Evening journal., 1919-04-19
P. & J. co. PLANT
HERE WON'T CLOSE
New Jersey Court is Asked
to Appoint Receiver for
Ship Builders
STATIONARY COMPANY
PRECIPITATES SUIT

Although an application was made
before Judge Davis in the United States
. District Court at Trenton. yesterday,
for a receiver for the Pusey and Jones
Company, owners OF the shipyard in
this city and two large shipyard
plants at Gloucester, n. j., according
tp Robert PenlngtG, OF this city, at
to. ney for the company. Il is not
likely that the plants will close down
or the working force reduced After a
conference with officials OF the com
pany in Philadelphia and Gloucester
Yesterday Mr. Pennington made the fol-
low ng statement:
In the event Of the appointment OF a
receiver" said Mr.. Pennington, there
Is little probability Of the local plant
being shut down. as Il is being oper-
ated by the United States Shipping
Board and Emergency Fleet Corpora
ton, and at this time Is engaged large
ly in government work, and the u. ;.
court would probably order the recciy-
er or receivers 20 continue iAc opera
tion 5f the plant until such time as
matters can be adjusted. Under no
circumstances is the plant likely 10
either cease its operations or reduce It's
present force
About 2OOO men are employed at the
local plant the force having been re-
1uced from time 10 time.
Wilson and Carr, a Camden law firm,
representing Bleakly Brothers, station
cry dealers at No. 53i Federal street,
Camden, made the application for the
appointment OF a receiver. The COM
,any was said to owe the Bleakly flrm
1900 for stationery, printing and fur
liture supplied the Gloucester plants,
md the application made two requests.
one for the appointment OF a receiver
20 operate the two Gloucester plants
and the other for an order restraining
he company from further operating
the Gloucester yards. Judge Davis
ssued a rule returnable In Trenton on
APRIL 2S, when the company will be re-
1uired to show cause why the appli-
,atlon should not be granted. II is be-
lieved that the United states Shipping
Board will fight the recelvership be
cause It is operating the two Gloucester
yards.
The application and bill Of particu-
.ars alleged that former United states
Senator David Baird. Of Camden, has a
Hrst mortgage Of SiJ000O against the
,ompanys land for land which he sold
The corpo- alton, on which the Glou-
cester yards are located; that the
Delaware Trust Company, Of this city
has a second mortgage OF SJ0OO1P 10
secure prOmissory notes overdue ana
'ot paid. and that the United states
shippinc Board has a third mortgage
II S5.OOOO0O against the company Tor
money loaned for improvements since
took charge. The bill further sets
'orfh that the George +. pawlinS Com
banv. a Philadelphia contracting firm.
lad filed suit for $4,000 on mechanic s
len for construction work at the Glou-
,ester plant; that a few days ago 10
,eph N. Rowland issued an attachment
n s37 Cos against the company; that
lhere are other claims being prepared
and pressed amounting TO several hun
dred thousand dollars; that there Is
IN indebtedness Of Si.J00OOO in excess
n the mortgage liabilities. and that
here are thousands OF dollars worth
NJ other claims Of a number OF months
The Pusey & Jones Company is
delaware corporotion with an author-
ized cspital stock OF S2OOOcOOO OF
which 81 900 worth Of shares nave
been issued. The Pennsylvania shipyard
was built three years ago at Glouces-
Ter Citv on land purchased from former
limited states Senator Baird and the
estate Of the late Michael Haggerty.
Tho New Jersey yard, which adlolhs
the PENNSYLVANIA plant. began building
shins last May. Both plants were DuHt
-. n-o-,,,es,ian interests. in which II. +.
Norbuh and ChristOffer HanneYig We're
tbe nrincipal financial men. year ago
the pusey & Jones Company took over
The two Gloucester plants and hahhe-
VIC was made president OF the company:
last September the shipping Boaru
took over the Gloucester plants, stlll Is
oneratlng them and has spent so'OOO,O"-
There were 5000 men employed IN the
two plants during the war, but SIX
weeks ago plan Of reorganization
started and now only 4'OVo are elii-
ployed. -. ..
About a month ago creditors besan 70
push the company for money due; snu ,,lI
the Shipping Board paid many Oh VIZ
claims. TWO weeks age Sherlh ColsOn'
Of Camden county, issued an auaoll
ment Of $1,000 for a Camden hril, anu
that was satisfied the next day. fo9i %
davs later another attachment for s5''.
s65 was issued and the attachment
notice was placed on the main door oi
the office in Gloucester City but lhe
door was fastened back so mat on ouo
could see IL. and, in order to keep the
attachment alive, Deputy Sheriff James
Hewitt visited the plant each day
IS said that this claim mas Desh sa''S-
flcd
Presidents Brother Relieved.
Christoffer Hannevig. the president
OF the company, went TO Europe near,
lv three months ago. and he is charged
with making a statement over there
20 the effect that ships could be punt
in foreign countries cheaper than IN thls
country. This involved him win ile
Shipping Board, and six weeks ago MS
brother, Fein Hanneyig, was relieved OF
control Of the Gloucester and Whining
ton plants and William G. Coke was
placed in charge. He could not be touno
there yesterday. and other officials OF
the Gloucester City once, said that they
had no statements to make, but tnat
Coke might make one today.
It Is believed that the government
will pay most OF the claims and flght
the appointment Of the receiver when
the rule is returnable at Trenton. be
cause 70 is operating the two Glouces-
ter plants. The attorneys OF the Ship
ping Board began to go over the con-
tents Of the application yesterday as
soon as they received a copy Of II.