Evening star., 1923-09-28
|DOLL|NGS COMPANY
| FAKE, SAYS JUDGE
Stockholders Given More
Time in Appeal to Dust Re-
ceiver and Operate Firm.
Special Dispatch to The Star.

Special Dispatch to The Star
PHILADELPHIA, Pa, September
28.-Branding the r. s. Dollings Com
pany of Pennsylvania as fake upon
the face of it," Judge Dickinson, in
the United States district court, yes
terday granted an extension of ten
days on appeal of group of stock
holders to oust Thomas r. White as
receiver and have the company turned
over to them for operation.
The appeal to prevent the CONNER
cial Truck Company and the CONNER
cial Truck Service Company from
gaining a severance from the Dollings
Company, which is sought by Mr.
White, also was held over
The hearing yesterday was marked
by verbal battles between Walter
Biddle Saul, attorney for the stock
holders, and Receiver White, which
was halted several times by Judge
Dickinson.
Judge Denounces FIRMS Methods.
This company looks to me like
. nothing more than a scheme to get
money out of the stockholders" said
Judge Dickinson at the opening OF
the hearing. "The money received
from the sale of stock did not go into
the company: it went into the pock-
is of the promoters.
"The thing was a fake right on the
face of it. 1t was company where
men got together and organized or
reorganized other companies. In the
course of such reorganization they
received a certain percentage Of the
stock of those companies. 1t did not
cost them a cent 1t only meant
half-interest in the future of those
companies.
They then held that stock as a
reaP asset, and against that stock
they took the money of the people
who thought they were getting some
thing real 1t was, in fact, the purest
shadow in the world"
Pleads for Innocent Stockholders.
IF there is anything in the treasury
of the Dollings Company" Mr.. saul
replied, "it belongs to these innocent
stockholders; and. whether 1T was ac-
quired by chicanery or frenZied
finance. it is theirs, and it is up, to
them to say whether they want TO
keep it and try to work IT out, or
whether they want to sell it out
.'The brand is in the burning" re-
sponded Judge Dickinson. but 1t can
be snatched from the fire and can be
salvaged to the extent of between $780,
600 and 100000. If it is left there. it
may all go up in smoke
ment so far asserted Mr.. Saul.
very well, then" said Judge Dick
inson, 'let US get the facts"
Receiver Called to Stand.
Mr. White was then called to the
witness stand and produced large
sheaf of financial statements and re-
ports.
Mr.. White previously had petitioned
the court for permission to accept $340.-
600 for the truck companies, which
would release them from the Dollings
control.
On the stand Mr.. White explained that
he had gone into the matter of the sew
erance of the truck companies thor
oughly and was convinced the PROPOSE
ton was the best the stockholders could
get He conceded, however, that bet
ter offer might be obtained although ne
could not perceive from what source
Mr. White told of his investigation of
the truck companies and expressed the
opinion that the Dollinss connection
had been a blight" upon the COM
panies.
Truck Companies Handicapped.
W. W. Montgomery, representing the
truck companies, agreed with Mr. White
and stated that If the companies were
released from the Dollings control their
prospects would be bright, but so long
as they were in any way connected with
the bankrupt corporation their progress
would be seriously impeded and their
credit affected.
Mr.. Montgomery declared that the
truck companies had extreme difficulty
in obtaining loans on real estate because
of their affilation with the Dollings
company.