The Montgomery advertiser., 1904-01-01
CONFIRMED 1 BREWERY SALE Order Made by United |. States Court. RESALE WAS DECLINED D. (. Haas Gets Property at
 Original Bid. Judge Jones Gave Opinion That Con- firmation Was for the Best Interest of Creditors of the Concern.

Ju0ge Inomas G. Jones or the UniteO States Court, yesterday confirmed the sale of the Montgomery Brewery to J. c. Haas for $500, and the assumption of $5O.O00 bonded indebtedness.
 The court declined to consider a propo- sition for resale of the property.
 A motion was made in the court yester- day morning in behalf of the purchaser, MT. Haas. to confirm the recent sale of the brewery property. The property is subject to mortgage for s50,000, which Is first lien upon all it's property except lot of machinery upon which the mort gage is second lien, the first liea being held by cetrain judgment creditors.
 Under the decree. the propert, was or- dered sold free of all liens except the s5o.0Oo mortgage, the holdess of the lien on the machinery to transfer the lien to the fund realized from the sale.
 Quite a number of lawyers were pres- ent. A motion was made on behalf of the lien holders and one or two unse- cured creditors to set aside the sale on the ground of inadequacy of price bid, which was $3.500.
 A New Proposition.
 On a suggestion of the court that the biddings ought to be advanced, before reopening sale. of the regularity of which no complaint was made, which had been fully advertised, and at which all interested parties had an opportunity to bid the amount which Is now urged as the worth of the property. if parties con cerned thought the equity of redemption worth that much. MT. Lowenstein offered to advance the bid to 5000, provided the $1 ,500 interest due today was paid and the property freed from liability for H. cense, etc.
 The court adjourned until o'clock tc give the lawyers an opportunity to con. fer.
 The effect of accepting the advance bid would necessitate a resale of the property and the operation of the plant in the meantime in order to save the beer prod ucts on hand. It was shown that this would entail at this season of the year 6 loss of about $1,O0O a month.
 The representatives of the unsecured creditors. who can get dividend only out of the money in the hands of the re- ceiver, and not from that realized on this sale, unless 1t exceeds the amount of the Hen on the machinery, objected to the reopening of the bids on MT. Lowen- stein's proposition, for ths reason that It was not as good for them as the un. conditional bid by MT. Haas of $350O, he If his bid Is confirmed, having to pay the g, 800 interest which falls due today, and the other charges which accrue at that time, and saving the creditors from any risk of loss in operating the plant, which would be entailed if resale was ordered
 It was insisted, if the Haas bid was set aside, It would necessitate the running of the concern at a loss of about $l, 900 d month until resale could be made, an6 that in the meantime, as the whole oI the $5O,O00 mortgage would become duS today If the interest was not paid today that the $1,5OO for that purpose would have to be advanced by the trustee either at the expense of the unsecured creditors, or of the lien holders upon tho machinery. and this experience showed there was no probability of getting a better bid.
 The Lowenstein Bid.
 The Lowensteln bid required the $1, ,5O interest to be paid and the licenses fol the business. and besides the opening oi the sale would also necessitate the opera tion of the plant for thirty or sixty dayI at loss, until a resale could be had.
 It was earnestly insisted by the major ity of the unsecured creditors, under thC | circumstances, that the unconditional bit of MT. Haas for $3,500. he having to pay the interest today, and the other charges was better for the unsecured creditors than MT. Lowenstein's bid, and would not involve any further diminution of tho funds, by operating the concern at 6 loss at this season of the year.
 Judge Jones said he did not think that the court ought to speculate by a rerult upon the unsecured creditors and that the advance bid should be for an amount which would certainly cover any loss fol operating the brewery pending a resale and also provide for the $1.600 interest due to-day, which MT. Haas would have to pay if his bid was confirmed. and which the trustee. if the advance bid was accepted. would have to provide for either out of the funds which would go tc the unsecured creditors. or out of the funds which went to the lien holders. Lienholders Objected.
 Counsel for the lien holders then stat ed they were unwilling to have a re- sale on those terms on the $6OOO bid, if any loss from operating the brewery was put in the lien holders, the unsecured creditors objected if the loss was to fan on them.
 Counsel for MT. Lowenstein reported that his bid for 5000 with the conditions attached, was the only bid they were prepared to make.
 As the interest falls due on the first oS January, and if not paid, the principal would become due, and the parties in- IoiSSUeu Wouiu hoC duNdnce IneH DluS' the judge said that under the circum- stances, there was nothing to be done but to confirm the sale As the bids on a resale, would stand in lieu of the ma chinery, an increase on a resale. unless they went beyond the amount of the lien which was $l3.5O0, would not benefit the unsecured creditors, and the court did not feel that 1t ought to risk the cost and expense of resale. at the expense of either the lien holders or the unsecured creditors, when 1t might result in a loss upon a proposed advance of the bidding the terms of the advance being such that it was not as good under all the cir cumstances, as the unconditional bid oi Mir. Haas. If an advance were offered sufficient to cover the resale, contingent cies named, the court would order a re- sale; but as 1t was, nothing was left