Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1911-09-13
100000 IS ALL
THAT S236,95S.22
PROPERTY BRINGS
That Is Amount Turned Over
by Cornish and
Osborne.
COL. E. L. PRICE TELLS
OF LAW IN NATTER
Decision of Referee E. q. Adams
Is Awaited With
Interest.

While refraining from comment on
Senator Osborne's statement regarding
the size of the fee he had asked for
services in connection with the affairs
of the bankrupt American Vacuum
Cleaner Comp, Frank Benjamin,
who had protested against the fee and
that of the trustee, Senator Cornish, re-
sented the insinuation that his protest
had been inspired by politi 3.
In his statement, published in the
STAR, Senator Osborne said: 60
About the time that l announced my
candidacy for reelection / was informed
that an attack of this nature would
be made upon me-. And IF I were
not a candidate for public office would
not take the trouble to make this state
ment"
I have read Senator Osborne's state
ment in last evenings papers" said
Mr. Benjamin, land l am surprised
that he should state that the objections
made TO the applications for trustees
fe and attorneys fees in the matter
of the bankruptcy of the American
Vacuum Cleaner Company are con-
nected with politics
Mr.. benjamin called attention again
to the situation which is absorbing the
attention of the creditors of the bank
rupt company. According to the ruling
of the appraisers, James Close, presi-
dent of the New Jersey Tube Company;
j. Henry Bachelor president of the
Ironbound Trust Company, and Os-
car II. Wheeler. the property is worth
$685. 1922. The total amount realized
through the administration of the af-
fairs of the cleaner company by the
trustee, Senator Cornish, and his attor-
ney Senator Osborne, was 100000. The
creditors have received ID per cent. of
their claims. or 5000. There remains
to be distributed :. sum little in ex-
cess Of $4,000. OF this amount Senator
Osborne and Senator Cornish ask nearly
half. or $4,000 Referee e, G. Adams's
decision in the matter to be made to-
morrow is awaited with much interest
by the bar of Newark and the interest
ed creditors.
Colonel Price, commenting on the
case, said:
Il have read the story of the wind
ing up of the affairs of the cleaner
company as published in The Star
with much interest" remarked the
colonel, 'and concluded that ] was
very much in error after reading the
first statement which seemed to indi-
cate a demand on the part of the tru5-
tee for more than so per cent, until
/ found the story repeated and read
the published statement of Senator
Osborne this afternoon, which appears,
according to his judgment, to justify
not only his own claim, but that of
the trustee"
mot being familiar with the actual
facts in the case except so far as they
have been published, and in view or
the fact that the referee has not yet
filed his report, 1 am averse to dis
cussing the case at this time"
The colonel turned to the last sup
plement of the revised statutes of the
United States and under the heading of
bankruptcy Law" referred to the
following:
Trustees shall receive for their serv-
ices, payable after they are rendered,
a fee of So, deposited with the clerk
at the time the petition is fled in each
case, except when a fee is not required
from a voluntary bankrupt, and from
estates which they have administered
such commissions on all moneys dis
persed by them as mey be allowed by
the courts, not to exceed 6 per centum
on the first $500 or less, per centum
on moneys in excess of $500 and less
than 81 500, 2 per centum on moneys
In excess of 81 800 and less than $4,000
and 1 per centum on moneys in excess
of $4,000 And in case of the confirma-
tion of a composition after the trustee
has qualified the court may allow him
as compensation not to exceed one-half
of / per centum of the amount to be
paid the creditors on such compost
ton
This section is part of an act to
amend the bankruptcy act of 1898.
which was so amended as to prohibit
trustees from receiving any compen-
sation other than that allowed by the
act. The same act provides relative
to the fees of referees that the
referee shall receive as full compensa-
tion for their services, payable after
they are rendered, a fee of Sl5' de-
posted with the clerk at the time the
petition is filed in each case, except
when Il fee is not required from u
voluntary bankrupt, and twenty-five
cents 1of every proof OF cldlHl uleu loi
allowance, to be paid from the es-
tate, If any, as a part of the cost OF
administration. and from estates which
have been administered before them
per centum commissions on all
moneys to creditors by the trustees,
or one-half of per centum of the
amount to be paid to the creditors,
upon the confirmation of a compo-
sition"
As in the case of the trustees this
is simply to specifically designate the
fees that referees are entitled to and
in substance it increases the fees al
lowed prior to the original act of July
/. 1898. to which it is supplement.
AS in the case of trustees the amend
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