Democratic Sentinel, Volume 8, Number 22, Rensselaer, Jasper County, 27 June 1884 — GARRISON GOES UNDER. [ARTICLE]

GARRISON GOES UNDER.

An Assignment by the Famous Millionaire for the Benefit of Creditors. 111-Health the Cause —The Action Claimed to Have Been Unnecessary. [New York telegram.] Cornelius K. Garrison has assigned to John T. Perry, with preferences amounting to $631,000. Commodore Garrison is well known as formerly deeply interested in the Pacific Mail, New Orleans and West India steamship lines, and is the largest stockholder in profitable gas companies in this city, St. Louis, New Orleans and other large cities. He was the principal owner of the Missouri Pacific Railroad, but sold out a few years ago to Jay Gould. He has been interested latterly in numerous railway schemes. He was formerly a resident of St. Louis, and made the bulk of his fortune prior to the rebellion.

The preferences amount to $631,390. distributed as follows: Bank of California $30,000 Bank of New York and National Banking Association 20,000 United States Trust Company 100,000 T. W. Pearsoil & Co 50,000 Notes of Eames <t Moore. 30,000 Michigan Car Company 70.000 Nason Manufacturing Company 18,000 Nason Machine Works 14,850 Caringan Bros 30,000 Danwood State Iron Company 4,744 Danworth Company. 2,850 Sundries 30,000 As soon as the announcement was made a crowd of friends visited the Commodore’s office, at No. 5 Bowling Green, where he was found prostrated from sickness and old age, which greatly aggravated his financial embarrassments. He said: “After consultation with my legal advisers, I have made up my mind to take this step, which I believe is for the best interests of myself and my creditors. A temporary pressure was brought to bear on me, and I could see no other way out of the difficulty than to turn my property over to an assignee.” The Commodore’s friends say that he is really unable to attend to business. The assignee said: “Owing to ill-health, the Commodore made an assignment as the best course. No schedule of assets and liabilities has yet been made. Until such schedules are made, the only opinion to be taken is that of his friends, who speak confidently of a large surplus after paying every liability. ” Mr. Rockafeller, of the Standard Oil Company, said: “It is undoubtedly true that the Messrs. Andrews are involved in Commodore Garrison’s trouble, but no matter what happens to them it can have ho effect on the Standard Oil Company. The Messrs. Andrews are simply stockholders, and can easily dispose of their holdings if they think necessary. Reports that officers of this company are in trouble are unqualifiedly false/’

Mr. Melville C. Hay, counsel for Commodore Garrison, said: “The Commodore has been forced to make this assignment because of financial embarrassment, and not for the purpose of evading any just claims which might be made upon him.” Commodore Garnson is deeply involved in the Pittsburgh, Cleveland and Toledo Railroad. He and W. C. Andrews indorsed the notes of the company. One note which was protested was for $50,000 and another for $150,000, both representing part of $300,000 in paper which had been issued by Hie railroad company. It is supposed that the total amount of the Commodore’s liabilities is about $5,000,000.” Solon Humphreys stated that the assignment was made solely on account of the advanced age of the Commodore, and that the assets of the estate are millions more than the liabilities. Commodore Garrison has long been a familiar figure to New Yorkers who in any way were brought into connection with Wall street. Of late years he has suffered from a stroke of paralysis, and he is best remembered as a tall man, with a sallow face and a slow, unsteady step. He was born at Fort Montgomery, N. Y., March 1, 1809, and the ruggedness of his constitution is attested by his defiance, at his age, of the effec' s of paralysis. He laid the foundation of his fortune in St. Louis, beginning his business life by steamboating on the Mississippi River, at a time when the turbulent character of the people ; living along its banks often called for the display of courage on the part of captains ■of river steamboats. William 0. Ralston was a clerk on the Convoy, the first boat that the Commodore commanded, and a friendship existed between the two men up 'to the unhappy death of Mr. Ralston in 1875. Late m the '4os Commodore Garrison established a banking house in PanaSia, interested himself in the steamship nes which were carrying the West India trade, and then went to San Francisco as the representative of the Nicaraguan line of steamers. In this position he received $60,000 a year, and as agent of 'several New York insurance companies he drew an income of $25,000. He was elected Mayor of San Francisco six months after his arrival there. The Commodore was the first cash subscriber for the exploration of a route for the Pacific Railroad, and he became practically the sole owner of what is now known as the Missouri Pacific Railroad. He sold his interest in this corporation to Jay Gould in 1879 for about $4,000,000. He removed to New York before the outbreak of the civil war, and in 1864 his son, William R., came here to end his life in the accident on the New Jersey Central Road, near Long Branch, in 1882. Among the steamship enterprises with .which Commodore Garrison was early associated were the California line and lines ito New Orleans, Savannah, and Brazil, and the United States and Mexico Mail Line. He was one of the original projectors of the Gilbert (now known as the Metropolitan) Elevated Railway, and was heavily interested in the New York Loan and Improvement Company, which built that road. Among other enterprises in which he enlisted was the Wheeling and Lake Erie Railroad.