New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-01-24
Corporations to Take Over
Stores Here; Boston Place
VIII Be Closed.
PART CASH FOR
BANK DEPOSlTORS
Scheme Calls for Sl,25O'ooO-
Small Creditors May BLOCK
Move TO Save Assets.

LAWYERS representing the interests IN
volved IN the collapse Of Henry SIEGE :
business ventures Yesterday reached a
,o,,, whore they thought it would be
nossible TO announce reorgah'zauo"
plan within a few days. n not oeloIe N'e
close Of business to-day.
Tho plan tentatively agreed upon pro-
vi6cs for the treatment 81 all creditors
mercantile and bauhing-as OF one c'aSs
so far as neither will have priority over
the other. for the formation OF one OF
Dossihlv two corporations 20 take over
The Fourteenth Street store and the Siihp-
SOM Crawford Company store and the
sale or closing up so FAR as Siegei inter
ests are concerned Of the Henry Slesel
Company store M Boston
PAYMENT I'm cash 20 depositors IN the
banking house OF Henry Siegel & CO.. OF
from o 10 s. per cent Of their claims III
cseh the balance 20 he paid In notes 10
he secured by stock in the new corpora
tion or corporations.
PAYMENT Of 10 10 Is per cent or the
mercantile claims. and those OF CONNER
cial banks for loans I'm cash. the oal-
enco in stock Of the new company or com
rsuics and notes 90 he secured by STOCK
and scaling down Of the rents paid by
the two stores.
Henry Siegcl ana Frank z. \osel 70 ue-
vote all their energies 10 the New NoTN
and Chicago stores. with Leo \. lIi'e'
formerly proprietor OF Rothenhergs. ana
one Of tho best known department store
men in the country. I'm charge OF the
merchandise end I'm New York.
This plan contemplates the raising o.
spproximatelv Sl25oc0o by Mr.. Siesel and
his associates. Whether 10 will be iorth-
coming al once was I'm doubt Yesterday
though persons familiar with the affairs
Of Mr.. Siegol thought he could get that
amount without much difficulty. More
money Will he needed TO furnish working
capital for the stores.
The obstacle that now threatens any re-
organization plan IS inability TO reach an
agreement with the creditors OF Henry
Sierel & CO.. bankers These, who have re-
tanned Coudert Brothers. declared repeat
edlv that they will not be satisfied with
ANYTHING short of 100 cents on the do.-
lar. and some difficulty is expected IN
obtaining the agreement Of the majority
OF the depositors 10 settlement inNolF-
ing the payment Of a smaller sum. This
was made clear yesterday when IT be
came known that some of the larger Of
the banks creditors are trying TO induce
r w. Bloomingdale, a former president
Of the Retail Drygoods Dealers Associa-
ton: General Theodore a. Bingham. for
mer Police Commissioner. and Theodore
=. Gilman. former State Controller TO
form a committee TO look out for their
interests.
The mercantile creditors are inclined 10
agree 10 the compromise plan. because
under it they get al least as much as
they would were the several stores liqui-
dated. and. m addition. stand every OPP
porturity Of getting a large portion, II not
the whole. Of the balance above the cash
payments and the amount they might re-
ceivc from the notes.
The exact condition Of the several stores
is still a matter Of doubt though account
ants have been on the books now for al
most a month. They report that condi-
tons are such that the only way they
can strike balances is 10y arbitrarily
placing values upon various items. The
banking house tangle is the worst Of the
lot. The accounts of the depostors are
well kept. but there is 10 way OF tracing
the money that was taken iu by the bank.
Thus. the Smpson-C Crawford books
yhow that il received only $sS..S9 % from
no bank. while the books OF the bank
debit tho Simpson crawford store with
81. 4i9 66e IS. Both sets OF books were uu-
der the direction OF the same persons.