The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1904-03-23
RECEIVERS
FOR SU.L,L |.
sMcssrs. David y; H. Miller and md
Henry w. Taft Take Charge
Of Affairs.
ONLY ONE MIDDLE j !: I. CLEARED |. {: e
The Insurance Oh Cotton Gave
Notwithstanding From
sully5 and Others.
9fRv A,ssocIatci Press

{By Associated Press.J
NEW YORK, March 22.-An involuntary
petition in bankruptcy was filed to-day IN
the United states District Court against
The arm OF Daniel J. sully & Co. COM
posed OF Daniel j. sully. Samuel ~. ..
Morse, i. w r. Pagan and Edwin r. y.
tHadley, Jr., by three creditors.
The tier. s. Nt.l Weld ia CO. having q
claim amounting. Il Is alleged, to a sum
in excess Of $3.50 900; y Temnla4 G y
e. CO. whose clair, 10 in excess OF sl7o, o00,
and shearson, Hamill s. Co, with a claim
Ii, excess Of 500, 900. alleged that the firm
Of sully X Co., also purchased cotton
from them, the price to he due and De-
termined on March 10TH under the rules
Of the Cotton Exchange. On that date,
the petition states the firm Of Sully d
CO., notified the Cotton Exchange and
the creditors in question Of Its tnaplllll1ty
to meet outstanding ontracts. The act on
the part Of the firm constituting BANK
}ruptcy is given as the making OF
general assignment on March 18th. y udge
Holt appointed as receivers David David 4 ~.
Miller M. SiStNf -
receivers bonds at s200, 900. NJ
The receivers filed I heir bonds and were
sworn in CHS afternoon
NOT A. OTTON' MAN.
"a Mr. Taft is, q mem Der Of the law firm
OF Strong & tCadwalader. He Is y a brother
OF William Taft the Secretary Of War.
~ know nothing about cotton and I DO
not know Mr.. sully." said Mr.. Taft. 4
understand that Judge Holt suggested
that there be a lawyer appointed as CO.
receiver, and he then appointed me-.
Mr. sully said this afternoon: 1T is
too early for me to- make a statement
following the bankruptcy turn to II,
fairs. There are too many raIni ficat tons
Of law involved. about which I know but
little, and at all events NJ shall nave TO
wait until I have O consultation with my
attorneys M AZ u l5 46s
4 Mr.. shearson. one OF the petitioners,
said that an official sta tement might be
made later on behalf OF the three Pc
titions.
when asked II the suits were friendly
or lin friendly, Mr.. Shearson said:
"Oh, l guess you'd better cal! 1t friend
ly.'''
a tatem ent was made this afternoon
by J. Temple Gwathmey, formerly presi-
dent of tho Cotton Exchange, one Of the
creditors Of D.. ]. Sully "a CO.. It is
as follows:
..The proceedings in bankruptcy were
commenced because 1t was thought to be
the best way5to properly conserve all the
efforts for the benefit. OF all the creditors
ana IN no way need be considered a hos
tile step against Mr.. sully or his part
ners. The opportunity to make the propo-
sition to settle is just as good now as It
ever was. =. a3s
CREDITORS MEET AGAIN.
Creditors OF Sullya & Co. met late this
afternoon In tho Office Of the board of
managers at the Cotton Exchange to
hear further reports from the committee
Of five appointed yesterday to receive
from Mr.. sully his proposition for. a set,
Element When the COMMITTEES reported
that no additional proposition had been
made by Sully the creditors decided to
adjourn without date.
It is understood that II Mr.. sully has
other propositions to make they will be
made through the receivers, who may
call a meeting to submit such offer to the
creditors. II
Messrs. Miller and Taft, the new re-
ceIvers, took formal possession Of the
Sully offices tonight. The doors of the
extensive suite OF Offices with one excep-
ton were sealed by the expert account
ant who will. under the SUPERVISION Of
the receivers, go through the books and
accounts. K. II
Messrs. Miller and Taft. together made,
a short statement to- the effect that they
had been forssucllaa short time In charge
and their knowledge OF the FIRMS affairs
was so mcagre,5 that they could say. no..
thing that would be OF Interest. Mr.. Mill.
Ter, ut was reported to-day, would go to
New Orleans at once and take charge
OF the New Orleans offices Of the firm,
but he said he had not decided definitely,
Mr.. Taft said that the receivers were ig-
,norant rs to the methods 4. Of. book
keeping In the New Orleans offices and
whether or not tho situation would re-
quire an auxiliary receiver In Louisiana.
CLEARED THE MIDDLE.
n He said: about all we have done so
far is to settle n hard mu..,le In regard
to the insurance on q large amount OF,
cotton IN storehouses. here On account
OF the transfer of ownership to lis the
Insurance on some Of tho cotton lapsed.y
ION some Of The other cotton the poll
cies had lapsed without this. 1t being
tho custom to get Insurance from time
to time. For about an hour there was a.
largo amount of cotton without insu-
rance" s. }
Mr. Taft was asked If the 5"spot" cotton
In warehouses amounted to- about thirty
thousand bales. "That Is very likely the
figure" no said. "but I don't know to a
certainty"
+ Tho feeling Of the street over the days
happenings was that Sully's hopes of set
Ting with his creditors and resumi11g, has
been destroyed. and that the
possibilities III the bankruptcy proceed
ings We're such as to make 1t probable
that sensations would develop later
Section 81, of the United States bank
ruptcy law states that creditors or others
interested may by order REQUIRE any de.
signated person. including the ba1lkrupfa:
to appear and answer questions that lead
to the discrimination of tho bankrupt's
assets, or to- possible assets not In his
possession, but which may be recovered
by proceedings, It was believed that the
bankruptcy proceedings wero brought