New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-06-11
MILLIKEN BROS. FAIL.
SAID TO OWE MILLIONS.
Entry Into Steel Manufacture Said
TO Be Cause.

a receiver for Miiliken Brothers incorporated
one OF the largest steel manufacturing and con-
struction concerns in the world Will be ap-
pointed by Judge Holt OF the United States Dis
trict Court. in a day two. This action
determined on after a long conference in the
Judges rooms AZ the Bar Association last night
at which were present William Nelson Crom-
well representing the corporation and Dwight
Mcdonald. Of Mcdonald & Bostwick. attorneys
for four creditors who filed involuntary petit
ton IN bankruptcy against the corporation late
yesterday afternoon.
Understanding the cost of completing It's
gigantic steel plant at Mariners Harbor. Staten
Island. and the exhaustion OF the working capt.
tai of the company in building the plant are given
by Mr. Cromwell as the reason why those inter-
ested In the reorganization OF the corporation
willing to have the court take charge Of it's
affairs until they can be put a sound basis
According to Mr.. Cromwell. the liabilities are
about S65O0OOO of which S3O0O0OO is repre-
sented by first mortgage bonds The assets in
clude the plant which, with the real estate and
machinery is valued at S7.Jo0OOO and mer-
chandise and supplies, said 10 be worth about
$3.50 900. Three quarters OF a million dollars
is also invested in construction work under
outstanding contracts.
Up to 1905 the company had carried on a very
profitable business In the construction Of build
ings and the erection OF bridges. In that year
II began the erection Of the extensive plant at
Mariners Harbor for the manufacture OF open
hearth steel and rolling tho steel into shapes
needed in the corporations structural work. The
funds for this enterprise were I'm part supplied
by some of tho principal stockholders among
whom are the banking firms of William Solomon
& Co and Jules s. Bache & Co.
There were many rumors yesterday around
the United States District Court that the cor
poration would itself apply for n receiver. in
order that it's affairs might be placed on a sound
working basis. Mr.. Cromwell declined TO dis
cuss the matter. Shortly before the closing Of
the clerks office an involuntary petition against
the corporation filed by Mr.. Mcdonald, rep
resenting these four creditors
! The petitioning creditors are the Niles Be-
ment Pond Company. tools, with claim of
! 81 ,628, and an additional claim of $4,000 a
note not due until June "a; Snyder & Black.
with a claim Of S4O3; John A. Roeblings Sons
| Company, with claim of $3.50 and Robert w.
Hunt & CO.. with claim OF $23.
1t was also stated in the petition that Milllken
Brothers QncOrporated) has within the last few
days admitted its insolvency to creditors IN writ
ing and expressed. In addition, willingness to
have It's affairs Strengthened out in the federal
courts
Foster Miliken, president Of the company. in
.
and j. s. Bache & Co.. dated March u. 1906,
said that the firm established in 1857 by
Samuel Milliken. 1r. and January TO- 1906.
turned into a corporate organization under the
/ laws Of the State of New York. The stock con-
! sisted Of $55OOOO0 dn 500 shares all outstand-
! ing and fully paid)-preferred G per cent. cumu-
! Iative) $3,OOO,OOO, and 50. 100000 common. At
! this time the company purposed to market its
/ first mortgage. per cent ffteen-year sinking
/ fund gold bonds to the amount of $3.OO0OOO
! Tho business at that time and since covered
! structural steel work throughout the entire
world II not confined TO the furnishing of
/ steel construction for buildings and bridges but
also did a general construction business. putting
! up the entire building Offices main
tanned in London, Antwerp, Johannesburg, Cape
! Town. Havana, Mexico City. San Francisco.
! Portland Ore, and Honolulu.
Millilen Brothers supplied the structural steel
/ for the New York Chamber of Commerce, the
! Chemical Bank, tho Tiffany Building. Sixty
! Wall Street. the Commercial Gable Building.
! the Dun Building. the Hippodrome and the
: Siegel-Cooper Company Building
II Among the firms other contracts was that 0f
Continued o third page.
! 1=,nENOc CAIITERME AND MOGEIiE