The news-democrat. (Providence, R.I.) 1906-1909, 1907-07-20

The Home Realty company, on the ad-
vice OF Edwin c. Pierce. It's attorney, has
made an assignment to Ddwin o. Chase
Of the Burrows & Kenyon company, and
also OF the creditors committee.
The assignment was entered for
record this morning at the city hall
by Mr. Chase and Monday next the
creditors committee will meet the as
signee and discuss what step had best
be taken next.
Attorney f. ID. Pierce was asked this
morning whether he thought bank
ruptcy proceedings would follow. and
he indicated that there was little doubt
in his mind OF sue ha result. He said
that he had done everything in his
power to clear up the trouble and that
II now remained for the creditors
committee TO do it's duty I'm the prem
ises.
There was a disposition today on
the part OF the attorneys represent
ing the various creditors 10 give Mr..
Pierce the highest praise for the part
he has taken in the matter.
Chairman John s. Murdock OF the credit
ors' committee, says that this action is an
admission of insolvency and that immedi-
ately three OF the creditors having claims
aggregating at least $500, as by law re-
quired, will file a petition In the United
States district court asking that the
Home Realty company he declared bank
rupt
1t is felt that there will be no hesitation
on the part OF Judge Brown in granting
the petition, and when the necessary rec
ord is made the committee will set in
motion the legal machinery which will
open the books OF the allied corporations
and lay bare each and every transaction.
The assets of the insolvent company will
be traced through the various channels
they have been sent and none of the sub
xx-l.i .iDl. 4e l11lf<
resorted to will be of any avail in keep
ing from the creditors and the public gen
orally, the fullest information as to the
business methods which have been adopt
ed by Col. Isaac l.. Goff and those with
whom he has been associated in the
many corporations for which he and they
have obtained charters.
There is much. Mr.. Murdock says.
which needs to be probed. and deeply.
The public may, he declares, rest as
sured that the knife would be inserted
until the core OF the financial deal is
reached and the true condition OF the
affairs of Col. Gofr and his associates
Is determined.
The action OF the officers OF the Home
Realty company in assigning. has greatly
simptfied the work of the committee
PARTIAL EXAMINATION
The principal business considered by the
committee yesterday afternoon was the
A.
of Boston, vice president of the Central
Trust company and counsel for the Com
mercial corporation and the Rhode Island
agency, that each of those corporations
would permit an examination Of certain
items on its books, which Mr. Gray would
submit for the consideration OF the COM
mittee. These would pertain wholly to
transactions which had been had with
the Home Realty company, all others
to be eliminated If the committee
agreed TO this proposition, then there
would be no objections offered to open
ing the books 10 the extent indicated
for purposes OF verification through the
work of an expert accountant
Some members OF the committee thought
that too long a string was attached 30 the
proposition, and no action was taken
III the bankruptcy petition Is grant
ed the trustee, receiver or referee in
bankruptcy will have the authority TO
send for persons and papers in pursuit OF
the assets OF the Home Realty company.
ONE QUEER TRANSACTION.
One creditor of the Home Realty com
pany has given full explanation of the
business methods adopted by the manage
ment OF that company in dealing with
him. He asks that his name be with
held for the present. as IL will. he says,
be made sufficiently public through rec
ords which are 70 be made at the city
hall.
II have been preparing to get married, :"
he said. "and intended TO start house
keeping I'm my own home. / knew Just
what my intended wife wanted for
home. and drew my own plans for the
house
Last fall / went 10 the office OF the
Home Realty company. and purchased a
lot on the installment plan. This was TO
cost me $500, and I was 10 pay S25 per
month. This did for six or eight months
and then I contracted with the company
10 build me a house. which was TO cost
5000.
'"rhe lot upon which I had made pay
ments was then decided by the Home
Realty company 10 II. 1. Bosworth a
young man I'm the employ OF that corpor-
alton. who Immediately executed two
mortgages. one for s3i0o and the other for
500
"The first mortgage was to the Peoples
Trust company: the other was to the
Commercial Corporation. Bosworth then
decided the land and improvements 20 me.
subject TO the two mortgages. and the
Home Realty company executed the con-
tract for my house. IL was 10 cost me
S340o.
upon this contract was to pay $50
per month until the whole cost OF the
building was paid, the cost OF the lot was
wiped out and the interest accounts OF
the mortgages we're settled.
The interest accounts were 10 be first
taken care OF each month, and the bal
ance OF my payments were 10 go TO the
principal.
when the insolvency OF the Home
Realty company was announced 4 went