The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1908-12-29

| Hundley animated by such motives in
the selection of e. G. Chandler and J. o.
Thompson Against these gentlemen
| personally I have no harsh word TO
utter. have known Mr.. Chandler cor
daily and pleasantly for many years,
during which time he has been engaged
exclusively. SO far as I am informed,
in retail merchandising. Ny acquaint-
anee with Mr.. Thompson is very linz
tied. but. as far as I know. he is an
upright straightforward man. whose
business has been largely in the con-
duct Of farming operations.
The receivers of the Southern Steel
company were appointed by the Judge
with the idea that they would run the
property not merely with the inten-
ton of marshalling its assets. Had E.
G. Chandler been appointed as re-
ceiver of a dry goods or grocery bust
ness, I should have commended the ap-
pointment. Had J. o. Thompson been
appointed as receiver of farming OPP
Grafton, would have thought the ap-
pointment a good one. But the bust
a complex business, capable of being
handled properly only by a man ex-
perienced in that line of business.
Would the stockholders of the Southern
Steel company for one moment have
considered the selection of a merchant
or a planter as general manager of the
company, and should not the judge, in
erty, have displayed the same intellt-
gent regard for the interests of the es-
tate that would have been displayed
by the company's stockholders? It has
been urged that Mr.. Chambers COM
mercia1 experience qualified him to
handle the commissary stores of the
Southern Steel company. but that was
trivial incident in its vast business.
Mr.. Chandler and Mr.. Thompson were
warm personal friends of Judge Humid
ley. Judge Hundley had enjoyed the
benefit of Mr.. Thompson's powerful
Political backing, and Mr.. Thompson
was financially indebted to Judge
Hundley.
Is it possible to escape the conclusion
that in making these appointments Judge
Hundley was actuated not by the high de-
votion which he should have displayed to
this great estate in his power, but by
desire to reward his personal and political
friends? 1 believe I am correct when
say that Judge Hundleys appointment
of his personal and political friends as
| the receivers of the intricate manufaetur-
ing business which 1t was contemplated
| they were to run, shocked and surprised
/ the lawyers and business men through
| out his district One of the difficult ques-
tons which judges are frequently called
| to decide is as to whether or not the con-
! dition of a corporation requires the ap-
pointment of receivers for the conserya-
| ton of its estate and protection of its
| creditors 1t is but a short step from the
| appointment of ones personal and polit-
| zeal friends to receiverships 10 the crea-
ton of receiverships that ones personal
and political friends may receive sueh
desirable appointments. At the time these
! appointments were made, our whole COM
/ mercial world was suffering from finan-
| cial earthquake. Credit was para2yzed.
| The action of the New York banks in sus-
pending payment prevented the strongest
industrial corporations in Alabama from
| meeting their pay-rolls. Rumors flew
thick and fast involving the financial in
tegrity of large companies; and the con-
; duct of Judge Hundley in treating the
receiverships of the Southern Steel COM
pany as personal and political patron
age aroused the gravest apprehension in
financial circles.
I promptly wired Judge Hundley the
| situation in Birmingham and asked that
/ no receivers be appointed without no.
tice. Quickly thereafter Judge Hundley
gave out an interview through the press
TO the effect that receivers would not
be appointed without notice and good
ca use shown. This statement was re-
ceived with intense qualification by the
business people of Birmingham, and 1 at