Evening star., 1947-02-22
Clients Of Williams
Warned NOT 10 Expect
Substantial Return

The veterans who deposited
money for homes which were to
have been built by the George II.
Williams interests have been warned
mot to expect any large percentage
return"
They were given this pessimistic
forecast Of their prospects at the
final session of the first meeting of
creditors yesterday in the Municipal
Court Building.
"At this time, there is no encour-
aging prospect Of a substantial re-
turn" Samuel M. Greenbaum, trus-
tee of the assets Of Williams and
his bankrupt firms, reported.
Mr.. Greenbaum emphasized he
had had time to make only cur
sorry examination of the records. He
said it probably would require a
year or more to determine precisely
what assets remain available for
distribution to creditors.
Other Creditors First.
Referring to the money paid as
deposits on homes, the trustee ad-
vised the veterans, many of whom
we're at the hearing before District
Referee in Bankruptcy John A.
Bresnahan:
THE best way to look at 1t Is as q
loss until such time as there is an
announcement from the court that
there is to be distribution"
Mr.. Greenbaum warned the vet
eranS against mentally slicing them
selves share of any asset items
which may be reported uncovered
by the trustee from time to time.
He explained those making deposits
for houses were general creditors
and would get nothing until certain
classes of preferred creditors speci-
fed by law were given their shares.
Deadline on Objections.
Mr.. Bresnahan reminded creditors
objections to discharge from bank
ruptcy of Williams and his firms
must be filed with the referees
office by March 81. Two veterans
inquired as to the significance of
this a Mr.. Bresnahan explained If
no one objected, the Williams in
terests would be declared free of
debt. If there are objections,
hearing will be held, and the debts
will remain standing if the objec-
tons are sustained, he added.
williams, on the witness stand,
reiterated his claim 1t still would be
possible to complete his projected
housing development at T. B., Md,
where nine houses are partially built
Somebody's going to finish it and
make a lot of money out of it," he
declared.
The nine homes, which he de-
scribed as under roof with some
plumbing and wiring installed,
would give you $4,000" if sold, he
told Mr.. Greenbaum. About $50,000
of this then could be used to build
other houses in the development,
Williams insisted.
Quizzed on Records.
Mr. Greenbaum questioned Will
liams closely about his financial rec
ord-keeping, particularly with re-
spect TO a financial statement the
trustee said was furnished by Will
liams' Office to a firm considering
participating in financing of build
ing operations. Mr.. Greenbaum
wanted to know how much of $19,-
023.47 listed as cash assets as of last
September represented clear assets
and how much represented deposits
by prospective home buyers.
Il haven't the slightest idea,"
said Williams.
Williams said he had no personal
knowledge of the purported financial
statement and explained he usually
left such matters to bookkeeper.
Mr.. Greenbaum asked how often he
went over his books with the book
keeper.
It never went over them with the
bookkeeper."
Later, he added:
''I have been in business since
1885, and I never went over my
records with my bookkeeper."