Evening star., 1946-12-24
Veterans Seek
Sd bankruptcy
For Williams
Attorney Plans Fight
To Salvage Some Of
Deposits on Homes

An attorney for some of the vet
erans who made $500 to $1,000
deposits on homes George H. Will
liams failed to complete, today
served notice he will fight to get
Williams Properties, Inc, the real
estate mans BODYBUILDING corpora
tion, thrown into bankruptcy.
Both Williams and his real estate
firm, the George H. Williams Co.,
were declared bankrupt Yesterday
but Williams contested bankruptcy
action in the case of Williams Prop
critics, Inc, on the ground that "a
large number of houses" are under
construction and can be completed
in nearby Maryland.
Henry S. Goodman, who repre-
sents six of nearly 200 veterans
trying to salvage homes or refunds
out of the Williams financial tangle,
said he will contend Williams is the
corporation and if the real estate
man is bankrupt, so is his corpora
ton.
Contest Further Complicates Issue.
The attorney will present his ar
guments January 3, when a hearing
will be held to determine whether
Williams Properties, Inc, is SOL
vent.
Williams contest of the third
bankruptcy action, Mr.. Goodman
felt, further complicates the tangled
web of Williams financial affairs
and throws considerable doubt on
whether the veterans are creditors
OF bankrupt firm or a solvent one.
Mr.. Goodman said he didn't think
Williams himself knows which per-
sons are creditors Of the corporation
and which are creditors of Williams
personally.
Contracts Signed By Williams.
Just to complicate matters little
more, it was disclosed that the con-
tracts held by the veterans for the
homes Williams didn't build are
signed by the George H. Williams
Co. as agent for the sales and by
Williams as president of Williams
Properties, Inc.
The contracts, Mr.. Goodman said,
convey the impression that the real
estate company made the sales to
veterans and Williams Properties,
Inc, approved the contracts.
Mr.. Goodman said he will argue
that the veterans are creditors Of
the corporation as we'll as of the in
dividual and therefore the corpora
ton also is insolvent.
To List Veterans as Creditors.
Robert w. Mccullough, attorney
for Williams, who has five days in
which, prepare list of creditors
for Referee in Bankruptcy John A.
Bresnahan, said he planned to in
clude the veterans among the cred
itors of Williams personally.
| Mechanics, plumbers, electricians
and others who worked on Will
liams' unfinished project at Gwynn
Park, near Clinton, Md, will not
be included on the list, Mr.. McCul-
Tough said. They should look TO
the corporation, rather than to Will
liams individually, for their pay, he
Explained.
He said he agreed that Williams
Properties. Inc, and Williams indi-
vidually are substantially the same,
and that is why Williams proposed
appointment of a receiver to COM
plete the Gwynn Park houses, COL
lect the possible profits and turn
them over to the trustee in bank
ruptcy for distribution to Williams
personal creditors.
In another development, Mr..
Mccullough met this morning with
Louis H. Cohen. one of the tempo
rary receivers appointed by the court
last Saturday.
The receiver arranged to give Mr..
Mccullough a chance to look over
the records and make up a list of
creditors before the books are i'm
pounded. Later this week the re-
ceiverS plan to make the rounds of
Williams Office. collecting all the
books, records and other documents
to be held until a trustee is selected
to Distribute the assets