Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-10-25
FINANCIAL.
The Lake Shore Credit MObilier.
On a Fictitious Pool of s15,OOO,OOO'
The Collapse of the Union Trust
Company Explained.
How Vanderbilt Broke up the Pool
And Assumes the shares of His Dead
Som fu.I.aW,

E.E SOu-InsAaWs
NEW YORK, Oct. 24.-The Sun says
some months ago Horace F. CLARK, Presi-
dent, Aug. Schell, Vice President, and Jas.
II. Banker, Treasurer, all of the Lake Shore
Company, formed pool for operating in
the stock of that corporation. The capital
of the pool was stated at from nine millions
to fifteen million dollars, and the pool oper-
ated through Geo. B. GrinneN & Co. With
the approach of the panic railroad shares
began to decline and as this combination
was heavily loaded with Lake. Shore, they
were put to their wits to raise money to
keep their margins good and hold their
stocks. Finally, on an imperative demand
from their brokers for more money they, IS
officers of the Lake Shore Company, called
upon themselves as officers of the Trust
company for the bonds held by the latter
company, $250,000 in amount, which were
taken to Grinnell g. Co., who were author
lied to raise the needed money on them.
Commodore Vanderbilt succeeding Clark
In the Presidency of the Lake Shore road,
by legal means prevented the Union Trust
company from making transfer of these
bonds. and insisted that the members of the
pool should either replace the bonds or their
NQulNblCubsa DohhCA Las ArAaSAS ONSA W VIZ
Commodore real estate valued at seven
hundred thousand dollars. The Commo-
dore has assumed Clark's share and Sehell
is said to be doing his best to make good
his share.
Evening Report of the Affair.
The Express says the Lake Shore matter
is being rapidly cleared, and has a much
better feeling this morning. Vanderbilt to-
dsy offered in settlement for the loan ST.
| 100000 of his note at three, six, and nine
months, with collaterals which are under
stood to be Harlem stock at 90c. The trus-
tees of the Trust company have just voted
to accept the offer. An offer TO discount
the rUtes hss already been received and re-
served. Inregsrd TO the many stories
| afoat to-day, it is proper 10 state that Mr.
| Wesley continues 10 deny them. The Lake
| Shore bonds which were transferred to
GriDnel g. Co. was in the regular way, and
| their transactions 10 the matter were per
| fectly straight. 1t is reported that trans
| fer of property from Mr.. Banker to Wander
bilt, to secure the latter for advances made
last week, has been made. u
| Kenyon, Cox d. C0.-Flsk and Hatch
| At a meeting of the creditors of Kenyon
Cox & Co., at which seven-tenths wert
| present, a proposition was made by tht
| firm which was satisfactory, and was sc
cepted by those present. The details o
the proposition are withheld.
L Late In the day the announcement was
made that Fisk s. Hatch had effected q
| settlement with their large creditors, tn
banks, and that the firm was in fair way
to resume q, an early date.
Why Don't They Resume?
A manager of the Clearing House say
there is no truth in the report that sewers
associated banks were embarrassed. he
states all the banks are in position to pa.
five times their liabilities!
Bitter Prospect for the working
9af mem of New England.
The World says gentleman recently re
turned from Connecticut represents thu
manufacturing interests of that State are IL
an unfortunate condition. From 1900 to
10000 operatives and factory hands hav
already been thrown out of employment.
The Atlantic Mills, at Lawrence, hav
commenced running four days in the week
and the mills of the Bay State iron Work
have suspended, making necessary tn
discharge of 260 men.
An Expansion of SSO3 200.
WASHINGTON, Oct. 24.-The outstsnd
ing legal tenders are $500, l59, 1888.
Chicago Resumes Specie Payments
CHICAGO, Oct. 24.-About $65, 900 i
silver coin was brought to the city to-ds
by Adams Express Company, from th
/ Philadelphia mint, consigned to one OF on
National banks aud firm of private banh
els, who are paying it out at par. III
bullion from which it was carried was froI
ore of the smiling and refining works ]
the city, which is producing about $4,000
worth monthly, and all of which it wi
continue to have coined for circulation.
Cotton for Currency Only.
NEW ORLEANS, Oct. 24.-At meetin
of factors ann shippers, held this eveninl
10 consider the recommendations made b
a conference of factors aud brokers, passe
a resolution to sell cotton for currency onl,
after Nov. 10. All sales are now made fl
certified checks.
Resumtng.
PHILADELPHIA, Oct. 24.-E. w. CLARK
s. Co., bankers, resume business to-mo
, row.
In the United States Court to day, Il
petition of Frank n. Steers was presente
praying for adjudication of a5kruptc
against Jay Cooke & Co., of whom be
creditor to the extent of $1,000. Judge Ca
valdez granted an injunction to show caus
! returnable next Wednesday.
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