New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-05
BROTHERS SHARE
IN TOWING COMPANY
Trustees of Daniel Nc.
Williams Estate Must
Pay $4,000.

Former Surrogate Charles II. Beckett
has filed his report as referee in the
litigation over the estate of Daniel and
Charles McWilliams, in which testi-
mony has been taken for the last five
years. The referee finds the trustees
Of the estate of one of the brothers
guilty of defrauding the sons Of the
other brother of S132,596 by diverting
the profits of the copartnership OF the
brothers. The referee finds in favor
Of ordering the trustees to pay back
this money with interest from 1902
making a total Of about $4,000, Jus
tce Donnelly having allowed the plain
tifs $1,000 additional for costs in
Cured
The brothers whose estates are in
volved in the litigation constituted the
firm of McWilliams Brothers, which
has a fleet of about 80 towboats and is
ore Of the largest concerns of its kind
in New York. It also owns drydock
at Hunters Point and does ship
chandlery business at milestone, Long
Island. The judgment given by Mr..
Beckett is in favor Of Albert +. Nc
Williams and Daniel A. McWilliams,
sons Of the late Charles McWiliams.
Albert was employed by the firm until
he was discharged for asking questions
concerning the business Of the firm,
vhile Daniel is an invalid. Albert Nc
Williams nov has an Office at J Broad
way. where his fathers firm IS also
located. He does a small Transports
ton business. The brothers have been
poor since the death of their father,
but now, BY the decision OF the referee
become entitled not only 10 $4,000,
but also 70 half Of the business LETT by
their father. valued at 100000, after
being deprived of their interest 1or
nearly twenty years. If the report OF
the referee is confirmed by the Su-
preme Court, the plaintiffs VIII ASK Tor
the appointment or receiver Tor the
firm.
II was due 10 the inquisjtiveness OF
Albert NcWillams that he and his
brother are now awarded their proper
share in the estate Of their father. lie
observed some things that caused hlm
10 consult counsel, who brought SUIT
for an accounting. The answer OF the
defendants was that there never was any
nartncrship agreement between Daniel
J and Charles McWilliams, and they SET
nm and sought TO invoke an old section
Of the admiralty law that two persons
who owned vessel were "jolnt vcntur-
ers." But a partnership agreement was
found. establishing that point IN the
suit Of the plaintiffs.
Mr.. Beckett found on the accounting
that Daniel McWilhams, one Of the
partners, before his death and later the
trustees Of his estate diverted S265.192
Of the copartncrship funds 10 which the
pIaintiTs. the sons OF Charles McWill-
Jams. we're entitled TO a half interest
The testimony showed that Charles
NcWilliams. because Of illness, was out
Of touch with his firm for several years
before mis- death. In that time his
brother Daniel purchased several boats
IN his own name, using the funds Of The
firm 10 pay for them. The defendants
said they we're unable TO give full ac-
counting because Of the loss Of the PR
waite ledger and because some Of the
firms boats were in the names of dun
n les"
an view Of the unexplained loss OF
supprcssion Of the private ledger" said
Mr.. Beckett in his report. land the
long time Withholding Of accurate
statements, accomplished with positive
instrumentation. concealment and the
using Of partnership property for tho
defendants in this case, the representa-
tivcs Of the wrongcd partner should not
be compelled TO prove mathcmatically
what has occurred, but do the best they
can and lct the defendants suiicr.'