The Providence news. (Providence [R.I.]) 1891-1906, 1904-03-29
SULLY HAS new
PROPOSITION
Offers 10 Pay 40 Per Cent
Within a Month"; Balance Notus
NEEDS TWO OR THREE YEARS.
Says He viii Turn Over Interest In Claim
Against MessTs. HawIey and Ray
10 Creditors.

10 Creditors.
New York. March ee--At n meeting yes
terday OF the committee representing ths
creditors OF creditors OF Daniel J. Sully e.
Co, John n. Dos Passos Mr.. sully's coun-
sel. made a now proposition for the set
clement OF all claims against the Arm.
Mr.. Dos Passos stated In behalf OF Mr..
BIly. that the latter desired 20 have his
AFFAIRS arranged and adjusted immediate
iy. and he authorized an ofrer to the
creditors OF 10 cents cash, payable within
% days, and the rest I'm notes without in
terest, payable in one. two and three
years.
In addition, he proposed 10 reassign to
q committee OF creditors all the right.
title and interest OF the nrm of ID. ].
suIly e. Co. and ID. y. Sully. individually.
in the claim claims which they or ne
have against Edwin Hawley and Frank
Ray arising out Of their joint transac-
lions and operations In cotton,
CREDITORS MAY ACCEPT.
Mr.. Dos Passos said that. II the mat
ter were allowed TO run along for an In
definite time. the assets OF Sully CO.
would be diminished and frtttered away
by ell kinds OF expenses, and rflat he ap-
pea red before the committee 90 have the
Affairs OF Mr.. sully adjusted on business
principles, which involved economy and
promptness.
The committee had not power 30 accept
the proposition. but they agreed 10 imme-
diately confer with the receivers and with
the creditors OF the firm FOR the purpose
OF getting authority to act. The situs-
41a fDla Mr
says. Is that II the body OF the creditors
agree 10 Mr.. Sully's proposition he Will
Se enabled TO resume hts business within
the very near future
man in the position to know states:
81 am Informed that the creditors will
probably accept Mr. Sully's latest PROPOSE
tion and that he will be reinstated 70
rnenrbership on the Cotton Exchange
within a week In the first place they
are now assured 10 Sully is not able 10
make better cash offer than ~ per cent
Of his total liabilities whtch win amount
to not far from $4,000.
A TANGIBLE ASSET.
Moreover, they know that. IL he IL not
permltted 10 resume business soon, all
they'll get II whatever the receivers or
the trustees in bankruptcy will be able 90
realize out OF the wreck. II may he taken
for granted that that will not be 100 cents
on the dollar.
by the terms Of this latest proposition
Sully guarantees 10 pay 100 cents, but
he asks for time In which 10 do H. Be
sides he turns over To creditors Gil his
interest in whatever claim he may have
against Hawley and Ray. The creditors
have been advised that this is very
tangible asset Bearing these facts In
mind I am informed that there is every
likelihood that the OFFER will be accepted.
Superintendent King of the Cotton EN-
change made statement today 10 the
effect that Daniel J. Sully on Saturday
afternoon filed notice with the ex-
change TO the effect that his business
was in the hands of receivers and on that
account he could not file with the ex-
change n detailed statement OF his as
sets and liabilities. The Suhy notice was
prompted by the exchange rule requiring
a member % file such statement within
ten days after failure 10 meet ohhga-
tons.
ORDER FOR EXAMINATION.
nv connlvine with the rule as closely
az the circumstances ~ his affairs per
mitted Mr.. Sully removed any posi-
bility OF having his application for re-
stored membership refused when his bust
ness troubles are settled. the penalty for
non -compliance with the rule being a
forfeiture Of membership rights.
one Of the lawyers concerned I'm the
d j. Suly bankruptcy case said last
evening: IAN order obtained from
Judge Holt In the United States district
court this afternoon, returnable on Fiji
day for the examination 81 Edwin Haw-
lev and Frank II. Ray az TO their deal
ines with Sully My understanding IL
that the receivers have obtained this
order But however that may be, copies
OF Il were turned over To deputy United
States marshals and they stared out To
serve them"
tl.o
business Of receivers 10 apply for such
an order trustee In bankruptcy when
appointed might do it The creditors
have been talking Of doing IL themselves.
IL was known that II was practically de-
cided before Samuel Untermyer. attor-
ney for some Of the Sully creditors, left
for Atlantic City today that an effort
will be made within n few days to have
Messrs. Hawley and Ray declared invol-
untary bankrupts. as partners OF Sully In
cotton pools. In reference to this the fol-
lowing statement was given out yester-
day afternoon:
'It was learned from one Of the cred
itors that there was meeting Sunday
uptown between n number Of the cred
itors and the receivers. AZ which Mr.
Samuel Cntermyer and other counsel
attended The receivers. n Is said. were
urged BY Mr.. Untermyer Immediately TO
put Hawly. Ray and others on the witness
stand and we're told that unless an order
was applied for by them Immediately and
q drastic examination begun the cred
itors would themselves act.
IL Is not known what action was taken
on this suggestion. but u IL believed that
within a day or two proceedings will be
begun looking 10 the examination into
tho various pools that were conducted by
Sufly.
MINIMUM VALUE n,oo0o.
TT was further learned that Mr.. Suly
is himself Insisting on SUCH an examin
afion, and that II neither the receivers
nor the creditors inaugurate it he will
do 10 himself for the purpose Of fixing
the responsibility Of Hawley and Ray"
Mr.. Untermyer said that proceedings
would be begun 10 establish their liability
ss partners, 10 the creditors who furnish
A fhA Qnn0 ha lsea nf tom for u.1aich