The Providence news. (Providence [R.I.]) 1891-1906, 1897-05-22
Shows an Apparent Deficit of
More Than $4,000.
Some of the Accounts Appeared to
3: Very Much MIXED.
Machinery with Late Treasurer Had
iey Figures Prominently.

New Bedford, Mass, May Q? The
stockholders of the Lambeth Rope Com
pany held "A stormy meeting this forenoon
i'm the directors room OF the National
Bank of Commerce The report Of Ed
ward l.. Parker, tho expert accountant,
who has made careful examination of
tine books and accounts of the corporation.
showed the total assets Of Sos 452. OF and
debts of S1l. 9iS %, not including capital
stock of Sl25 600, which If taken into ac
count, makes deficit of $50, 400. %. The
real estate account included Sl5, 600 paid
for illing The building account includes
Sll, 600 paid for expenses. The power nc
count includes $1,000 paid TO New Bed
ford Boiler and Machine Company for
suadries of which S24J0 is for labor on
mill. That company did not furnish the
boiler or engine.
The machinery account contains pay
ment to Il. X. Hadley, the late treasurer
OF the Bennett and Columbia mills and
president of the Lambeth Rope Company,
aggregating $1S, OOO, and there is an agree
ment signed by him To sell the machinery
to the company for that amount. but there
Is another agreement OF the same date
specifying the amount as $50, 000. The
hotcs puyabfc irefd- by him. rs statDd,
S21, 9l7. SS, would, If offset against the
SIS, 900, make the net payments 70 him
$50 0S2. II, practically the $50, COO of the
agreement mentioned Furthermore,
about $50, 900 was paid for machinery by
the company to other parties which, ac-
cordIng to the terms OF the agreement,
seems 20 have been payable by Hadley.
On this basis the liabilities Of the COM
pany as stated should be reduced S27, 9l7. SS
and the company would have possible
claim against Hadley's estate of $40 900
overpaid him on account of the $50 000
agreement. The last report 20 the estate
was for March 81, 1896, at which time the
deots were reported as Sll, 3S6, whereas
the books show them to have been Sl0l,
sj9 66.
The directors voted to pay f. r. Had
ley salary of $500 per annum from
April. 1894, which amount for the three
years 60 May, 1897, would equal $500.
This is not treated as liability and it
could be more than offset by the amount
overpaid him ON the machinery account.
The expenses, SlS $40, interest 5000, in
surance 5000, bad debts $500, and
doubtful debts $500 aggregate S41, 900, an
excessive amount as against sales of Sil3
coo and these exposes and losses exceeded
the profit above the cost of production by
at least 500, 600, and that amount added
to the shrinkage from the book value of
plant sos OC0, accounts for the deficit Of
SIS 900.
Mr.. Richmond insisted that the com
munity il suffering from the looseness of
the methods which have been allowed 60
go on. He thought the time had como
when, II an example Is made, IL will DO q
good thing for the city.
Mr.. Richmond said il is true that ho
bad but two shares, and he was glad that
he had no more, but this loss though
small, hurts. A person has only to re-
member back few years 10 recall de-
falcationS in the banks Of New Bedford.
Then the guilty parties were allowed To
get ont of the city because the parties i'm
tcrested did not want the facts to get out.
IhBre has never been n man put 90
punishment Yet in New Bedford, and it is
time to begin.
Rodolphus Beetle, David A. Smell and
Charles H.-Lawtou- -xete-eAeSeH- -eem
mittce of Investigation and the meeting
adjourned TO saturday next at III O'Clock.