The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-12-31
Suit Against Corpora
tion Is Instituted by
Holding Company.
NONE OF CONCERNS
NOW is SOLVEN T
Action Taken to Conserve Good
Will, to Rehabilitate and Reor-
ganize Business-Assets and
Liabilities Not Stated-Firms
With Similar Names
State Position.

New York. December 3o.-Two great
department stores in New York and one
in Boston: an express company, a
wholesale house and n private banking
house run in connection with the de-
partment stores, all allied with ANA
controlled by the Siegel Stores Cor
poration. were placed in the hands Of
receivers to-day through n suit insti-
tuted by the holding company in the
Federal Court. Henry Siesel. OF this
city is directing head and president
OF the stores corporation.
None OF the concerns. according to
statements OF counsel. is solvent. and
the action was taken 10 conserve their
good will, to rehahilitate and reor-
ganize them. The assets and liabili
ties were not stated. Curtailment Of
bank credit made receivership impera-
tive Gross earnings heretofore have
been estimated at s4O,000,000 annually.
Two firms. the similarity Of whose
corporate name In one case and stock
ownership by the Siegel stores Cor
poration in the other might result in
the inference that they were involved
in the failure, were quick to Issue
statements explaining their position
The Greenhut- -Siegel-C Cooper Company.
OF this city has no connection with the
firms controlled by the Siegel Stores
Corporation. The store Of Siegel, Coop
er & Company. in Chicago, although
its stock is owned by the Siegel Stores
Corporation, is prospering. Counsel
here Issued q statement 20 this effect
which was confirmed by Max Pam. gem
eral counsel for the Chicago store.
Firms for which receivers were ap-
pointed are:
The Fourteenth Street Store. New
York
The simpson Crawford Company. New
York
Henry siegel and Frank E. vogel.
doing q private banking business as
Henry Siegel & Company, New York.
Henry Siegel & Company. whole
salers. New York.
Merchants Express Company. New
York
Henry Siegel Company. Boston. de-
partment store.
Receivers Named.
William a. Marble and j. S. Sheppard
Jr., were named receivers for all ex-
cept the banking house. Their bonds
were set at $4,000 each. Henry Mel
VILE was placed in charge of the bank
ing business. The amount of it's de-
posits was estimated at s2,000.000,
mostly in small accounts. 1t paid IL
positors were comparatively poor per-
sons.
RECEIVER Marble said tonight;
.While it is entirely too early to
make any positive and detailed state
ment, / am willing to say as first
impression, at least, that the situation
impresses me as one where readjust-
ment of the affairs in the interests of
the creditors can and should be read
lily accomplished"
Mr.. Melville tonight said he was
not fully Informed regarding the con-
dition of the bank in the Fourteenth
Street store.
Il nave removed the bank to 43 and
45 West Thirteenth Street" he said.
"and have engaged the American Audit
Company 10 make a complete and thor
ough audit of the books OF the bank
ing concern. / find that there are
many depositors-closely approaching
5000 I should say--and I realize that
most of these depositors would like to
get directly from me such Information
as ] possess regarding the situation.
/ hope all OF these will realize that
until ] was appointed to this position
of receiver. ] had never heard of the
banking firm of Henry Siegel & Com
pany, and If they want to learn the
facts. suggest they give ME an un-
hampered opportunity to make the ne
cessary investigation of the facts of
WniCli, WHcl COiilpiCbSup Slall De
glad TO impart to any depositor desir-
ing them"
Liabilities About Ss,500.0oO.
1t was stated by Receiver Marble that
the liabilities of all the companies of
which he had taken charge. in addition
to the deponits In the Siegel bank,
which was part of tho Fourteenth
Street Store" would not amount to
more than sI.50o,000, of which $4,000, 900
represents the aggregate deposits of
the $4,000 depositors in the bank. The
was not given, the statement being
made that only complete examina-
tion of the books of the concern would
develop this.
III was stated by representatives of
the Siegel firm tonight that. in adj
dition TO the deposit of 100000 re-
quired by the State Comptroller from
the firm rs private bankers. the de-
positors were protected by S3.600.0o0
or the stock of the Siegel Stores Cor
poration. the holding company under
which the Fourteenth Street Store and
the other concerns for which receiy-
ers were appointed. exclusive OF the
bank, operate.
The following statement, issued to-
day by Rose & Paskue counsel for,
Crawford and the Fourteenth
Street Store, outlines the ascribed
cause, of the receiverships:
The appointment OF the receivers
was consented to only after every ef-
fort had been made to continue the
business. The concerns have been ac-
customed 70 n large line of banking
credit, which has been very much cur.
tailed during the last year: The in
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