New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-03-29
BANKERS CLOSE DOORS.
Company Claims 100000 Surplus
Assets an Real Estate.


As the result 1t is said OF the calling Of large
loans by banks and others. the Corbin Banking
Company. of No. 1872 Broadway. consisting OF
George S. Edgell and Austin Corbn. assigned yes
terday for the benefit Of creditors to George I.
Austin.
Late in the evening Mr.. Austin told a Tribune
reporter that conservative estimates placed the
firms assets at at least S2.7OOOO0 and prooapy
SoOOOOO to meet liabilities aggregating, ne said
between S1.7o0,OOO and Sl.SOOOOO. Mr. Austin added
that the creditors would undoubtedly receive fun
payment.
The Corbin Banking Company is a private hrIn
or bankers the principal assets. according TO the
assignee. being valuable real estate which couiu
not be sold, except at a sacrifice, in time to meet
maturing obligations
It was reported last night that several banks and
Foreign exchange houses had been hit by the as
signment. which, moreover caused a little uneasi-
ness IN Wall Street as the first failure of large
real estating' banking firm for some time. Inc
company. it is said. borrowed heavily abroad to
work out its development plans at Manhattan
Beach. Rockaway Park and elsewhere. On the
other hand. Mr. Austin ascribed yesterdays assign
ment in part TO the tightness OF money caused by
the recent Wall Street slump
FoloWing the assignment came an involuntary
petition in bankruptcy filed with the clerk OF the
United States District Court against Messrs Cor
bin and Edgell individually and as co-partners in
the banking company. The petitioners Isabelle
H. Knott, of Denver Alice Fl. Hill, of Los Angeles.
and Alexander J. Shamburg of this city.
In explaining the for this petition in bank
ruptcy. Mr.. Croker of De Fere. Crocker wckes.
counsel for the petitioners said that the very act
OF assignment constituted bankruptcy.
The petitioners may ask for a receiver.
Charles b. Hill represents the two women petit
uoners The petitioners allege that the banking
company owes more than $4,000. 1t is said that
there are from $50 to 300 deposors in the bank the
deposits aegregating between s25OOOO and 100000
one OF the heaviest creditors is the Title Guar
antee and Trust Company. Of BROOKLYN. The trust
company holds first mortgage for 81 100000 the
banking company's Manhattan Beach property and
another against the Rockaway property.
Frank Bailey. the vice president of the trust
company. said last night that its loans to the firm
were amply secured" He said that thus far the
trust company had advanced only s6OOOO0 the
100000 mortgage on the Manhattan Beach prop
erty- That mortgage. Mr.. Bailey said. covered also
the Manhattan Beach and Oriental hotels
The trust company he said, would not hesitate
II need be, to advance the other $4,000 for the
firms development project If the S25 acres Of land
were TO be cut up into city building lots for in
stance. and sold at $5Oo a lot ridculously low
figure. the returns would amount to s2,OO0O0O
MI Bailey minated that the 81 OO0 ono mortgage
on the property worth nearly 100000 in
Guiding two and one-half miles of valuable water
fronts The Rockaway mortgage loan represented
ne said. the remainder Of a $4,000 mortgage the
trust company had previously held this prop
eFty. and the loan was protected ten times over
Mr.. Austin said that the property AT Manhattan
Beach and Rockaway was worth fully SS0OaeO
but that, under existing conditions. It could not
be sold for Sl5OOOoo. The firm. he said had other
valuable real estate in the South and West. but
this could he sold because the present loans
and contracts involved
A in touch with the FIRMS affairs gave an
estimate OF the firms assets which was somewhat
larger than the other estimates. He figured The
assets follows:
Manhattan Beach property. 81 10000
Property in south and West ............... 10000
T. IS said that s4OoOO Is stnI due to Mr. Corbn
from his fathers estate and that this In addition
To his private fortune may be used n necessary IN
settlement with creditors. Mr Cracker said that
his firm represented creditors other than depositors
He said that II the firm showed disposition ~
meet It's obligations his clients would not push
matters 10 extreme"
Austin Corbin is the son ~ the late Austin Cor
bin. the protector Of the Long Island Railroad and
Mr.. Edgell is Mr.. Corbn SIS, son-in-law
II Is understood that the banking company owned
two or three Manhattan Beach companies. and that
about q year ago there default in interest
the bonds ~ OF them which resulted IN fore
closure proceedings. The property was sold
through friendly receivership and in this way
retors is te president Of The Rodkswa% PARK P I'M
movement Cornpany: vice president OF The Atlantic
Brass Company director ~ the Coal and Iron Ma
tionai Bank. vice president Of the Manhattan
Beach Company vice president ~ the Manhattan
Beach Hotel and Land Company. vice president Of
the Marine Railway treasurer and director in the
New England Mortgage Security Company. presi-
dent OF the Real Estate Mortgage Company, and
vice president Of the Sunnyside Company
George s. Edgell, according Ia the same book Is
a trustee Of the American Surety Company. pres-
dent of the Manhattan Beach Company. president
Of the Manhattan Beach Hotel and Land Com
pany, president Of the Marginal Railroad Com
pany, president OF the Marine Railway Company
director OF the New England Mortgage Security
Company treasurer and director Of the Real Estate
Mortgage Company, director OF the ROckaway Park
improvement Company and president Of the Sun