In re Marine Machine & Conveyor Co.

• Decision Date: 03 February 1899
• Citation: 91 F. 630
• Parties: In re MARINE MACHINE & CONVEYOR CO.
• Court: U.S. District Court — Southern District of New York

91 F. 630

In re MARINE MACHINE & CONVEYOR CO.

United States District Court, S.D. New York.

February 3, 1899

Hector M. Hitchings, for petitioning creditors.

James M. Ball, for the corporation.

Frederick L. C. Keating, and Joseph Kling, for opposing creditors.

BROWN District Judge.

The Marine Machine & Conveyor Company was incorporated as a manufacturing corporation under the laws of the state of Rhode Island on February 3, 1897, for the manufacture of marine machinery and other purposes. The corporation acquired certain buildings and real estate at Warren, R.I., where it subsequently carried on the manufacturing branch of its business. The general office of the corporation was in New York City, where its officers were to be found, its books kept, its purchases and sales mainly effected, and all its banking business transacted, and where all the meetings of the directors, subsequent to the first, were held.

On June 11, 1898, the company becoming embarrassed, closed its works at Warren, R.I., and discharged all its employes except one watchman and a local superintendent, who were retained for the preservation of the property. Its office in New York was continued, where the meetings of its directors continued to be held and its business in liquidation was transacted.

In September and October a number of suits were commenced against the company in Rhode Island, in which all its property there was attached. On the 29th of October, 1898, in answer to letters of inquiry by creditors, several letters were addressed to its creditors, signed by the president in the corporate name, saying that the company was unable to pay its debts and was willing to be adjudged a bankrupt upon that ground. This was done by authority of the board of directors who on that day had passed a resolution to the same effect; and these creditors afterwards on the 9th day of November, 1898, filed a petition in this court, praying that the company be adjudged bankrupt on the ground above stated and alleging that its principal place of business, during the greater portion of the six months preceding, was at the city of New York and within this district. A subpoena was duly served on the company, who filed no answer. Several creditors, however, who had commenced suits in Rhode Island obtained judgments and issued executions thereon, filed answers to the petition, alleging that the principal place of business was not in New York City, but in Warren, R.I.,...