The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1913-12-31
BIG COTTON FIRM BROKE.
PETITION FILED IN BANKRUPTCY
AGAINST McCABE & co.
X. G. Rhett and j. f. Maybank Are
Appointed as Receivers and January
8 is Date for Hearing.

tary petition in bankruptcy followed
by petition for the appointment of
temporary receivers, was filed today
in the United States district court
against w. Gordon McCabe e. Co., of
Charleston, the petitioner being
Robertson Eppes, w. " Smith and
Walker, Evans & Cogswell Company.
Judge Smith appointed John F. May
bank and r. Goodwin Rhett receivers
for the alleged bankrupt firm and
appointed January 6, 1914, as the
date for the return to the petition.
The receivers are to take charge Of
the assets Of the concern, each CIV
ing bond in the sum Of $4,000. until
an election for a trustee can be held
The receivers bond must be filed by
December 20.
The principal creditors are banks,
one being in New York, one in Rich
mond and three in Charleston. The
liabilities Of the firm, it is understood,
Will exceed $l,OOO,OVV.
conference Of creditors was held
this morning in which representatives
Of the Bank Of Charleston, the First
National bank, the Carolina Savings
bank OF Charleston, the First National
bank Of Richmond and Of the New
York bank participated.
The proceedings are brought against
the firm Of w. Gordon McCabe & Co.,
and not against the South Carolina
Compress company, owners Of the
plant operated by w. Gordon McCabe
& Co. McCabe e. Co., own a large
proportion Of the stock Of the COM
press company. 1t is hoped that the
operations Of the plant will not be in
terfered with by the proceedings
against the firm managing it.
No schedule Of assets or liabilities
has been filed nor any allegations on
those points made by the creditors in
their petition. 1t is understood, how
ever. that the liabilities are likely to
exceed 100000. No estimate OF
the assets was obtainable today. It
was said that the banks interested
were we'll secured.
No statement was available from
the McCabe & CO. A representative
OF the firm who was seen by re-
porter said that they had no state
ment to make at that time.
Besides the banks who are the prin-
cipal creditors there are many claims
against the firm by parties through
out the cotton territory tributary to
Charleston for cotton bought. Law
yers from several points in South
Carolina were in Charleston today in
the interests Of clients. And it is un-
| derstoOd proceedings were taken in
| several instances to stop cotton in
transit consigned to the firm.
The claims of the three, creditors
in whose name the bankruptcy and
receivership proceedings were taken
total less than $4,000. Robertson
Eppes' claim $1,955.52; Walker,
Evans & Cogswelrs claim, $4O25; W.
w. Smiths claim. $1.4O. The petition
| alleges that the firm committed an
act OF bankruptcy in that they did
transfer while insolvent a portion of
their property to one or more of
their creditors with intent to prefer
such creditors over their other credi-
tors. namely, in that they transferred
and paid TO S. H. Pell & Co., the sum
Of '$250.000. The petition for receiv-
ers set forth that the firm against
which the proceedings were taken had
consented to the proposed appoint
ment.
The Gordon McCabe company was
organized last spring to take over the
business that had been conducted at
Charleston by Rogers, McCabe & Co.
which established itself here in 1910,
having already an important business
at Norfolk. The community built a
large and finely equipped compress
and wharf plant at the foot of Char
lotte street, and has done very large
business in cOmpressing and export
ing cotton. Last spring Mr.. Rodgers
withdrew from the Charleston busi-
ness and concentrated his interests at
Ill
became the head Of the business here.
with w. +. Gray as a partner. During
the present season the firm has ham
died a large amount Of cotton.
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