New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-10-11
AMERICAN DERENTl.RE 90. FAILS.


\ EErEiNtK APPOINTED FOR THE CHICAGO con
CEHN LIABILITIES N-No""
Chicago. oct. 10 Judge Tuthnl has appointed
Elias Summcrfcli receiver Of the American De
henture Company This action WAS taken on a
bin for a receiver filed by stockholders and Ii
rectors Of the corporation. j. Mahoney. lts
president ncd an appearance In chanccry con
sentlng to IN, appointment Tho obligations ~
N" company arr said to amount to sl.Ioe'. ard
its holdings Of stock considerably larger than that
sum Tho main Offices are at 80 h3 Rookery
building The bin fot reccivcrshp fled in the
circuit Court by g -. Turncy. j l.. Farrell and
g Is. Ludwig. OF N"w-Jer-ey. and Alexander q
BLACK and + birmingham. Of %ew-York. all stock
holdcrs and directors OF the company
The company during It's existence has acquired
large amounts 81 water. electric Hight gas ana
railway bonds. but nearly all OF its holdings the
Court f. Informed. have been pledged FOR obga-
lions which amount 10 f5olcO ON many Of thes,
bonds there has been default in the payment OF
interest. and foreclosure has been Threatened. The
general depression OF business has caused a sharp
dccln" I'm the market value Of the holdings Hy
reason Of the shr.nkage and the loss Of Income
AS well a. IN" expense ~ prosecuting foreclosure
suits against various corporations. there Is float
which creditors are pressing. Tn complainants
declare mat the COMPANY is unable TO provide for
attachment suits that will disslpac all the avail
able assets hy OF its being a foreign cor
p0raton.
To preserve the assets and effects liquidation
IL the ground on which the receiyersh.p is asked.
The American Dcbenturc Company has capital
stock Of t2.U0O'0 most Of which II held by Eastern
capitalists The bonded Indebtedness is 81 5pD 0U)
and the MORTGAGE bonds nearly all held in
Europe II is to secure this obligation that the
stocks held by ihe company have been pledged. IL
Is expected thar the assets Will bc sufficient
Nquidat" the entire indebtedness.
The failure OF the American Dcbcnturc Com
pany caused no surprise In Wall Street Since cot
fin q stanton went under people IN the street have
the firm Interested had been pulled down
the wreck. They put faith In the assertions
OF representatives OF the firm that II had only
small interest In the American pcbcnturc Com
pany and the declaration OF the latter company.
which sent here from chicago day two
ago. to the effect that II not involved In the
embarrassment o. the brokers. When II became
known that the father OF William T.. Coffn.
Charles f. coffin. had been the president OF the
American Dcbenture Company up 10 n year or 80
ago and that the secretary was an cmploye OF
CONN a stanton. no one doubted that IL was one
OF their Enterprises
Fourteen 5000 American Debenture Company
gold per bonds due June !. 1898 and six
81 Illinois Central per cent bonds were 10 have
been offered FOR sale at auction yesterday and
advertised In the newspapers but on
TUESDAY evening the receiver OF the American De-
benture Company informed the creditors that. ac-
not be sold The sale was therefore. postponed
for week These bonds were held by Con
necticut bank collateral for a Coffin a. stanton
OF $1,000