New-York tribune., 1911-03-16
RUINED BY SANE FOURTH
Directors Of Fireworks Concern
Petition for Dissolution.
SAY BUSINESS FELL OFF
Pain Manufacturing Company,
Largest in It's Line, Discloses
Bad Condition.

The Fain Manufacturing Company, one
of the largest makers Of pyrotechnics IN
,re United States. IL the victim Of the
sane Fourth of July movement. ma
iority Of it's directors filed petition IN
the Supreme Court Yesterday Tor tne
dissolution Of the corporation, which was
formed in April, 1900. and the papers
show that the concern is in bad way
financially and cannot continue.
For the last few years. and since the
movement which is commonly called the
sane Fourth Of July has spread over the
country" the petition says. "the volume
Of business done by the company has
been reduced so that AT the present mo-
ment the amount Of business " is en-
abled TO do is not sufficient 10 warrant
the company 10 continue in business
under the possible belief that dissolution
may be averted
The four directors constituting the
Majority Of the company making the ap-
plication add that the company cannot
meet It's obligations there being on hand
in good assets only $4,000 to pay In
debtedness amounting to Sl4'."". JUS
tice Guy was asked for an order direct
ing all persons interested in the move
for dissolution to show cause on May |"
why the dissolution should not take
place.
Henry J. Pain is president OF the com
pany. and owns 4Tj shares Of the o~'
shares outstanding. His son. James
Pain. holds FIVE shares. and the other
four directors five each. The president
has been in London for some time. and
the petitioning directors also complain
about his long absence. saying that his
presence here might have helped the
company. but that he has not conformed
with their frequent requests that ne
come back 10 New York.
When certain creditors pressed hard
for their claims the company borrowed
$4,000 from the American Exchange
National Bank. and since this loan was
made on a chattel mortgage as collateral
the company has had to put up addl-
tional security. An inventory showed
that the liabilities were S1p,0D. with
nomina, assets of S2S2 600. The real as
sets we're S3O.OOO but as part was
pledged with the American Exchange
National Bank tho only good assets not
already affected by loans were only $40
600. The Pain Pyrotechnic Company
owes the concern $l9o,69s. but this
obligation is regarded as valueless as
set Mr.. Pain holds notes OF the COM
pany amounting to S62.I63. and the rent
for the fireworks company's building. at
No. II Park Place. is past due FOR March.
with only SOB 9S to meet II. The lease
runs until May. 1912, but an effort VIII
be made TO induce the owner OF the
building 10 permit the lease 10 terminate
two months hence. The merchandise OF
the company amounts To S5O,343 and The
factory machinery is valued at $1,000.
The majority directors said that to
continue the business would only mean
an increase in the liabilities, without any
hope Of increasing the assets CORE
spondingly There are also many suits
pending against the concern growing ont
Of INJURIES received by persons from fire.
works displays with which the Pain
company was connected.
These claims amount 10 more than
100000 The principal part Of these
grew out of the explosion in Madison
Square in 1907 during the celebration
over the election Of William K. Hearst 10
Congress Several persons were killed
and injured. and the suits have been
pending since then. None Of these lti-
gants will now receive damages from the
pain Comp3ny.