Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1878-07-23
DEFALCATION.
Another Treasurer Short.

BosToN, July %. At a meeting of stockhold-
ers OF the Boston Betting Company, held to-day
it was stated Treasurer John q. 1appan had made
over to the corporation a large amount Of proper
~ 10 cover losses the responsibility of which rests
with him. 1t is stated that the amount involved
is NOR than half million, and 1t is also stated
that Iappan, who il seriously Ill at Andover. re-
signed u few days since, and his successor, +. 5.
Converse, upon making investigation, found An
unexpected pecuniaiy condition of affairs and at
once notified the creators. a meeting was held
and Messi-. g. z. Mcledge, President Hunt of
the Alias Bank, ard g. A. Alden were appointed
II committee TO make thorough Investigation.
The announcement this afternoon that Mr.. Tap
pan, who had held the position of treasurer of the
company since organization of the corporation,
thirty years ago, had used the credit OF the com
psny III interest Of private speculation, was q
prise in financial ciIcles, where he was regarded
man OF most exemplary character and unim-
peachable integrity.
The corporation had paid up capital of five
hundred thousand dollars, and its reputation un-
der Mr.. Tappans management had become such
that its paper was readily discounted and even
sought as among the safest paper offered for dis
count. Its capital stock was i've thousand shares
one hundred dollars each, and early in the year
1t sold for Sllj per share, while the last auction
sale was sl25 per share.
AT the meeting TO day it was stated that Mr.,
TaIpan had issded notes to the amount of six
hundred thou, and thousand dollars, and is also
VI er, proceeds Of which have not been received
by the company. The total liabilities of the COM
pany arc $3.50 900, their nominal assets S9S0, 900.
Notes payable as above stated S62S, 10000.
1t also appeared Mr.. Tappan to make good the
losses to the company, responsibility for VIII ch
rest with him, had handed over to the creditors
his entire property of nominal value of 81 ,l00,-
900.
The company has done a large and profitable
business in the manufacture and sale of rubber
l.. a ~
Der aud vulscnite goods. Its paid up capital of
half million was divided into five thousand
shares. The officers were Henry +. Duran, Pres
ident, John q. Tappan, Treasurer, and these gen
tlemen, with Josiah >. Iappan constitute board
of directors.
Mr. John &. Tappan, who held the position of
treasurer, business manager and agent of the cor
poration from the date OF its organization until 1t
became so heavily involved through lis irregular
iues aud whose losses in private speculatlous had
induced him 10 use his financial position as treas
urer of the Boston Betting Company, to extricate
himself from ptcunisiy embarrassment, is one OF
our citizens whose long business career had made
hun widely known and generally respected. He
is native of Boston, sou Of John Tappau, and
descendant of a most reputable aud widely known
Boston family. lie is now over seventy years of
age. lie entered Harvard College. and then en-
gagged in bus ness, inhelitiug from his father q
large property which he increased.
tie was quite large sTeCulatot in real estate,
not only IN THIS city, chelsea and other PAGES IN
this immediate vicinity, but in Colorado and III
Texas. Though the nominal value of property
turned by MIN TO his creditors is 81 100 900,
there is considerable question rs to its real value.
He was interested in the Merriam packing COM
pany of Texas and has raised money upon ITS pa
per " it'll his own endorsement, and it is stated
100000 Of this property is in that State. Quite
amount is also represented to be in Colorado.
1t also includes his family residence, II Ashburton
p ace, and ather real estate in thi' city and Chel-
Quite q large amount Of mortgages and
various other property, paper OF Boston Betting
b., proceeds of which have been Incorporated
is he'd by II Boston banks and is pretty well dis
trlbuted among them, no one bank holding q very
large proportion.
1t is stated in mercantile cilcles that Mr.. T. has
of late raised large amounts by endorsing either
his own name OF that of Boston Betting Co. on
paper OF the following firms J. A. Hatch Il Co,
dry goods commission merchants at % King
stree. John +. Tsppsn Il Co., successors to kel-
vent Tsppan, dealers IN machinery and yarns
al "A Knights street; Merriam Packing Co., Il
Texas firm engaged i'll packing beef 10 which
Tappsn is largely interested