The Brunswick news. [volume] (Brunswick, Ga.) 1906-2016, 1912-03-09
THEOGLETHORPE
LESSEES OFFER
4 PROPOSITION
STATE THAT THEY WILL PAY
INDEBTEDNESS IF GIVEN
SUFFICIENT TIME.
Meeting of the Creditors Was Held
Last Night and Judge speer viii Be
Requested Not to Further Hear Case
Until Company is Given a Chance.

Until Company is Given a Chance.
AT a meeting of the creditors of the
American Resort Hotel company, les
sees Of the OglethOrpe, held at the
hostelry last night, various matters
IN connection with the bankruptcy
proceedings now pending against the
concern were discussed, with the final
decision to give the company a linn
tied time in order to settle it's indebt-
edness.
A Communication, which is printed
below, was received few days ago
by the attorney for the company and
il was presented to the creditors last
night, and, upon motion, which was
carried, the concern was given from
sixty to ninety days in which to make
com position.
A committee, composed of w. ].
Butts, w. F. Parker and w. H. DeVoe
was named to take up the matter with
Baltimore parties the statement made
W VII. OLcA1Cy III Zig 1CICO-, anu ~
was also decided to request Judge
Speer of the United States court, to
postpone further hearing of the case
pending the negotiations now going
on between the creditors and the les
sees of the hotel.
1t is evident now that the case will
be cettled outside of the courts and
the creditors Will receive a large per
centage of the amount due them by
the hotel company. The letter from
the president If the company, read
at the meeting last night, was as fol-
lows: ALI II
r. D. Meader, Esq,
Brunswick, Ga.
Dear sir: / beg to inform you that
in ny Judgment the American Resort
Hotel company can meet all its obi
cations if given reasonable time.
] know of no act of bankruptcy haV-
ing been committed by the company,
but believe that the assets of the cor
poration will prove ample to meet
every obligation, provided the present
litigation is Immediately terminated,
and the company permitted to oper-
ate its property without hinderance.
The principal property of the COM
pany is located at Ocean City, Mary
land, and consist of two hotels, hav-
ing a capacity for 900 guests, an cleo
trio light plant, which supplies lights
to these hotels, as well as two other
hotels and business places, and about
9,000 building lots The hotel opera
ton has been established, and very
excellent business built up during the
summer seasons of 1910 and 1911, with
prospects of a most profitable bust
ness for the season of 1912, and ow-
ing to railroad improvements at the
resort which has been promised thru
the efforts of this company's office,
the lots will be more in demand with
the opening of the coming season. The
usual price of these lots is from $50
TO several hundred dollars each; $50
lots were recently sold by the COM
pany to the Pennsylvania railroad for
$4,000, the railroad agreeing 10 use
the lots for extension of its line
through TIE company's property. The
proceeds of this sale were used as
agreed, the improvements to the COM
pany's Atlantic hotel, and to reduce
its mortgage debt. The mortgage debt
amounts to $4,000. The company also
hmm outstanding $4,000 in gold notes.
&c circumference has been reduced
more than $4,000 during the last
twelve months, with strong proba-
biIity of another reduction of at least
$4,000 within six months, provided the
company operates it's Ocean City
property without molestation. Nego-
Nations are low pending for financing
the company for the settlement Of all
outstanding accounts. These negotla-
tions are progressing most favorably,
with every likelihood of favorable
termination within reasonable time. 1t
is likely. however, that this trans
action cannot be consummated in less
than sixty or ninety days, and it is
quite certain that if the present It'll
cation is prosecuted further, these
negotiations will be dropped. The
conditions of the present negotiations
are trat l shall give up very large
block of stock and gold notes of the
company, which 1 now own, to Mr..
Horace Crosby, of New Rochelle,
n v in consideration of which he is
to settle an outstanding obligation OF
Abe company (excepting the gold
notes and nortgages) and rs TO re-