The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1908-07-18
CAMERON CURR|--
& CO. IN HANDS
OF RECEIVER


And all OF these gentlemen. except
Fred NJ Alger and Mr. Joy are on
the receivers bond, which is for $780,.
600.
Mr.. Swift. In statement to The
Times. gave the following explanation
Of the failure:
Recently Mr.. Currie and his part.
ner, Mr.. Case, discussed the advis-
ability OF enlarging the concern and
getting In more capital. and with such
an end In view. ordered an audit OF
their books by an expert broker. The
audit disclosed that a great many mar
ginal accounts due the firm were
practically worthless on their face,
and these accounts ran into such
large sums that the discovery stagger-
ed the firm.
Friends Advise Reeelvership.
immediately on learning that the
firms affairs were In such state.
Mr.. Currie left for Boston to consult
eastern interests. On his return to
Detroit. Wednesday. he at once called
his friends into consultation with the
result that the application for re-
ceiver was filed early Saturday morn
Ing. While the bill names Mr.. Case
as defendant, that Is largely a formal
ity. Mr.. Case consenting To the plan.
"The firms books show, on their
face, that the assets exceed the liza
bllities by about 100000 Included
ini the assets. however. are the
accounts against clients for overdue
margins. previously mentioned, which
aggregate s1.045,0o0 What proper
ton OF the accounts Is collectable re-
mains to be seen. II so per cent OF
them are good. Mr.. Currie is solvent.
II only 40 per cent OF them can be
collected. he will owe 100000. If
the percentage OF good accounts Is
still less, he will owe more In pro-
portion.
Banks Not Affected.
1.-The banks OF the city will not be
affected by the failure. We under
stand that they are all amply secured"
Both Mr.. Currie and his partner,
Mr. Case, feel the blow keenly. Both
will be heavy losers as a result Of the
failure. They will be fortunate II
they save any OF their property from
Che wreck, their friends say.
The business OF Cameron Currie &
co. was conducted as a general part
hership between Mr.. Currie and Mr..
Ease, with Mr.. Carpenter as special
partner. They were members OF the
New York Stock exchange. the Boston
Stock exchange, the Chicago Stock
exchange and the Chicago Board OF
Trade They also did banking bust
less.
The persons most affected by the
allure, aside from the members OF
he Arm itself, will be persons who
lad credits on the firms books for
Profits or for marginal deposits.
II am not In a position to give out
igures as to the assets and liabilities"
said Receiver F. G. Austin, shortly
before noon. The books are being
gone over now and statement Will
be made as soon as possible"
1.-THE collateral deposited with this
Bank by Cameron Currie & Co. exceeds
The amount OF money loaned by so per
sent" declared H. c. Potter OF the
Peoples state Savings bank. Il un!
derstand that the other banks are
similarly situated. The excess will go
10 assist In paying of the other claims
sold,
All the other banks with which
Cameron Currie 4 Co. did business
report the same state OF af1airs.
Firm Carried Customers.
The failure is due to the elastic
credit extended by the firm to Its Gus
toners. Most of these had dealt
through Cameron Currie & Co. for
long time and, when the turn in the
stock market wiped out the margins
they had put up, the firm did not close
out the accounts, but carried them
along on the books. Spectators lost
first through the slump In stocks and
products dealt In on the exchanges
last October. Later, many OF the
firms customers sold short, AMI lost
again when the market went up.
While a great many persons bought
stocks outright through the Arm, more
bought on margins. putting up only
EN- per cent of the value OF the stock
or the debts OF the firm. about half
are to bankers and trust companies
while the remainder Is to customers
Who had margins or profits with the
irm.
In closing out the business, the re-
.eiver will attempt TO collect as much
As possible of the money due from
ielinaucnt customers. He will also
,ell the firms seats on the various
stock exchanges and will dispose OF
he stocks owned by Cameron Currie
personally in a number OF companies.
One Of these is the Copper Range
Consolidated, In which Mr.. Currie had
made considerable money
Cameron Currie was formerly con-
aected with the street railway COM
oany. but withdrew In 1892 to organ
re the brokerage Arm. His partners
we're Fred 8. Osborne and Clarence
Carpenter. Osborne withdrew In 1901
and Louis Fl. Case took his place. The
arm become the leading one In the