New-York tribune., 1878-07-23
4 BUSINESS SENSATION IN BOSTON.

IRREGULARITIES ON THE PART OF JOHN G. TAPPAN
HE RESIGNS AS TREASURER OF THE Betting
COMPANY.
BosToN, July 22.-At a meeting of the
stockholders Of the Boston Betting Company held here
to-day il was stated that the treasurer John G. Tappan
had made over to the corporation large amount Of
property TO the losses for which he Is responsible
II was further stated that the amount invovedis
than half million dollars, and also that Tappan, who is
seriously i'll at Andover, resigned few days ago, and
his successor, Z. s. Converse, upon making investga
ton found an unexpected condition Of the pecunary af
fairs OF the company and at once informed the creditors
when a meeting held and Messrs G. p Mellege'
President Hunt Of the Atlas Bank and c. A. Alden
appointed a committee to make a thorough investga
tiOn.
The announcement OF these facts this afternoon, es
peclaly OF Mr. John G. Tappans resignation
the Betting Company, position he has held since the
organization OF the corporation, thirty years ago. and
the statement that he had used the credit Of
the company in the interest OF private specu
lation, were q surprise in financial circles
where Mr. Tappan was regarded man OF most
exemplary character aud unimpeachable integrity
The corporation had pad-up capital Of S50OOOO and
its reputation under Mr.. Tappan's management had
become such that ts paper readily discounted and
even sought among the safest paper offered for dis
count Its capital stock was In shares OF SlOO each
and early in the year sold for Sl75 per share /;
Mr. f. s. Converse, the treasurer. discovered that
Mr. Tappan had Issued notes the amount Of $600000
and was also held for S2sO00 outside Endorsements
as treasurer the proceeds Of which have not been
ceived by the company The total liabilities Of the COM
pany were S839 00O the nominal assets $98O0O0 notes
payable as above stated $62s,000.
Mr. Tappan, 10 make good the losses to the company
the responsibility for which with him, has handed
over to the creditors his entire property of the nominal
value OF 81 100000 In consequence or the condition Of
affairs the company has suspended payment.
The company has done large and profitable business
in the manufacture and sale Of rubber betting, hose
hacking and other classes Of rubber and yucane goods
lis paid-up capital of half million was d
vided into 5000 shares, held by the follow
Dnrant, 800; John H. Cheever 500; JOSIAH Tappan.
$685. Lewis N Tappan, jr., $50; Fred H. Tappan, 100;
Isaac Taylor IA William II. Furber co. Charles Cullls,
trustee, 60i Mrs Harriet Stevens, 90; ,liT Edward
Thppan, 80; Bessie W. Tappan, 80 Mary s; Tappan.
32; j. W Kimban, 70; j. F. d. smith, Il =, d. Dow.
Ira L. sanbOrn, Is Harriet l.. Stevens, IL George
White, trustee 10 Lucy s. o2han; 10 a. slang, h ana y:
Moses T. Stevens, 8; Arthur W. Tuft Walter rappan,
Mr. John G. Tappan who has had the position of
treasurer business manager and agent Of the corpora
so heavily involved through his irreg9larties, and
whose losses in private speculatlOns had induced
Of" Of the Boston Betting Company TO extricate
himself from pecuniary embarrassInent' rs one OF
him widely known and generally respected He is a
son OF John Tappan, and descendant OF the
most reputable and widely known Boston fanl-
iies He is now over seventy years Of age.
After graduating Harvard College he engaged in bust
meas nherltng from his father large property, which
he Increased by profitable Investment He was quite
large specuator in real estate, not only IN this city,
Chelsea and other places In the immediate vicinity but
IN Colorado and In Texas.
Though the nominal value OF the property turned
over by him TO his creditors is Sl,lOOOOO there Is
Considerable question as to It's real value He
WAS IN the Merriam Packing Company. Of Texas,
and had raised money upon its paper with
his own Endorsement, and it is stated Cd, that
1900 900 OF this property is in that state Quite an
moan ia also represented to in Colorado. II also In
cudes his family residence No II Ashburtonpace, and
other real estate this city and Chelsea quite large
amount OF mortgages, and various other property.
IL IA stated mercantile circles that Mr. Tappan has
Of late raised large amounts by d0rsng either hs own
name OF that of the Boston Betting Company upon paper
~ the following firms ]. A. Hatch Co.. dry goods
commission merchants, No. % Kingstons John Tap
nan n Co. successors Kilyer Tappan dealers IN ma
chlnery AID yarns No 25 Kngstonst aud the Merriam
Packing Company, of Texas firm engaged IN packing
bref in which it said Mr. Tappan largely interested
Mr. Tappan is stopping at Summer boardlng-house
at North And0ver aud positively refuses 70 converse OF
make any abatement Tonight