The Detroit times., 1908-07-27
CURR|E co. ASSETS
SHRINK CLOSE To
VANISHING POINT f..
LITTLE CHANCE TO COLLECT
FROM MARGIN TRADERS IN
DEBTED TO FIRM-coURT CON.
TlNUEs INJUNCTION.

| Judge Mandell decided Saturday
morning to continue for one week the
injunction restraining Hayden, Stone
q Co, or Boston. from selling the
stocks held by them as security for
Camera Currie & Co.'S loans.
Elliott c. Stevenson, who appeared
informally for the defendant broker
age firm, declared that these stocks
have decreased in value through mar
ket iurfies, and intimated that the
| firm will use It's own judgment about
selling should the market continue to
fall. II developed that Stevenson s
clients are not appearing in such a
way in court as to admit that they
recognize the validity OF the injunc-
ton
I'VE are Indifferent" said Steven
son.
This attitude caused some or the
attorneys to get together and talk
about bankruptcy proceedings.
One peculiar transaction which was
uncovered In petition presented by
S. B. Douglas, has to do with the dis
position OF block of Mohawk Copper
stock which was left with Cameron
Currie & Co. by the Rev. Clarence A.
Buell. as security for any loan he
might desire TO make. No loan was
ever made. but the fact was brought
out In court that Cameron Currie &
Co had. nevertheless, pledged the
stock as part OF the security for a
$4,000 loan made from the Wayne
County Savings bank.
The stocks put up for this loan are
worth $4,000, and Attorney Douglas
asked that these be sold up to an
amount sufficient to wipe out the In
debtedness and permit Of the return
OF the Rev. Mr.. Buell's stock. Judge
Mandell was disposed to accede to
this request but there was chorus OF
objections.
Il protest against such precipitate
action" said Attorney E. A. Barnes.
Many people do not know where
their stock is held. No sale should be
ordered until all the securities are
traced. What If 1t turns out that
some other stocks are wrongfully
pledged? The court should not order
done what may turn out afterward t.
be a conversion"
The list of stocks held by the
Wayne county bank was then read,
Judge Mandell specifying that the
names OF the owners must not be
read.
Pound Talks Of Stealing.
James II. Pound took part In the
debate which followed by declaring
that all stocks held by banks and
other creditors should be listed before
any sales are had, so that persons who
had bought or deposited securities
may discover where their property Is
held.
Either there are lot or these
stocks, that people are interested In,
held somewhere, or else good deal
of stealing has been DONE" declared
Pound.
After hearing statements from
counsel on a number of intervening
petitions. Judge Mandell took up the
main issue, the suit brought by the
receiver against Hayden, Stone q Co.
Elliott G.. Stevenson declared that
the defendants do not recognize that
there is any ground for granting or
holding an Injunction. He added that
although the surplus of securities over
liabilities on the stocks held by Hay
den, Stone a. Co. had been decreased
by fluctuations in the stock market,
but that the latter firms position vas
one of indifference unless the value OF
securities shrunk so as TO put their
equity in danger.
I'VE have heard a lot OF loose talk
about bankruptcy proceedings and
their wiping out transactions for four
months back" he asserted. There Is
no court where people who claim
stocks are SO safe as the bankruptcy
court. There is no alarm on our part
at the mention OF bankruptcy pro-
ceedings."
After considerable more argument,
Judge Mandell announced that he
would continue the injunction for a
week.
Judge Mandell made order author
izing the return TO Ulous A. Johnson
and John A. Mcdonald of stock pur-
chased by them and found In the pos
session of the receiver.
Slight Chances of Collection.
The investigation has shown that
little may be realized from the debtors
OF Cameron Currie Co., who traded
on margins. 1t developes that the
firm had carried many accounts away
below the margins, thus taking the re-
sponsibility for any losses that oc-
Cured after the margin was exhaust
ed Suit can not be maintained
against these persons, as the firm had
the right at any time to close out
their deals when the margin was ex-
hausted. and thus end the account.
This discovery makes great shrink
age in the apparent value of the ac-
counts. Some of these people may
/ feel that there Is debt of honor due
from them but they will not have 10
pay II unless they desire. while others
will feel less disposed to pay their
book shortage since the firm Is in
solvent anyway.
| A great many new petitions have
been filed by persons who want their
stock back. These vary little In the
details. One, however. that of Mabel
Colpean. hints at crooked dealing. ~
Is understood that this claimant has
demanded her stock from the partners
OF the insolvent firm. and threatened
criminal proceedings IL IL Is not forth
coming.
Woman Makes Threats.
She tells the court that June IL she
\ bought 90 shares OF Greene-Cananea
stock for $500. paying over the money
and alleges that II the stock is not In
the hands of Hayden. Stone & Co, 81
has been embezzled and appropriated
to the use OF some parties In the
! tra~ saction."
Other petitioners are as follows: