The Savannah morning news., 1903-07-09
FIRM OWES $4,000
CREDITORS OF 1. SILVERBERG &
co. IN A PLIGHT.
TWENTY CENTS ON DOLLAR.
REPORTED AS BASIS OF SETTLE
MENT WITH CREDITORS.

Company. Is Rated at $4,000, but
Creditors Say This Is Somewhat
LiberaI-George w. Owens APP
pointed to Look After Interest Of
CFeditors-GrOwing Crops VIII BE
Managed-Indcbtednc of Mill Re-
ported ns S3I .OOO-InNesti cation
Not Yet Complcted-SiIvcrb =
Whereabouts sealed Book to
Creditors.
Each day developments indicate that
the amount resulting from the irregu-
lorities practiced at the Savannah Rice
Mill Company viii be considerable, and
there is little doubt expressed that
both the mill and 1. Silverberg & Co,
will not survive the strain.
An investigation Of the affairs of the
latter has shown that the firm is in
volved to such an extent that it viii
not be enabled TO pay off its indebted
ness at 20 cents on the dollar. This
disclosure, if surprising to the credit
ors of the company, was even more so
TO the junior member of the firm, who
declared, shortly after Mr.. Silverberg's
departure, that his firm was solvent
and fully able to discharge every debt
incurred by Mr.. Silverberg.
The aggregate amount of debts now
owing and unpaid by the firm is near
ly 100000. The rating of the concern is
$4,000, and the creditors say that they
are convinced that this was too lib-
era1 by half. Among the largest of the
Savannah creditors are the Southern
Bank, the Germania Bank, Joseph Ros-
enheim & Sons. Solomon Sheftall, NJ
Ferst's Sons & Co.. A. H. Wood, Mohr
Bros, Savannah Grocery Company
Harty & Apple, and a number of in
dividuals who Endorsed for Mr.. Silver
berg.
Mceting of Creditors.
The creditors of the company held a
meeting for the purpose of taking ac-
ton The report having shown that
the firm was heavily involved, as was
announced in the Morning News it was
determined to have the affairs of the
company wound up. Mr.. George w
Owens was appointed trustee TO look
after the interests of the creditors. the
object being to protect the growing rice
crop. and make of it what can be made.
The work of Mr.. w G. Tyson, the
expert accountant who has been en-
gagged to audit the books of the COM
pany, in order to ascertain it's out
standing Indebtedness, continues. AS
soon as the report is made, some action
will be taken by the company. From
the amount of its Indebtedness and it's
capital stock. it is the belief that the
concern will be found to be insolvent.
This position, which is taken by
number of interested parties is
strengthened by the disclosure of the
large Indebtedness of l. Silverberg q
Co.
Looking Into Securities.
The loan of the Germania Bank to
!. Slverberg & Co., is said to
be amply secured, but the others are
questionable. An investigation into
the value of the Western securities
which We're given as collateral to the
Southern Bank is now being made.
Upon the result of this investigation,
it is said, largely depends the security
of their loan. 1t is not believed that
the banks will lose much as a result
of the affair, the brunt being on the
rice raising and milling companies.
Unauthentic figures place the indebted
ness of the mill at $31 ,000
Silverberg's Whereabouts are as
much a mystery as ever. Various re-
ports are current. One has it that the
missing man is in Cuba: another Pitts
burg; still others, in the West The
idea of self destruction is discarded
as untenable by those who knew Sill
verberg The fact that he left a will
added much interest to the case, and
was much discussed on all sides yes
terday.