The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-12-24
DISTRIBUTION OF THE
BANKS CASH HOLDINGS
Elkllart Paper Makes Alleged
Itemized Statement and EST
mates Payments to Depositors.
LATTER PROBABLY LOW

Special TO the Indianapolis Journal
ELKHART, Ind Dec pa local paper
states that Of the $4,000 of deposits in the
Indiana National Bank. SlO5.Oo0 went to the
National Manufacturing Company, an
equal sum to the Consolidated Paper and
Bag Company. $4,000 to Walter Brown
personally, $4,000 to the Elkhart Paper
Company. $1,000 to the Acme Cycle Com
pany. $1,000 to the Buescher Manufacturing
Company and $4,000 to Broderick & Brown
I'm miscellaneous items. All but the Bues-
cher Company are industries controlled oy
The same paper says the BroderIck &
Brown securities will not realize over w.
coo. while other assets are: Stock assess
ment $4,000; realty, etc, 5000; loans, $Jo-
00O w. l.. Collins property, Sl4,Wp, or To-
tai OF $4,000 The paper concludes depos-
itors will realize only % cents on the dol
lar.
The receiver makes no statement. but is
expected to report to the controller by Jan.
l. Many here think the paper : estlmate Ior
realization on securities Is much too low.
II is understood that Cashier w. IL. Col
Inns has changed attorneys and that he has
decided not 10 surrender all MS property
without exemption. as announced to the re-
ceiver the other day, but TO save what he
can. the inference being that he may at
tempt 10 protect himself as against others
involved in the bank failure, whom he is
alleged to blame for insisting on his re-
naming with the institution several years
aIter ne mad cOncluued IL was 10 MS inter-
Vice President Peltire Hill has informed
friends that he will pay the assessments
his stock. though he sold it to j. L.
Brodrick over a year ago. The sale was
never recorded on the bank books and he is
technically liable and does not think IL
+. worth while trying to contest payment
Papers have been prepared and forwarded
for fling in the Federal Court in Indian
apolis in a suit TO place the Elkhart Paper
Company in involuntary bankruptcy. The
plainfiffs are p l., Turner reDreSenting the
receiver for the Indiana National Bank.
and o. NJ. Conley and Miller, Drake 81
Hubbell, representing other creditors. The
petition signed Tuesday night. Ac-
companying the petition was an indemni-
flying bond for SIS 900. There is nothing in
the bankruptcy law that provides for the
continued operation OF a plant in bank
ruptcy. but the attorneys for the petition
erS are not disposed to shut up the mill
and think the court has power in equity
TO order its operation under a trustee. The
mill Is already in receivership, with Melvin
Barnes in charge. and he probably will re-
main at the head until the meeting of cred
itors before the referee in bankruptcy at
South Bend fifteen days after the serving
OF the summons to be issued in response to
the petition. Mr.. Barnes may then be
chosen as trustee in bankruptcy, the de-
cisive vote to represent majority both in
their claims.
The claims represented by the petitioners
aggregate about $4,000. The reason for
taking the affairs of the company out of
the State courts and placing them in the
United States court is that the State law
permits certain exemptions that the federal
law does not.