The news-democrat. (Providence, R.I.) 1906-1909, 1907-05-09
R. |. INVESTORS
CAUGHT IN HAY
GRAIN CRASH

The bankruptcy OF A. p Aldrich &
Sons company OF East Braintree. Mass,
widely advertised hay and grain firm
hit hard many investors here. chiefly be-
cause OF the fact that the large dividends.
running as high as per cent month,
proved TO them a bait so alluring that
they could not turn the chance aside.
II is estimated that investments ayr
gregating about $4,000. are represented by
the claims OF people OF Providence and
various parts OF Rhode Island against tho
Bay state concern. Many OF the Invest
ors are women. and in some cases entire
households are hit by the bankruptcy
proceedings.
Several of the Rhode Island creditors
are included in the list tfhose who are
participants in the court proceedings nov
under way AT Boston. designed to put the
A. p. Aldrich e. Sons company and its
several subsidiary companies into bank
ruptcy.
William c. Liscomb, an investment
broker. at SIS Banigan building who Is
accredited by local investors i'm the con-
Germ with being the Aldrich company $
local agent. and Ensign r. Wixon and
the petitioners, while lawyers in Boston,
who have interested themselves in the af-
fairs OF the company. are understood TO
represent claims OF other local creditors,
whose names are not yet made public.
The door OF the office occupied by
Messrs Liscomb and Wixon was closed
and locked yesterday.
In pursuance OF the petitions OF the
above named and other creditors Judge
Dodge OF the United States district court,
Boston has appointed Frank o. White, a
Brookline lawyer receiver for the A. =.
Aldrich company and the Fowler Arling-
ton mills OF Arlington, Mass, and the
Amber Hobart company OF East Brain
| tree. two subsidiary companies. His bond
has been fixed at 5000 in the case OF each
company.
The concern seems TO have been partic-
ularly successful In securing investment ts
from women in this part OF the country
| one, who Is the owner of considerable
| property, a woman living on the East
| Side. declares that worry over the at
fairs Of the company since its dividends
! began to fail in January has literally
! turned her hair gray.
J She says she was led TO believe that
she could withdraw her money at any
! time. but was satisfied with the invest
ment as long as the dividends came II
| regularly They were extraordinarily
high, ranging all the way. she declares
from 2ls to per cent per month.
| The federal authorities have also beer
| interesting themselves In the case. corn
| plaint having been made to Chief Post
| office Inspector Lawrence Letherman. A:
| long as the concern continued TO pay div
idends. no action was taken by the aov
| ernment.
Immediately after the filing of bank
| ruptcy proceedings i'm Boston, Rogers
| Dow, a Hub attorney. who is one OF the
| Aldrich company's creditors. asked fo
the appointment OF a receiver. Harvey n
| Pratt, attorney for the three companies
involved was willing, he said. and Franl
| o. White was named.
The A. r. Aldrich e. Sons company wa
the original concern. and local INVESTOR
were told that It had been in operation
| for % years.
In the case OF each company the peti
tioning creditors aliege that the company
| is insolyent and aver. as an act OF bank
ruptcy,' that on May l each compan!
transferred a portion OF its property 4
the value OF $1,000 to s. o. Bennett o
Boston. with intent 10 prefer him to othe
! creditors.