St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-08-22
THELASTFEATHE|:;R
GARNISHEE ACTION FOR THE
RECOVERY OF $40
~ CAUSES $50
A BIG B.. g. [. CRASH.
PEOPLES LOAN AND SAVINGS
ASSOCIATION FILES AN AS
SEGMENT.
PRETTY WEDDING EVENT.
City Sa1esmcn's Association Pic
nics-schoOI superinten-
dents Talk.

A voluntary deed of assignment
was filed yesterday afternoon by the
Peoples Loan & Savings associa-
ton of this city. James II. Bishop,
of the American Building & Loan as
ISOLATION, is named as assignee in
the voluntary deed, the assignee to
take hold of matters at once.
The corporation was organized in
1889 and was supposed to be one of
the substantial business institutions
Of the city. For several years it
was controlled by the Bishops of,
the American and by Byron Suth-
erland, of the firm of Sutherland {,
Won Vert. Later, however, there
has been a change in the manage
ment and the officers at the time of
the failure were: President, G. o.
Eddy; secretary, r. R. Miller, and
treasurer, A. L. Grossman. The Of
flee of the corporation for several
years past has been in the pagoda-
like structure on Fourth street north,
occupied by the American Building
& Loan association, and other insti-
tutions controlled by the Bishops.
The Peoples Building & Loan as
ISOLATION has done large business,
having at one time as high as 5000
stockholders, but at present this
number has dwindled down to some
thing less than 5000 stockholders,
due to the non-payment Of dues and
failure to redeem the property which
ho tn
ton.
The assignment was attributed in
the deed, voluntarily giving the es-
tate over to the creditors, to a gar
nishee action commenced by Jose
phine Gardner in the municipal
court, in which it was sought to re-
cover $40. The judgment entered
was so trivial that it is generally
believed the officers became discour-
aged at the outlook, and knowing
that the estate was slowly becoming
depleted, decided upon the move in
order that all creditors might get as
much as possible out of the estate.
From a good building and loan
authority an estimate of the prob
able condition of the corporation was
obtained last night, which will in a
measure show the extent Of the
failure. This estimate is as follows:
RESOURCES.
Real estate mortgages. ...........S s5, 600
Stock loans OBSERVATION-DISCLOSURES. u, SO0
Arrears 49,. Observation-Disclosures. 1900
Furniture and fixtures ......... 5000
Real estate .......... ..............oO, OO0
Total resources ...... ........ $166, 800
LIABILITIES.
Installment stock ...... ..........$ $50, 600
Full paid stock ................. $4,000
Interest, premium, fines, etc. 10, 900
Other Indebtedness, including
accounts payable ...... ......... &c, 600
Under the head of resources, how
ever, it is probable that there will
be considerable shrinkage, which,
| together with the cost of admins
! tering the estate, will make it posi-
BILE for shareholders to realize SO or
| 60 per cent on the amount paid in,
| although it is claimed by some Of
| the officers of the association that the
estate will about pay dollar for dol
lar. The valuations placed upon the
property, however, are those of the
times previous to the panic of '93,
and there is room for considerable
shrinkage.
The estate is likely to be a bone
| Of lively contention before the mat
ter of the assignee is fully settled
upon. Some of those interested claim
that Mr.. Bishop should not admins
ter the estate in view of the fact that
| he was formerly connected with it,
and is supposed to have some con-
| nection now, in the matter of stock
| ownership. This will bring on a
legal fight, it is alleged, that will re-
quire the courts to determine. Other
legal questions which are likely to
arise will be connected with the
| fact of the corporations relation to
| the Stockholder. Most of the share
| holders in the Peoples Building &
Loan association were borrowers, as
is to be seen by the estimate above.
| What percentage they ought to be
| allowed on the amount paid in, to-
gether with other matters, will take
some time to decide, and the court
will probably have to pass upon
them before the assignee can admin
lister the estate legally.
| 1T is also claimed that serious
| charges may be made against the
officers and directors of the corpor-
alton in the matter of expenses, but
| these will not amount to much, I'M
| less a different condition of affairs
| is unearthed than shows on the
surface. The claim is made on the
| basis that the expenses amounted to
more than they ought. For several
years past, according to the various
| reports on file with the bank eX-
aminer, the expenses have aggre-
gated between $4,000 and $4,000 per
annum, which, in view Of the size
| of the corporation, it is alleged is
more than they really ought to be-.
The directors and officers, however,
it is said, can show that they abided
by their articles of Incorporation in
this matter, and did not exceed the
limit. 1t will be several years be-
fore the business of the defunct
| concern can be closed up.