The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1872-05-24
A Startling Story Of Wall Street
Life
From the New York Star.


Since the days Of young Ketchum's
frauds-by the way, where is young
Ketchum now ?-Wall street has had no
really tirst-class sensation, with the ex-
ception of the Black Friday" panic.
few days since, however, it transpired
that a young man named j. Elmore
Davis, a junior partner of the firm of
Davis & Gum, one door from the corner
of Wall street and Broad, had been
regularly engaged during several months
past in raising money on securities which
did not belong to him. AS has been
said, young Davis held a small proprie
tary interest in the firm OF which his
father was senior partner. Mr. Davis,
Senior, is gentleman well known on
the streetand in New Y ork social circles,
living in handsome style in Twenty
seventh street, and keeping his horses
and carriage. His family consisted Of
himself, wife, two daughters-one of
whom was to have been married next
week-and one son, the young man
spoken of.
For the past two years young Davis
ha. led very fast life, having, besides
two fast horses and the et cetera of fash
ionable frivolity, a share in private
theater situate up town. In these ways
his money-liberally supplied him by
his father has gone, and the money Of
others with it.
The first intimation had of the crash
was some six days ago, when promi-
nent Wall street man, residing in Brook
Ign, who held some $4,000 worth of Sc
curities from Young Davis, drew upon
the firm in the ordinary course of bust
ness for the money. 1t so happened
that the real securities, in the possession
of another broker, had that same day
been presented to Mr.. Gum, the second
member Of the firm. An advertisement
ensucd, and it was speedily discovered
that the securities We're forged.
"Who did you get them OFF" asked
old Mr.. Davis.
Your son, sir" replied the broker.
my son John lmpossible!'
But it was not only possible, but
true. John Eimore Davis was on that
morning engaged with friend out of
the city. He had not the remolest idea
that his crime was discovered, and did
not return to Twenty-seventh street till
late. Arrived there, however, he found
his poor old father, who had borne an
honorable reputation in Wall street for
forty years, sitting up for him. The
young man was slightly intoxicated, but
the bitter reproaches OF his father
brought him TO his senses.
But the worst was not vet known.
Thrty-fve thousand dollars was n small
drop in the financial bucket. The next
day fresh frauds were discovered,
amounting, including the forged secu-
rites to over quarter OF a million of
dollars The broker who held the
original $4,000 worth of securities had
friends who also held securities obtain
ed from young Davis, and the moment
the whisper went round that they were
"not good the office of DAVIS a Gum
was besieged. 1t is stated that no fewer
than thirteen prominent houses in Wall
street were bitten, and every one de-
clares that it was the reputation of the
houses, and not of young Davis himself,
that led TO 1t. The firm, of course, be-
came responsible for the whole amount
of the frauds, and to the credit of hui
man nature be il said that Mr.. Gum,
the second partner, expressed his will
lingness that the whole of the losses
shall fall upon the house, the partners
to share alike in supplying the deficit.
Old Mr.. Davis, however, would not hear
of it. 1t is said that when Mr.. Gum
made his proposition he declared that
so long as his private fortune would
hold him out, he would "pony up him.
SELF
Already over 100000 of the debt has
been wiped out, and Mr.. Davis ex-
presses his willingness to redeem the
whole of the forged securities within
made full confession, and has, it is re.
ported, departed for Brazil. At all
events, he has left New York, leaving
behind him legacy of fraudulent debts
and ruined home.