New-York tribune., 1909-05-09
TO FORCE BANKRUPTCY
PETITION TOMORROW.
Third attack on Ne10 York and
Ne7c ENGLAND Under7CriterS.

The petition Of Charles E. Monroe as assignee Of
the Columbia Ribbon Company, Of Paterson, N J.,
to have trustee in bankruptcy appointed for the
New York and New England Underwriters at
Lloyds. of New York City. will come up for trial
tomorrow before Judge Holt in the United States
District Court. This proceeding VIII be the third of
similar character directed by William Otis Badger.
jr-, counsel against underwriting concerns. and.
in the other two. the object of the move is to
put end to the operations Of the New York and
New England Underwriters.
The petitioner holds judgment for N.159 10, OBJ
tanned in February. 1897. on an unpaid policy, but
which it been impossible collect There
other uncoIected Judgments against individual
derwriters and against the association
The New York and New England Underwriters
is an unincorporated concern. doing business under
a New York State charter. Their Offices have been
at No. s. William street where Richard ]. Dunphy,
attorney in fact president and treasurer, still does
business. The E a. Delano Company, of Chicago,
is another creditor The latter obtained judgments
against the association and underwriters for S1So
and costs in a suit for fire loss under Of the
underwriters policies. When Deputy Sheriff Burns
went to the office of the association March 10
with an execution for the judgment, the property
he found to levy consisted of a few desks and
chairs and typewriter The deputy sheriff took
official charge Of these, and nailed the office
door a notice to that effect Before the property
could he sold TO satisfy the Judgment, however, It
was discovered that there already a chatteI
mortgage 1t for $40. it had be relinqushed.
In the petition in bankruptcy the petitioner says
that Dunphy within the last four months. has
made preferential payments of incoming premiums
on policies. Dunphy's answer 10 the bankruptcy
petition says that the alleged bankrupt being
association chartered under the state laws, cannot
he adjudged involuntary bankrupt The answer
mentions dozen creditors. including John N Gold
ing, OF No. Pine street. and Parrish, Fisher &
Co. No 149 Broadway. The answer, however,
while bearing the acknowledgment of a notary pub
lie, does not contain the signature CT Richard J.
Dunphy, the deponent.
Apropos Of the claim that the New York and New
England Underwriters is solvent, there is
pending in tie Supreme Court action OF William
S. Phippin. assignee Of the Riggs Cypress Com
pauy. Of Patterson, La. against Dunphy. because
the underwriting concern failed TO pay fire claim
for the alleged reason that it was unable TO pay in
full
The Riggs Cypress Company has considerable
lumber property II sustained losses In fire, and
among its policies one in the New York and
New England Underwriters for 500 This loss was
adjusted S291 S. Ellison. Mcintyre Davis, law
yers, of this city, employed 10 collect that
amount, but met by offer from the under
writing TO pay 80 per cent OF the adjusted
loss on the alleged plea that the concern was
unable TO pay IN full. The claimant refused to ac
cept these terms and sued. Dunphy obtained an
order in the Supreme Court TO show cause why
the summons in the suit should not be vacated on
the ground that It was irregular and indefinite
The court reserved decision on this order.
Up to a time shortly after the Baltimore fire ths
attorneys managers Of the New York and New
England Underwriters were Bremen. F1ske & Ring
There also a different set OF underwriters
There were several claims against them for losses
incurred in the Baltimore fire. Among the thirty
four underwriters Robert II. Elder Assistant
District Attorney of Kings County; w. c. Tege
thoff, secretary Of +. Il Hartman. and Henry
Altenbrand president of the Manhattan Mailing
Company. These men. with few others, paid
their pro rata share Of the losses sustained Bre-
nler. F1ske & Ring and the underwriters resigned
in 1904 Dunphy and ten others succeeded them.
Many losses go unpaid, and there numerous
judgments against the underwriters Dunphy has
given notes TO secure certain judgments. but these
have gone protest unpaid
In reply 10 a suggestion the Attorney General
of the that he take action in regard
the New York and New England Underwriters
he said that he would let the bankruptcy proceed
ing serve the purpose OF those who bring H.