Every evening, Wilmington daily commercial., 1921-12-17
MOVE TO TERMINATE
RECEWERSH|P OF
CREDIT CONCERN
Move by A. Crawford, Stock
holder in National Ouaran-
tee Credit Corporation.
HE ALLEGES COLLISION

Chancellor Josiah O, Wolcott. in the |
Court of Chancery, yesterday after
noon signed an order admitting Al
bert J. Crawford TO Intervention in
the case OF William a. Bruch against
the National Guarantee Credit Corpo-
ration for the purpose of moving TO
vacate a decree of the Court of Chan
Gerry. made on November 80. appoint
Ing George l.. Townsend, Jr Della
ware receiver for the said corporation
Chancellor Wolcott also issued rule
directed to William A. Bruch. the
/ National Guarantee Credit Corpora
tion and George l.. Townsend. Jr.. re-
qulring them to appear before tho
chancellor In his chamber. In VIII
mington, on January at l03o n. m.
/ TO show cause, II any, why the prayer
of the petitioner should not be granted.
The prayer of the petitioner showed
that Crawford Is stoolShoder In the
National Guarantee Credit Corpora
ton and was such a stockhoder when
he filed the petition. 1t also stated
that "the allegations contained In
Bruch's bill We're submitted by n pure
dummy and tool of the defendant cor
i poration, who had no substantial In
terest In the litigation: that the presi-
dent and SECRETARY Of the defendant
? corporation filed a false answer. ad-
: hitting insolvency of the corporation
I, at the time of the fling of the bill,
! where. as a matter of fact, the corpo-
J., Ira ton was. far from insolvent, and that
. the whole proceeding was fraudulent
, and colluslve."
4 Ia, ef, Ia.
g after argument on the power of the
court to remove receiver. William s
= iilles, attorney for Crawford. cited
] various legal authorities to show that
z the court has such power During
d the argument Mr.. liilles said BrUch is
r an empIoye Of a subsidiary company
land owns four shares of the companyf
n stock and declared that the answer
- OF the president and secretary of the
Il corporation TO the rule In the original
l. ! ~ oceedings was not authorized by tn,
Il directors ot the corporation and die
=. not bear It's seal.
# Josiah Marvel, representing Receiver
4 Townsend did not object to inter
II ventlon for a limited purpose. but op
i. posed Intervention forN general pur
~ poses, saying Intervention for genera
n purposes would establish precedent
'el The chancellor thought Crewfor,
4 should be permitted to intervene 70
81 the purpose of moving for the, vacst
X Ing OF tho receivership.
The Court az Common Pleas. No. Z
for Philadelphia appointed Frnnci
McAdams and Thomas J. Meaghel
Pennsylvania, receivers FOR the corpo
ration on October %. and ChanceNo
Wolcott appointed GeorCe l.. Town
send, Jr. Delaware, receiver on No
Evember 80. IL is understood tina
v Messrs. McAdams and Meaghcr hav
I obtained possession OF the corpora
TONS assets in Philadelphia and tina
MIR. Townsend is trying 10 get con
:. troll of the corporations assets in
!" half dozen states where It does bus
ness. Should Chancellor Wolcott va
cate the Delaware receivership. IL
said. the Philadelphia court could M
sget possession Of the assets In II
states outside OF Pennsylvania, NJ
ne could the Delaware court.