The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-05-27

OF Hayre. France, We succeeded in OBJ
tanning sufficient evidence to justify us
under advice of counsel and an or
der of the court to take steps to pre-
vent the shipment of this consign-
ment.
FINDING that a large part of this
cotton had been loaded on the ship
'Meltonian,' and that further effort was
being made to load the other, we en-
ployed counsel in Mobile and secured
an order restraining the shipping of
this cargo. subsequently this order
was amended so as to allow US to re-
move this cotton and store same after
paying for dead freight storage and
incidental expenses amounting to
sS,309S2.
subsequently Latham & Co, ap-
peared and gave sureties for the cot
ton in the sum of s325.000, which is
fully conditioned to protect the rights
of the estate.
1--WE also restrained the removal of
$3.50 bales from Pensacola, and 500
bales from New Orleans. Subsequent
claimants secured this shipment In the
sum of s9S,000.
1--WE have diligently endeavored to col
lect all evidence that bears upon the
interest of the estate and the trustees
to be appointed We have also sought to
cotton interests of the estate and believe
we will be able to turn over sufficient
evidence to fully enable the trustee to
prosecute the claims of the estate.
1--WE found that large amount of cot
ton had been shipped to foreign ports
and would be claimed on spurious bills.
1t was found that the following boats
carried the following amounts to the fol-
lowing destination:
"Kronberg. 400 bales, Genoa
"Sioania, 3S9 bales Genoa.
"Tompiccino 1000 bales. Havre.
alexandria, 1856 bales. Havre.
"Albuera, $3.50 bales. Brennan.
Asian, $500 bales, Brennan.
Ida. 1894 bales, Liverpool.
"On 32S bales of this cotton the estate
held genuine bills of lading, while on 200
bales no through bills of lading had been
issued.
I'VE secured the services by cable of
foreign solicitors and the claims of the
estate were taken up Immediately. we
have been assured that all measures
looking to the full protection OF the
estate have been taken.
THE receivers have genuine bills of
lading for 200 bales In possession of the
Southern railway, which is claimed by
Henry Hentz & Co. of New York. This
firm also claimed adversely 1900 bales,
the genuine bills for which were held by
banks In Selma, Demopolis and Marion,
Ala.
I'VE secured an injunction preventing
the sale or removal of the cotton thus
held. All parties thereafter submitted
themselves to the jurisdiction of the
northern district and have agreed to be
advised by the action of the courts.
&C. E. FROST,
wv. S. LOWELL,
Receivers"
PERCY. BENNERS & BURR,
Campbell & JOHNSON,
wv. o. SONDERS,
Attorneys for Receivers.
Direct Work From Birmingham
| Mr.. Benners introduced a resolution
| which requested the court to direct all
the work of the referee and trustee from
Birmingham The resolution was adopted
after a majority of creditors voted favor
ably A few small creditors objected to
this plan, Judge Callahan, who represents
the bankrupt firm, stating that he be-
lieved the proceedings thus far had been
planned with consummate ability and
were being generated with rare strategic
| foresight.
In addition to this resolution Mr. Burr
! introduced one addressed to the court
| praying that certain powers be given the
| trustee in handling imperative situations
| and employing special counsel. The reso-
| luton also empowers Mr.. Lowell to ex-
ecute bonds to the railroads who are
now holding cotton subject to instructions
| from the court.
Witnesses Are Called
After all preliminary matters had been
disposed of the examination of witnesses
was ordered by the court Upon call
of the witnesses, eleven in number, 1t
was found that every one was present
and answeredAto the call with the excep-
| ton of Mr.. Knight.
Mr.. Benners requested the return of the
| summons and it was stated that service
| had been gotten by leaving a copy of
| the summons at the home of Mr. Knight.
| Thereupon Mr.. Benners suggested that
| an attachment be issued for the missing
| witness This was held up by Referee
| Murphy, who said there was nome ques-
| ton in his mind as to the legality OF
such service Referee Murphy, however,
stated he would certify the circumstances
to the district Judge, who would very
probably notify Knight to appear and
show cause why he should not be fined
for contempt of court.
With this 1t was agreed to issue an
/ other summons for Mr.. Knight and a
| deputy marshal was sent with 1t to De-
| catur last night. 1t is expected that Mr.
/ Knight will appear this morning.
Judge Callahan resented suggestion
that Mr. Knight was seeking to evade
service. and assured his subsequent at
tendance. The presence of William Yam
cev of the firm and w. D. Nesbitt was re-
ferred to as indicating that the firm
wished to assist In every way in arriving
at a solution of the affairs of the com
pany.
At the afternoon session three wit
nesses were examined. They were al
railroad agents. Those who testified were
F. g. Morrow of Decatur, agent for the
I Southern Railway company; E. H. Pen
nick, agent for the Louisville and Nash
vile. at Decatur. and H. T. Drone, 20
Letting agent for the Louisville ant
Nashville at Selma.
Mr. Morrow was questioned by Attor
ney Oppenheim. representing New Yorl
creditors In his testimony, which val
1,rinF Mr. Morrouw aafd that he Jfd