New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-09-09
A WALL-ST. CRISIS.
THE DECLINE IN GOLD WORKS RUIN

| ne sensational events OF the past Week III
"allst eliminated yesterday in further decline OF
gold 10 ll2 and the formal announcement OF the sus
pension of heretofore sound financial insti-
! tuition, with the probable failure OF two heavy
| stock and merchandise operators With the
| opening Of business the Stock Exchange
series OF alarming rumors were set in circulation
Failures Of wealthy merchants and bankers were freely
reported by the bears" and there was general rush
TO sell stocks Prices declined from TO u cent, and
the whole list was affected Subsequently, however,
there was marked reaction and better feeling pre-.
| vailed.
On Saturday morning the rumors OF impending evil
which had been causing uneasiness in Wast began TO
take shape and suspicion directed against several
houses which yet, however, have not shown any
symptoms OF weakness. Great uneasness prevailed,
and Sunday evening large number OF operators who
had gone to Long Branch arrived in this city, deter
mined TO be hand and TO avail themselves OF the
earliest phases OF the market in the morning. This Sc.
lect circle of operators had received special information
and had the city with the view OF selling out
their long" stocks and going short" Of others Their
information had from peculiar sources aud was
tnged with almost tragic interest
MR.. LAMoNr's LAST SCHEME.
It appears that the late Charles A. Lamont two days
before mis- death had received limitations OF the embar
easements OF financial institution, and with the char
aeteristc shrewdness of stock operator had promptly
determined TO turn the information to his own benefit.
Knowing the depressing effect It would have upon the
stock market went short OF long line of stocks,
amounting TO many thousands Of shares, and bought
puts for about much more. He then telegraphed
to William r. Travers, his broker and partner, aud some
other friends to to this city, with view to as
ssting him.
AT this interview with his broker and friends he i'm
parted the information that il the New-York Ware
house and Security Company Of No. Is Pinest which
in trouble, and that Francis skiddy and Sheppard
Candy extensive sugar Dealers also seriously,
IL irretrievaby involved IL just after this IN
teryew that Mr.. Lamont came to his unt.mely end
After the discovery OF his body in the the news OF
his last financial and stock operations spread rapidly
until they reached Wall-,t, when other heavy sales
were made with the effects noted above.
IL is alleged that when Mr. Skddy discovered his pre-
carious position be sought Lamont with whom he had
business relations when the attor in the sugar bus
mess under the name OF Plume lamont Telling him
Of his circumstances, he was mprudent enough to say
that unless relief were extended no himself Candy and
the Warehouse Company would have to 90 under. II
is reported that Mr.. Lamont requested Mr.. Skddy
to call again on the In the mean time Mr.. La
mont made his " book" the stock market noted
above and when Mr.. skiddy called, Informed him that
nothing could be done for him Candy. The theory Is
that he ended to use failure OF skiddy, Candy
and the Warehouse Company means OF breaking the
market for the profit OF the "bears." Mr.. LamOnts
friends, however, Indignantly deny this story.
SUSPENSION OF WAREHOUSE AND SECURITY COM
PASY
Application was made to the officers Of The NewYOrk
Warehouse and Security Company OF No. % Pnest for
information. The Office strangely quiet, aud the
two or three persons apparently connected with
preoccupied and nervous The doors were thrown open
but business apparently proceeding An inquiry
for the officials elected reference to Mr. johnson
who stood in q talking With another person. Mr..
johnson declined TO answer any inquiries and hurredy
retired the reporters presence to the back office,
uhtpb uas clerical
groundelass partitions. Through these partitions, how
ever, several TO be SEEN apparently engaged
in earnest discussion Turning to another atachc or
the Office the reporter again applied for Information
but was refused with the accompanying remark that If
there was anything to mpart, It would be given after
8 p. m. Leaving the uncOngenal atmosphere OF the
Company the reporter sought other sources Of nforma
ton and elected the fact that the troubles Of the Com
pany were due 10 its relations WIN several OF
its directors II appears that Francis skddy
importer OF No. wast. and Sheppard Candy of No
60 Was both heavy sugar importers, were directors
Of the New-Yor Warehouse and Security Company and
also directors OF tho Missouri, Kansas and Texas Rail
way Company now in course of construction They had
invested 40 heavily in this road and elsewhere that
their large and excellent credit could not
carry them through and they therefore obtained loans
from the Security Company on the STOCK
and bonds of the latter and other corporations The
Warehouse and Security Company however. had
mature and unless OF the loans which 1t had made
10 Messrs skiddy and Candy were taken up
they could not meet their obligations. Frequent
consultations held, but without satisfactory re-
suits az the dsordere condition OF the money market
and the fact that the kansas Missouri and Texas Sc
curities were not negotiable in Wslst precuded tho
making OF loans In other and less partial quarters
meeting of the directors had therefore been called yes
terday morning and IL resolved TO suspend tempo
rarily and call meeting OF creditors on Thursday to
take action in the matter.
Returning again to the Office OF tho suspended Ware
house and Security Company, the reporter this time
sought the Secretary, ID. b. Bell, and resumed ms IN
ouiries Mr. Bell said that It WAS true that the Com
pany WAS in some in consequence Of the
fact that II had made securities which were not
mmedia ely available, and at meeting OF directors III
the morning 1t had been resolved to suspend IN order
that Justice might be done to all the creditors meeting
OF whom wond be held on Thursday, at which an ex-
tension would be asked In response 10 inquiries he
said that the loans were made 10 numOer OF
Southern aud railroads. He c0uid nor specify
any particular road or amount, nor como ho give
sslS tho COMPANY had operation about ten years
with about the same administration siId PWsn
Lazarus. Sheppard Candy, Guion oil Milams * LYNN
and Charles Laog mn camSonv is 81 100000 half OF
which Is held by the directors No deposits wHre ~
ceiyed. the principal baslne Of te rnr secnr.es
This paper was held by wealthy persons ana lhe e1
tension asked for would probably BIS granted Ihe oom
pany would undoubtedly pay dollar io5 dollar: c,.,
AS the failure OF the Warehouse ana Seery COMPANY
and Texas Railway Company, application was bane 10
the officials Of the latter corporation TOT ~
the Secretary said that the Missouri Kansas and Texas
Hallway Company had not gone To protest tnat s Co
nous had been and would be- paid. The Company was |
TDdr no obl TO the Warehouse and security Com
pany and rumor that there were any te1ions
hy arose from the fact that two prominent directors OF
The RaiIway Company, who we're also directors OF the
Warehouse Company, we're said 10 DO oi"parr'sS'u'