows:
"'Ia general it may be said that receiv-
ers Will not be allowed to make in crest
for their benefit from funds in their hands
but Will be aBswerable for Interest upon
/ their balances.
did the receiver get the benefit of this
| interest. / have had tine steuographer TO
read his notes. aud L find The evi enee to
! be thai the trust tuud was depo -ited in
the Wichita National bank for safekeep-
| Ing, as any other fund placed there by a
| deposition. OF course, under the rule of the
! bank il used this rs ali other deposits and
secured TO itself The profit of handling it.
| Ia turn for is ssfek-epiny The credit
wen TO the bank for such services aud not
TO Mr.. Levy. Mr.. Levy placed the fund
where be at The same time supposed
! il would he safe, and of course il became
! subject to tue rules of the bank 10 be
/ loai ed.
The distinction / seek TO draw is this:
1 That Mr.. Levy was not ma lpulatiug this
| fund for his own benefit, but that Was the
| method lie took to preserve this fund. Ii
! thai he true, then IL does not fall within
! the rule of loInilg money and getting iu-
terest ANA carrying IL 10 his account for
his own benefit. IL Was deposited In tue
! bank AS any other fund, aud the bank as
! it, custom with all deposits, loaned them
auu obtained Interest therefore. which is
| placed 10 the credit of the bank, aud not
| to the credit of tie depositor.
II said last night l had some doubt
I whether he allowance was TOO much.
have thought il over seriously, aud this
! morning l do not think that way. OF
course / am familiar with the facts in the
| case and with Ii great maHy facts not in
| the record.
Attachments We're flying in here like
snow-h ikes. aud the question came up,
how should this trust estate be preserved.
1t became a question of legal strategy how
10 preserve il. Creditors were pouring in
here from every direction.
'Ihese gentlemen came down here and
by Consent put this packing plauU into a
court of equity and asked for Il receiver,
and l gave it. Mr.. Levy was not first
choice for receiver. MIR. Davidson WAS
first choice and Mr.. Faulkner s-cond; but
none OF these gentlemen were In
shape 20 procure this bond. 1t
was Mr.. Levy's high standing and
| business integrity, and his ability to give
ond within the short space of thirty
minutes that would preserve this whole
estate, that led Mr. Whitaker and the
( creditors TO ask for his appointment as re-
ceiver. No stress was laid en- that, but in
/ Is'y mind it means great deal am sure
counsel viii so thInk when they consider
/ this matter. 1t was worth So 900 to furn-
/ ism that bond under these conditions TO
those creditors. Ii the bond had not been
/
itors would have lost everything. But
for MIR. Levy's business integrity aud
st iEding Mr. Whitaker would not have 4
thing on earth about which TO contend in
this court; h S Gre iitorS wouiu have swept
it away like cyclone by delay Ct thirty
minutes.
Il know at this time dollar looks very
large and, of course nese things look very
large TO the puD &c, bat jud &c must do
his duty without reference 10 that.
There are things in this matter which
have not con-idered. The fact heard on
every hand that the financial ini ereS of
Mr.. Levy have suffered greatly from his
office receiver / have 10, con -id-r-d
Neither have | given any weight to the
fact that Mr.. Levy gave $1,000 TO the
packing plant.
IL hold in my hand two Journal entries
which Were not permitted IN evidenc- be-
cause they were not certified properly nc
cordlng TO the act OF con grrss, but they
show that the courts of Illinois have al
lowed per cent on the amount collected
and aiSbui SD.
Il have ben thinking about it great
deal, aud L think counsel viii agree with
me that the only correct standard Is that
laid down by these courts to tx some per
cent Oh the aggregate amount collect Il
and dls5ursed. Six per cent ON $40 600
collect ed aud TO be paid out by Mr. Levy
would be little over $l2 00o; so that on
thar b+sis. and charging Lin with the
s., 900 interest even if that could he done
under the law, would leave 50 900. But
a. 1 have said, Mr. Levy cannot oe charged
with The SUN Tor The reason heretofore
stated.
But for This mans high business stand
ing and ability 10 give THIS bond or slc0-
0U0 these p-rilous times-the only man in
" lchita who could give II-this property
would not be here today to be contested
about So ] will make the allowance OF
SIC 900
judge Boyle was seen by an EAGLE rep
resentatlve aud asked rs 10 the further
dip lsition or the case, to which he replied
n, follows:
This settles the case We are perfectly
satisfied with Judge Reed, and believe lie
acted honestly aid cousei-neiuu>ly in
rendering tue judgment Ot course We
believe The amount allowed the receiver
was too high for the services Rendered. but
then there was plenty OF room ior houe>t
differences OF "pIuioI. Had Judg Heed st-
mpt-d to dec de the qussi ION lmpSrtlalir.
This Was my fret visit 10 Wichita and /
am vel pleased viii he business OUTLOOK
for the .iiy. Mr. Leyy AMI hIs ooudsneu
| have found perfect gentleman aud sble
business meu. / Ieei certain thai
Mr. John ~ iiittaker who \ nov the sole
owner OF the plant la ID manner that VIII
ledyuud 10 the interest OF iehita. Il Is
their only packing Disn', and the " hit
taAer meats sIsud hIgn upon the markets
OF The world. Thy have a demaud for
their meats bv speclSI cu-f omers. who
make SPECIALITY OF their products. snd
now tLis drmani will be met with the
products OF the Wichiry house. The . aat
here Is one of the best IN the country aud
was not built fo- 81 hrr boom or tenn
porary purposes, but - Permanent es-