Omaha daily bee., 1895-01-31
WHISKY TRUST COLLAPSE
Stockholders Allege 0rookedness in the Ap
pointment of Receivers.
GRosscUP SAYS EVERYTHING WAS REGULAR
Protective Committee Preparing to Begin
Proceedings to Gust the Present Re-
ccivcrs-Greenhut Crowd I'M
loaded Their Stock.

CHICAGO, Jan. 30.-Replying to the criti-
cism of his proceeding in the appointment of
receivers for the Whisky trust, Judge Gross
cup said in an interview today that the mat
ter was conducted in regular form. Both
factions of the concern, he said, were repre-
sented at the hearing. There was no at
tempt at suppressing the proceedings, Judge
Grosscup declared, as the papers were on file
in regular form all day Tuesday and could
have been seen by any one who desired.
Judge Grossccup this afternoon granted a
stay of proceedings in the Whisky trust mat
ter until such time as hearing in the re-
ceivership can be made. The stay was
granted upon application of Levy Mayer, rep
resenting the stockholders committee.
Judge Grosscup's order stays all proceed
ngs except to conserve the property until
the further order of the court. Levy Mayer
and Mr. Blur the latter of New York, and
Richard B. Hartshorn appeared in Judge
Grosscups chambers shortly before o'clock
Messrs Bunnells and BURY were also present
Mr.. Mayer presented petition to Judge
Grosscup asking for the stay in the proceed
ings until the court should dispose Of a mo-
ton to remove both Mr. Lawrence and Pres
ident Greenhut as receivers. Mr.. Mayer
stated that the application to the court had
been made on behalf of holders of over 1,70C
shares OF the $780, 900 shares Of the capital
stock Of the company and that the nominal
holders of these LOO shares were clerks In
a stock brokers' office in New York. He re-
cited the fact that the New York committee
had asked for meeting with the directors OF
the Whisky trust for today and that Presi-
dent Greenhut had Informed them that he
could not get the directors together before
tomorrow. Mr.. BURY made no objection tc
the stay and Judge Grosscup ordered that
he stay be granted. He told counsel to come
into his chambers tomorrow before 10 o'clock
when he would render his decision.
Richard B. Hartshorn, chairman of the
stockholders committee of the Whisky trust
arrived here early today from Cincinnati
with Nathan Blur, and went into consul
tation with Moran, Kraus & Mayer, the
Chicago counsel of the committee. In an
interview Mr.. Hartshorn roundly scored
the receivership proceedings. "On Satur-
day last" he said, I'VE wired President
Greenhut asking for conference with the
board of directors and an examination OF
the books. On Monday he replied that
the board would meet us Thursday, and on
the same day he secured the secret ap-
pointment of himself as a receiver, and
to give color to his pretended fairness had
Edward e. Lawrence of Chicago also named
as receiver. The proceedings were sup.
pressed and l am informed that during
the twenty-four hours before the action
was known generally some of the stock.
holders unloaded heavily The plaintiffs
in the receivership proceedings are wei
known as the New York brokers of Green
hut and Nelson Morris. In view of the
fact that grave charges have been made
against Mr.. Greenhut, In fact, that he is
practically charged with wrecking the com.
pany, / think this action is, to say the
least, very peculiar. What action our com
mittee will take l cannot say, but we will
certainly act decisively and quickly.
Attorney Levy A. Mayer, of counsel TO,
the stockholders. declined to outline the
policy of his clients. II am now in con
sultation with Mr.. Blur" he said, "ant
we have not yet taken action. 1t is. un
| necessary to say, however, that we will bt
in court very shortly with an action tha
will protect the interests of the stock
holders Mr.. Halstro and committee al
| ready represent $3O,O00,O00 of the $35 900,
600 stock of the company"
THE new move on the part of the Whisky
| trust was a great surprise to u.s., said At
torney General Maloney, when asked wha
| effect the appointment of receivers would
have on his suit against the trust "Tht
| first we heard of it was by private dis
| patch from Washington yesterday afternoon
| We were not at all prepared for it. Yol
know our suit against the trust was begur
| to have the trust declared illegal Tha
case is now pending in the supreme court
Meantime the trust appears to have gon,
| to pieces. OF course that is very crafty
| ing to u.s." and Mr.. Maloney laughed a
| the turn affairs have taken. 1T will no
cause to relinquish our suit however
| 1t will be pushed as vigorously as ever. Th
| appointment of receivers for the trust will
| have no effect on it whatever"