New-York tribune., 1908-12-09
WANTS TO SEE KE[RAN
RECEIVER SEEKING HIN.
Company's Liabilities $500, ,o0o
More than assets, He Says.


Funding Comnanv. whose suspension has incon-
venienced SO many Roman Catholic conVehtS
schools colleges. churches and individual priests
snd nuns said yesterday that he would like TO
find some trace Of the sf0o.coo surplus which r j.
Kerau the co1npany's former head. says exists
From my present figures. said Mr. %llroE' lle
liabilities Of the company are something Ike 81
500. .0en more than the assets
Lieutenant Funston. in charge OF the detectlVe
bureau at Police headquarters received last night
from Police Chief McQuade OF Pittsburg request
that Keira be arrested Il found in this city as he
IS wanted there a charge Of grand larceny
Mr Gilroy would also like 10 have Nj keiran
this city and tell in court for the oeheht
of the company's creditors what he knows Of the
disposition made Of yhe assets Nj Gilroy says lie
can prove that certain books OF the company were
removed from The Offices just at the time Of the
recefvership although Mr. heiran maintains 'ld'
he never kept any books
william Nelson Cromwell. IT develops. has
been asked by certain prominent Catholic clergy
,7er 70 take hand in the companys AFFAIRS ana
t-y 10 rehabfIitate and reorganize the business
At the Offices o. Sullivan & Cromwell it was said
yesterday that Mr.. Cromwell had the matter un-
der consideration, but had come to no decision as
yet
M Keiran & is reported. has been visiting the
creditors Of the company since the suspension
End asking them sign sweeping power or al
torney in favor OF Mr. Cromwell. These powers or
attorney give the right, it is understood. not only
60 -ehabilitate the finances Of the Fidelity Fund-
ing Company. but also TO take over the afalrs OF
the Federal Construction Company and the Co
7u-7hsa Construction Company. two subsidiary con-
Germs in which Reiran largely Interested
Keiran's personal affairs are also 20 he overhauled
and Strengthened out. II is understood that sew
erzl Of the creditors have signed the powers OF at
fo-nev.
NJ cu-ov in-ir7sred Yesterday that there would
BE- some interesting disclosures when he fled his
suits against several local banks and trust com
ps1i.s charging them with accepting large bonuses
for making loans 70 the Fidelity Funding Company
II one case the receiver said that the company
rz5 naid bonus Of 5000 to obtain loan of
sl55oao-
pe would not make public the names Of the
banking institutions which he intends 10 sue nor
would he say whether there we're any national
banks in the list he is confident he will be apie
- recover close to $4,000 which has been paid out
IN bonuses
The receiver IS alse ANXIOUS discover the
whereabouts Of Mrs. Lorena " Davis. who was
rrivste secretary Keiran- Mrs Davis accord
ing 70 Mr. Gilrov had an active account with one
~ the hanks with which Keiran did large part
q his business Nj Gilroy has court order for
the examination Of Mrs. Davis, but she has not
been seen since the company suspended
H H Van Dusen. assistant secretary Of the
Fidelity Funding Company, and keirans TlghI
hand man. has also disappeared. as has i. =
F7ovce another Of Keran's confidential men
When asked whether he believed Keiran had
rrohted personally by his operations, Mr. t1liFoE
said;
There Is = discrepancy Of about s1.5ooooo as
shown on the books Of the company which re
ynsined in the Offices I believe that keiran vas
no fool but further ! DO not care 10 discuss that
matter.
In :nSlrine the lives Of those with whom he did
business Keiran secured commissions from the in
surance companies and these commissions and the
commissions which he expected 70 collect toI
twenty years he put down asset
..Keiran did not conine himself 70 Catholic IN
Etitutiols alone. There appears the books Of
The company the Information that the Fidelity
Funding Company did business with the Lorraine
Street and Denuison Land Company Of Cleveland
This company is among the creditors.
..Keiran also operated through account which
vas opened in one Of the local banks in the name
of ". B Arundel. who was employed by him in
clerical capacity This account was opened about
the same time tnar the in the name of Mrs.
Davis his stenographer was opened. Arundel was
seen here some weeks ago. but since that time
have been unable TO locate him.
PHILADELPHIA. Dee. S-Forrner Secretary Leslie
n. Shaw who IS president Of the First Mortgage
Guarantee ard Trust Company. Of this city. ad-
1nifted today that the Fidelity Funding Company
of New Tork owes him s5o, 900 Said Mr. Shaw:
NJ 81 loans are fully covered by bonds which
as safe as the bonds Of any government on earth.
znd uarEined with additional notes al nearly 100
Ter cent 7 think the Is with and
very likely all tire banks and insurance companies
An effort made year ago 10 Increase the
capital Of the company To something over two
million and some subscriptions made q
one Of the subscribers on condition that the full
amount should be raised. This ought have
been done. as the proposition all right. If
properly handled