Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1915-04-09
RECEIVERS FOR BIG
DEPARTMENT STORE
CONTINUED from First Pagc.J

six per cent. bonds. Under the pro-
visions of the bond issue, S150,000
worth of the bonds were to be retired
annually. The Central Trust COM
pany of New York is trustee.
| Two corporate changes have been
made since the Incorporation of the
original firm. Greenhut and Company
November 16, 1910. The first occur
red when Greenhut and Company be-
came consolidated with the Siegel-
Cooper Company under the name OF
the Greenhut-S t-Siegel-Cooper Company.
| In May of last year the firm name
was changed to the j. b. Greenhut
Company. j. b. Greenhut is president
| of the firm.
The department stores conducted by
the company, long known as the Sic
Igel-Cooper stores, occupies both
blocks on Sixth avenue between Eigh-
teenth and Nineteenth streets.
Liabilities S3.5f3,O8O
Assets of the store are listed in the
! complaint at S7,465,419 including
merchandise, cash and accounts re-
ceivable. The liabilities, it is stated,
aggregate S3.513, ,060, not including the
mortgage liabilities amounting to ap-
proXimately s2.950,000.
J. B. Greenhut, president of the firm,
is treasurer of the Monmouth Securi-
tics Company, upon whose application
the receivers were appointed. The
suit is based upon Indebtedness of ap-
proXimately $500, 600 alleged to be due
the securities company and represent
ing money loaned the Greenhut COM
pany.
In connection with its department
stores. the ]. b. Greenhut Company
conducted a private bank for the con-
venience of it's customers. In De-
cember last, however, the fir gave no
tice that it intended to withdraw
from the banking business and that
no interest on deposits would be paid
after January l, 1915. The date fixed
by the firm for its withdrawal from
the banking business was March l.
This gave the depositors two months
notice and it is believed that all avail
ed themselves of it to withdraw their
savings.
Say Liabilities Are Higher
A few moments after the appoint
ment of the receivers, an involuntary
petition i'm bankruptcy was filed
against the company by three creditors
with claims aggregating $4,000. In
their petition these creditors alleged !
that the assets of the Greenhut Com |
pany, exclusive of real estate, do not
exceed S6,000.000 and that its liabili- |
ties, mostly old debts. aggregate ap- |
proximately s12.OOO,OOO.
Benjamin q. Paskus, of counsel for |
the J. b. Greenhut Company asserted |
that the liabilities We're about $3,5OO,- !
900 and assets about S7,0O0,000. OF |
the latter, he said there were about |
$4,00O,000 in quick assets so called |
and $3,000,0OO in fixtures and stable |
equipment,
There are two mortgages on real |
estate owned by the firm, according to |
the petition. on of the mortgages
is for S1,2OO,000, and the other for
$1,750,0O0. These mortgages, Mr.. Pas |
kus said, are Offset by bonds, some Of /
which are held in Europe. Current
liabilities, Mr.. Paskus asserted, would
be Offset by the merchandise and out
standing accounts.
Without question the business will
be reorganized, Mr.. Paskus asserted.
Officers of the j. b. Greenhut Com
pany are Joseph B. Greenhut, presi-
dent; Charles \. Cooper, vice oresi-
dent; Benedict j. Greenhut, treasurer
and Nelson w. Greenhut, secretary,
,all of whom are directors. The addi-
tional directors are Jerome Siegel,
Benjamin FIillman, Nathaniel Menken,
Eli Wolfner and Jacob G. Cohen.
Adverse business conditions during
the past year and inability Of the firms
to meet Immediately pressing obli-
cations were assigned as reasons for
seeking a receivership The suit was
brought by the Monmouth Securities
Company. in which ]. b. Greenhut|
was an officer. and was based upon
claim for about 100000 loaned the
Greenhut firm.