The Detroit times., 1908-07-22
CREDITORS TO GET
STATEMENT OF
CURRIE ASSETS


I'D
criminal proceedings In the creditors
meeting. the committee members feel
ing that II Is necessary. first OF all.
to get an insight into the condition
and methods OF the firm before pro-
ceeding to any further action. II 1t
appears that the creditors will get
what Is coming to them. there Is small
likelihood Of any action other than
the present receivership.
To Determine Status Of Creditors.
legal struggle Is possible to de-
termtne the status OF the various
classes Of creditors Of the Arm. There
were depositors who left money or
stocks with the firm without having
a speculative account, although there
are few Of these; there are the GUS
toners who bought stocks outright
and paid for them, and the third-class
consists Of the margin traders who
have balances due on their transac-
lions.
The depositors will claim and prob.
ably secure preference In the receiv-
er's fund when the business IL closed
out. The customers who bought out
right will also claim preference.
There are various opinions held on
this matter. John j. Jackson. one OF
the members Of the creditors com
mittee. has given much attention to
this phase Of the case.
"A recent decision in the federal
courts bears directly upon the situa-
ton OF many customers OF Cameron
Currie & Co.," says Mr.. Jackson. In
this case man had an account with a
broker and a balance standing to his
credit. He had bought stock and paid
for 1t. but left 1t as collateral with
the broker to secure his account. al
though he was not indebted to the
broker. The court held that the GUS
toner had lien on the fund for the
full value Of his stock.
In transactions where the stock Is
paid for outright. the broker Is not
the owner OF such stock while II Is In
his possession, but acts as bailee."
Receiver Issues Statement.
Receiver Austin issued the follow.
ing statement Wednesday morning:
Since my appointment as receiver
Saturday l have been doing all In my
power to acquaint myself with the &C
tual situation in order to determine
what the interests OF the creditors re-
ouire. Many creditors have come to me
for information regarding their par
ticular affairs. and l have already re-
ceived large number Of letters which
have scarcely had time to examine.
All | can say now Is that I intend
to do all In my power to get the best
possible results for all creditors, and
shall take no important step with
out the express approval of Judge
Mandell after a full presentation Of
the facts; and. Of course. there will
be no distribution Of money and no
delivery OF securities by me until all
questions OF preference have been de-
cided by Judge Mandell Macpherson
& Co., expert accountants, are now en-,
gagged In an examination Of the books
and the preparation OF schedule OF
assets and liabilities which will be
filed in court as soon as II is ready"
First Case in Court.
One Of the vital points in regard
TO the rights Of customers OF the Arm
OF Cameron Currie 4 Co. was brought
up In the Wayne circuit court We'd
nesday morning when an application
was made for an order to compel the
receiver TO turn over to the Rev.
Clarence Bull so shares OF Copper
Range stock.
The petition sets up that the stock
was deposited with the broker June
"a as security for a possible loan. Mr..
Buhl was going away on his vacation
at that time and believed that he
might possibly wish TO draw some
money while away SO that ne left the
stock to cover such a draft. AS no
draft was made, he claims that the
stock is still his without any posi-
bility Of doubt.
Judge Mandell refused to grant such
an order until the creditor had an
opportunity to come into court.
One fact which has caused some OF
this attorneys interested to talk Of
bankruptcy proceedings is the fact
that no order OF the state courts
would prevent the Boston and New
York houses which handled Cameron
Currie & Co.'S business from selling
the stocks deposited with them. The
prndffnva I'm onnifla N fhaca