The Detroit times., 1908-08-15
CURRlE AND CAsEA
MAY CONFESS 3
BANKRUPTCY

(Coatinusa from Rage 0aeJ
petition total less than 81 1000. there
Is said To be large contingent OF
customers who welcome bankruptcy
proceedings but who do not feel that
support OF the bankruptcy petition at
II Is necessary TO come into court In
this time.
Bitterness characterized the hear-'lS
ing Friday afternoon before Referee y
In Bankruptcy NARROW p. Davock. In Il
regard to the appointment OF a feder- 10
al court receiver for Cameron 'Currie y
& Co., to such an extent that the pro-
ceedings at times could only be char.
acterized as disorderly.
Two attorneys appeared for the a
petitioning general creditors while
more than a dozen of the biggest men )"
at the Detroit bar appeared for the
receiver and the big creditors and ~
fought savagely against any interfer- II
ence with the state court proceedings J
At one time Referee Davock an-ivl
nounced his intention to appoint asd
receiver I'm bankruptcy but there was hf
such storm OF argument and dis u
approval from the legal lights present
that he withdrew this decision and 81
left the case open for further hearing IN
next Tuesday oi
In the meantime the counsel op-ss
posing the proceedings In bankruptcyid
will collect data 10 try to show that
irreparabe injury would be done the 81
interests of Cameron Currie & Co. "a
creditors by any change In the meth q.
I cd OF conducting the case. b.
Law on One side, Fact on other.
All the law was on one side OF the II
case, apparently, and all the facts on
the other. The disposition 10 retain
Fred c. Austin as receiver aud to
keep the matter out of the white .,
glare of the bankruptcy courts
searchlight methods as long as pos n
sible was evidenced by the bitter con- !
test put up.
Attorney c. II. Hatch appeared
first for the petitioning general cred 4
itors and read a petition alleging
that the estate was in danger OF los
ing money through rent OF expensive
Offices, litigation and other expense.
He declared that the bankruptcy
court is the one which must fnaiiy
dispose of the case and urged that +
that action be taken as quickly as
possible by the appointment OF the
Detroit Trust Co. as receiver.
+. w. Stevens, for Receiver Austin.
replied In an attack In which he chai' ~
lenged all the statements set up assa
facts in the petition and arraignei Il
Hatch severely as trying to force ac- ~
ton contrary TO the interests or the
oreditors. He contended. as did Attof-
news ]. o. Murfin and Harrison Geer,
who followed, that the appointment or az
another receiver now would meauSi
further delay. second audit OF tnegn
books and the probable expense of.o
thousands OF dollars in fighting the Z
case in the Boston courts instead OF In
Detroit.
| All the attorneys opposing the peu =
ton were agreed in believing that
Hayden. stone & Co. would quit fight
| ing the suit here over the assets "
the firm and take the contest 10 bos-
ton II Austin were replaced.
Orla B. Taylor went after Attorneys
Hatch and Graves as having made 4
gratuitous attack on Receiver Austin.
his attorneys and Judge Mandell. and I,
said that the petition for new re-
ceiver was the most inadvisable pro-
ceeding" he had ever known In
court of Justice. He declared that the
, petition was full OF insinuations or ~
misdctng. -
Graves Feelings Hurt. is
! Charles s. Graves replied To thfs:l
batch of attorneys who had opposed
the appointment of receiver oy
! throwing law az them in chunks. Hist
| feelings were hurt by the insinuationS
dropped by another attorney that hist
| firm had started bankruptcy proceed
ings only for the sake OF getting thot
fees given counsel for the petitioninx@
creditors and receiver.
Eyeryones feelings were injured byd
this time and the hearing had develop
ed into a clinic for wounded sensiDti-1
tiles. n
! John G. Spaulding tried to unravel4
things by nominating Fred G. Austin
as receiver, but this Hatch and Graves
would not consent TO, saying rhat nis>
duties as receiver uLder the state
court and the federal court would
conflict That he would be forced 10
recognize preferences under tneY
state laws which he could not under
federal statute
Murlin declared thar SO per cent OF
the creditors wanted Austin as ieceV-
or. and commended his actions, and3
Graves replied by asserting that many
| VINO appedTeu az CIeui'oiS hish' >e
out 10 be debtors.
After two hours of argument ana 1
denun notation, Referee Davock decided
that the law lay with the petitioning =
creditors even though they represent ,
but vestige OF the interests involved.
He said that he would appoint the De-
troit Trust Co as limited receiver.
with power TO conserve all the assets
except such as are involved In the
suit against Hayden. Stone Co. the
Boston and New York brokers through
whom Cameron Currie & Co. traded .
and with whom most OF the assets +
are pledged.
This brought Geer. Murfn and oth-
ers 10 their feet and volley OF argh-
ment followed. Davock finally with
drawing from his position and giving
| further time to file proofs.
I