The Detroit times., 1908-08-12
Ask TO Have CURR|E
& CO. DECLARED
BANKRUPT
THREE GENERAL CREDITORS
FILE PETITIONS IN THE FEoER
Al COURT, FEARING PREFER
ENcE FOR MANY CLAIMS.

A move to drag the Cameron Cur
RE q Co. failure into the federal
court was finally made Monday eve.
ming, when Charles u. Hatch. OF
Graves. Hatch q Wasey. acting for a
number OF creditors, filed a petition
asking that the failed firm be de-
clared an involuntary bankrupt.
Louis II. Case. one OF the members
OF the firm. was served Monday night.
I and service was had by Deputy u. 3.
Marshal Cassius p. Taylor on Gamer
on Curric after l O'Clock Tuesday aft
ernoon. Taylor met Currie by appoint
ment at an attorneys Office and service
was voluntarily accepted.
Judge Knappen may be asked to
come over from Grand Rapids TO act
IN the matter In the absence OF Judge
Swan. When an application for re-
ceiver is made. the attorneys IN the
case will be consulted. There is a
strong feeling IN behalf OF the contin-
uation OF Fred G. Austin as receiver
1t this time and until an adjudication
u had or refused.
In case the court appoints any one
else. 1t is likely to be one OF the three
local trust companies.
The Times learns that the petition
ing creditors are Gustav Rosenthal,
Thomas Henderson and Charles
Becker. They are all general
creditors. and their reason for
desiring the firm thrown into bank
ruptcy is the fear that as result OF
the many claims for preference be-
ing made In the proceedings In the
state court. the interests OF the gen.
eral creditors might be jeopardized
1t is said that the petition is based
ON two grounds-insolvency and al
legged acts OF preference.
The petition recites as specific act
OF bankruptcy the appointment OF
receiver TO take charge OF the bust
ness of Cameron Currie & Co.
This proceeding does not imme-
dfately suspend the authority OF the
state court In fact. II may be some
time before the matter Is removed
TO the federal court. II at all. Re-
ceiver Fred G. Austin will proceed
with his work of cleaning up the az
fairs OF the old firm in the meantime
Cases Course Uncertain.
3 Robert Gray. attorney for Louis II.
CAGE, Junior partner In the firm OF
Cameron Currie & Co.. says II has
not been definitely decided whether
his client will contest the attempt to
force bankruptcy proceedings. Currie
and Case are entitled to have trial
before Judge and jury before any ad'
Indication In bankruptcy Is made.
A defense which may be set up
IS that the debit balances OF the nrm
exceed the liabilities and that there
IN q chance OF such collections being
made as to settle all proved claims
on a basis OF 100 per cent This
would depend upon the success OF the
receiver In suits against margin debt
ors.
cit seems unfortunate II the peti'
ton OF three small creditors can upset
the whole course Of the settlement al
time when everything Is proceed
ng speedily and satisfactorily to almost
ali the creditors" says Louis II. Case.
IT am doing all I can to help the
receiver and think that the best
course has been taken 80 far. What
my course will be with regard to the
bankruptcy proceedings, l cannot say
at this time"
What Bankruptcy Means.
II an adjudication Is had In bank.
ruptcy. It will mean that the transac-
tions Of the firm for four months past
will be subject to review. This pro-
vision of the law refers particularly
to. transfers OF valuable securities to
secure certain creditors claims. Such
transfers would be set aside II the
preference appears to be wrongly
taken and the general fund made SO
much larger thereby.
The retcrn DAY ON the bank
yuptcy papers Is Aug. 20, At which
time the temporary disposition Of the
onse Will be determined IN part by
tie action OF the creditoss before Ref.
erUe Davock.
One result OF the bankruptcy pro.
ceedirgs may be a. take the ia OF
the whole matter and lay pare the
secrets OF the firms transactions. l.
Aas been understood throughout that
influential persons were heavy traders
through tho firm and they have been
DDueected to certain extent by the
snuuression III names In the state
SQUIRT proceedings.
According to Harlow p. Davock. ref.
eres In bankruptcy, all proceedings In
bankruptcy are open and public 80
t8as lists OF creditors and debtors
wifl be made public when tho case
ms into that tribunal for hearing
1egtsculariy t. al adjudication Is or
dSred. THIS L. the one thing that has
been dreaded by many persons both
escrg Oriswoli-st. and elsewhere.
Il am going to go ahead with my
work" declares Receiver F. G. Austin
IsI shall do what there Is To do in
p1pding % the AFFAIRS OF Cameron
ECurrie 4 60. So Ear. have no Official
notice OK the proceedings In bank
|xuptcy. when the statement which
y being prepared OF the condition OF
ne INNS books Is ready. I will lay
a before the circuit court"
The large number Of claims already
nanced I'm the state circuit court gives
"a tfsa Of the interminabie legal tan
~ that may rise In the bankruptcy
Srocoedings. All the cases OF prefer
~nces claimed will have to be tried out
before q full settlement can be effect
81.
aome OF the returns of stock TO
creditors may be questioned and also
me sale OF certain securities by the
Old Detroit National bank
M