The Lake County times. [volume] (Hammond, Ind.) 1906-1933, 1913-07-23
BANKRUPTCY
COURT IS
IN SESSION

The Interstate Construction Company
table concern. engaged in the sewer
building business, today began a Wig
orous fight against petition creditors
of Chicago. who are attempting to
throw the 100000 corporation into
bankruptcy to collect an amount less
than $500.
Harry C. Sheridan of Frankfort who
sat as referee in bankruptcy in hear
ing the contested claims againse the
Calumet Institute yesterday, sat as
special master on the question of ad-
Indicating the Interstate matter today.
The principal creditor is the William
E. Dee company of Chicago. the COM
plant of the petitioners being that the
Interstate made the First National
Bank of Hammond the Citizens GEL
man National Bank and the Beckman
Supply company of Hammond preferred
creditors. The Hammond Savings and
Trust company is acting as temporary
receiver. The defense of the company
will be that it did nothing in viola
tion of the bankruptcy act The con-
struction company is represented by
the law firm of Reilly & Hardy, the
First National bank by attorneys Jesse
Wilson and w. ]. WINERY, the Citizens
National bank by Attorney J. x. Stin-
son. and the Beckman Supply Com
pany by Attorney Fred Barnett.
The entire session yesterday was de-
voted to Calumet Institute matters FIVE
contested claims having been heard.
The principal claim was submitted by
John Brown, the Crown Point banker
through his attorney. Otto Bruce. His
claim amounted to $4,000 and interest
due him under a second mortgage. The
court took the matter under advise
ment both parties. Trustee Charles
Surprise for the Institute and John
Brown to file briefs within ten days.
Other contesting creditors were the
Commonwealth Loan and Trust Com
pany and the Commercial Trust and
Security Company. Their cases were or
dered hriefedt
The claims of ALBERT Hs'fsutrev auth
or text books used in the school for
royalties was disal1owed and Putney
will submit the case for review before
Judge Anderson
The claim of H. NJ Fletcher was al
lowed in fun as preference in sum
of s3Oo He was represented by Atty.
J. B. Sheerer.
The claim of J. /. Hodgmire, A former
bookkeeper for 500 was allowed in
/ full Attorney Schuyler s. Dwyer ap-
peared for the claimant. Attorney Dwy-
er also presented tho claim of Mrs Dou-
gal Cree for $1,000 which she says she
advanced to pay off liens. This claim
was taken under advisement and the
briefs to be submitted.
\ The claim of John Brown was contes-
| ted by Trustee Surprise on behalf OF
the unsecured creditors.
Browns contention is that he fur
nished this money to pay off mechan-
les liens against the Law School Bldg
! on South Holman street and that he
stands in the same position that the
! lien creditors stood who reduced theiI
claims to judgement more than -four
months prior to bankruptcy Money
was advanced by Brown on June IS
1912. on three months note, and agree
ment entered into that if same was not
paid when due that mortgage woult
be given. If mortgage had been giver
on September Goth. there could be nc
question as to it's validity but execu-
ton Of same wa= delayed until Oct
gard. which fell within the four month!
period prior to the filing of the bank.
ruptcy petition on Feb. 4th, 1913.