Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1896-12-27
A HEAVY FAILURE.
RECEIvERsHIP FOR NORTON s. CO.,
OF CHICAGO, LOCKPORT, &c.
MANY PEOPLE DIRECTLY AFFECTED.
Illinois.

CHICAGO, ILL, December ga COM
mercial failure of large proportions was
recorded to-day by the appointment OF
the Chicago Title and Trust Company as
receivers for the various properties Of
Norton & Co., of Chicago Lockport, and
Romeo, ILL.,, and Niagara Falls, ". ~.
The firm consisted of John j.. Norton,
who lives in Lockport and Lemuel d.,
his brother, whose home is in Evanston.
The receiyership proceedings, before
Judge Hancey, were of the agreed kind,
Lemuel, the plaintiff, alleging that the
affairs of the partnership were compi-
Gated. and the assets in danger Of being
dissipated and he petitoned for a dis
solution and a receiyership, to wind up
the business. John l.. assented, and
Joined in a statement that the Liabilities
do not exceed the assets two to one.
The bulk of the firms business Is To-
Gated at Lockport and the adjoining
town of Romeo, near this city. The ia
Their of the brothers was a pioneer in
Illinois. and really gave Lockport its
commercial start in life, by founding the
Lockport Milling Company, nearly forty
years ago. IL was this business wnich
the brothers succeeded to on the death
OF their father, and the Nortons were
the financial mainstay Of the city. Inc
property owned there consists OF flour
mill. with a capacity of 1000 barrels
daily; machine-shops, an elevator, ware
house, and an electric-light plant for sup
plying light TO the city. The firm
has also done large private banking
business, and nearly half the people OF
I.ockport are directly affected by the
failure, through deposits of money.
John L. Norton is also president OF
the Northern Milling Company. which
operates a large flour mill at the Madl-
son-street bridge over the Chicago river,
in this city, although the brothers do
not own a controlling interest IN that
property now The company owns
paper-mill at Niagara Falls, and has
large interest In the eectric-power en-
terprise at the Falls They own large
grocery-store at Romeo. on the limos
and Michigan canal. The main oflceS
of the company are in Chicago, at no.
1863 Jackson street
STATEMENT DECLINED.
John l.. Norton, when seen at his LOCK-
port home tonight, de lined TO make d
the firm until IL could be done in definite
FORM. II is known that the net earnings
of the mill property have been $io,vJv Il
wear in recent years. The firm became
financially involved through Board OF
Trade speculatons some years ago, one
Of the brothers Specializing without the
knowledge OF the other; and other serious
burdens coming upon the firm in the pres
ent hard times, it became Impossible 10
longer carry on the business. Holders Vi
the company's obligations pressed for I'M
mediate payment after the collapse OF
the National Bank of Illinois and kindred
concerns. The firms credit became eA-
hausted, and the receivership became ne
cessary to conserve the interests OF the
estate.
The brothers have been in business over
thirty years. and their integrity has never
beer questioned. The collapse caused
general surprise i'm Lockport, and the
gloomy outlook II has created is only DIS
pelled by the long-standing faith In the
firm, coupled with the prevailing beiler
that the assets will greatly exceed the
liabilities. II is said that the company Is
a large creditor OF the National Bank OF
Illinois. and inability 10 meet the de-
mands of depositors in Norton & Co
bank had much 10 do with the receiver
ship action.
William Miller and \. c. Barnham, rep
resenting the receiver, went at once 10
Iockport and took charge of the property
tonight.
Noble b. B. Judah, counsel for John L.
Norton. said: There is a fair show for
the creditors. with good management.
Gambling losses caused the trouble, ana
the firm could not go through these hard
times. All the available assets are tea
up in the firm. and it is impossible 10 cor
rectly estimate the assets and Liabilities
John Norton made the original straw
board trust. and was a millionaire once.
His father had a prosperous milling busi-
ness in LockpOrt when Chicago was