The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-06-28

Hard. receivers for the II. b. Claim Com
| pany. showed yesterday that they have
thorough grasp on the big problem CON
fronting them 1t became apparent that
they are ready to do more than the legal
duties assigned to them, and with no
thought OF compe nsation, but with the aim
OF helping the community, work out a
constructive scheme that will benefit not
only the company but also the many re-
tail stores It controls throughout the
United States and Canada.
The greater part of the work lies really
beyond their authority, but 1t is believed
that the spirit of their efforts will appeal
to the receivers who are in charge Of rf-
teen or more retail stores OF the Clanin
chain and that merchants and bankers
throughout the country will give the same
cooperation that has been promised by the
creditors Of the II. B. Claim Company.
The plan the receivers have In mind. OF
course, Is preliminary to the obtaining of
actual facts and figures from the expert
accountants.
Hope for Cooperation.
II is the hope of the receivers that all
OF the twenty-seven stores in the Claim
and business men in the different cities
Will form local committees to assist in dis
polling the present trouble.
In the event that this is done the re-
ceivers here will give every possible as
sistance The policy will be TO keep the
various stores going and give work to all
the employees In the hope that the stores
will emerge stronger than ever
II such scheme can be worked out the
~ "A Clafiin Company can then pay off
all It's direct Indebtedness and either
liquidate or, changing it's mode OF busi-
ness somewhat, remain a going concern.
How this scheme would work out liz
shown in the fact that, according TO
bankers. the s30.000o00 of notes out
standing are contingent liabilities; that
Is, they were made mostly by the various
retail stores or customers OF the whole
sale concern and were Endorsed and dis
counted by the Claim company.
Plan to Relieve Company.
II all these notes can be met by the
makers and are not turned back to the
Claim concern for payment IL Is apparent
that the actual condition OF the H. b.
Clafiin Company may correspond to the
statement OF assets and liabilities OF De-
cember 81 last. The liabilities at that
time included $4,000. 900 of capital stock
a surplus reserve OF s1,6s3.473.sl. open
accounts Of s4.5o1. is7.46. foreign ex-
change and loan account OF s2s9500 and
the profits for last fall OF s2sS,c52.oo,
making total of slb.716.715.
II the examination by the EXPERT ac-
countants shows that the list Of assets
Is strong enough to cover the liabilities
the wholesale concern will be in n hopeful
position.
II seems apparent from the informa-
ton obta Unable that the real heart of the
task ahead of Messrs. Martindale and
Juilliard lies In the strengthening OF the
retail stores. 1t has been decided. how
ever. that the retail stores no longer can
look to the Clafiin concern here for bank
ing accommodations. In other words,
each store must work out its own saliva
ton with the help of local committees. the
bankers and the mercantile creditors.
That such plan has reasonable prospects
OF being successful is indicated by the
cooperation promised on all sides.
Note Holders VIII Help.
The attitude OF the bankers and the
mercantile creditors is indicated in a
formal statement issued yesterday by
James S. Alexander. president Of the
National Bank OF Commerce and chair
man OF the note holders committee, who
spoke also for the mercantile creditors
committee. IL follows:
Botn the note holders ana mer-
chandise committees wish to empha-
size that 1t will be their aim TO con-
tinue those retail stores in other cities
affiliated with the Clafin company
for which receivers have been ap-
pointed. The committee will cooperate
with the respective receivers in oh
tanning from the courts authority for
the continuance OF the business OF the
stores which have heretofore been
proftably conducted. and In the
maintenance of the buying and selling
ORGANIZATIONS
Necessarily, with the stores in
widely separated cities II will re-
quire some time to obtain all the
facts and figures but In the mean
time the customers. employees and
the public can feel assured that no
effort will he spared to have perma-
nent arrangement effected for the