The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-03-19
SIEGEL RECEIVERS
TO DIVIDE ASSETS
Hope to Fix Amount Depositors
Will Get and Save Fees
Of 100 Lawyers.
REFUSES s2s5,oo
Bank Creditors Get Another
Offer Of Compromise From
Mercantile People.

An order was Issued yesterday BY
Judge Hough In the United States District
Court by which william A. Marble and
John 8. Sheppard. Jr. receivers for the
mercantile enterprises OF Henry Siegel.
and Henry Melville. receiver for the
Siegei and vogel bank. were authorised
to meet and como to an agreement re-
specting the amount the bank depositors
may receive out of all the Siegei assets.
II was announced last night that the
standing committee Of tho depositors
headed by A. n. Bresil had received an
offer of compromise from the mercantile
creditors which Is better than any ngure
offered by the depositors' realization COM
mittee Tho last amount mentioned was
$4,000. What this new figure Is the
committee would not reveal. saying that
1t is to be told to the depositors at con-
ventlon to be held in some largo hall to-
morrow afternoon and evening.
One meeting OF the three receivers and
their counsel took place yesterday morning
at which John p. Murray Of Coudert Bros.
counsel for many depositors. was present,
but no agreement was reached then. They
were authorized to meet on March 70
AFTER tne BaIo OF INC btoCh eHu h~su'"
of the two Now York storea when there
will be money basis to work on.
The object OF the action yesterday 10 to
save the $4,000 depositors the expense
OF protracted litigation which would en-
sue n an effort were made to nght out
the rights OF all the parties In the courts
It has been asserted by some mercantile
creditors that the bank depositors who
are creditors OF Henry Siegei and Frank
L. Vogel lndiv idually are subordinate to
the creditors OF the corporation.
James " Rosenberg. who presented
petition on behalf Of the recelvevs said
that his clients are most anxious to have
the agreement satisfactory to the deposit
tors and for a substantial sum OF money.
II was understood yesterday that $225.0oo
was suggested tentatively as a fair agree
ment. but this was opposed by Mr. MUIR
ray. who asked for much more. For that
reason the sale will be held first and then
the division agreed upon. 1t win have
to be ratified By the court
Litigation over the respective claims.
II was pointed out yesterday. will about
use up every dollar set aside for the de-
positors. 1t would bring in from 100 to
zoo lawyers, will pile up receiversh'p
costs and might result In a decision which
would subordinate bank claims TO other
claims.
The expenses so far have been heavy
lit will cost $4,000 to have expert ac-
countants work out the claims Of the bank
against the several enterprises. The ex-
perts have set that figure themselves.
one cheering biz OF news yesterday was
that Frederic II. Coudert. who has asked
Gov. Glynn 10 have the Attorney General
act IN behalf OF the depositors, aided by
the Banking Department. has waived all
claim for fees for the work done by Mr..
Murray OF his firm. Mr.. Coudert believes
that the State should take the work on
his hands to save money for the poor
persons affected. but irrespecuYa- OK VIA;
he will proceed as ne has done.
II was said yesterday that the United
/ States Fidelity and Guaranty Company
will fight the suit brought by the Attor.
ney-General to collect the 100000 bond
/ filed with the State Comptroller for the
! bank of Henry SeEel & Co. The bond VA
fled August \, 1910. The company says
I that the bond was made on the applica
/ ton OF Frank y. Nogel but that Mr.. Vo
gel never protected the company viii
! collateral and never even paid the bondinl
fees The company has until April 4
! file its answer to the suit
GOV Glynn has answered Frederic
Coudert's letter asking that the Attorney
| General act for the depositors by saying
that the department has already brought
action on the surety bond. There was M
mention made of the State going furthe
in the matter.