Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1914-03-30
CLAIM May HOLD
! UP SIEGEL MONEY
Depositors May Not Get All
Of Money--First National
Bank of Boston Considers
1t Has Claim on Deposi-
tors May Reduce Pay
ments II to Is Per Cent

New York, March 29.-Because the
first National Bank of Boston, the
bank in which Henry Siegel & Co.
deposited the moneys it took IN on
the closing days of the siegel enter
prises. considers that it has claim
on the money, Bostononians who de-
posted on Dec. % and so will not get
all their money at once and may have
to wait and be satisfied with the Il
or is per cent that the general cred
itors of the banking firm now seem
sure OF receiving.
When it became clear that the Sic
gel enterprises were about to tali
moneys deposited here and in Boston
were kept separate from the general
funds of the bank and deposited in
senarate accounts. In Boston the
money was placed in the First Nation
al Bank. which is a heavy creditor
of SiegeI and Vogel Here it was put
in bank TO whom they owed moth
ing.
Last week JUICE Hough in the Unit
ed States court ordered part 4 these
deposits rspaid at once in full. Re-
ceiver Melville thereupon called upon
lfRG BOSTON B-aAE ~ ANA~A+- N-AN
il held. Saturday ne received letter
from the bank saying his request had
been referred TO the counsel for the
Boston bank.
Under the general law of banking
the Boston hank. % which Siesei and
vogel ovxe large sums. seem to nave
a good claim 70 the right TO apply
the mouey thus deposited toward the
liquidation q the notes Of the heads
Of the banking house. though Receiver
Melville IS inclined 70 the opinion thar
sentiment rather than the exact letter
of the law may govern the decision
of the bank IN Boston
Representatives of the clothing manu-
facturers among the creditors of the
simpson Crawford Co stores agreed to-
day to the reorganization plan formulat-
ed by the Mercantile Creditors commit
tee This approval. which will be sub
mitted to the members of the numerous
trade associations represented at today $
conference in the rooms of the Dress and
Waist Manufacturers Association, will, it
is expected, assure the continuance of the
store under the old name and style.
This plan, which provides for the set
payment of 50 per cent. in securities of
the new corporation to be formed will be
submitted again to Judge Hough in the
United States court on Monday and as it
is now almost a certainty that the neces-
sary rs per cent. of the creditors will
have approved the proposition, it is be-
lieved Judge Hough will allow it to go
through.
Messrs. Levy and Stanchfield were of
the opinion today that Frank f. Vogel
would be in the city Monday to be exam
ined by the United States commissioner,
though 1t was not known that he had
left Chicago for this city.
Siegel in his previous examinations tes-
titled that he had life insurance to the
value Of $4,000 payable to his daughter.
The point developed today that this may
be an asset In the event of the policies
giving him the right, common in policies
of recent date. of changing his benefici-
airy. If this is the case the real title of
the policies is in him. and the surrender
value, amounting to probably $4,000, be-
longs to his creditors This point will
be cleared up when he next takes the
stand.