, 1875-08-12
FINANCIAL.
Facts Iscfiecting Still More Sc
riolrs}y upon Duncan, Sllcr-
maj, Il Co.
Accommodation Paper" Made by
Their Clerk and Accepted and
Sold by Them.
Tho Transaction Regarded AZ VERY Re-
markatle by New Turk Bankers.

DUNCAN, SHERMAN & CO. |
6rt;Iat U,stdteh 10 1ht C'htrago 7r1bts.<.
New Yonx, Aug. 1t.-Certnin financial and
legal circles woro considerably ngitatod today |
by = ru.uor, which prevailed during bueinesa |
hours, relative to Of tho transactions OF thu
late firm, uf Duncan, Ehcrmnn Il Co. The sturr |
was OF such 4 remarkable character TINT fow
merchants and bankers accoptcd 1t On tn,e, aud
it rss with difficulty that It could 10 fully cor
roboratcd. Finally, application 10 tho parties
Immediately concerned waa made, aud tho escry
was confirmed, although It will DO nccn that tho
firm and their aEonts look upon tue transactions
In different light from that in which banlsers
generally regard 1t. Fcr long tiine the cond-
ton Of Duncan Sherman i Co. han betn 30
involved TINT tho tlrm haa been forced to raise
largo lnans on accommodation PAPER" eomo OF
which whs apparently Of tho iltnHiest character.
Tho torn accommodation paper" ia usral:y
applied to paper in the hliape Of DRIFTS drawn Ly
QUO reputable houso upon another for tho bcne-
tit of either, though sta acccrtor is usually
lacked upon Al tho oiIe who Is finally to par It.
But, instead Of making such paper through tho
MD Of friendly houses, Duncan, Sherman i Co.
Eeeortod 10 tho simpler c1pedtent OF having tho
drafts 1ualo upon them by oue Of their conI-
dental clerks, which they accepted, and hold
through third parties. The clerk wLo was
Illus employed WAS a. l.. Burgebs, and he is
Btiil in the employ Of tho ho,lse. or, rather OF
Tho RECOVER. 1t was reported that tho drafts
wcrc drann under various dates, as frotn bouth-
III, cities, and werc In all eases. dated In Nor
York. No confirmation OF this report could bo
obtained. and il ia probably ,nltrlc, since Mr..
Duncan aud Mr., Burgers 10th claim that thero
was no deception practiced in the matter. Tie
noto-broEera through whom the acceptsuces
,raro nan,,,o,oa ~ H.. vor,o,,, ,o,;a wn,o r..
"o'o ~ =. ,pe :, ~ 1870 ,, 49,
l'o11ea to be ~ IL. ooeafs q Co., or No. .'aasa',
to bo correct. I'll, oflcers of eeyesal hanhs
v;ch hoId ,I,is nape+ dee,i,cd to o3n,,t lint ,1o
t.,, a'1 :, ,,n.r,ra.
'uh4o4" "s'o tt"o NJ" "rs'' az. ~ 's',
That the fonsth ha1onsl he!a aboat 9oo'o" oi
tho pnrGr but 1t IL known that it has tecn secured
along With the Uank Of tho State OF New York.
It wos ocpora11v undc,stool. though theYo in m
proof, that either Duncan. Sherman q Co. or U.
NJ. boEass T. 60. represented that these ds&sss
~ero drawn aeainst copHIenmcnts Of cotton, and
in buying tho paper the banka laborod under
this tjeusion, The President Of the Fourth M.
t5onal haaR hA'd thcs haa Aao M a'recs
transact!oha with tho fEn Ut Duncan, Shet'nan
Co. ana that they were not holding sop,ooo
declined to say wha. amount tho bauk did hold
eub,cct of Duucau, Sherman l. Co.'S liabilities.
In .o;d la t1nrc1, t,,c nanrr 1,c1l hv tbe, :
crcdtior, i, th;s c;tv wnn,d amount to ahnut
~ am opo lin b,d M l,o,1.,cdro of their over
,,a,.;,, iss,,1 a.a, ,,os n.n,f,,troI =, tl,,r
ot,;co br t,,cir cior],. ard could not r,a},zo
th,t an, VA. tho fact. Judoo Hh,o,nun,