Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-04-10
!, B. GREENHUT CO. OF NY.
GOES into RECEIvERSHIP
THR0GH FRIENDLY ACTION

New York, April 9.-The J. b. Green
INT Co., New York corporation WITH
,,0ao 900 outstanding securities. operat-
ing two department stores on Sixth ave-
~ this city. went into receivership to-
M through friendly proceedings. A few
moments after the equity suit had been
sed an involuntary petition in bankrupt
: was filed in separate proceedings by
,hree creditors with claims totallinS
seod.
The firms liabilities, according to its
counsel, aggregate $3,5l3o60 and its assets
g.,65,4le These figures do not include
tyo mortgages amounting to s2,950,00
which are secured by real estate bonds.
Another estimate of assets and liabilities
is given in the petition of the three cred
jtors In this the liabilities are placed at
about s1o,0Oo,0 900 and the assets at about
100000
william A. Marble, vice president of
the Merchants Association of this city,
and Walter c. Noyes, former federal dis
trict court Judge, were appointed receiv-
,rs under a joint bond OF Sl00,000 with
power to continue the business.
Adverse business conditions during tho
past year and inability Of the Iirm to
meet Immediately pressing obligations
gere assigned as reasons for seeking a
Teccivership. The suit was brought by
the Monmouth Securities Co., in which
j. B. Greenhut was an officer. and was
based upon claim for about s20e,000
Lon
Another thing blamed for the failure
was the fact that it was commonly
thought that the Greenhut stores wer,
connected with the enterprises of Henri
siegel. who failed about a year ago
one Of the Greenhut Cos. stores had
long been known as the Siegel- Cooper
store. The use of the Segel name after
the failure of his enterprises, it was
thought. contributed largely to the Green
hut firms misfortunes
The business will be continued. In d
statement issued today counsel estimates
assets at more than double the liabilities
The banking end of the business was
discontinued March l. More than $780,
co was returned to $4,000 depositors in
the Greenhut private bank, according to
counsels statement.
Principal creditors and stockholders. it
was announced. are members of the
Greenhut family.
The j. B. Greenhut Co. had an au-
thorized and outstanding capital of &c.
100000 and bond issue Of $4,000, 900
sinking fund gold : per cent. bonds.
nder the provisions of the bond is
sue SlaO,o00 worth of the bonds were
10 be retired annually. The Central
rust Co. of New York is trustee. Two
corporate changes have been made
since the incorporation of The orig
mai firm, Greenhut & Co., Nov. 16,
l'l"' Inc first occurred when Green
nut q co. became consolidated with
the SleSel-Cooper Co. under the name
n lie Greenhut- Siegel Cooper Co. In
OF last year the firm name was
olanged to the j. b. Greenhut Co. j.
b. Greenhut is president of the firm.
Known as SiegeI Cooper Store
The department stores conducted by
the company, long known as the Sieg-
el-Cooper store, occupy both blocks
on Sixth avenue between 18th and 18th
streets.
Assets of the stores are listed in the
complaint at S7,465, 149, including mer-
cnandise, cash and accounts receiva
bie. The liabilities, it is stated, agore-
gate S3.515.06O, not including the mort
gage liabilities amounting to approx
imatcly s2.95O,OOO.
j II i'll
Is treasurer Of the Monmouth Securi-
tles Co.. upon whose application the
receivers were appointed. The suit is
based upon Indebtedness Of approx
mately 100000 alleged to be due the
securities company and representing
money loaned the Greenhut Co.
William a. Marble. one of the re-
eeivers is a vice president of the Mer-
chants Association of this city. Wal
yer {. Noyes is a former judge of the
federal court Of this district.
Conduction of Bank
In connection with its department
St"r9s the J. II. Grcnhut Co. conduct
ed private bank for the convenience
VI It's customers. In December. last.
however. the firm gave notice that it
intended to withdraw from the bank
ing business and that no interest on
deposits would be paid after Jan. /.
l'i'. The date fixed by the firm for it's
withdrawal from the banking business
was March 1. This gave the depositors
t"o months notice and it is believed
mat all availed themselves of it to
withdraw their savings.
lew moments after the appoint
'"eht of the receivers. an involuntary
teutlon in bankruptcy was filed
against the company by three credi
V's with claims aggregating $4,000.
Al 'helr petition these creditors alleged
''dt the assets of the Greenhut Co,
.A''uslVe of real estate do not exceed
s''ooo,O00 and that it's liabilities, most
Old debts, aggregate approximately
$1,000 900.
Assets and Liabilities
=, bepJamin G. Paskus, Of counsel for
"ie ). b. Greenhut Co. asserted that
."e liabilities were about $500 900
ana assets about 100000. OF the
latter he said there was about $4,000
Wv In quick assets, SO called. and
s0''oo'00O in fixtures and stable eauip-
ment.
mere are two mortgages on real
STATE owned by the firm. according
70 me petition. One Of the MORTGAGES
~ $l,2OO,000 and the other for 81
''"FVv These mortgages. Mr. Pashus