The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-06-04
IN TROUBLE AGAIN
RECEIVERS NAMED FOR THE UNITED
STATES CORDAGE COMPANY.
Had Not Sufficient Money to Carry on
Its business, and Was Unable to
Arrange a Loan.

NEW YORK, June 3.-Justice Ingraham
In the special term of the Supreme Court.
to-day. appointed John |. Waterbury and
William F. Strong receivers of the National
Cordage Company, under a bond of 800 600
The receivership is the result of proceedings
instituted by +. Rollins Morse
The application for the appointment of
receivers for the company was due to the
fact that the company had not sufficient
funds to carry the business and was un-
able to arrange sufficient loan 10 meet the
requirements of the occasion. A receiver
ship therefore, became n necessity. Messrs
Frank X. Sturgss. William Barbour and
John /. Waterbury. who have agreed to act
as a protective committee under the reor-
ganization of the company, have issued
circular. in which they say that the condi-
tion of the company requires an immediate
raising of new capital to be represented by
new first mortgage bonds which shall be ap-
increased working capital. They submit a
plan of reorganization, as follows:
"The issue of $1,000 600 first mortgage six
percent. hfty-year gold bonds.
The issue OF X,5O0.000 of consolidated
mortgage five-per-cent. fifty-year gold
bonds. with voting power. These bonds are
10 be noncumulative, but TO receive per
cent interest. payable from profits in any
"
the company. In any year in which divi-
dend of per cent is paid on the stock of
the company there shall be paid from
profits upon such consolidated bonds an
amount not to exceed 212 per cent, provided
the unpaid interest in arrears on such bonds
shall equal such amount, and il not then
TO the amount of such interest as NAV be
so in arrears.
The issue of common stock to the amount
OF $l2,OOo,oOO. Holders of the present $3.50 :
600 bonds TO receive par in new consolidated
bonds. Holders of the present guaranteed
stock shall subscribe at par for new first
mortgage bonds to the amount of $40 per
share, and shall receive - per cent in the
common stock of the company. Present
preferred stockholders shall subscribe at par
Tor the new first mortgage bonds to the
amount OF $40 per share, and shall receive
40 per cent. in the new company's stock.
scribe at par for the new first mortgage
bonds TO the amount OF s. per share and
shall receive 70 per cent. Of the common
stock OF the new company. Deposits of
present stock and securities must be made
with the Manhattan Trust Company by
June 20.
sue OF s3,OO00O0 of first mortgage bonds has
been undertaken by the syndicate:
ceYers Tns Official n fS6ws nSslSs of the COrdags
John L. Waterbury, has been appointed re-
ceiver OF the United States Cordage Com
pany by the Chancellor of the State of New
Jersey, and by the United States Circuit
Court for the Southern district of Ohio and
the district OF Kentucky. and the under
siSntu, JOnn l. waterbury ana William h..
Strong, have also been appointed receivers
of the property by the Supreme Court of the
State of New York, and by the United
States courts of the districts of Massachu-
setts and Maine The order of appointment
provides for a continuance by the receivers
OF the business of the corporation The af-
fairs OF the company will be carried on by
the receivers from the general office No.
l3o Front street. New York.
BOSTON. June BIN the United States
Circuit Court. this forenoon. Judge Colt
appointed John L. Waterbury. of Morris
town. n. j.. and William f. Strong of
Strong Cadwalader. receivers of the
United States Cordage Company, on peti-
tion of T.. Rollins Morse. of this city as
representative or the the creditors Ii has
been known for some time that the com
pany was in financial difficulties and the
appointment of receivers was not unex-
pected. No statement of the condition of
the company is obtainable at present
TRENTON. y. j., June 3.-Chancellor
McGill has appointed John I. Waterbury
receiver OF the United States Cordage Com
pany. on application of b. Rollins Morse
Norse's application is supplemented by af-
ident Lane that the company has defaulted
on the payment of $1,000 for hemp and
that the company has obligations coming
due this month TO the extent of $3.50 900
with no available cash to meet the same.
Loan Associations I'm Trouble.