The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-03-20
FAILURE OF s. NJ MILLS Il co.
SHORT OF WESTERN RAILROAD AND COAL STOCKS,
WHICH WERE BOUGHT IN "'uNDER THE

SHORT OF WESTERN RAILROAD AND COAL STOCKS,
WHICH WERE BOUGHT IN .'uNpER THE
RULE"
The failure Of the firm OF s. NJ. Mills Co.. stock
brokers. OF No "a Broadway, was announced to the
Stock Exchange shortly after two O'Clock yesterday
afternoon. good deal OF buying IN for account had
been going quietly all the morning, aud the
brokers among whom the transactions were
made knew that some member firm was in trouble.
When the name Of s. NJ Mills announced from
the rostrum as the derelict member whose margins
could be made good the brokers rushed pelme to
the the door where the different stocks are
dealt in and for few moment Is there was scramble TO
close out contracts with the unfortunate broker and
hundreds OF shares Of Western Union. Lake Shore,
ST Paul common and preferred the Northwestern
stocks Delaware, Lackswanna and Western, Morris
and Essex anu other shares were bought and sold
"urder the rule"
Inquiry by the reporter at the place OF business of
the unfortunate concern elected tho fact tnat Mr..
Mills tired and worn out with tho excitement OF the
day, had gone home bis bookkeepers said that no
statement OF the assets and liabilities had yet been
prepared but as soon as possible they would be fur
nishcd At the present time everything was in con-
fusion: messenger boys crowding the outside
office making comparisons OF stocks parties VINO were
In sympathy with Mr. Mills In his misfortune or inter.
financially in his failure were coming ana GONG
so hard to obtain any statement that oouid
AMONG THE BROKERS.
Soon after the adjournment oil the Board NJ tnree
O'clock there were many caucuses OF brokers IN Now
street. Exchange place and Broad street, and among
.i ne ~. ". .%.ry Sass Ss had not BEEN
considered strong for over SIX montns: he was =
daring specuator, ana dealt IN thousands Oh INSECT
iancous shares daily turning his stocks with light
ning.Iike NEUTRALITY-SUSPICIOUS. buying largely, again
selling enormous numbers OF shares-so that the Ex
A.. nf nkQPg war
puzzled TO know where he stood-whether be was
i.longr or ..short" "bull'' or shear" But this
one fact to be recognized thattbe once stancn
firm did not possess the credit assigned TO II TWO
years since, when II might be said almost to have
been the clearing house tor jay Gould and Mr.. Mills
the trusted broker OF the great operator.
CREDITOR SAID
~ creditor OF Mr.. Mills" said broker 10 the
writer; she borrowed some Northwestern OF me at a
lower figure, which he is no, able TO return. He was
short Of Pacific Mail, and has been selling y
money IN the decline from % 10 II: but, II is said,
that good deal OF stock was sold at the lowest
figures, SO they ran i up TO ls on MN. you sec,
told by other creditors that tho whole OF the indebt
sdness ON to-day's settlement OF contracts under the
rule will much $25 000-that Is, the differ
enCes will not exceed that amount what loans are
due 10 banks or individuals Of course have no
means OF knowing"
Whlle some brokers disposed to fix the liab-
ties at a larger amount than that named-even
$50 000-the generally weiln'ormed Spectators ana
those interested accepted the lesser heure us the
maximum Of the Indebtedness In regard to the
names oil the creditors OF the firm but little that was
definite could be learned. Many houses were men,
sufferers but Tor obvious reasons tue parties
named either declined to speak or denied that they
were Interested IL seemed 10 be generally conceded,
however, that no one arm was involved TO any ex-
tent by the failure Of Mills Co., and that the losses
were pretty generally dstributed throughout tho
board Of brokers.
OF s. NJ MILLS.
The unfortunate Spectator has been known as one
of the most daring well as brilliant operators on
the stock Exchange In the days when W illiam ).
Woodward was the financial lion OF the street Mr.
Mills was his confidential broker. When Jay Gould
came upon the scene Mills rapidly accumulated fame
and fortune by acting for him IN the Exchange Dur
Ing the rapid rise Of Union Pacific stock from about
$50 TO $40 per share Mills was accredited with having
made III this speculation $500, 900 through Gould's
advice, the latter causing him to be elected director
in tho road Mr. Mills was generous liver, and IN
December, 1876 crossed the Atlantic in his splendid
yacht Vesla, taking with him two friends from the
Stock Board Al that time II was reported that he
was possessed of fortune Of half Million but
had quarrebed with Mr.. Gould; at all events, alter
the return Of Mr. Mills TO active business the large
oper atoms of Gould carried through his
house. Mr. Mills is personally very popular, IL con-
sdered the type OF honor, and many regrets were ex
pressed yesterday ut his misfortune.