The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-04-18
Interesting Facts About the
Bankruptcy Proceedings.
CLERKS CREDITORS.
Kansas City Attorney Says Real
Ones Are Not Made Public.
Executive Board Takes Charge
of Uncle Sam Company.

Three clerks in the law office of
Karnes. New & Krauthoff. are the
creditors cited by Karnes. New &
krauthon in the application for in
voluntary bankruptcy against the
Uncle Sam Oil company, which was
filed by them yesterday afternoon at
Fort Scott in the United States dis
trict court.
Edwin Camack. Arthur Miller and
John M Davis. who are the creditors
mentioned, are in the employ of the
law firm bringing the suit E A.
krauthoff. member of the firm, SAID
today: Yes, they are clerks IN our
Office There are other creditors back
of this, however. who do not wish their
names mentioned. They hold some OF
the $4,000 worth of bonds which
were sold by the Uncle Sam Oil COM
pany. some of these bonds were
transferred to the three clerks be-
cause our clients did not wish to have
their identity made known The
amount of the bonds is $4,000.
do these creditors live in Mis-
souri, or Kansas -
Krauthoff.
You claim that the company is in
solvent?'
Our firm takes that position. Two
hundred of the employees of the com
pany have not been paid their wages
and the company owes them Tor back
salary. Parties down at Tulsa are
trying to get hold of the property down
there because claim is made that the
company has failed in some particular
to fulfill certain conditions. The mail
addressed to the company is being
held up by the United States.
The loophole which permitted the
filing of a petition for Involuntary ais
property of the company on April 10
TO r. n. Allen. T. NJ. Walker and J. NJ
Patterson as trustees. The transfer
IL e-sr7 r7.1v-ra TifaT7e
1t is claimed, however. that 1t was
transferred for the interests of the
creditors.
Wouldn't Give Names.
E. A. Krauthof said that he was
unprepared to give the amount of the4
excess liabilities. that his firm had not
had the opportunity to examine into
the accounts of the company.
The hearing Of the involuntary
bankruptcy petition and that of the
appointment of a receiver by H. l..
Thrill and certain other stockholders
was postponed from this morning at
10 O'Clock until o'clock this after
noon. A case preceded it on the
docket Judge S. H. Allen and w F.
Rightmire appearing for Thrill were
present this morning in the court
Judge Allen declared that he was pre-
pared to fight the bankruptcy proceed
ings Yes. sir. We are certainly
against any move of that kind. It is
not the interests of our clients We
want TO see the company continue ana
see it operated. We believe that the
court should appoint a receiver and |
manage the company to the interests
of the stockholders. If the bankruptcy |
petition should prevail it would mean |
winding up the company's affairs.
Il think that we will win. I don't be- |
neve that a petition will hold. The COM !
pany is solvent and all it needs is good |
management. The petition will take !
precedence in the court Judge Pollock |
the nRtitiOn and |
can then pass upon the appointment of |
a receiver and the bill of complaint or
H l. Thrill"
f. A. Krauthoff stated he thought |
Judge Pollock had no jurisdiction in |
the bill of complaint filed by Thrill. |
That Tucker having Incorporated his |
company in Arizona the action was be-
tween n party, citizen of Arizona, |
a territory. and a citizen of a state, |
Thrill living in Illinois. This he claims |
will give no standisg in the court for |
Thrills bill.as action can only be brought |
between residents of different states. |
and not territory and a state. Judge |
Allen says that he is prepared to meet |
this contention
H H. Tucker. secretary-manager of |
the Uncle Sam Oil company. believes
that the enemies of the company and |
the present mana cement have gotten |
together with the simple purpose of |
wrecking the company and getting what |
ever there is out of it.
the stockholders will ever be able to
realize like anything near their invest |
Ineuts is to continue the operation of /
the company. The real value of the |
conpany's assets is it's going value |
The refineries. the pipe line and the |
other property will begin to depreciate |
a 8 soon as the company quits operating |
A large part of it can only be wrecked |
and sold for wreckage. This, of course, |
won't bring very much-not compared |
with it's original cost. There are no |
large independent refineries within the |
state who stand prepared to take over |
these properties of the Uncle Sam Oil |
company. The leases and the land will |
probably be the only assets which won't
be diminished in value by the cessation |
of operation.
BY an Executive Board.
Kansas City, No, April 1S.-An ex-
ecutive board of three members will to-
day take charge Of the property OF the |
entire management pending the solution |
of the trouble in which the concern is |
involved. Harry H. Tucker, Jr., the in |
dfcted secretary-manager and the other |
officials will retire from active partici- |
patton in the company's affairs. This |
action was decided on last night by the |
directors and the trustees at meeting |
in the company's office in Kansas City. |
Kan. when r. N. Allen. president of |
the Chanute, Kan. State bank; T. NJ. |
Walker, president of the Atchison State |
bank and Judge ]. M. Patterson, of |
the Jackson county court, we're selected |
as members of the board. trust deed |
was made out turning over the three !
refineries various distributing stations, |
The stockholders will be asked at their |
yr7Aeffu1 next Monday to ratffy the ac-