The sun., 1895-01-02
THE SMART WAY TO FAIL.
KoU FIND YOU'RE IysoLVENT, THEN
YoU SELL OUT IN BULk.

Gsep o. RuyisE Goods Lie the Lichten.
stsins, Don't Fay for Then,, and DIoker
With Buyers Like the Ebrichs 20 Take
Ths- OF Tour uands for Cash in {,
Hsrry-Justincations OTsred w the Lich-
tsusteins' Lawyer aua by the Ebrich-.
The remarkable incidents which have accom-
panied the closing up OF the big stores Of J.
1ichtenstein d. sons la Grand street and
Twenty-third street, md the sudden transfer
of their entire stock % goods to the store OF
Enrich Bros. are the subject Of legal pro-
ceedings, in which the actions of the Lichten-
stems and Of the Ehrichs are both attacked.
II is not an unusual thing for little shop
owners on eide streets or In obscure avenues
TO sell out their stocks and withdraw the pro-
ceeds from tho ken OF unsuspectlng creditors,
but no one In the dry goods trade remembers n
transaction having taken place before like this,
in which the Enrich Bros. and tho Lichtensteins
are concerned, up5nso gigantic a scale.
II is admitted by the lawyers who represent
the defunct concern that its liabilities are about
B45o, 900. and It Is averred that creditors for n
large part OF this sum are left with nothing in
Aight to protect their claims.
The house Of J. Lichtensten & Sons has been
fnown for years in Grand street 1t occupied
practically the entire building at 2s5. aud made
- specially Of dealing In millinery goods, be-
sides carrying a general stock OF dry goods.
The hru, In recent years has consisted Of Abra-
ham Lichtenstcin. David II. Lichtenstein, Isaac
Lichtenstein. and Jacob II. Lichtenstein, all
brothers and sons OF the founder OF the house.
who Is dead. All of them live at 20 East
.Eightieth street. In house loft by their parents,
which now belongs to a sister, except Isaac, VINO
lives at 81 West l26th street. About six months
ago the house branched out in search evidently
of fashionable uptown trade, and after hiring
the big double store at "a and 66 West Twenty
third street. which runs through the block TO
Twenty second street, and fitting it up at an
pense it was said. Of $50 600, moved into 1t with
q stock Of goods meant to attract custom from
Stern's Altmans. and other well-esta blished
places in that neivhborhood The building be-
longs to James McCreery. and the rent is said to
be SCI, 900 year.
Until last Thursday night there was not sus-
picion of the insolvency OF til. firm outside of
tho offices OF the Lichtensteins and the Ehrichs,
excepting. of course, the lawyers Of the
two firms Transactions OF this sort require
clever lawyers both before and after they are
made. One member of the Lichtenstein firm
had only recently gone to Europe. as was his
custom. TO purchase goods; Others of their buy
ers had also gone there. apparently for the same
purpose. and the two stores In this city were
open and doing business. Goods. too. were pur-
chased from dealers here right up TO the last
would have found all the sales people in their
places. the wares displayed and sold, and every
thing indicating an intention to continue busi-
ness indefinitely right up to the closing time on
Thursday night. Within an hour of that time
big vans were at the doors and the goods were
being hustled out pell-mell.
This is where the story begins which has been
told before Justice Patterson of the Supreme
Court and Justices Newburger and Conlan of
the City Court in applications made by many
creditors for attachments to recover the goods.
A dozen attachments were granted on Monday,
and q lot more will be applied for to-day. None
of the accounts so far sued for is very large the
largest being that Of Abegg & Rusch OF Grand
street for about but there are said to be
account known TO exist against the firm m for or mer- @
shandise is one for about $4,000 held by Ele.
counts OF less than $4,000 who have got writs
Of attachment got them before Justices Of the
have been upon the application Of Blumenstiel
4 Hirsch, attorneys. and the affidavits in each
These 'i began s 1Afi With the affidavit of Joseph
Hauser. truckman OF 9 First avenue. He
says that upon the evening OF Thursday, Dec.
~, boy from Llchtensteins' came to his place
of business and said that I.ichtenstein & Sons
wanted five men to move goods.
tenstein & Sons and saw the head hoorwalker,
went to Enrich Bros. and saw both members OF
tho Arm. and then made a bargain that should
night with vans, for which they promised to pay
me $40 for the three men. for work 70 be done
We ,carted out merchandise from the
Grand street store just as it was IN
cases. They were taken down from the shelves
and put on the trucks without any order what;
left them. When we arrived at Enrich Bros;
OF us loaded with goods. and we stood in line
until the vans ahead of us were nnloaded, and
loaded about O'Clock in the morning of Friday,
and the others about o'clock. The goods were
out regard to assortment or packing, and taken
IN that condition to Ehrich's store After un-
Rent With th'I 'Te person % at Ehrichs store II Went
again. about o'clock on Friday morning: nah TO to
OF goods to Enrich Bros"
There were a lot of other trucks at work
goods "0 were S"R handled died in tie same sam mani
ner. His vans and the others were busy
=. NJ. and from there he went 10 the Twenty;
second street entrance OF the Twenty-third
from that piece to Enrich Bros place of busi-
ness. .., ~, ,..n n.o,, n, ,hs sar,s TINA
on Thursday night that the removal OF the goods
began In Grand street, for he says that when
up OF being
OF the Twenty-second street entrance ana oyer
70 n. VaH snd
Union Storage Transfer Company. There were
about fifteen OF these vans, he says, besides the
Ehrchs's wagons. go -,
Adoph Openhym is one of the creditors. His |
claim amounts TO Sl,809.S3. In his affidavit, |
which Is similar to those of the others lie says:
"The removal of such stock hurried and |
secret the greater portion OF It being trans
planted at night by large number OF vans.
purpose, and the goods were removed without
being packed and assorted. and then hurridly
kept open all night for the reception of these I
goods; and there the said goods now are, so far |
This transaction, | alleEe, was outside Of
the ordinary course OF the business OF
removed and disposed OF in, this secret |
and hurried manner at night, In order
assisted by Enrich Bros, TO cheat and defraud
their creditors. 1t is claimed by the firm OF |
Enrich Bros. that these goods were purchased |
by them from j. Lichtenstein d. sons, but de- |
ponent alleges that II such purchase was made |