New-York tribune., 1907-12-01
KNICKERBOCKER DELAY.
ReceiCership Hearing Postponed
Trust Com pany Committee Plans.

Justice Clark of the Supreme Court. sitting in
Staten Island. adjourned for two weeks yesterday
the argument on the question OF making permanent
the receivership of the Knickerbocker Trust Com
pany The request was made by counsel for the
organization committee Of directors of the knicker
booker company. and was consented to by the At
toruey General. Before the motion comes up for a
hearing again. Il Is said the directors and the
various depositors' committees will try to
a plan for the rehabilitation of the company.
Henry p. Ide. OF the receivers OF the Kn!cker-
booker Trust Company. said yesterday that a list
or the Of the institution had been completed
and that the receivers would begin valuing them
next week. but that II would be couple OF weeks
before the work could be finished. as the list was
long The receivers announced yesterday that
they had appointed the following additional couu-
sell authorized by Justice Clark last week, to act
with George l.. Wickersham: Frederick 3. Van
Worst of Underwood. Van Worst & iIoyt. Of No .
Broad street. and Henry T. Scheuerman. of Hirsch,
scheuerman & Limburg. of No IS William street
Peter Doelger Jr. member of the Cntermyer
depositors committee. criticised the plan Yesterday
for the rehabilitation OF the company announced
Friday by the Sstterlee depositors committee. The
proposition pay 70 per cent of the deposits I'm
negotiable certificates having three to run
was particularly objected TO by Mr. DOelger.
Mr. Doelger said. however. that he had hopes
that the different committees would be able to
reach a compromise that would be just 10 the de
positors and added The only questions are as
when and how the 20 per cent shall be paid how
tho company meantime We ought TO be able to
tile all that very soon.
Herbert l.. Satterlee. the counsel of the depos-
iters committee. declined to comment Mr. Docl-
gers criticism. He said that this was time for
bckering but that. the contrary. all should get
together in an effort put the trust company on
it's feet and enable it 10 resume business. He
stated that the plan formulated by his committee
based figures furnished by the directors
showing condition OF the company. and that
under hc deuoSitOrS would In time receive
ment in fun and the company would reopen
solid foundation.
Referring to the plan advertised by the
mttee Mr. satterlee said that it had been sub
mtted to the counsel of three of the other
mttees on Friday afternoon. and they had prom
ised that their committees would consider 1t
Monday. No authorized expression of opinion
could. therefore be expected from the other COM
mittees until late Monday. In the of the
day of depositors have signifed their lin
tentlon of asserting to the plan on Monday. when
the Farmers Loan and Trust Company the Union
Trust Company and the United States Trust Com
pany acting Jointly depositary will have their
representatives the offices the knickerbocker
Trust Company, at No 35S Fifth avenue and No. 66
Broadway TO explain the plan and receive the
passbooks or certificates of deposit of the de-
positors and accept their assignments and powers
of attorney These assignments and passbooks
will be held by the three trust companies men,
toned The representatives of the depositary will
he i'm the main banking offices of the Knicker-
booker company outside of the counters at the
desks where depositors are accustomed to fill out
checks and deposit slips. This is by arrangement
with the receivers.
MANY favorable comments have been made on
tho plan in so far IL does involve any hold
ing company the Incorporation of a new trust
company and simply aims to permit the Knicker-
booker Trust Company to resume. relying on the
forbearancc of the depositors and the raising of
new money by the stockholders. All those con-
vnrsapt with the figures of the trust corrpanys as
sets and liabilities realize that practica BILE plan
could be devised to pay the depositors off any
faster even through a liquidation. which would de-
stroy the company's goodwill and prevent resump-
tion of business. Resumption by the company is
not only matter affecting the citys commercial
honor but 1t also ought to have important bear
ing in the future to the city in which Western
banks will keep their reserves.