$4,427,608 ESTIMATE OF STRAUS ESTATE

New York Times

The Figures, However, Are Tentative, as Final Appraisal Has Not Been Filed
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MORE HEARINGS TO BE HELD
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Partial Schedules in the Estate of Benjamin Guggenheim Show Assets of $748,000
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Edmond E. Wise, head of the law firm of Wise & Seligsberg of 27 William Street, counsel for the estate of Isidor Straus, who lost his life In the sinking of the Titanic, expressed surprise yesterday at his home in Elberon, N. J., when informed of a published attempt to give a detailed account of the appraisal of the estates of Mr. Straus and of his wife, Mrs. Ida Straus, who perished with him. Mr. Wise said:

"The published report cannot and does not, I am sure, represent the final judgment of Appraiser Garvin, who promised that we should have an opportunity to offer more testimony before formulating his report."

Notwithstanding a statement that the appraisals had been filed, no report in either of the Straus estates was deposited in the office of the Transfer Tax Bureau of the Surrogate's Court on Saturday, according to William H. Loughran of 224 East Fifty-third Street, chief of that bureau.

Appraiser Garvin was not at his office in the Deputy State Controller's headquarters on Saturday, the day he was represented as signing the reports. During the last few weeks various incomplete and unsigned reports of the inheritance tax appraisers have been offered for sale at several newspaper offices. These were on the official stationery of the State Controller's office, and appeared to be carbon coples of lists of securities and testimony given in appraiser's hearings.

Attorney Wise said yesterday that any published figures could represent nothing more than a first draft of the estate, and that he had been advised recently that Mr. Garvin would not take any further action on the Straus appraisals for some time.

Estate Placed at $4,427,608

The report in question gives this account of the assets and deductions from the taxable total of Mr. Straus?s estate:

ASSETS.
Real property..........$400,000
Cash in hand and on deposit..........2,423
Personal chattels, bonds and mortgages..........20,516
Corporate bonds and stock..........71,004
Interest in co-partnership or business..........3,381,163
Total assets..........4,565,106

DEDUCTIONS
Funeral expenses..........$2,716
Administrator's expenses, including attorney's fees..........55,000
Commissions, including appraiser?s fees..........18,008
State inheritance tax and incidental items..........61,773
Total deductions.......... $137,497

Net estate..........$4,427,608

The gross value of the estate of Mrs. Straus was placed at $325,578 and its net value at $319,940.

Mr. Straus's interest in the various co-partnerships was thus stated:

R. H. Macy & Co.?Tangible assets, $602,777; good will, $1,101,268: real estate, $1,637,834.

Abraham & Straus---Good will, $374,258.

L. Straus & Sons---Tangible assets, $9,741; good will, $165,194.

It a customary in appraisals of estates where the good will of a going business is included among the assets to give an account of the profits of the business over a period of years. Since the appraisers usually accept such figures as final on the sworn statement of the auditor of the business these figures will appear in the final appraisal. According to this draft of the report R. H. Macy & Co.'s profits were divided on this basis in 1912:

Isidor Straus, 26 per cent..........$549,741
Nathan Straus, 50 per cent..........1,057,194
J. L. Straus, son of Isidor, 8 per cent.........169,151
Percy Straus, son of Isidor, 8 per cent..........169,151
H. W. Straus, son of Isidor, 8 per cent..........169,151
Total profits..........$2,114.388

Sons' Interests in Macy & Co.

It was stated yesterday that Mr. Straus, originally an equal partner in the Macy corporation with his brother, Nathan Straus, had presented 24 per cent. of the corporation?s stock to his three sons in equal shares of 8 per cent. each four years before his death.

Mr. Straus's will created life trust funds of $500,000 each in favor of his three daughters. Mrs. Straus left no will. In accordance with the long-established legal precedent, that in the absence of evidence to the contrary that it shall be presumed when husband and wife perish in a common catastrophe that the wife died first, the divisible shares of the Straus heirs were computed without taking into consideration a $1,200,000 trust fund Mr. Straus had provided for his wife.

The taxable share of each of Mr. Straus's sons was put at $465,859.67 in the tentative report, and those of his daughters as follows: Mrs. Sarah Hess of 154 West Seventy-second Street, at $701,851; Mrs. Minnie Weil of 163 West Eighty-sixth Street at $708,074, and Mrs. Vivian Scheftel of the Hotel Plaza, at $723,701. The discrepancy in the taxes against the daughters was due to the fact that owing to differences in their ages it was presumed that their life estates in $500,000 had different values. Mr. Straus's residence at West 105th Street, Broadway and West End Avenue, was appraised tentatively at $488,000.

