The New York herald., 1877-12-27
FAILURE OF BANKERS.


THE PARTNERS ABSENT FROM THE CITY
THEIR LIABILITIES SAID TO REACH FIVE
HUNDRED THOUSAND DOLLARS.
Wall street was thrown into lover Of excitement
yesterday over the failure OF Meter Co., bankers
and brokers' doing business No. 52 Exchange place.
The nature OF the failure however, was not such
to arouse much sympathy Tor tho Arm named
The concern supposed to bo wealthy. Thoy werc
the sons OF Jacob Meter About four years since
they established themselves at No. 81 Exchange place.
under tho name OF Meter & Co.. dealers In gold,
stocks and privileges During the day various rregu-
larties charged against tho firm, both partners
having disappeared and their Offices were thronged
by creditors, who could obtain but little satisfaction
from Mr. Julirs Wsh. the assignee and former chief
clerk. Mr. Louis Mende. the booKkeeper, was also
reticent.
1t Is generally alleged that the firm were in the
habit OF lending par In currency on gold, par on New
York Cenua and Hudson consolidated first mortgage
bonds, worth about l22 and loans generally on these
classes Of securities and United States bonds at
about the same ratio: in fine, tho collateral secu-
rites deposited with them generally worth
from ton 10 twenty per cent more than they
loaned on them, ana having good bank facilities
value, and It charged had nude use OF the differ
ence-that Is, between the amount they loaned and
that which they received from the banks-In their
speculatons, these being disastrous, when thor
customers were ready to take up their loans they
WHAT THE BROKERS SAY.
HERALD reporter cleaned the above facts III his
conversations with Wall street men, and sti pursued
at is said the reporter remarked in an interroga-
two way large banker "that the disappearance Of
the Notor brothers simply with an object OF secur
ing for reflection, and that they Will return and
make everything strashtY"
"Oh, that's all nonsense" responded the gentle
man; ",hey may rolurn, II is true, but no
body will have any business to do with
thom after what has occurred. BAD as the reputation
Ot Wall street is, l tell you what sir, no game iiko
that inds any favor among tho regular operators"
At the Office OF Meter 4 Co., as before stated, the
clerk and assignee wero uncom nun nicative the
partition inside OF whicn they ensconccd themselves
sWhere's Gabo Netier?" angrily inquired man
who mad some dealings with the hrm.
"Can't say,'' was the cool response.
.'Where IS ne bo founds" continued the party in
terosled and then the answer came:-
sOh, he has gone away TO st. Louis"
The hrst intimation Wall street had of the trouble
when batch OF stocks came tumbling out on
out, 1t only very short lime before IT became
noised around that Meter Il Co.. bankers and
stock brokers, at No. b2 Exchange place, had made
an assignment to Mcssrs. J. $. Wehi 4 Co. The
nrm had tho highest reputation with all the large
concerns in the street SO strong aud sohd was the
firm supposed TO DO that II able to sell privileges
stocks god and they takcn In the belief that
the concern was perfectly good Tor any liability that
might arise from them. Among these privileges, is
understood, thore were some ''puts' Lake Shore
stock at 6S they having sold when tho stock was
about 10; IL ranges about 81. Also privileges
Western Union Telegraph and Delaware, Lackawanna
aud Western. OF these three stocks there had been
at the frst alarm already sold under the rule $500
shares
Tho following announcement was made in tho Stock
Exchange:-
NEw YORK, Doc 26. 1877
To THE PRESIDENT New YORK STOCK ExcnANCE:-
DEAR SIR-We regret that unable 10 meet
CONTRACTS Yours truly, METER CO.
| AL kinds OF exciting rumors were current in Wall
In the afternoon that the liabilities OF the
pended house estimated to be at least $780, 600
Ex-Judge Dittenhoeier who Is counsel for the bank.
rupt nrn, was at their office yesterday. He said, in
$3.50 900, but that this only rough estimate. Ho
could not say anything dcante in regard TO their
sets.
In regard TO reports In Wall street concerning the
| firms disposition of securities pledged with them,
| Mr. Ditteuhoeior denied that Meter & Go. had
| sold any OF thcm, but admitted that they
| had hypothecaed such securities with parties
| IRON whom they had obtained loans. The owners o
tho securities could obtain them from their prese nj
| holders, but might have 10 pay u difference between
the two loans for which Meter Co. were OF course
| responsible.
| Hc said that tho members OF tho firm had gone tc
Cincinnati. they had relatives, IN order to try
| to obtain assistance.
| THE cREDIToks
The creditors are Woodiu < Leveridge, Fitzhugh 4
Stewart, Woerisahoner, Davis & Freeman, Knobloch
Ilchlenstcip Oakcs Brothers, H. l.. Frank, Lanherl
| ~ Brothers, and Maxwell Co. DAVIS IL Freeman vii
probably lose $40 900, ana tho others refused TO say
| anything concerning the amounts they may losc II
appears that but these brokers and bankers
toned are really losers by Meter Co.'s failure.