New-York tribune., 1907-11-30
PLAN OF DEPOS[TORS.
Satterlce Scheme for Rehabilitation
Ot kmckerbocker Trust Com mann.

me hhickerbocker Trust Company depostors'
committee OF which Herbert L. SatterIee, son-in-
~" ol J. Plerpont Morgan, is counsel. made public
ast nlsht plan for the rehabilitation of the com
pany which it has been preparing for the last
three weeks. The plan provides that the stock
ho'oers snail contribute the OF s. 10000 the
1e@e"iS OF the company, for which they are TO
receive what Will be known as surplus certif-
Gates series b These certificates will bear in
teresr at the rate Of per cent yearly payable
se1h-annua!iy, but before the stockholders receive
any dividends on their certificates similar certif-
Gates to he issued TO depositors in payment of 80
per cent or their deposits. and designated Series
a, must be paid of. The interest both classes
OF certificates is TO ue cumulative and is 10 be
payable out of the net earnings Of the company.
me series Il certincates are TO he exchangeable
at the option OF the holder for stock at $500 share
1hey are TO be redeemed out OF the earnings
and so much OF the surplus as may exceed SOaGO.-
600. below which amount the surplus is not in any
event be reduced.
The balance of 20 pei cent due depositors is
be paid In negotiable certificates of deposit payable
10 per cent upon the day Of resumption and the
remainder in instal1nents. of per intervals
Of three months until the entire amount is paid.
Interest at the rate OF per cent a year ; to be
allowed on balances due these certificates. and
payments them may be anticipated if the
dition Of the company warrants it.
The plan provides, further. that the stock Of
the company shall be placed in q voting trust.
to continue until all the surplus certificates are
IdII OtA - u!dJctlly OF EIe NcJlnS huSleeS VIII
be repre- sentative Of the depostors who assent 10
this plan, and the board Of directors Of the COM
pany is TO be acceptable to at least two-thrds OF
the trustees. The plan provides also that all de-
posits preferred by law which due prior TO
the day of resumption, TO be paid in full.
The plan is 10 become operative as. IN
the opinion OF the committee. a sufficient number
of depositors have assented to It and the permls-
sion Of the Supreme Court TO resume business has
been obtained. The committee reserves the right
TO modify the plan at any time, and any depositor
has the right withdraw his assent provided
in the agreement already published between the
committee, the depositors and the three trust com
panes acting jointly as depository.
Mr.. Satteree said last night that there had
been a conference during the afternoon, at which
all the depositors' committees and the directors
committee took part At this meeting. he said.
submitted 10 the other committees for their ap-
proval and had been taken by them under ed
yisement.
Justice Clark, of the Supreme Court, handed
down a decision yesterday denying the applica-
ton made by Mr.. Untermyer. that the receivers
furnish his committee with a list of the depos-
itors of the Knickerbocker Trust Company-
Albany Nov Estate bonds deposited with
the state authorities TO secure state deposits with
the Knickerbocker Trust Company Of New York
and the Jenkins Trust Company were sold az auc-
ton this afternoon by Controller Glynn. These
companies in the hands Of receivers The
state repositories required 10 give bonds TO pro
tect the state against loss, and in most instances
guarantee bonds are furnished. In the case OF the
Knickerbocker company $4,000 IN New York state
canal bonds were offered security. These were
sold the state at &IoolS. 70 he applied 10 ihe
canal debt sinking fund The jenkins Trust company
had deposited state bonds TO the amount OF SlO0~O
These were also bid in by Controller Gynn for the
state 10 he applied 10 the highway Improvement
sinking fund.