Fulton County GaArchives News.....Eastern Creditors June 25, 1891
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Linda Blum-Barton http://www.genrecords.net/emailregistry/vols/00003.html#0000645 April 4, 2006, 7:48 pm

The Atlanta Constitution June 25, 1891
Meet and Discuss Mr. Ryan and His Failure.
Hot Talk from Mr. Lawrence -- He Reports at Length Upon His Visit to Atlanta.
Talk About What He Saw.
Boston, June 24. -- A stormy meeting of the eastern creditors of Stephen A. 
Ryan, dealer in boots, shoes, dry goods, clothing, etc., at Atlanta, was held 
in this city this afternoon, in the offices of the American Boot and Shoe 
Reporting Company.

Mr. E. C. Lawrence, president of this company, recently visited Atlanta in the 
interest of creditors, and he gave to the meeting the result of his 
investigation.

He said he found the store in Atlanta in the possession of the sheriff.  It was 
closed on mortgages given to John Ryan, the debtor's father, to secure him for 
his endorsements on some thirty notes, aggregating $375,319.28.

The real estate has all been turned over to John F. Ryan, the debtor's brother, 
who was in partnership with Stephen until August, 1889, but whose interest was 
then bought out by the latter.  L. & C. Wise, of New York, had made an 
application for the appointment of a receiver for the debtor, but before a 
hearing was had upon the petition, other creditors filed an amended petition, 
charging fraud and conspiracy.  Judge Clarke thereupon appointed a temporary 
receiver, and allowed claimants for goods to go into the store, and if possible 
identify their property, not, however permitting the goods to be removed.  The 
temporary receiver appointed was the sheriff.  It is expected that there will 
be a hearing on the appointment of a permanent receiver next Saturday, and it 
is thought that a receiver will be appointed.  Mr. Ryan kept no regular set of 
books, the only thing of the kind being a petty ledger.  There was no daybook, 
no journal and no cashbook.  The petty ledger has been assigned to the bank, 
and the bank refused to give it up, though it allowed it to be seen.  There 
were no entries whatever from April 10th to May 26th.  There were about eighty 
clerks in all, and Mr. Lawrence said that the store was closed when it was 
because the clerks were stealing the receipts to a considerable extent.  The 
stock includes many fine grades of goods, and is variously estimated to 
aggregrate from $350,000 to $500,000.

Mr. Lawrence gave it as his opinion that the liabilities aggregate $1,000,000, 
though, as there was no set of books from which to derive information, it was 
impossible to get exact figures as to the amount of the indebtedness.  Goods 
had been sold at a great sacrifice by Mr. Ryan, silks being sold at 12 cents a 
yeard; laundried shirts at 10 cents and shoes that cost $5 a pair, at $3.

Mr. Lawrence characterized the failure as a fraud, and said it was so regarded 
in Atlanta.  He gave it as his opinion that Mr. Ryan would pay only what he was 
compelled to pay, and would not pay a cent if he could possibly avoid it.

A lively discussion followed Mr. Lawrence's report, it finally being decided to 
fight the case in the courts. 

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