The Topeka state journal., 1905-11-21
MAY PAY IT BACK
Merchants National Bank Likely
to Be Called Upon.
Creditors of w. E. Thomas Want
Ninety -four Hundred Dollars.
IN A COMMON FUND.
Claim Payment Made in July
Was Preferred One.
Report Shows Thomas Liabilities
Far in Excess Of Assets.
N A COMMON FUND.

The creditors meeting in the involun'
tary bankruptcy cases Of W. E. Thomas
of Leavenworth and the Southwestern
Fuel company of Topeka, held at tho
federal building today, developed one
thing primarily, namely that an effort
will probably be made to compel the
Merchants National bank of Topeka to
pay back 9,400 which it received from
the Southwestern Fuel company the
latter part of July, because the other
creditors deemed it preferred payment
The meetings today were adjourned
for the third successive time, to De-
cenber 19, when all of the minor Devlin
corporations will gather in Topeka TO
file claims. Two reasons for the post
pOnement can be named, the absence Of
w. E Thomas, and the fearfully en-
tangled status of the two cases.
physicians statement that Mr.. Thomas
is still too i'll to appear and meet his
creditors was presented.
At the last meeting, Hasl1ins & Sells,
expert accountants, were employed to
investigate both Mr.. Thomas and the
Southwestern Fuel company's affairs,
and they made a report today, which
they said was compromised as TO ac-
curacy, by reason of certain lack OF
balances in the books, and some agree
ments, the validity of which would
have to be determined by the pres
ence of Mr.. Thomas. One of these is
that P. J. Monaghan, manager Of the
Southwestern Fuel company, stated to
Frank Lewis, the receiver, that an
agreement has existed between him
self and Mr.. Thomas for the past five
years that he was to receive one-third
of the profits of the company
The matter of the Merchants Ma
tional bank of Topeka having received
9,40O as a preferred payment on
claims against the Southwestern Fuel
company was also brought out Ac-
. -aA- H-s
Southwestern Fuel company kept de-
posting money in the Merchants Ma
tional bank after the Devlin failure
It owed the bank quite a considerable
sum, and the bank in an agreement
with the company deducted from the
/ deposit what was coming to it.
/ Ed Carroll, owner of the Leaven-
worth National bank, was present at
the meeting this morning. He holds
7 considerable Thomas paper. The Mer-
chants National bank matter caught
| his attention at once and he wanted it
| looked into Immediately.
81 want Mr.. Thomas here he declar-
ed Here are a whole lot Of matters
that need immediate attention and the
1 victims have a right to know about
them. There are some very peculiar
I actions which I want sifted out.
Eugene Hagan the attorney for Mr..
1 Thomas said that the latter was unable
I to come a statement to that effect haY-
\ ing been made to him by the doctor.
/ Referee Slonecker suggested that Mr.
I Carroll employ a physician of his own
/ to see Mr.. Thomas. This may be done.
seWhat will you do about the Mer-
| chants National bank matter?' was
| asked of Mr.. Carroll.
1--WE will get busy all right, after
while" was his significant reply.
An inlzling of what viii be done in the
I big creditors meeting set for December
4 19 was hintei at pretty strongly by Frank
4 h Woods of Lincoln. Neb., who said
when the matter of electing a trustee,
| came up: Il think we had just better
wait until that meeting and not elect 2
| December 10 everything viii just be
! thrown into one pot and we viii take cur
/ chances at pot-luck-
/ The Haskins-SelIs report showed the
! Thomas liabilities to be about $3.50, 900 and
4 the assets $4,000. In the Southwestern
! case the liabilities are S9S3. OBJ. 81. with
4 floating paper assets covering that
/ amount Ths actual cash on hand now,
how ever, is only $500.