Worcester daily spy. [volume] (Worcester [Mass.]) 1850-1888, 1872-11-25
The Northwestern Stock Game
Treachery in the CircIe-AIs Connection
with 5aV GOuId's Arrest-AnxicIy for
EuIurc Action.

NEW YORK, Nov. 24-The Times saws VIM.
k. Traverse Yesterday settled his Northwestern
shorts at 100, with loss of $4,000 Charles
Lamont faced the music at the same figure and
Tor about the same sum. 1t is expected that
the rest of the short interest will be settled to-
morrow. The highest estimate of the amount
OF stock in which Daniel Drew is short is n 900
shares, and the lowest 10000. Should he settle
IN full upon the closing price Of Northwestern
lie VIII lose nearly 81 500 600. Common rumor
SAID Henry n. Smith was short 10000 shares.
Mhicu VIII involve him 10 4 greater extent than
Drew The opinion is freely expressed on the
street that he will not pay his losses in full,
but let his brokers stand the bruut
OF contracts. 1t is said that Drew was
caught III the trap by device of GOuld's, which
Is ingenious in its way. Gould went TO Drew
few weeks. ago and suggested the possibility of
slngeln%N the street onErie, in which transaction
the latter was TO appear as "bull.' Drew Joined
IN with the idea, and went to work secretly to
buy up large blocks of Erie, locking them up
as fast as purchased The stock in this marker
was soon gobbled up and the price of Erie ad-
Yanced. Gould also bought Erie largely at low
hgureS on the start, but ahStaned from pur-
chasing any when it begun to advance. The
stock rose to 564 and Gould unlOaded his entire
interest upon Drew, netting considerable profit.
Drew, Ignorant of the bad faith of his
ally and wondering at the large
quantities of Erie stock which continued
to flow in, went it alone, and was
making fair progress in bulling the market on
his own account. When Gould learned the
new card, he became acquainted with the fact
that Horace F. Clark, Augustus Schell, and the
Nander0llt party generally, were endeuvorng
TO obtain control of Chicago and Northwestern
stock i'll order to get the road in their own
hands and supply the missing link in the great
railroad chain to the west. He tbereuDon formed
a coalit IN with the Northwestern Clique, and,
going to Drew, who still supposed he was help
ing him to bull Erie, suggested that as blind
to their real operations it would be a good plan
TO 90 short III Northwestern and thereby throw
the street off the scent. Drew, relying upon the
judgment of his quOndam associate in Erie, ac-
guessed by infringement upon his brokers,
executed his orders, and the design was accom-
plsEed. The attention of Drew became alb
sorbed in the success Of the Eric bull movement
ana, While he was watching the rise, he paid
little attention to Northwestern.
Drew, realizing the perfdy of Gould fully,
yesterday sold out his Erie stock, and il is sup
posed will use the proceeds to settle up with the
successful parties He also unlOaded a large
amount of Wabash and various other stocks.
1t is expected that he will settle on Monday.
AT the Filth Avenue hotel last night there
was considerable excitement among the bankers,
merchants and brokers, caused by the various
reports circulated relative to the arrest of
Gould, and its connection with the Northwest
ern corner. The story, as it gained circulation,
was that the Erie company had determined to
arrest Gould again, that he might be held in
greater bail than 81 100000 This is contra
deted in several quarters, but there seemed no
adequate grounds either for its assertion or de-
NAL
Watson, president Of the Erie, stated that it
was his intention to have the bail made large
enough to in some way guard against Gould's
running away; but that was his only object,
and totally disconnected with stock iobbing
Watson thought million dollars sufficient bail
for the present, although he deprecated the Gus
tom of diminishing bail as proportions of de
falCatiOn increase.
Much interest is manifested concerning the
events of tomorrow in Wall street, and the
anxiety in regard to the course of the market
is intense.
The World says: eve are greatly mistaken
in the character of Watson if, having once
grappled with the crying curse Of our country
in the person of one of its most notorious repre-
sentatives, he does not keep his hold with bull
dog tenacity until he has brought his quarry to
the earth,
w. + rravers, in a card in the Herald, denies
having any interest in any plot or pool with
Drew, Smith and Others in the Northwestern,
and says he has not stepped up to any captains
office TO settle.