WAUPACA COUNTY NEWS

April 27, 1922

 

GO INTO BANKRUPTCY

Jorgensen Manufacturing Company Filed Voluntary Petition With Federal Judge Last Friday

 

LIABILITIES ARE $42,000.00

Not Known Officially What Assets Are

Directors to Hold Second Meeting

Attempt Will be Made to Keep Plant in Waupaca

 

            On Friday, April 21^st, following a meeting of the directors held the same day, the Jorgensen Manufacturing Company of Waupaca, filed a voluntary petition in bankruptcy.  The petition went to Federal Judge Geiger at Milwaukee, and the papers have already been forwarded from the federal judges offices to the referee in bankruptcy of the Eastern District of Wisconsin, whose office is at Oshkosh.  It is expected that the company will go through the bankruptcy proceeding in from three to five weeks.

            The liabilities of the Jorgensen Company are in the neighborhood of $42,000.00, while the directors and officers of the company place the assets at about $125,000.  What an appraiser would place the value of the property at is not known.

            The directors of the company will hold a second meeting in a short time, when a committee will be appointed, consisting of twenty stockholders, who will make a personal call on every stockholder in an attempt to see if money cannot be raised to buy the plant back from the receiver, and keep the business in Waupaca.

            If this is done it will be necessary for the stockholders to raise a sum of money sufficient to pay the entire indebtedness – 100 cents on the $1.00 – and an additional sum for operating expenses.  If this can not be done and the property is sold under the hammer it will probably bring a sum far from the real value and the result will be that the creditors will receive a settlement at anywhere from 30 cents on the dollar up.  It is understood at present that there will be two or three bids, from outsiders for the property.

            The referee in bankruptcy has not as yet appointed a receiver for the company.