Daily Kennebec journal., 1904-03-21
SULLYS FAILURE.
Believes That He Can Pay
Obligations in Full.
Hopes to Soon Adjust Affairs and Re-
sumo Business.
One Million Dollars Margin Money Due
Brokers Released.

New York, March 20.-FolloWinG the
| failure of the cotton firm of Daniel j.
Sully & Co.. announced on the Cotton
Exchange, Friday, there was little to
Indicate 1T the opening of the morning
session, saturday, any sensational de-
velopments anticipated. last night. The
market opened irregular from five
points lower to "a points higher The
brokers about the pit We're somewhat
aDprehensiVe, but We're reassured by
the cables from Liverpool and the an
nouncement that the Sully firm expect
ell to resume in four days.
Other failures were expected to fol-
low the crash of the Sully house, but
only cne, That Of j. H. Garrison was
announced before noon This, while Il
small firm, affected slightly the mar
ket and attracted volume of selling in
May by room brokers'. Shortly after
| the call 4 better feeling became appar-
ent and il was evident that important
trade interests We're doing their utmost
| to encourage the trade. Upon his ar
rival at his office, Mr. Sully conferred
with his attorney and received notice
| of an injunction restraining the firm
|
little later the formal arraignment was
| made, naming Joseph Hoadley as IS
| signee. who Immediately took charge
| Of affairs o. The Suily firm No direct
| statement was obtainable from Mr..
Sully or any member of the firm, but
| the following letter was sent by D. j.
Sully & co. to Robert 2. McDougall,
president of the New York Cotton Ex-
| change:
while I am not prepared to make Il
statement Of my affairs, | feel that as
q member Of this exchange. l owe to
| You and it's members at least to say
that the same straightforward meth
Cd with which my business has al
ways been performed between us in
the past Will characterize my method
Of dealing with my creditors in this
emergency.
Il am engaged in making q careful
examination OF my affairs and at the
earliest nossihle moment, I will report
the result. Meantime, l crave the pa
| tieat forbcarance of YOU ell, feeling as
srred that this embarrassment will be
only a temporary one and that I will
be able satisfactorily to adjust my af-
fairs very Speedily
About $1,00c.000 Of margin money due
| to cotton brokers was released by Nir.
| Slilly sfSn;ng contracts.
My suspension is only temporary"
| Said Daniel ]. Sully, the cotton specu-
| lator. the SUSPENSION of whose firm
| shock the speculative world, Friday. He
| made this declaration upon reaching
his home after conference at his Of
| flee extending; late into the night. Il
|
simple statement he continued land
| | shall not have any further statement
TO make either tomorrow or Sunday"
Mr.. SullJ APPARENTLY was mo more
dCWncast than he was eXultant not
| lorg ago when the current report was
| that he had made several millions
| through the unprecedentedly high
prices for cotton. He would not discuss
! the intiinations that there might have
| leen traachcry at some point among
his friends. nor would he indicate how
soon he expected to resume operations.
| Those members Of the cotton exchange
who had contracts with Daniel j. Sully {;
| Co. held n meeting after the close nf
| business in the governing committee room
| of the exchange to discuss the situation.
| They We're creditors of the suspended firm
| and many of them did not know whether
| they would lie inSOlvcnt on the following
! day o. not, in case the failure was a bad
1t was decided to appoint committee
| Of th" leading brokers, OF which John
| NcTaddcn Was tn" chairman. They visit
"a th" Office OF Guily q Co. and mad"
| formal inquiry as t. the amount of cotton
contracts which the finn had outstanding.
| No information was Obtainable and after
| 4 prOtractcd discussion the mt citing was
| dissolved without any conclusions having
| lfpGn lPhpI. ono those SliJ
| '.Wc counted noses ana that's about all
| we did. We gathered the information,
however. that Sally does not hold $40 o0H
| bales of cotton. Tho amount is far less
| than that. | am "'aG to say, and after a
careful compilation it was the opinion Of
III present 1t the meeting that 4 safe es-
| tinate Of his holdings would be about
[ pon The &c price Of cotton. today
| hinged the outcome of the failure
| When Daniel ]. Sully arrived at his
| office, today, he Immediately went into
conference with his counsel. Mr.. Gut
chcon Of the firm Of HornblOwer. Miller
4 Byrne. Mr. Suliy refused to make any
direct statement, bat through cl.rk an
n"unccd that he hoped 70 resume within
| today, than was hoped. last night it was
An attempt was made by a process
| server to serve an injunction upon Mr..
Sully. today. tn" INJUNCTION was issued
by Justice OGofman in the supreme
court. restrainmE the Corn Exchange
| Bank from paying certain margin certin-
| Gates amounting to s21 G00. delivered on
March lst. to the order Of D. J. Sully e
{" The order WaS obt9incd by S Mum
-"n & CO.. and thr firm Of d. J. Sully &
20. was notified Of itS issuance.
Shortly before noon III" following state
! m"ut was given out at the Cticc Of d. J.
/ S';lly 4, Co.
| u. J. Sully &, Go. have made an assign
mert with joseph H. lI"@dlcy rs assignee
/ .}dt ic, ~ cpI
lGc0rcc s. Graham. eE-,iistTict attorney of
i'hiIa,l ,l2lphia. has taken charge of the Of
| n,a and IS exinli1ing the firms accounts
! III present he is unable to make any
| statement regarding the assets or liabili-
t..S Of tn" firm. although he hopes to give
out this informa ton within two or three
! lavs. Mr. iIaadloy. the assignee is the
! nlgariZcr OF the American I.ocomOtv-
4 90 Tie is a lifelong friend of both Mr.
Sullv and Mr.. Morse
The Anu women in Japan tattoo their
/ fac, to give them the appearance of men
/ with whisliers.