New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-06-12
MILLIKEN RECEIVERS.
THREE MEN NAMED.
Business Of Steel Manufacturers To
BE ReOrgQni1ed.

Congressman J. Van Vechten Olcott. William
L. Ward, Of Port Chester and August Heck
scher We're appointed receivers Of the firm OF
Miniken Brothers, Inc. steel manufacturers
and contractors by Judge Holt Of the United
States District Court. yesterday They qualified
with joint bond Of 100000 and Immediately
took charge Of the business. While IT Is stipu-
lated by the court that the receivership Is for
thirty days only there is little doubt that II Will
be extended.
After a protracted meeting OF the receivers,
the directors OF Mlllilken Brothers and the coun-
sci yesterday, William Nelson Cromwell of Sulii-
van & Cromwell, who appointed counsel
for the receivers said there was little to add to
what had already been told The receivers
have taken possession of all the property all
over the world" he said. and the business.
, which is most profitable. will be continued with
out interruption. OF course. there viii be a re-
organization, but that has not been discussed
much The leading interests expect me to per-
feet the reorganization"
Henry Wollman representing the bondhoIders
and Andrew Shiand made assistant coun-
sci to the receivers.
1t was made known yesterday that the in
voluntary petition in bankruptcy which was OBJ
tanned by the Niles Bement- Pond Company ard
three other small creditors was in the nature OF
| a friendly proceeding. A corporation cannot
file a petition in voluntary bankruptcy. and be
fore the creditors acted there was an under
standing. ii IS said, that such a Proceeding
would be for the best interests Of the company
For some months the company had been in diff
culties Three weeks ago, when il became an
parent that the trouble was serious. Mr. Crom-
well retained as counsel. He has had wide
experience in reorganization work
Dwight Mcdonald. Of Mcdonald 6 Bostvyic
counsel for the creditors. said night that he
was entirely satisfied with the receivers an
pointed, and believed they would conserve thz
best interests of ali concerned.
Ebert II. Gary, chairman of the board If di
rectors OF the United States Steel CORPORATION
said his corporation was not creditor Of Arirt
ken Brothers for more than a few hundred dol
lars. He would not discuss a rumor that the
Steel Trust might take advantage of the troubIes
of the Millikens to buy up their fine manufact
uring plant at Mariners Harbor. Staten Island
which is the only large steel plant at tide
water. Judge Gary said he could not see how
the failure could have a bad effect on tba steaI
industry in general
William ]. Wollman. Of ]. S. Bache & Co. the
bankers, who with William Solomon & Co were
the managers OF the underwriting syndicate that
took up the S3,oOO,0OO bond issue of Milliken
Brothers, said yesterday
The whole trouble was that the firm tried ~
do too much with too little money. Their bond
issue should have been $5OO0OpO instead of
$3OO000O. They expected the $3O1OOED wouId
cover the cost Of their Staten Island plant but
they had to take 81 100000 more out of their
working capital. There will be a reorganization
of the firm with capital enough 10 handle its
| large and growing business. The bondholders
could not ask for any better security"
Mr.. Wollman said the syndicate had sold So
per cent OF the bonds which he considered d
good record, IN view of the present condition Of
the market Fifty per cent of the money ad-
vanced by the underwriters was returned some
time ago, and the additional per cent was sent
out yesterday.
Mr.. Cromwell denied report that H S. Man
ming, vice president of Millken Brothers had
personally Endorsed notes of the concern for
large amounts.
mechanics lien for 1894 was fled yesterday