The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-01-23
DEPOSITS "OUR
MONEY" --SIEGEL
Partners Held That Cash in
Bank Was Entirely at
Their Disposal.
THEY WERE THE FIRM
Debts Are Personal. Says
President. and All Will
BE Paid in Full.
ASKS TINE TO SETTLE UP
Sievcl Asserts That Chicago
store Alone Could Pay
or All Claims.

Henry S,egs corroborsted his bank
partner Frank T. vogel. yesterday. testi-
finr il was their intention that the
;24Oo.0oo taken out of their private bank
and lent to the Siegel enterprises should
not be repaid until all other creditors OF
the establishments were paid
Speaking of il as "our money" and
"private money" he said there was no
reason why this should not be the case.
The merchandise creditors and bank cred
TORS had only corporations TO look to.
while the bank depostors have the per-
scnal resources of the partners. supple
nnented by $4,000 shares Of the common
stock of tho Siegel Stores Corporation.
Mr.. Siegel WAS emphatic I'm declaring
that the stock of the stores corporation
ia Just as good to-day as il ever was.
While receivers may nave been appointed
and bankruptcy proceedings begun. ar
gued MIR. Siegel. the New York stores
and the Chicago store are solvent and
can make money. The Chicago store
alone could pay all the claims against the
Sierel enterprises in time out of its earn
ings
Has $4,000; owes Hi.3OO,OOO.
So far as Mr Si.pel personally WAS
.,.u,,a,, -, a,, a., l.. 30. ,,or,,
eo"eei NC" Nv Sa'' '''a' w was WI VI
*4ooo'o"o ciear In l'o2' To-Day ne mas
little more than $1,000 In banks and some
odds and ends of bank and trust company
go, ,,,,h ,,,o,,.,a. o., a.. ,o,u.,or-
80 -" COO o"n - ,h;. ~ $50,
,,,,.t, os liz o,i,aa,iers 90 ,h. -
.n,n',,a.. 1900. 49,, 80 g, 49,
=. o. 49,, 80. 49, Is. 90 nno
-, " 800. ,''oV'VvV
Mr, S'esei repea.eu se.etai TINES Oh .ne
stat'u ne was certain .hat ne wouIu
pay every uolar ne owes III thne II ne
is permitted 10 WORK out tne reorsaniza-
Uoi OF MS stores, 10 WHICH, ne saiu' ne
viii ueVo'e ms iiie
Inc inquiry peiore ex-Judge George
Hoit, VINO is investigating the resources
OF the partners was adjourned at noon
30 that Mr.. Siegel could attend "A con-
ference TO ascertain how much money he
and Nogel can raise to give to the de-
positors 1t was reported later in the
day that the plan to clear UP the bank
situation will be made public in less than
fortv-eight hours. The partners profess
to be- able to pay the depostors in full.
They hope to get the money from friends.
. large sum TO be paid down. with sure
ties for the remainder
Bank Receiver 10 Angry.
A mee,inp room If tho Rar Associa,i,,
was obtained for yes,erdav,s sess,o,
which havan n, m o,cin,r W,,ua $500
sonta,ives Of the depostors We're prssent
the meeting Mace was not GENERALLY rs.
por,ed for fear NJ a rush OF cur;ositv
,eehers anu ereul'ors. James y. Rosen-
,yoseph y. Proskrsuer and Jobp p Nur,
raw renresentad Henry Ns,viIia racsiys,
for the bank, who has had blood in his
eve ever since he heard Frank y Vorel
subordinate the claims of that instit,,t ION
l.. : Levy was with Mr. Sierel and
Joseph b. fairfield attended in the in
terest of general creditors
At the outset Mr.. Siesel said that ".
had received "A salary of 81 OOO A month
from the enterprises for his seryices az
well as dividends when they were de-
Nclared. He owned n house AT Eighty
second street and Madison ayenue which
cost him 5000, 600. but there is a mort
gage on IL: Drif,wood, at Orienta Poin..
Namaroneck which cost him s175 nm
and a loft building in Seymth avenue
All this nroperty ia really owned nv the
IT, s. Realty COMPANY. which Ia himsa,f
hut it is pledged to A. Leo Price, from
whom he bought the stock and assets of
Rothenberg g. Co Mr.. Price now admin .
listers all the property because OF ,,afaults
IN payments due him
Has your wife any property ." he was
asked
NO real estate" was the reply: she
transferred all that to me, relieving II Of
her dover"
. lie ala not say what other property
Mrs, siesei may nave received upon sep
sra'ioh'
Testimony Ia Nssue.
a.. s,., ., A.. ,,
.t,,es Ion ."e "eseiup''.eht OF
the fo1,,a,ion Of ,Se sio ooo "oo 81, vi
stores Sorporatlo' IN isov' Ihere 10
common, The preferred stock was sold
for cash and the common stock distrib
uted in payment of the stock of the Sub
sidiary corporations taken into the hold =
ing concern His testimony was a little
vague at this point, although Mr.. Rosen-
berg pressed nm win questions The
witness swore that OF the s2'Ooo,o0o pre-
!erreu sooo.soo was soiu III fhsiahd' scot
's',u anu rrahce' ,
,., w ma. oe ,s VI .ne Ieliaihuer'
..W-h We al nJ'u' va" t LIZ, ~. ,,,," -
.u, ,na ~ go 80. w ~ 49, h Us '.oes
Eror' ' tha ~ racn.Js A. pnsa,'h.r ,,
vi, ',e 49, -, ~, 80 n"a resn
simnson Crawford Companv on Januarv