Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1879-11-08
PHILLIPPART'S PLAY, )
THE REIGNING FINANCIAL FURRY
IN FRANCE. -"
Rise and Fall of Bold Stock Manipulation
"A Bold Fight Against Leading Corpora
lions, Eading in Defeat as Usual-Miscel-
laneous Foreign News.
PhiIltppaa't.
FALL OF A FINANCIAL METEOR,

FALL or A FINANCIAL METEOR.
PARIS, Nov. 7.-Toward the end of 1874 Phil
lippart burst like meteor on the financial
horizon of Paris. He created the Banque
Franco-Hollandois, became president of the
Credit Mobilier. and attached himself to many
other companies. He came to grief, and was
declared bankrupt both at PARIS and Brussels,
his liabilities amounting to 2s.000.000 francs
The catastrophe was sinking into oblivion
when Phillipparte reappears. It was noised
about that he had settled with his creditors,
not in cash, but by showing them that he had
acted with sincerity, had not enriched himself
ly, ont had succumbed to the great coalition
against him of the great railway companies
who sought to prevent him from grouping
all the small lines into q seventh company.
His creditors believed him and absolved
him, and he reappeared In the financial world.
He created the new bank Banque Europienne.
He was empowered to raise its capital to one
hundred million francs, and issued shares at
considerable premium. He made no promises.
he simply reminded the public that it was he
who invited them to subscribe. His first issue
was of 10000 shares of 500 francs, nominal at
100 francs. They were subscribed four times
over. A general meeting held at Brussels au-
thorized him to continue his issues. and II 0OO,-
600 francs entered the Golfers of the Banque
Europienne. Then commenced q kind of race
against the bourse's speculations. Phillippart
bought an enormous number of shares Of the
Credit Mobilier, the craftsmanship of which he
wished to recover. His name was mixed up
with a variety of schemes, and in short he
shone more brilliantly than ever as if endowed
with financial ubiquity.
At the settlement of October Is it was whis-
pered that some difficulties had impeded his
operations, and that he had to pay very dearly
for money settlements. However it passed
over. Four days ago he announced to the board
of the Banque Europienne that tho coming set
hard to raise money, and that he was going to
Liege in Belgium to procure aid. He started.
and news from him was anxiously expected;
but two days passed without tidings. Tuesday
evening the Europienne board met A telegram
was sent him; there was no reply. The Banque's
legal advisors were sent for and the state of
things examined into. Philippians liabilities
million francs. but the Banque held an
enormous quantity of credit mobilier shares,
and it reokoned its shares in the pur-
chase of the Grand Hotel scrip as assets of
three or four million francs. The position of
the banque was therefore good, on condition
the bonds it held not being thrown on the
market. The statutes provided that no ope-
ration on the part of Phillippart should bind
the concern, unless endorsed by two directors.
The board decided it had not receipted re-
sponsibility of Phillippart' sBourse operations.
On the boards decision and Philippians dis
appearance becoming known on the Bourse,
the effect was like q thunderbolt. Phillippsrt
was decorated, as it is called, the balance due
by him reaching 100000 francs. Thursday
evening it vas affirmed that compromise was
about to be effected between the Banque Eu-
ropienne and the brokers, on basis to be
agreed upon, so as to make the best of the af-
fair.