The Providence news. (Providence [R.I.]) 1891-1906, 1904-01-30
ANOTHER
REASON FOR
ASSIGNING.

At the time OF the Harson company's
assignment. Treasurer Harson expressed
the belief that the assignee. Attorney
Walter ID. Brownell. would ind the assets
TO equal. II not exceed. the liabilities and
thought that with judicious disposal Of
the large and valuable stock OF mer-
chandise the creditors could be paid
dollar for dollar.
To more fully explain matters a meet
ing OF creditors was called for a week
later at the Broadway Central hotel
New York. the largest and decided
majority OF the creditors being located
In that city.
At that meeting the friendliest senti-
ments were expressed and suggestions
OF offers In compromise made. But"
adds Treasurer HArson. we explained
that continuance of business was out OF
the question, that we had no proposition
TO ofrer. and that all we had TO ask was
their authority to carry on a sale TO the
best OF our ability and to wind up our
affairs by March LIST. Resolutions to
that effect were Immediately adopted
while we were In New York. the Bos-
ton firm or simons, Hatch a whltten Co.,
hled petition In bankruptcy against US.
alleging a presposterous claim AS the law
requires three petitioners, they were
Joined by two small creditors, who have
since admitted to US that they acted on
reqrest unwittingly and 10 be obliging.
"Astounded at the action of the Simons.
Hatch G. Whitten Co. we called on them
TO learn the cause. and TO persuade thcm
to Withdraw their petition. Mr.. Hatch
came to Providence and when all inform
alton sought was cheerfully accorded.
even TO list OF all creditors beside his
own firm he left for Boston apparently
satisfied and giving assurance that bank
ruptcy proceedings would be dropped
But from information received this
morning we have reason TO believe that
his rrcfusions made while In Providence
were not sincere and the frs. st,ps In
bankruptcy proceedings Will be taksn IN
the United States court. this city, Tdes-
day next This will entail additional ex-
ptiiSe. prolonged proceedings probable
and dispos j Of the stock In bulk nearing
that the creditors win not receive one
tidrd the amount they would ynSer IL as
signse's sale"
There was nothing g. the lease which
has IL years 10 run prohibiting MIR. Har-
son from adding clothing TO his stock
any moro than when he introduced a shoe
department. There was amply space In
the store and he felt that with clothing
added he could continue to conduct at a
living profit the business established by
him a quarter century ago and which
had increased from small beginning TO
gross annual receipts OF from $4,000
TO 10000
However. IN the lease OF another tenant
In the building was a clause stipuiating
that during the pending OF said lease no
other clothing store should be permitted
10 looate In the building which Is part OF
the Low estate. The principal stock
holders Of the company said they would
hold the landlord TO the letter OF the
lease 40 rather enter into "a bittar or
prolonged legal fight, Mr.. Harson assigned
for the equal oeneht ot creditors. This
he states Is the fourth, the inside and real
reason for assignment.
No statement OF assets and liabilities
has yet been made.