Custer weekly chronicle. [volume] (Custer City, S.D.) 1890-1931, 1908-12-12
Westinghouse Rsceivership at Eud.

Pittsburg, Dec. 5.-The Receivers o
the Westinghouse Electric and Manufac
turing Company and the Securities In
vestment company were discharged il
the United States Court today by Judg'
James s. Young.
No accounts of the Receivers are re
quired to be filed by the order of the
court.
The Receivers for the Westinghouse
Electric and Manufacturing Company,
appointed by Judge Ewing October %
1907, were T. II. Given, B. s. A. Stew.
art and E. NJ. HerrN while the Fidelity
Title and Trust Company was appointed
Receiver for the Securities Investment
company the same day.
The petitions for the discharge of the
Receivers were presented to the court
by Attorney George Gordon. The petit
tion in the case of the Westinghouse
Electric and Manufacturing Company
was brought by the defendant company
and joined in by the plaintiffs in the
original equity suit, the readjustment
committee of creditors, the merchandise
creditors committee and the Receivers
themselves. The consent of the stock
holders, which had been given at a
meeting, also was attached to the petit
ton. The petition for the discharge of
the Securities Investment company Re-
ceiver was brought also by the defend
ant and joined in by the creditors COM
mittee.
The companies were represented by
Attorney Gordon as in sound financial
condition, the court being told that the
debts of the Westinghouse Electric and
Manufacturing Company had been ar
ranged for with the exception of unas-
senting creditors with claims to the
amount of about $70O,OO who will at
once be paid in cash. The company, he
stated, has cash on hand amounting to
about $4,000, 900. The cash of the Sc
curities Investment Company, now on
hand, is about $l7,0OO,OOO, with unas-
senting creditors representing only about
$4,000.
Attorney Gordon asked that no ac-
count be filed by the Receivers stating
that they had reported the condition of
the plant from time to time to the COM
pany, and that the making of an account
would interfere greatly with the COM
pany at this time. An inventory, he
stated would necessitate the closing
down of the works for several days.
The assent of the creditors and direc-
tors of the company to this provision
was made a part of the record, but
Judge Young dissented to number of
the arguments of the counsel relating to
it, stating that it was II question whether
all of the stock holders had agreed to the
provision after the action of their board
of directors. Judge Young intimated
that each stockholdsr would have a
right to question the action of the Re
ceivers.
1t was argued that while this was nee
essary in the case of concern being
wound up, the stockholders were bound
by the action of their directors.
Attorney Paul d. Cravath of New
York, for the Receivers, cited the re-
ceiverships of the Baltimore and Ohio
Railroad and the Third Avenue Railroad
Company, of New York, in which, he
stated, the consent of stockholders was
not obtained upon reorganization. Judge
Young agreed that the stockholders
were the only persons in this case who
would have right to demand an ac-
counting. Following addresses by At
torneys Larkin and Gale of New York,
who asked that the petitions be granted,
Judge Young discharged the Receivers
and ordered that no accounts of the Re-
ceivers were required.