The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1877-12-27

son & Good, The partners in which all
came here from Cincinnati, Ohio, after
the close Of the war, and established the
firm Of that name. All the partners had
been identified with the dry goods or
clothing trade, and all had the reputation
Of large wealth.
The Post reirains from publishing the
ugly rumors respecting the failure until
they are established facts. This failure
precipitated upon tho market a large
number Of shares of different stocks,
checking the advance in the early deal.
ings. ,
SUSPICIOUS CIRCUMSTANCES.
II ia said they lent par in currency on
gold worth at to.day's price 1929. They
lent par in currency on New York Cen.
tral and Hudson first consolidated mort.
gage bonds, worth to-day ,l2lal29, and
loans on this class Of collateral security
are spoken Of to the amount OF several
hundred thousand dollars. They lent par
in currency on United States bonds which
rule several per centum' higher. One Of
these loans to The amount Of $780, 900 was
secured by bonds worth to day $3.50, ,OO0,
and they lent so on Lake Shore stock
worth 10 day over 60. A report was cur.
rent on the street that 100000 had been
borrowed on 5000 shares Of this stock,
the same TO day being. worth S4S0000.
II il natural, therefore, that there should
he anxiety a. TO the safety OF the collat.
eraI securities. The asignee OF the firm
ia Julius Wehl. The assignment was
executed today.
The Commercial says: Their large
transactions as money lenders appear to
be only certain way Of becoming money
borrowers by rehypothecating or selling
collaterals lodged with them on liberal
margins.
AT the Stock Exchange this afternoon
$500 shares Of stock, 2500O0 in gold and
$4,000 in governments were closed out
under the rule on account Of this firm.
II is understood that they had been on
the wrong side Of the Stock Market for
some time, and at the time Of their failure
were reputed short OF Lake Shore, Western
Union, Lackawanna, Pacific Mail and
other stocks at prices lower than those
now current.
The Express says the firm Of Meter &
Co. stood in high credit here till recently,
when their stock privileges were offered
on the street at low rates, and the banks
e o reported) reinaed to certify for them
unless their balance was good. The firm
loaned considerable amounts Of money,
particularly on time, and in this connec.
tion, we regret 10 say there are some
very ugly stories alloat on the money
which they loaned. They Of course ex.
acted the usual 10 or 20 per cent margin,
and rumor says they, III some cases sold
collaterals and realized difference, or
loaned them out at the market rate for
securities, or borrowed again on them
at lesser margin than they Oh.
tanned. Ex.Jndge DittenhIeier, counsel
for the firm, told reporter that parties
went TO Cincinnati TO solicit aid from
friends. In his opinion they would be
able iu few days TO regulate the matter.
The Post says: The legal counsel Of
Meter & Co. Is authority for the state.
-ment that the firm have not sold any OF
the coliaterals pledged to secure loans Of
money made by them. We do not under
stand, however, that il ia denied that
these collaterals have been used by Meter
Il Go. in the way Of hypothecaling for
money which they have borrowed. II
this IL what has been done, then the own.
ers Of the cOllaterals which were given
to Meter 4 Co. can get them by paying
the loans for which Meter 4 Co. hypoth.
ecated them, and can lose only the differ.
ehce between the amount which Meter &
Co. lent on them and the amount which
that firm subsequently borrowed on them,
The Stock Exchange will investigate the
matter.
It is stated that among the number
whose securities were hypothecated for
larger sums than those originally loaned
were Warden B. Levetick, James Keene,
Maxwell & Graves, and Davis 4 Free.
man. II ia understood that Davis & Free.
man hypolhecaled S250, 900 Of New York
Central & Harlem first mortgage bonds
for a loGu OF $250,00O. II was reported
that they borrowed this money for
W. II. Vanderbilt simply acting as his
banker in the matter, and that conseqent,
ly any loss that may be sustained will
fall upon Mr.. Vanderbilt.
One OF the tirm OF Davis & Freeman
stated that be knew where the securities
had been hypothecated by Meter & Co.
and that he could obtain them by paying
The amount advanced upon them, which
is understood TO be $276, 900.
| At the Office Of Fitzhugh 4 Stewart il
was stated that the firm had lost nothing
by the failure.
Mr.. Reeve, for whom Fitzhugh &
Stewart act as brokers, had large
amount oil securities In their hands on
which he had secured loans, but they re-
ceived an intimation last week that The
transactions Of Meter & Co. were some
what irregular,a and they Immediately took
steps 10 obtain the securities. They sue
ceeded In getting all except a small
amount last Saturday. Fitzhug gh 4 &Stewarl
/ admftiad that n fkav had nnk ranatva,l