The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-03-20
But One Failure Follows
That of SuIIy.
COTTON Is BUOYANT
This Applies to the Closing Hour, the
Market in the Beginning Slump
ing Sharply. Stocks are
Strong Throughout
the Day.
(Dy the Associated Press.)

(Dy the Associated Press.)
New York, March 1.-the excitement
in Wall street that was caused by the
announcement yesterday of the suspen-
sion of Daniel j. Sully and Company, was
noticeable today, but gradually subsidized
during the market hours and at the close
OF the cotton and stock markets it was
generally agreed that the worst of the eff
feet of the failure was over. The stock
market was strong all day. The cotton
market was nervous, and slumped sharp
y on bad news in the early morning, but
before the close even the cotton market
became buoyant and moved up to point
far above the lowest of yesterday.
1t was feared that other failures would
follow the Suly crash, but only one that
OF j. H. Garrison. a minor concern was
reported. After a conference between
Mr.. Sully and his lawyers this morning
the firm made formal assignment to
Joseph II. Hoadley, who at once took
charge. This action was taken because
1t was learned that an attachment was
about to issue and it was thought best
20 apply for an assignee for the protec.
tioa of all creditors alike. Later in the
day protest against the selection of Mr..
Hcadley was made at a meeting of credi-
tors. Mr.. Hoadley explained that he had
only accepted the position of assignee
temporarily in order to avoid the placing
lof attachments, and that on Monday the
creditors would meet and select a perma-
uent assignee, Mr.. Sully having declared
that he would agree to any man of their
selection
The following letter was sent by ID. J.
Sully and Company, to Robert P. Nc.
HCuCall president of the New York Cot
ton Exchange.
While l am not prepared to make a
statement OF my affairs, / feel that as
q member OF this exchange l owe to you
and its members at least to say that
the same straightforward method with
which my business has always been per-
lolmed between us in the past will char
acterze my method of dealing with my
creditors in this emergency.
I am engaged III making a careful ex-
animation of my affairs at the earliest
possible moment | will report the result.
Meantime | crave the patient forbearance
of you all, feeling assured that this
embarrassment will be only a temporary
one and that l will be able 10 salts
tactorlly adjust my affairs very speedily"
Shortly after noon the following state
ment was given out at the office of d. J.
Sully and Company:
''D. ]. Sully and Company have made
an assignment with Joseph II. Hoadley as
assignee. Mr.. Hoadley, upon advice of
his al Caoppn Tpab,r, ox IN;.+o;a4
attCrney of Philadelphia, has taken
chorge of the office and is examining the
firms accounts. AT present he is unable
to make any statement regarding the
assets or liabilities of the firm although
he hopes to give out this information
within two or three days. Mr.. Hoadley
the assignee, is the organizer of the
American Locomotive Company. He is
lifelong friend of both Mr.. Sullv and
Mr.. Morse
When Daniel ]. Sully arrived at his
office today he Immediately went into
conference with his counsel, Mr.. Clutch
con. of the firm of Hornblower, Miller and
9yrne. Mr. Sully refused to make any
direct statement but through clerk an
nounced that he hoped to resume within
four days. Matters We're in better shape
fcday than was hoped last night, it was
s2id.
An injunction was issued by Justice
O'Gorman, of the Supreme Court, re-
straining the Corn Exchange Bank from
paying certain margin certificates amount
ing to $4,000 delivered on March 1, to
the order of D. J. Sully and Company.
The order was obtained by S. Mum Son
and Company, and the firm OF d. j. Sully
and Company were notified of its issu-
arce
Superintendent King, of the Cotton Ex
change. called at Mr.. Sully's office soon
after the latter's arrival and got him
to sign contracts releasing upwards of ST.
100000 of margin money due to cotton
brokers' in this city and various points
in the country
Just before leaving his office today Mr.
Sully made statements in which he said
his troubles had been precipitated by I'M
foreseen circumstances. and that had he
been given another day or two in which |
TO arrange his affairs. it would not have |
been necessary for him to have assigned.
AS matters stand he hopes to liqudate his
affairs and resume. He was unable to |
give any estimates of his liabilities.
Mr.. Hoadley. the assignee. also made
brief statement. the substance OF which |
was that he had accepted the appoint
ment as assignee, against his own incina- /
lions hut because of his friendship for
Mr. SulIv and Mr.. Horse. He lntlmated !
that the affairs of the firm would be speed |
ilv lior;dotod else he would not have |