The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1896-03-16
In THE HANDS OF RECEIVER
PECK BROTHERS &c co. ASK JUDGE
SHUMWAY TO APPOINT THEM.
The Action Taken Because of Difficulty In
Getting Bank Discounts and to Protect
the Parties Interes ted-The Business to
Pruceed-The Assets and Liabilities.

Business circles We're startled yes
terday by the announcement that the
Peck Bros. & Co. had gone into the
hands of receivers. The action was
taken on Saturday afternoon in the
superior court before Judge Shumway.
The petition asked that John M. Peck
and Charles H. Downs be appointed
receivers. The former is treasurer of
the company and general manager and
the latter assistant treasurer and sec
retary.
Ex-Mayor Henry F. Peck is presi-
dent. Ex-Mayor Peck and his brother,
John NJ, are the largest individual
stockholders, and the majority of the
stock is held in this city. The capi-
tai stock, which had been for years
S5O0000, was increased a few months
ago.
The plant is the largest of its kind in
New England and deals in the greatest
variety of goods. 1t was established as
a copartnership in 1862, and four years
later was made joint stock company.
The company has large store in Chi
cago, another in New York and a third
in Boston. This necessitated q large
merchandise account, and compelled
the company to keep constantly on
hand large stock of manufactured
goods This stock is unusually large
at the present time, and this condition,
combined with the dullness of trade,
caused the officers to ask that the busi-
ness be placed in the hands of receiv-
erS.
Ex Mayor Peck said last night that
the company's assets were about dou-
BILE the amount of it's liabilities, there
fore it's creditors would be fclly paid
and it's stockholders lost little or moth
ing. He thought that the price of the
stock might be slightly impaired.
Mr.. Peck said that the shop would
continue to run without any material
change in it's management When full
handed, it employs about 500 men--oyer
100 in the foundry and about $50 in the
finishing department. Business is slow
in the foundry at present, and the
force is employed only three days a
week. The shop went on half time only
very recently, but previously for some
months business had been very dull.
Speaking of the present trouble, ex-
Mayor Peck said that the company had
found it difficult to obtain discounts.
It's large merchandise account made
discounts imperative just at a time
when the banks were contracting rather
than otherwise as regards discounts.
This attitude of the banks he attrib-
uted to the rumors of war that have
prevailed, the discussion of the cur
rency question and the consequent ur1-
certainty. He expressed the belief,
though, that in a year or little over
that the company would be in a posi-
tion to ask for the discharge of the re-
ceiyers.
Abiding to the condition of trade,
Mr.. Peck said that at this season last
year the company had all the orders
it could fill, but it had found business
very slow this year.
The appointment of receivers will
protect the company from attachments.
Mr.. Peck said further that the con-
Germs assets could pay 81 for 81, that
being the value of the property the
company represents. Had times been
good they would have worked off a
large quantity of goods that is now ly-
ing unproductive on the concerns s
hands. The inability to obtain dis
counts just at this juncture was un-
fortunate and caused the trouble.
Secretary Downs, one of the receivers,
said last evening that the step was
taken as precautionary measure; that
his firm, in common with other manu-
featuring interests, had been denied
discounts at the banks, which were
making bond investments at a low rate
of interest at the present time sooner
than lend to the manufacturers The
stockholders in the company need have
no concern, however, about their in
vestments as they were in no danger
The concern would run along the same
11c1Ia1