The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-01-29
SIBCEL BANK TO PAY
80 PER CENT. CASH
DepOsitOrs Will Be Asked to Ac-
cept Notes, Backed by
Stock, for Rest.
LOANS FOR THOSE IN NEED
Movement on Foot. to Appeal
to Schiff, Stillman and
Others.
LOANS FOR THOSE IN NEED

Depositors OF Henry Siegel 4 Co were
informed yesterday that the bankers are
20 offer them q cash payment OF 80 per
cent. OF their deposits II the depos!tors
will accept notes for the balance. backed
by about 100000 Of the common stock
OF the Siegel Stores Corporation.
At the same time the depositors were
assured that. II an emergency arises in
which they need small sums they may be
obtained from the Hebrew Free Loan As
ISOLATION. at los Seemed avenue. without
interest or charges. As that philanthropy
cannot undertake to look out for the en-
tire $4,000 depositors a movement Is on
foot TO get wealthy men Of public spirit 10
advance money until the first payment can
be made through the courts. The names
Of Jacob II. Schiff. James Stillman and
others were used rs those who will be
asked TO lend the money for a short time.
The offer Of settlement was made by
legal representatives of Henry Siegei and
Frank +. Vogel to John p Murray OF
Coudert Bros. counsel for the committee
Of eleven. working with the committee
chosen last Sunday. II was also made to
Hays. Hershfeld Wolf as attorneys
for the Bloomingdale committee. which
consists 4. ". Bloomingdale, Gen. Theo-
s7SO,OOO In Cash Raised.
The amount offered aggregates slightly
more than s750.000 In cash, which has
been raised by the two men among their
friends. and the assertion was that Il will
be paid over as soon AS II can legally be
done.
The offer was read at a general meeting
of the depositors in the Thirteenth street
loft yesterday afternoon While there was
| some qualification expressed formal action
placed the matter In the hands OF John
| l.. Munich. chairman. and the ten other
committeeman who will collaborate with
| the Sunday committee.
II was reported later that this COM
mittee will ask for 40 per cent. cash. but
| as the offer does not bind the friends OF
| the two men II was the general belief that
after d little dlckering 1t will be accepted.
i The offer to Mr.. Murray in part was
as follows.
| "A payment to each depositor in cash
| of so per cent. Of his claim. such claim
| TO include interest to January l. 1918.
and the giving to him OF notes for the
/ balance OF his claim, payment OF such
notes to be guaranteed by Henry Segel
and Frank +. Vogel. and to bear interest
at s per cent and to be secured by a de-
post OF approximately 81, 600. 900 OF the
| common stock of the Siegel stores Cor
porat!on The payment Of the 80 per cent.
| in cash will be net to the depositors; that
| is to say. all expenses will he taken care OF
| so that no part OF the 80 per cent. will be
/ necessary to pay lawyers or receivers fees
! or disbursements"
| In speeches 1t was pointed out that
the Chicago store Is owned by the Stores
Corporation and that is paying concern.
May settle Point To-day.
The one thing that stood against a gen.
eral offer to all creditors and the an
| nouncement of reorganization plans yes
| Serday was the landlord question. which
| is said to be on the point Of settlement
and adjustment. Conferences continued all
around without conclusion. but Il Is
hoped that this will be reached to-day.
The announcement at the meeting OF
| the depositors that men and women who
are confronted by a crisis can get money
| without interest on their bank books was
made by j. j. Goldstein, secretary OF the
| East Side Seighborhood Association and
member OF the Hebrew Free Loan As
ISOLATION. the philanthropy OF which is
widespread.
Mr.. Goldstein besought the depositors
to stop railing and shouting and 20 back
to work. He had no sooner finished than
a man laboring under great excitement
said he had to get SIS to pay rent. He
had lost his Job about the time the bank
closed.
"How much have you in the bank" Mr.
Goldstein asked,
The man produced book showing that
he had s3i5 on deposit.
go AT once to los Second avenue and
they will give you at least $25 on your
account without interest" was the word
and the excited man rushed out.
I'VE can take care Of little loans like
that" said Mr. Goldstein, but Of course
We cannot handle anything like the 49,
900 persons who have been held up. An
effort Ia being made to secure money for
the purpose from men like Mr.. SchifY Mr.
Stiilman and others. 1t will be advanced
II II appears that there will be a consld-
cradle delay In making the hrst payment
In cases Of death, serious illness and the
| like II would be wrong for these people "a
sacrifice their claims to those who would
lend them money for pront."