The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-02-26
SIEGEL DEPOSITORS
GET PAYMENT OFFER
New Corporation Agrees to
Give Cash and NOtes-In
Full Within ) Years.
ASKS ASSETS IN RETURN
Plan Regarded FavOrably by
Receivers Attorney--Big
Meeting To-day.
ASKS ASSETS IN RETURN

TIE list definite uffer to the depositors
Of Henry Siegel 4 Co.. bankers, was
made yesterday by the beposltors Rea;Iz
ton CoTyo alton. witch was Incorporated
py MIR sierels friends to help the bank
cut of It's difficulties The new CORPORA
tiou offers cash aud notes to Henry Mel
VILE receiver of the private bank. and also
agrees 10 pay the fees Of the receiver, so
that at the end of i've years the depositors
will gel the last payment OF the money
due them with interest.
The offer OF the Deposltors Realization
Corporation Is twofold The first Is made
on the supposition that a reorganization
Of the Simpson Crawford Company and
the Fourteenth Street store will be eff
fected. In that case the buyer offers to
pay 32L per cent of the deposltors claims
In cash and 67i2 per cent IN notes. should
no reorganization be effected, then the
offer is to be 80 per cent. In cash and 20
per cent. In notes
The attorney for the receiver seemed
TO regard the offer favorably 1t will be
discussed to-day by the attorneys for the
different dcpostors committees. At !:
o'clock this afternoon the depositors will
meet to discuss the details of the OFFER
Whether the offer Is accepted by the re-
ceiver depends finally ON the decision OF q
United States Judge
The Depositors Realization Company
makes the offer for all the assets OF the
private bank, provided II receives a clear
title to them. free from the claims Of any
creditors The assets include the cash in
the hands of the receiver, the proceeds OF
me bond executed by the United States
Fidelity and Guarantee Company for
100000, claims against simpson era W.
ford Company and the other Siegel en-
I'VE offer to pay $3.50. 900 in cash for
the said assets" the letter to the re-
ceiver says. lin the event that claims Of
the receiver against certain Siegel enter
prises are compromised SO that we will re-
ceive s315.000 in full settlement and dis
charge of such claims. In the event that
the claims are compromised at only $780,
600 then we are TO pay for the said assets
only the sum Of s3s5. 900
In lieu OF making cash payments TO the
depositors the corporation offers to pay
each creditor 10 per cent. OF his claim
in cash. Should the claims be COM
promised at only s250.0O0 then the cash
10 be paid the receiver is 121a per cent.
The Depositors Realization Corpora
tion further offered to pay 17ia per cent
IN cash to all creditors of the Siesel
bank who within four months assign
their claims to the corporation and to
give notes for the remainder. The notes
are to be made payable as follows: ga
per cent. on March l, 1915: ~ per cent.
March l. 1916: 10 per cent. March /.
1917; 20 per cent. March /. 1918, and
?2i2 per cent on March I, 1919.
The notes are TO be secured by the
deposit OF at least 100000 par value
Of Siegsl Stores Corporation stock They
are to be guaranteed principal and in
terest by Henry Siegel and Frank +. Vo-
gel Those two men also announce that
they will not take advantage Of any
present Or future bankruptcy or nsol-
vencN law. The notes are TO be issued
ulder "A collateral trust note agreement
and the trustee is to be trust company
Of this city.