The New York herald., 1922-05-11
Never Agreed to Give I'm
munity for $4,000 They
Assert.
PLAN BIG COLLECTIONS
Will Claim All Profits From
Dier Trades for Aid of
Creditors.

Saul S. Myers, counsel for the re-
ceiver Of e. D. DER & Co.. in denying
last night that he had offered i'm
munity from examination in the DER
case to the bankrupt firm of Car
pender, Caffry & Co. upon considera-
ton of $4,000, emphasized that no
such accusation could prevent him
from showing that other members Of
the New York, Consolidated and Curb
stock exchanges were engaged in i'm
proper practices"
In explanation of the charge made
Tuesday by Charles w. Caffry when
his firm failed. Mr.. Myers said that
Nash lockwood, attorney for the DER
concern, had asked how much it would
take to settle the Dier claims against
the Carpenter firm. Manfred w.
Enrich, receiver for the DER COM
pany. Mr.. Myers said, suggested
$4,000.
Says He Found Queer Deals.
Mr.. Myers continued that from his
Investigations he is convinced Carpen-
der, Caffry 6 Co. knew the DER firm
was nuilifying it's customers orders and
in these circumstances would have been
obliged to turn back to the DER credit
ors all moneys received from those al
legged improper transactions. The profits
on those transactions, he asserted,
amounted to more than $4,000.
Arthur Garfield Hays. associated with
Mr.. Myers as counsel for the receiver,
issued a statement in which he said he
had told Joseph Spencer, counsel for
the Carpender firm, that not only did
the Dier creditors have claims against
his clients bat against all Stock Ex-
change firms that had done business
with DER & Co., both in connection with
notification of orders and with the way
the business of DER & Co. was handled
by those firms.
Mr.. Myers charged that the Carpenter
firm was carrying on similar transac-
tions with Clarkson & Co, another stock
brokerage house which failed recently,
and for which Mr.. Myers also Is re-
ceiver's attorney.
Mr.. Myers's statement follows:
my attention has been called to an
article In this mornings HERALD. in
which Mr.. Caffrey is credited with
having suggested that / offered to re-
lieve Carpenter. Caffry & Co from an
examination before Referee Miller in the
Dier case provided Mr.. Caffry paid me
personally $4,000.
THAT statement Is absolutely untrue.
Il. Waring Wilson, half owner of Car
pender Caffry & Co., called at my office
on Friday, April 2S last, with Sentor
Loring Black. This was in pursuance
of an appointment previously arranged
at the request of the Senator.
"Our process servers had for several
days previously been trying to serve
subpoena on Mr.. Wilson.
"At this interview I personally SUBJ
poenaed Mr.. Wilson for the hearing on
Nav Q at p. NJ. Mr.. Wilson wanted to
nave the matter adjourned. I told him
that there had been considerable delay
already in the investigation Of those
stock exchange houses who we believe
had been cooperating with bucket shops
and that the receiver was insistent upon
the matter proceeding.
Claims of Receivers.
"Mr. Wilson wanted to know what the
receivers claims were. / told him that
IL was claimed that Wilson was the
dummy for DER in the firm of Carpen-
der. Caffry e. Co.; that Whatever wilson
owned in that firm belonged TO the DER
creditors and that the firm was legally
liable to the Dier creditors tor all the
commissions and interest which II had
received from Dier in connection with
these bucket shop transactions and the
notification of customers orders.
"Mr. Wilson wanted to know whether
these claims could not be adjusted. l
told him that they could be. He wanted
an adjournment OF the examination. i
told him that / would be glad to recon-
mend to the receiver that the adjourn
nent be had II he. Mr.. Wilson. would
say that these claims would be ad-
tusted on some fair basis. He said the
firm could not pay any money at that
time. as 1t did not have any TO spare
and that II 1t had to meet any unusual
demands It would be better for the
firm TO make an assignment for the
benefit of its creditors.
"He went away and promised TO let
Continued on Page Seven.