Show m ANCES AR BADLY TANGLED Fidelity Funding Co Has Lia Liabilities liabilities Liabilities to the Amount of Nearly CATHOLIC CHURCHES LOSE ALSO SEMINARIES SEMINARIES COLLEGES PRIESTS AND NUNS x N u York Voik Dec 7 That the affairs In inIn th ir 1 Fidelity Funding company compan Mi i in m 1 to finance Catholic operations and which went oJ 1 th hands bands of a receiver a few exceedingly tan are In an 5 kS ago a ag Sl 11 was asserted assorted by b Reedy Recel S r Thomas Thonas F Gilroy jr in a statement tr tda ay ayA f A v to Receiver Gilroy GUro the com corn r n Y liabilities will aggregate not less with practically no as ast asa ta a t f Its creditors include fifty S ut hes seminaries colleges and many man S and amI nuns These Thee are located t I m 11 the New England states to Ore I r Chief among the cred credi 1 i irs rs ire arC tr St t Marys academy of Nau 50 OJ III which is If Involved for at least i j MI Books and Papers Missing I I I 1 annot give even an approximate approximated d da a of the affairs at this I imp i me roe said Receiver Gilroy as some someS someI I S f t the thc most Important books and papers 1 ar T fl missing miming I understand that I r rt nt t Kieran of the company com pan d 1 them th m as his bis personal property Most of the loans were to toan toI toJ J I an HI for twenty years In addition to these loans the tIte company also issued t I Insurance against the lives of priests 1 iid nd nuns The company compan it seems seem also M sold old d its I bonds to representatives of ot the Catholic f hurch These TIte are secured according to the receiver by bJ mortgages on prop I frt Tt but how much may he hI recovered rom from this source It is as a yet impossible f t sayIn sayIn say sayIn In addition to the funding company compan president Kieran also aso conducted a num numer er r of subsidiary companies including tin th u Columbia Construction company com pan pani i r 1 l Ml Construction company com pan McBride Studios company compan and the Western estern Illi iuis teis i Iowa Railroad company compano Small Amount Paid In InThe InThe The Tiie authorized capital of the Fidelity loi g company was and surplus Of this amount not more than about was actually I paid ud in the receiver states the buy of the stock being for the most part priests and nuns Former Secretary of ot the Treasury l L Leslie slie M 1 Shaw is down in the com corn books made a loan of to Kieran and purchased of the stock The present head of the company Is Duncan H Sill and among its former directors were wre Father Lanigan vicar Icar general of the Buffalo diocese and Fa Father ther Fletcher FINcher pastor of the Baltimore cathedral The receiver er says sas be he will bring suits a against a number of or banks ba kS and financial institutions on n the ground that heavy beavy bonuses bonus s were for loans made to the Fidelity Funding company compan Kieran Not In Hiding Colby Colb of the law la firm of ot Colby tolby 8 Goldbeck counsel for P J Kieran president of ot the Fidelity Fund FundIn In i company issued a statement tonight 11 ri it which he said sald that there was no mys ms mystery tery ry as to tho the whereabouts of Mr Ir Kier Kler Kiern Kleri i n 11 There has been at no time recent I 0 he said sald an occasion when Mr r Kier tn m could not be reached by the receiver The statement says sas Since the sudden application for the of a temporary receiver for the company some weeks ago abo Mr Jr Kieran has been occupied in making personal visits to various Catholic in institutions Institutions Institutions in order to explain the con condition condition of or the company and the circum circumstances I stances surrounding the sudden and y n expected appointment of oC the tIm temporary t receiver The application was made under circumstances which Mr III Kieran regarded as a breach of faith by certain certain tain tam banks and trust trusty companies which are creditors of the Fidelity Funding company and notwithstanding the con controversy controversy which arose over the appoint appointment appointment appointment ment of a receiver re elver between larger cred creditors credItors and the president and anti officers of ot the corporation Mr Ill Kierans efforts to rehabilitate the company and secure all parties from loss have hac been b cn constant and untiring |