Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1911-04-06
SUBSCRIBERS TO
DEFUNCT FIRMS
BONDS MUST PAY
Court Decides Delinquents Must
Make Good Their Promises
to Perfect Leather Co.
WILLIAM c. RlECk, EDITOR,
IS ONLY ONE EXEMPTED
$4,000 Subscription, Accredited
to Well known Newspaper
Man. Was Unauthorized.

Subscribers TO bonds Of the defunct
Perfect Leather Company. organized
in 1909, to levolutionize the leather
industry. VINO failed to mako god on
their subsc1 iptions are liable for them,
according to Viee-Chancellor Stevens's
decision in Chancery chambers today
In a suit brought against the delin-
4uents by the Federal Trust Company.
This subscriptions that were not paid
for amounted TO $4,000. 1t al he'd,
however. that a $1,000 subscription ac-
credited to William &. Rieck. well
known in neW~spapardon, having been
unauthorized, he shouid be relieved OF
liability.
The eonce m was organized by City
Clerk James f. Connolly, who van'ei
10 exploit sou,c of his inventions il
connection with the leather industry.
He hustled among the most prominent
men in business and official life to
back hin. lr.
wanted 10 Borrow S3os00G.
After the leather company had been
organized IL wanted to borrow S51,OJo,
and those interested went to the Fed
eral Trust Company. That company
refused to make a loan unless it had
a paper which would tend to show that
the leather people could sell their
bonds, The leather people we're told
that the trust company did not wan
to hold the bonds itself. but would act
lust as trustee.
ri ATr frn~1dIlxr than r-oy1t GffA with n
subscription list and got together
about $780, When that was brought
10 the trust people he was told that
more was wanted, and finally s6o,t0l
was drummed up. This appeared sat
isfactory to the trust company AMI the
loan was given, secured by mortgage.
Then the enterprise went peacefully
10 sleep. n a fire broke out in the
plant secured by the hackers at sum
lner and Seventh
Goes Out OF Existence.
The leather company went out of e1-
istence under an arrangement between
the creditors, one of the things learned
being that the concern was able TO col
lect only real estate insurance on the
tire, because of an error in having the
insurance papers drawn.
Then the Federal Trust Company,
hearing hat the property in hand was
sufficient TO meet the amount OF the
loan, wanted subscribers to Pay up a
balance of about $50, 900. The question
arose as to liability on the balance and
if there was any liability. how much
a to be paid on the over-subscription
of $40, 600, and whether the balance
ought TO be contributed by those who
did not pay?
Some of the subscribers have died
since the litigation began, and some
have become insolyent or are in bank
Louis Hood. former assistant prose-
cutor OF the pleas. represented Abra-
ham, Benjamin, Jacob and Leopold
Meyer and Colonel Potter, of East Or
ange, while Samuel and Abner kaliscn,
William H. Osborne. Arthur ". Egner
and Schuyler b. Jackson appeared for
other subscribers.
John F. Hardin represented the Fed
eral Trust Company.
List of su~bscribers.
The subscribers were; James f. Con.
nelly, $1,000; Elvin W. Crane. 81 600:
Z. B. Gaddis. $1,000; p. Sanford Ross,
$1,000; Franklin Murphy, $1,000: VIII
am c. Rick. 81, 900: Gottfried Kruger.
$1,000; NJ. I. Barrett, 81, 300: Lesser Leh-
mar. $1,000; J.. Fl. Bachelor, $1,000;
John r. Dryden, $4,000: Rudolph Hell
Ter. $1,000; David Young. $1,000; Henry
M. Doremus, $1,000; Schuyler B. Jack
ION, $1,000; H. A. Potter. $1,000; ]. C.
& j.. Becker, $1,000; Herman C. H.
Heroid, $1,000; John b. Wood, 1000;
Dudley Farrand, $1,000; William ].
Kearns, $1,000: Gustav C.. Pfeifer, 81, 900:
John j. Gaffney. $1,000; Adolph F.
aensler. $1,000; John f. Cahill, $1,000:
Jacob Meyer. $1,000; John II. & VIII
son c. Ely, $1,000; r. A. Finn, 81 900;
Albert T. Guenther, $1,000: Frank NJ.
McDermit, $1,000; William II. Howard.
81, 900; A. B.. Meyer, s1,000; s. Z.
Meagher, $1,000; Simon Scheuer. 81, 300;
Arthur Fl. Phillips, $1,000; Jean Il.
Tack, $1,000: +. Albert Hahn, $1,000;
IT. w. Mum. 1000; Edward Maher,
81. 06o; G. Stengel. $1,000; r. F. Schlegel,
s1,0oo; A. A. Kish. $1,000; A. r. Hol-
brook. 1000: Elias Beria, 81, goo; Her
8 2. l.. Boyer. $1,000; Walter E.
.Ammon. $1,000; William Person. 81, 900.
In his decision the vice-Chancellor
said that II was very plain that the
Federal Trust Company foreclosed FOR