Benjamin Guggenheim's Estate

What purported to be a list of the assets and liabilities of Benjamin Guggenheim, who also perished in the sinking of the Titanic, was also made public yesterday. Schedules of these assets were said to have been. deposited in the State Controller's office by Mr. Guggenheim's brother and the executors of his estate. The schedules showed holdings estimated by the executors at $748,010.16 and large stock and bond holdings on which no estimate was offered. The list of liabilities included $908,172.86.

Among the claims held by Mr. Guggenheim was one of $500,000 against Elie Cohen & Co., Elie Cohen individually and Rudie Kahn, individually, all of Paris, now in the hands of Coudert Brothers for collection. The report of the executors of the Guggenheim estate show real estate holdings at 192 to 200 Greene Street, Manhattan, valued at $13,812.50. They also report:

Cash on hand and on deposit:
Cash deposit with M. Guggenheim Sons..........$114,196
National Bank of Commerce..........3,406
Standard Trust Company..........128
E. de Goldschmidt & Co., Paris.... 2,163
Seligman Freres, Paris..........3,012
Society Marseillaise..........653
Deposit H. Content & Co..........218,305
Total..........$341,863

STOCKS AND BONDS
2,000 Auto Club of America 4 per cent. bonds..........$2,000
61,000 Newton Gas and Electric 5 per cent. bonds..........18,000
2,000 Century Country Club 4 per cent. bonds..........18,000
1,000 City Athletic Club 4 per cent. bonds..........1,000
5,000 Criterion Club second mortgage 4 per cent. bonds..........5,000
6,050 Bunker Hill and Sullivan Mining and Concentrating Company, par value $10..........90,750
5,000 Doeuillet, Ltd.,an English company ..........23,190
3,009 Preferred New River Collieries Company..........120,360
200 Banque Continental de Paris..........10,000
2,857 shares Guggenheim Smelting Company at 10..........28,570
1,426 share Great National Mexican Smelting Company at $5..........7,130
143 shares Mexican Union Railway Company at 25..........3,575

NOT ESTIMATED

10,500 shares International Pump common and 2,000 shares preferred as security for loan at National Park Bank.

6,000 shares International Pump Company common and 1,000 shares preferred as security for loan at National Bank of Commerce.

2,700 shares International Pump Company as security for loan at Hirsch-Lillienthal Company.

50,040 shares Justice Mining Company, Incorporated, New Jersey, par value $1.

DEBTS

Loan at National Bank of Commerce..........$150,000
Loan at National Park Bank..........300,000
Loan at Hirsch-Lillienthal Co...........46,687
Loan at Seligsberg & Co...........27,631
J. & W. Seligman, "put-back" contract made by Guggenheim to purchase on May 31, 1912, 7,400 of International Pump common stock at $38..........281,200
Hallgarten & Co., contract to purchase 300 shares International Pump common, May 31, 1911..........11,400
Post &. Flagg, ?put-back? contract to purchase 3,000 shares International Pump at $38, May 31, 1912..........114,000
Jules Porges, through 'National City Bank, "put-back" contract to purchase 2,000 shares International Pump common March 17, 1913. at $30..........60,000
Speyer & Co., "put-back" contract for 2,000 shares International Pump common, May 31, 1913, at $30..........60,000
H. Content & Co., account in the name of Willis Farrington, guaranteed by Guggenheim, amounting to $87,216.98, for which there were 1,000 shares International Pump preferred, valued at $81,500, leaving balance due of..........5,716
Alphonse Jongers, artist, claim of $5,000 for painting two portraits of Mr. Guggenheim. Mr. Jongers held two notes aggregating $2,145.03, leaving unpaid due on claim..........1,000
Owed to International Steam Pump Company..........15,200
Florette Guggenheim..........9,407
Benita R. Guggenheim..........3,607
Marguerite S. Guggenheim..........2,303
Hazel Guggenheim..........1,632

The International Steam Pump Company is a Guggenheim corporation.

Related Biographies:
Benjamin Guggenheim
Isidor Straus
Rosalie Ida Straus

Contributor
Mark Baber

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(1913) $4,427,608 ESTIMATE OF STRAUS ESTATE New York Times (ref: #4379, accessed 27th June 2017 08:21:35 AM) URL : https://www.encyclopedia-titanica.org/4427608-estimate-straus-estate.html

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    Added to Encyclopedia Titanica Sunday 30th January 2005, last updated .