The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-03-04
/ ROCKEFELLER'S MARGINS.
,~rpuEU or JOHN ID. SUES NEW
YORK BROKERAGE FIRMS.
s,ousnt Republic iron and steel Through
Denlson. Prior & Co.. and When Prior
committee suicide Ordered IL Sold
wants Sc, eral Hundred Thousand.

nonIson Prior & Co., ana Whcn PrlOr
Ion,nitted suicide Ordered II Sold
wants Sc, eral Hundred Thousand.
frank Rockefeller Of Cleveland, Ohio,
nanhow of John ID. Rockefeller, has a
s.,,, nending in the Supreme Court TO re-
suy soveral hundred thousand dollars
~ No., brokers OF this city. The defendants
'" r 7 Hudson h Co. OF 80 Wall street,
= Randolph. Ill Broadway, and T.. A..
tI,Intvre 4 Co.. Of II Broadway. Joined
"i,h them are Thomas Bushnell as receiver
" hanson. Prior & Co. Of Cleveland and
Srederick II. Gates, -,
George Stanley, Frank f. Taplln n
90 { Morris have also been joined as
sndefendants, on their allegation that they
80 an interest in the moneys which the
brokers hold and which Mr.. Rockefeller
claims. po..,o .
Marshall, Mr.. Rockefeller sets forth that
~ some years he has had dealings on the
Nav York Stock Exchange through Deni-
an Prior 4 Co. The three brokerage
srrs named as defendants acted, he say g,
a. correspondents here for the Cleveland
Avn and held the stocks and collateral
belon Ring to Mr.. Rockefeller.
In the closing months Of 1905 Mr.. Rookie
,olls- dealt extensively In Republic Iron
snd Steel and to secure his brokers he had
m denosit a large amount of the stock as
collateral. The bulk Of this stock was
held by the New York brokers, he says .
The Prior firm was shaky at the close OF
the year, and when Mr.. Prior committed
uIicide it was announced that the firm was
In.olvent and it went into bankruptcy.
THOMAS Bushnell was named as receiver.
As he bought stock Of the Republic Iron
and Steel Company. Rockefeller says
certificates had been issued in his name
and these we're held by the three New York
Arms, subject to their lien against him for
he rest Of the purchase price. He had
annie collateral on deposit also to secure
that lien, he says. =.
On January 10. as BOOT as he learned
~ the insolvency OF the Prior firm, he tele-
GRABBED to the Hudson. Mcintyre and
Randolph firms to close out all his deals aud
sell all the stock they held In his name.
This was done. he says, and the amounts
realized we're largely in excess OF what had
been advanced BY the brokers on the pur-
chase price. These amounts are what he
wants 10 recover from the brokers,
c.. !. Hudson 4 Co.. he says. hold now
S63, 600 in cash belonging 10 MIN as Ine re-
suit Of the sale Of his stocks and E.. q c.
Randolph hold Sll7, 900. How much the
Mcintyre firm owes him he does not know
exactly. but he says that it is a very large
amount, which can be ascertalned only
by inspection OF the FIRMS books.
These firms nave also collected, he says.
q large sum in dividends on. these stocks
since they were issued, which dividends
should be credited to him.
In addition to a discovery Of the books
Of each of the firms, he asks for an injunc-
tion TO restrain them from disposing Of his
funds, and that a receiver be appointed to
collect the amounts due him and that mean
Gates and one or two of the codefendants
are interested because of litigation which
they have against some Of the parties to
the litigation.