Morning journal and courier., 1894-04-03
IN FINANCIAL TROUBLES.
Notable Loan and Investment COmpany-Many New Haven Share- holders.

A Notable Loan and Investment Company-Many New Haven Share- holders.
 Much surprise was caused among buti- ness men of this city yesterday by the re- ceipt of @ statement by members of the Bankers' Loan and Investment company of New York, which showed instead of the per cent. dividend, which was ex- pected, that there is @ possibility of the company going into receivers hands. Scores of business men of New Haven have taken stock in this company and nearly $200, 900 of Connecticut money is thus invested. Five gentlemen alone of this city have $50, ,0OO and the stockhold- CTS are numerous, ranging in sums of from $100 to $10,
 The state manager of the company, Clarence W. Clark, and one of the direo- tors, John A. Richardson, both of this city, had great confidence in the stability of the company, ss It's affairs had looked very promising until recently.
 A statement sent out by the company l @ short time ago showed the assets of the company to be upwards of $70O, 900, but l no statement was given as to liabilities.
  President, Silas M. Burt; vice president, O.. B. Hillhouse; second vice president, John A. Richardson; assistant secretary, Adolph | Geering; treasurer, J. W. Baldwin; coun- l sel, Thomas G, Hillhouse.
 The company has issued seven or eight | classes of stock, paying from 8 per cent. per snnum to per cent. Nearly all of the New Haven men who have invested have taken classes A and B stock. The first paid per cent. and the second 316ths. The business of the company consists of loaning out the funds contributed by share. holders on bonds and mortgages. The company has in force 427 loans at an av. craze of $1 ,501 for each loan.
 What the New Haven people do not un | derstand is how the management could have failed to learn that the Virginia and Texas loans were not properly secured ol adjusted.
 The Hiram Camp estate has considerabl, stock in the company, and one locsl busi ness man has $12, 900 in it, buying $1, ,0Ot worth as fast ss he could get 1t. Ever some ministers of local churches, itis said ! have bought stock in the concern, and 1t ii also eaid that one of these divines. needing money, unloaded his stock onto Stat, Manager Clark one day last week, He il now quite jubilsnt. A Chapel stree \ uoAo WnfC o0o1cA 6olo ulb Oub o l0W udy ego, and so likewise is in happy frame O mind.
 The plan of scaling down the stock ant dividends is looked upon favorably by tn local shareholders ss the most satisfsctor, way to get out of the difficulty. Tn | management assurss the stockholders tha in their opinion the remaining sssets o the company are estimated at about 80 pc cent. and are now we'll secured and ther is no need of further alarm.
 MT John A. Richardson said last nigh that the whole trouble was due to tie los of funds through the secretary of the com pany. The losses had bsen traced to tn
 secretary and he was being held to ac count. None of the officers of the com | paDy, other than the secretary, receive,
 any salary or other pay for their services
 but were working for the prosperity 0
 the company without compensation. Tn
 losses incurred through the secretary wer being investigated thoroughly. The Texa
 loans were made in the earliest history o . the company. The company was doing
 legitimate business, but Mir. Richardso
 thought it ought not to have tried to pa per csnt., but ought to have paid smalle
 dividends and accumulated a surplus. H
 thought the company would emerge fror . | its present embarrassment by Q moderat
 scaling down of the stock.
 MT. Richardson laughed heartily at th statement in the afternoon Leader (prob } ply misprinD that the company's asset | were "$704, 7SS 830," remarking that Un ted States treasury department might g, jealous of such formidable rival wealth. He also said that the statement
 another paper that $750, ,OO0 of New Have [ | money was invested in the company vt
 too large by good deal. The company ! whole capital was but about $700 GOO.