The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-03-13
ALL OUT FOR CASH.
Serious Charges Against Haley
Grocery Men.
TIE RECEIVER BRINGS SUIT.
He Asks That Confessed Judwment BE
Sc Aside -6ilberx's Costly Mint
Juiep The Meadow. Csse.

1ntned Monday, r. Is. kuukeI A rersxx&r
~ ths Haley Grocery Company. yesterday
commenced an action against Frank II.
Osgocd and A r. Van de yarsser as aher-
H. The receiver ASKS for order restrain
ng the sale Of the goods Ia possession Of
the sheriff and asks for q decree setting
asiae the &lz.Sg judgment confessed "a
osgood- The receiver ALLEGES thar 0zro1a
brought tbs silt In which ns recavered
jucxmenf only ~ trustee OF an express
trust. thar ne has no interezs In the cause
81 action or the Judgment exe<pf as such
assignee for the purpose Of suis. aud that
the Boston National Bank has al the time
been the beneficial owner OF the note and
entified To whatever IL reziixed on the
5uagmeut- AT the time OF the service Of
the summons on February 6, and up u
the time CT the Sling OF the papers, r'eD-
ruary ~. the Feceiyer charges that IL WAC
undsrstood ~ Oswocd. the bank and the
grocery company that the action shouid
" kept secret.
For more than u year past, Il IN aaid.
the grocery company haE kept an account
with the bank, and that February 10 the
grocery company, b. Its treasurer. drew
check La favor OF II. J. Lehman for
tlsi =. and that the check Was presented
the same day. but payment refused for
vast of funds. On tho afternoon OF Feb
ruary %. Lehman brought suit for the
amount OF the check and 81 on account.
and II Is charged that the grocery COM
vzny, tbs bank and Ossood arranged for
she concession OF judgment 30 as TO gain
. preference over tins other creditors
Ever since July, 1854, the receiver saws.
the capital stock o. the grocery company
haas been entirely owned BY J. J. Basby,
president: J. 4. Braddcsk. vice president
and manager. and Ii. X. Ward, secretary
and treasurer. Each of the stockholders,
II Is said. WAS allowed . salary OF sl0o a
month, and that after BGsby has been
credited with all salary up 10 and in-
Guiding February. 1876. he Is 34727i In debt
50 the company. On February .. Ward
r. said TO have made an entry purporting
y credit Bushy and TO charge Ward with
So La order to make an apparent extin-
xuisament Of the debt. though there was
nothing ~ that time owing Ward by the
company. Ward. II La said has never
paid for his stock. but at the time of ac-
quirtng IL In June. 1884, IL Is alleged. he
was charged In the books with $3.50 20.
which was credited to Jogeph Il. Hill.
from whom Ward acquired his stock, the
CT edit making an apparent payment OF a
debt OF that amount then owing to the
company by Hin. At the time OF the APP
pointment or the receiver the books of the
company showed. after crediting ali salary
np 10 and including February. q balance
owing by Ward to the company OF s.. 7g5.+S
which includes the 500 charged to him and
credited 10 Busby February Is. During
the month of February. II 10 said. Ward
drew from the company for his personal
use tsss In cash. OF which S2B was drawn
February 9. and in addition after that
date Ward II alleged to have charged 10
himself the amount of three accounts on
the books then owing TO the company.
amounting TO x3i2.s2. for the purpose of
appropriating the accounts and the pro-
eeeds TO his own use. the charge having
hSsY Eahy frf< Aav
previous TO the time of charging the $s0a
paddock, at the time OF the appointment
Il the receiver. after credit for all salary
% 10 and including February. IL said TO
MN debt TO the company tbs5.H. Of which
Axas drawn last month.
NJ debts OF the company, as already
ruSished. are n follows:
opeh accounts ......................$i1 AS ~
Promissofy notes ................... IL Az %
Miscellaneous bills. not on books. % 90
Total .,..,...................4... .0S2 81
But the receiver states that there may
be other debts at present unknown to
him. The value of all goods and ohattels
ROW In the hands OF the sheriff. he esti-
mates at not more than ss.ooo. Ever
since February l. the receiver says. the
officers and agents OF the company have
allowed the stock 10 run down. and In
Anticipation of failure and a receivership
sss~ converter the morn Eatarfe INTO
cash, and that the portion remaining Is
OF the least valuable quality for the pur-
pose of ordinary sale. No deposits have
been made In the bank since February
- and no checks except fhe one to
Lehman and another for 500 have been
drawn since February IS whereas before
that day II was the custom of the com
pany frequently 10 draw checks IT Is
said that after February 20 and before the
levy of execution the company received
over a.a1. none OF which was deposited
and OF which s2i3 Is totally unaccounted
Tor and has never come Into tho re-
ce'ser's possession. though he has de-
inanded IL all OF tho officers
The goods now In the possession OF the
sheriff are perishable In their nature,
and the expenses. including rent and fees.
are said 10 be heavy. and IL the sale
Is not made until final determination of
TIE rights of the parties the value of the
stock Will largely be Leaten-np By ex-
psnses. but n sold by the sheriff. as Is
threatened, the goods viii bring sum
Tar less than their present value and the
sals viii result In great loss 10 all the
creditors.