Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1880-08-31
KRENE ON GOULD.
Keene Gives the Public an Inside
View of the Great Wrecker--
How Gould Cries When he
Loses Money-And He
Lives on Malaria.
New York Sun, Aug. %.


A leading operator, who is suppos-
ed to have suffered as badly at the
hands of Mr.. Gould as he had done in
a speculation in wheat, was talking
over the subject few days ago in a
semi jocular vein.
; Gould has been doing all in his
power" he said, ''to cripple me, but
without any success. Why the di-
rectors of two of our largest banks
remarked to me the other day that
no bank could have averted a run
upon it had one-half of the false sto-
ries been circulated about it which
have been current about my enormous
losses. According to these fables L
lost some four millions in wheat,
while in fact I lost only million and
a quarter, half of which loss [ recov-
cred at one stroke in a speculation
in lard, and more than the other
half in stocks. Did it ever occur to
you why Gould seeks the maleriaus
banks of the Hudson? No? Well, he
can not stand the pure, bracing air
of the seaside is too healthy for his
constitution. He lives on malaria
and other peoples misfortunes. If
the government were to put him in g
Florida marsh. he would absorb every
faint of miasma in it, so that not even
an alligator would be left. His
trickery is notorious; yet by means
of false reports he manages to saddle
his wildcats upon the public. Look
at Union Pacific Its stock has been
watered to the extent of $14,000,00O
and it's bonded indebtedness increas-
ed by $33,O00,000 within the last
year. The manner in which this was
done was admirable and thoroughly
Gould like. It was not as wounder-
full stroke as his feat of putting in
to his and his partners pocket $685.
100000 of the money belonging to
the Erie treasury. That was some
what too dangerous to be repeated
ll'New York knows that it was touch
-and.go at that time whether the state
should not have the honor of support.
ing him for tho remainder of the
days. But money was so lavishly
spent, and the pressing needs of
the bankrupt corportion were SO great
that although the books were recov-
cred and the proof of his guilt comp
lete, vet he was not prosecuted, but
spared to give fresh proof of his Fl
nancial ability. The author of epic
cadilly" says the first thing a specu-
lator in Wall street must do is to
buy a Judge and run him. This re
fers to the time when Gould and
Tweed-brothers by common
instinct-ruled the roast. But now
adays there are no Judges for sale,
and Gould is consequently hamper
ed"
Returning to the Union Pacific. the
narrator explained that ''Mr. Gould
needed more assistance on this oc-
casion. He took the Boston trustees
all honorable men-into his conf
dence. Russell Sage and Sydney
Dillon were also brought in. Sey-
eral satellites, who are always ready
to be used when they seems profit
from affair, w,re initiated. Before
this Gould had purchased the con
troll of the Kansas Pacific at about
rs cents on the dollar. He
had found great difficulty in carrying
it. The road was in the hands of q
receiver. The interest on the bond
ed debt had not been paid. The
bonds and shares were selling at low
prices and were in bad order. Gould
had applied to his friends to make a
market, and to help him unload. He
had been refused, and he sum
moned his associates around him.
He explained his schemes, and a
majority of the Union Pacific trus-
tees at once agreed. A poel was form
ed, and most of the remaining Kan
sas Pacific stock was bought up al
40. This was converted into Union
Pacific stock, which was then selling
at 60, and Gould & Co. had good
straddle on the market by selling I'm
ion Pacific short at 60 and buyine
Kansas Pacific at 40. J
"That is the wayI in which Mr.
Gould makes money and fools tn,
public. No one can ever forget hi
conduct on Black Friday. This il
now matter of history. But it il
not so well known that this man i
unable to lose with equanimity; tina
his brokers have to pull him out o
his chair; that he cries like chile
at his ill-gotten gains. Why, h
came to me, ready to fall on hi
knees and pitifully besought me t.
help him to cover his shorts in Lake
Shore, st Paul, and Northwestern.
did so, and now this man tries t.
ruin my credit by spreading injuriou
rumors, which, as I said, no ban
could Withstand. Butt don't min
it much I can take care of myself.