Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1913-09-15
RANGE COMPANY
IN BANKRUPTC
Black Diamond Firm, With Of
fices on Mulberry Street,
Declared InsoIvent.

Through a decision handed down
today by Federal Judge John Rell-
stab In the United States District
Court today. The Black Diamond
Range Company, of 1S0 Mulberry
street. was declared. bankrupt. An
order of reference was signed giving
Bankruptcy Referee William C. Spiel,
of Somerville, jurisdiction to review
the case.
| The adjudication was made on be-
half of a petition filed against the
stove company by Samuel l. kessler,
representing a number of local cred
itors of the company, after a volun-
tary application for the appointment
of a receiver on the ground of insol-
vency had been made to Vice-Chan-
cellor Backes in Trenton by the COM
pany's attorney, Ernest F. Keer
Attorney Kessler today prepared a
petition for an order permitting him
to examine the directors of the bank
rupt concern under section 21-A of
the bankruptcy act for the purpose
of locating alleged hidden assets.
The returnable date for the order
has not been set.
This application was made by At
torney Kessler after he learned that
Attorney Keer, representing the stove
company, and its president, otto j.
Karst, a .saloonkeeper, of Ferry street
and the Plank road, had appeared be-
fore Vice Chancellor Backes in Tren-
ton and asked for permission to
amend his original petition.
1t is claimed that Attorney Keer
wanted to have the appointment OF
Jacob Schurtz, of Railway, as re-
ceiver on the original petition plead
ing insolvency set aside and a new
appointment made for the purpose
of winding up the business. He based
his appliea tien on the fact, he said,
that he had made mistake In plac-
ing the company's liabilities at S4o,ooo'
when in reality they were $4,000 less.
/ Vice-Chance1lor Backes denied this
motion because there had already
been a petition in bankruptcy filed
against the company in the United
States District Court, and the original
petition will hold. No receiver on the
bankruptcy petition has yet been
named. and in the meantime Mr..
Schurtz will act.
The company claims to have assets
aggregating 100000. If this is a true
statement of their financial condition,
1t would seem, in view of Attorney
Keer's statement that the company is
in solvent condition. To assure him
SELF IndI tfleIG Is llU IlludcA dSSCtS. At
torney Kessler has applied for the
order to examine the officers of the
company under the special bank
ruptcy provision.
Among the local creditors are the
Broad and Market National Bank, the
Essex Press. Buob Brothers, printer,
of 22S Springfield avenue, with claims
exceeding $4,000
The range company was organized
in 1910 with a capital of $125000. Mr..
Karst on whose behalf the original
petition was filed in the Chancery
Court. claims that the company owes
him $1,000 for money advanced. The
company has its factory in Raritan
and has offices in this city and at
Somerville.
A block of eighty shares of the
stove stock figured in the bankruptcy
proceedings against Theodore r.
BeelSman who purchased the stock
from Alphonse Westee. paying .$s, 900
in cash and giving a note for $4,500
on the balance. Later Beekman re-
fused payment on the note, and, after
judgment for the amount was re-
ceived by Westee against him, went
into bankruptcy.