, 1872-11-25
The Ex.President of Erie lnyeiqles
Daniel Drew Into His Parlor.
Daniel Drew Sued by The Erie Rail.
road to Recover $5,000,00o.


| I'LL. 1EeN r -tss ID louSuiJ eStlluat@d " "rIuuo
600, which is probably more than he made il
! his Erie speculation with Eischoffscheim 1
Gold=chmid: and others at that time. 1Ir,
Smiths short interest in Northwestern is said
to be greater than aIr. Dre&;s: The prevail
ing impression that Sunday would gfvotine for a
quiet down, that would result in some kind of
. settlement, vas tot realized, though 1t wonld
! Seem that .Gould's party intond squeezing the
Zig shorts to the. last dollar. No ohe seemed to
think that Kenyon; Cox & Co., or Boyd. Vim
| i Co.; which is one OF the best known houses,
! '1otsld fail. In the Fifth Avenue Hotel; Oh Sat-
'3lday evening: many brokers l; congregated TO to
da3 evening. How things would open
Monday was the great coniecturai point.
One gentleman, who il generally far-sightcd,
! espresscd the belief that 80 1:r as the Wander
bilt p;f:* was concerned, the movement had
for its Ultimate object the crushing ol both
Smith and Gould according to his theory,
Alessrs Clark and schell joined the corner with
Gould after the division between him and aIr.
Smith, being ostensibly friendly to him, tho OBJ
friends and kill them in detail Under this
programme they will at the firEt opportunity de-
cert Gould after accomplishing the ruin Of
Smith.
Some excitement was created by q rumor thai
Gould was to be .rearrested. The story was told
thEt the Erie Company had determined to arrest
him again. t...Et lie might bo held in greater bail
than 81 100000 We learn that the report t>=5ss
NIr. ". B. Duncan has bc5n in any way affected
By the corner in Northwestern is entirely errou
ou5.'
Tue triumph Of the Jay Gould and Vanderbilt
party in cornerlng Daniel Drow, Henry n, Smith,
aud other Wa1l street leaders in Northwestern
shares is neatl;; G;oinp1eto: The battle has gone
against the bears, and they it5t!st nor settle on
tie best terms they can eztort fro1n he vEctors.
tfar 1no in Mar flrthsf firm
Jay Gould says: The bear party consisf5
of Drew, ". 3. Duncan, Henry Smith, ".
B. Travers and others: They were largely
short Of stocks OF the time Of the Boston fire,
Chicago, increased their shorts at the low prices
made on Monday morning. They then appear
to have been offended because Mr.. Scheu, Mr.
Horace F. Clark, and myself wcnt in on the op-
position tack to prevent panic, and, as . der
nier ressort, they got up these legal proceedings,
and have mo arrested in the middle Of the day,
when the large operations Of the street always
being carried On, and as WAS rather considered
the leadeT of the bull movement, they cal
culated such action would create = panic In
stocks.
The public are disposed to accept Gou1d's
version OF his arrest as true. The Vanderbilt
party is severely criticised for shielding Jay
Gould with bail if he has stolen ten millions from
the Erie Treasury. The new managers Of Erie
are also condemned for holding control nine
months before discovering the abstraction of
such an enormous sum.
az stto7nt - c,-ar .'. ~ ;a @
e lntu an .ia asaIps ~ Iotnel Hlae Gu.us WIZ"
foIeJ - n-rohn.as ~ F.;o ths,,t It -
t 1d I ~ ~ v5s1t ApoIS ni;. .n9 eaa.e
ner Northwestern, and advised Drew to 20 short
in Northwestern in order to mask his plans in
Erie. Drew was watching Erie complacently
a "ntn the nrst suaucn l1se IN Eor1n"estern a?
rested nus a1ten1lon ss G very large dose Or his
oTn tlme-honored medicine Ihe small victims
IN Nertn"esIefn ha'e pecn permitted to settle l4
st rom 10 to LAO. II Is SAID that ".
=; ira!els settled YESTERDAY, losing S2oo,coo.
gharies Lamont mas 1aceo the music With q SIM
a lSss d eozn pnd o3er at oS aeoS@
Drew's loss is estimated stl at 92,ooo,ooo and
Snnths oyer S3,ooo,0oo. 1t Is reported that
5nath %ln NOT pay, prefer11ng to abandon his
orohsEs 70 the 1ate, Or Try to clap an Injunction
Ma saies IF
[1o tie Associated P1sss.]
New YonK Nov. 24.-The Times has tina fol-
lowing about the Northwestern corner:
During the morning and in the early part Of
the day, Wm Trayers covered his shorts, pay
up t9 the G rack as and PAID his
These contacts we're Settled on the basis of In
TIE highest estimate Of the amount Of stock OF
which Danlel Drew 1S short, l5 q 600 aEnreH
and the lowest Is, 900. Should he settle in fnli
upon the closing price of Northwestern, he win
lose nearly 81 100000.
Common ru1nor said that Henry N. Smith was
short 40, 900 shares, which will involve him to a
greater extent than Daniel Drew. The oninion
was freely expressed on the street that he would
not pay his Losses in full, but let his brokers
stand the brunt Of the contracts It was said that
Drew was caught in the trap BY device Of
Gould's which was ingenious IN its way.
Gould went to Drew q few weeks ago and sug-
gested the possibility of ''singeing" the street
in Erie, in which transaction the latter was to
appear IS bull. Drew joined in with the idea,
and went to work secretly to buy up large stocks
of Erie, locking them up in safes as fast Us they
were purchased. The stock in this market
was soon gobbled up, and as q
consequence the price Of Erie began to ad-
vance. Gould also bought Erie largely, at low
chasing any when it began to advance. The
stock rose to 56115, and Gould unloaded his en-
tire interest upon Drew, thereby netting con-
siderable profit. Drew, ignorant Of the bad faith
Of his ally, and wondering at the large quanti-
Lies Of Erie stock, which continued to flow in as
he kept on purchasing, went it alone, and was