The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-07-29
JUAN|TA MILLS
|NRECE|VERS HANDS
Latham & Co. the Peti-
tioning Creditor.
C. B. BARBEE NAM Ed
The Mill in Bad Shape. Was Managed
Entirely by MIR. G. Rosenthal Who
Collapsed in Office. Books Be-
ing Investigated. Mill Shut
Down Without Owners
knowledge.

Inc JudIlta COTTON Mills, the BOOKS
of which have been for some days
undergoing a rigid examination by
experts, was yesterday placed in the
hands of Mr.. c. b. Barbee, of this
city, as temporary receiver, upon an
order signed by Judge w. r. Allen. in
Charlotte.
The petitioning creditor is Latham
land Company, of New Bern, whose
debt amounts to $1,000. The COM
paint is meagre in its terms merely
setting out the fact of the mills in
solvency, the debt of the petitioner
and the assets of the mill which are
roughly estimated at 100000 at least
me defendant corporation is cited
to appear in Raleigh on the 9Th day
II August and show cause why the
receivership should not be made per-
| manent
While the proceeding was taken by
4 creditor, it is done with the knowI-
edge and consent of the stockholders
and directors, the papers having been
prepared by Armistead Jones. ESQ.
| the attorney for the mills who Went
| 10 Charlotte and obtained the order
for the receivership from Judge AL
| zen.
| The bond of the receiver, which has
| fixed at $4,000, has been given by
The United States Fidelity and Gaaran-
| tee Company and has been approved
| oy Clerk of the Court Russ.
| The Juanita Mills which were built
1t an original cost of $4,000 was
| never a successful enterprise. About
| ten years ago the property was sold
| by receiver and bought in by Mr..
| e. B. Barbee and associates. of this
! city, who organized the present cor
ooration, with a capital stock of $40,-
| 000 and a bonded debt of $25, zoe and
| with Messrs. e. b. Barbee, as presi-
lent; G.. Rosenthal. secretary and
| treasurer, and Julius Lewis, of Raj
| Sigh; Fels. of Philadelphia, and w. r..
White, of Mebane, as directors. Dur
ing the existence of the present or
ganization the mill has paid but one
| dividend and for some time past has
continued steadily to lose money.
1t is understood that the property
| Is it stands represents an outlay on
| he part of the present owners of
! lbout $4,000, and. while the commit
| tee that is now going over the books
| has not yet made sufficient Roadway
| TO give an accurate statement of the
affairs of the company 1T is estimated
| BY several stockholders with whom /
| nave talked that the total bonded and
| aoating Indebtedness is from $15,-
| 100 to $4,000. while the assets, esti-
mating the mill property at $4,000
ire expected to foot UP about $685.
| 100. While the figures above are
necessarily largely speculative they
| ire approximately correct when
mean that when the affairs of the
company shall have been liquidated,
| there will be scarcely any LIKELIHOOD
| Of there remaining any assets TO be
| applied towards the payment of the
| oompanys stock obligations.
| 1t is, however, understood that a
number of the larger creditors OF the
| mill have been secured by gilt-edge
endorsements and it is likely that the
oss in that quarter will be compare
lively small
When, as reported Sunday Mr.. c.
Rosenthal the secretary and treasurer
Of the mills was found unconscious
/ N his office in the Capital Clup
building, the directors of the com
pany and some OF the stocknoiaers
AZ once started to fully investigate
the affairs of the company, with the
result that the corporation was found
TO be in such a condition as TO rem
der it advisable to have receiver APP
pointed to take charge OF the proper"
". Although the committee to ex-
anime the books has been steadily
1t work, they have been hampered
py the feeble condition of Mr.. Rosen-
thal and by the fact that he had en-
tire charge of the management OF the
mill and was the only man who was
thoroughly conversant with the de-
tails of the business.
The day before he was discovered
unconscious in his office, it is said that
Mr.. Rosenthal telegraphed to his two
sons-in-law, one of them Mr.. Fels, the
rich Philadelphia soap manufactures |
and a director Of the Juanita Com |
many. to come at once to Raleigh. They |
arrived early Sunday morning and 1t
was not until then that they learned
of the distressing condition of their
father-in-laW.
Another circumstance of a peculiar |
character, showing both the confidence
in which Mr.. Rosenthal was held by |
fha directors and stockholders of the |
mills. the strain of bad health under |
which he must have been living up to |
the time he collapsed, is the fact that |
the mills were closed down by him on |
Tuly 5th last, and it was not until last |
Monday, nearly three weeks after I
work had stopped, that the president |
directors and stockholders knew that |
manufacturing operations had been |
discontinued.
The complaint or petition of Messrs |
Latham & Co. is drawn on behalf of 7
themselves and al other creditors |
who are invited to come in as parties |
to the suit. Mr. Claude Barbee, the |
receiver, has wide reputation as a |
wise and conservative business man, |
who may be depended upon to con- |
duct the affairs of the corporation ia |
a manner that will no doubt be made |
permanent without opposition from |
any quarter.
The stock of the mills is held by a |
very close corporation, one-half being |
owned by the Rosenthal family and |
Mr. ROsenthalS Son-in-laW Mr. Fels /
and the balance by the directors above |
named and Gen. Julian S. Carr, of |
Durham.
Mr.. Claude Barbee left yesterday af-
ternoon for Burlington and will take
charge of the mills today.
Sugar coat seoundrel with mon