New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-02-04
WOULD NOT HAVE CARROLL
APPLICATION FOR RECFIvERsHIP SUD
DENLY WITHDRAWN.
SURPRISINGLY QUICK CHANGE OF POLICY
IN BROOKLYN WHARF AND WARE
HOUSE COMPANY CASE.

John F. Carroll the Tammany deputy boss got
a good appointment and a bad disappointment
within the same hour yesterday Justice Fftzgerald
named him for rich receivership. Neither of the
itigants had asked for Mr.. CARROTS services and
as soon as he was appointed they speedily decided
that they did not want receiver at all. They
therefore withdrew the sait. and Mr. Carroll lost
the prize that was almost within his grasp Such a
quick change of the entire policy of handling
great property probably never witnessed be-
lore The lawyers both sides declare that they
had no personal objections 10 Mr.. Carroll but ad-
nit mat they did not ask for him. They did want
Hugh J. Grant for receiver, but Justice Fitzgerald
chose Carroll
ms interesting situation brought about
through an ex parte application made yesterday by
julien I. Davies. of Davies, Stone & Auerbach
counsel for the United States Mortgage and Trust
Company, to Justice Fitzgerald, in the Supreme
Court, for a receiver for the Brooklyn Wharf and
Warehouse Company, which has defauted in the
payment Of interest on its bonds. The United
States Mortgage and Trust Company is the trustee
for the first mortgage bondholders. John NJ. Bow
ers, OF Bowers Sands counsel for the Brooklyn
Wharf and Warehouse Company, scquiesced in the
application for receiver, and both sides united in
asking Justice Fitzgerald appoint Hugh J. Grant.
At II 80 o'clock Justice Fitzgerald signed the
for receivership, appointing John F. Carroll and
directing him file bond of 100000 for the faith
full discharge Of his duties
Almost before the ink was dry on the paper the
lawyers had decided that there were other ways Of
settling the than by a receivership. The suit
forthwith discontinued by consent of all con-
cerned. The lawyers again appeared before Justice
Fitzgerald and presented TO him order to that
effect. The Justice signed il and Mr.. Carroll lost
his receivership
Later in the day Mr.. Davies said:
The mortgages and trustees have decided to
take possession Of the property as mortgagees and
terms Of the mortgage
The following statement of the case was issued
last night:
The Brooklyn Wharf and Warehouse Company
defauted in the payment of the interest 1880
payable on the frsf day Of February It appears
that the affairs OF the company have been in an
The company not only defaulted upon the payment
Of its interest but defauited upon the payment Of
III OSe4oeT. 80; enc aiso on ne mrs gay
Thereupon the United States Mortgage and Trust
Company, being the trustee for the first mortgage
bondhOlders, instituted its action to foreclose the
Brooklyn Wharf and Warehouse Company 10
the propriety placing its affairs In the hands of
suited in a report BY the Executive Committee OF
its affairs were in such condition that it was wise
g receiver and permit him to manage the property
until a reorganization could be had, and the com
counsel, Messrs. Bowers & sands, to join in the
application for the appointment of a proper person
A frst mortgage bondholders' committee was i'm
from the Central Trust Company, Of New-York;
and the Guaranty Trust Company. of New-York.
and 100000 OF bonds were Immediately deposited.
Then the United States Mortgage and Trust Com
pany instituted It's action for foreclosure and asked
for the appointment of receicvr. and Julien 7.
Davies, OF Dawes, Stone & Auerbi oh, 4de
ex-parte application yesterday Judge Fitzgerald
for the appointment of receiver. This acqui-
esceo in by Mr.. Bowers, Of Bowers & Sands
counsel for the Brooklyn Wharf and Warehouse
Company. and by A. h. JOlne, acting s counsel
for the United States Mortgage and Trust Com
pany, but being also tire counsel for first mort
gage bondholders' committee. These three gentle
men then requested Judge Fitzgerald 10 appoint
ex-M6yor Hugh ]. Grant receiver. Mr.. Grant was
asked more than a year ago by the representatives
OF a majority interest Of the securities Of the
Brooklyn Wharf and Warehouse Company o re-
come its president, and declined TO tax the ap-
pointment. and all interests desired that should
be appointed the receiver TO maintain and preserve
the property until a reorganiZa ton could be
pleted. The Court did not act upon the matter at
the time. but this morning signed the order pre-
Sented. naming however. receiver John T. Car
Toll. Immediately thereafter Mr.. Davies and Mr.
Joline again appeared before Judge Fitzgerald and
presented 10 him order disseminating the action.
which was signed, and the action is an end.
The company Incorporated on January u
1896 with capital stock of S2,5O0O00. It owns 265
warehouses. covering about two and three-quarter
miles Of the Brooklyn water front aud controls
the Hghterage business OF this harbor giving EN-
ployment 10 a large number of me