New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-31
Creditors Committee OF
Is Split When Minority
WithdrawS.
RECEIVERS REPORT
ON 2 STORES HEARD
Attorneys Learn That Head OF
Bankrupt Firm Drew Yearly
Salary of S150,00O.

=
groups Of ClsAin creditors, represented
respectively by Rosenberg, Lewis "
Ball. of 10 Broadway, and by Judge
Frederick W. Lehman, George Gordon
Rattle and Sol S. Myers, led yesterday
80 tho ACKNOWLEDGMENT Of the general
crcditors' committee OF sixteen, organ
izcd last Saturday al the Park Avenue
Hotel. ;,.o~-
Tire first group represents the inter
csts OF the general mcrchandi CIcu'.
ors' committee, which seeks the auy u.s.
mcnt Of claims against the Clanln No"l-
panv amounting 10 s2.OOO.OOo me sec
oud group is that represented oE .,
Crcditors' Audit and Adjustment Asso-
citation. and is said to represent creul'-
ors with claims amounting to more
than 81 100000.
nc contention between The Two
crouns was adjusted yesterday after
noon before Judge Learned Hama IN
Inc federal court, when counsel TO the
committee Of sixteen sought 10 inter-
vcnc in tho equity suit begun by Johh
4 Fsrcs against the Clatiln company
similar application was separately
submitted by an attorney for the cred-
tors represented by the Creditors Au-
dit and Adjustment Association.
lanes y. Rosenberg insisted that
those interests were already repre-
scrted IN the committee OF sixteen
whcrcupon. Mt the suggestion OF Judge
lehman. four members Of that com
r,ittco Holmes J. COrbctt, John II.
Love. Stephen ConCcr and Milo NJ Bed
irg-tendered their resiGnatlons from
the existing committee IN open court;
They we're permitted to withdraw. ana
Judge Hand entertained the appHca'ioh
o. their counsel FOR permission to IN
tcrvcne separately in the Eames SUIT
CIafin Drew Big Salary.
An interesting development IN the
ClaAin failure yesterday was the as
rovorv by attorneys for some OF the
creditors that Mr. Clafin received
$4,000 annually in salaries from me
allied companies and as president OF
The United Dry Goods Corporation.
I'm the United States District Court
IN Brooklyn yesterday the creators OF
mo II Batterman Company and the
Bedford Company. Clafin stores, u.s.
-cned TO the reports OF Clinton l.. Kos
ter and Charles A. Decker. the re
ce,vers. and voted unanimously to CON
,inue them as permanent receivers;
Ratterman & Co. showed nominal
errnlus of S4s2.259 over liabilities Of
s1a0.67O. and tho Bedford Company
liabilities Of S497 ,266 and book den
q. of sl32.S7S.
T., WAS resolved at the meeting OF the
bedford Company that the appoint
mcnt Of creditors committee lor mat
store was unnecessary. James y. no
-cubcrs. attorney for the general cred-
"N~e
tors committee OF the Ii. Is. Clanlh
Company, announced that his commit
tce REPRESENTED 270 creditors OF the
BEDFORD Company, and Joseph VI. hart
feld. of White & Case, attorneys for
the Clafin noteholders' committee. SAID
Tat the committee represented holoers
If notes 10 the value Of s65.962, out oil
= total outstanding against the store
a. 81 .200,0Co.
Arthur +. Gotthold. Of Corbitt
stern. attorneys for the receivers, pre-
sented the receivers Export, printed
comics of which were distributed among
Tho creditors. The report showed total b
ssscts OF S439.6sS and total Liabilities
OF s4o7 200. 4 net deficit OF S5'o'S.
New Committee Not Needed.
Mr.. fairfield, representing the note
holder, committee, IN connection WIN
the proposal Tor the organization OF
committee Of creditors, said:
There is no necessity at the present
time for the appointment OF any sucn
committee. The Clafin noteholders
committee represents about 90 per cent
OF the notes outstanding against the
BEDFORD Company. and We nope TO be
able in the not far distant future 10
present plan for the continuation OF
All the stores under a reorganization.
In the case Of the II. Batterman
Company the report Of the receivers
says:
"By reason Of the close afiliation OF
the II. Bstterman Company with the II.
II. Clsfin Company, it is impossible a.
the present time TO state the exact
financial condition OF the Batterman
Company.
THE values adopted by the account
ants are only provisional, and are not
intended as a definite estimate. The
accountants report. with It's schedule,
is long, and its details will not be given
Al the present time, unless requested
by creditors"
Receivers Make Report.
The following statement summar-
ICES the information obtained by the
receivers:
assists