Lancaster daily intelligencer. [volume] (Lancaster, Pa.) 1864-1928, 1884-05-01
A SPECULATOR'S FALL.
JAMES Il. KEENEs GREAT rAiLusE.
nc rInds himself Unable to meet his En-
gRgoments-kecnesR Rapid Rise and
sudden Downfall

EGGemehts-hecneeh RAPID Fisf ana
sudden Downfall.
James Il. Keeno came east about a
dozen years ago from the Pacific coast,
whore he had made u fortune in mining,
He was Mt first known as &" the man in the
white ulstor,' and soon took a prominent
position in Wall street, and in year or
two came to rank with the very first men
of the street. His operations In stocks,
wheat, corn and oil have been enormous
and when his fortunes were on the zenith
he was estimated to be worth all the way
from ten to thirty millions. For the last
two or three years his position has not
been quite so prominent and stories
affecting his credit have been frequent of
late. At one time he devoted a good
| deal of attention to the turf aud owned
some of the most famous horses in the
| world.
When it was first given out that keene
| had started East from san Francisco in q
private palace car, with four or five
million dollars, with which he was going
to break several Wall street maguates, Mr..
Gould is said to have remarked We'll
send him back in freight car ?' HIS
prophecy has come true. keenc was
unable to meet his engagements yesterday
which is tantamount 70 failure.
His trouble eliminated in an attempt by
put and call broker TO get Mr.. kcene
10 receive >, 500 shares Of Eric ut %, that
being the price At which he had agreed 10
receive it in the put he had sold. Other
holders of his privileges also tried to de-
liver stocks to him to the extent, it is said
of "a, coo shares or more, but were unable
to do 50. They had, according to the cou'
ditious OF the privileges, notified Mr..
keene on Tuesday Of their intentions to
deliver him the stocks, Upon presenting
them they were kept waiting on one pre-
text and another until at last Mr.. keene
said that he and they would have 10 agree
upon q settlement price or they would sell
in the market aud he would do what he
could to pay the difference. As an instance
Of the possible losses Of Mr.. keeuo upon
these transactions, it is said that 600
shares OF Western Union were put TO him
at IS, and another lot of 1000 shares at
IS. The stock was selling at about 62,
making the loss in one case, providing Mr..
Keene mad not previously protected him
self by selling the stock about Sts, 900 aud
in the other $4,000.
Another broker wanted 10 put 1000
shares Of Union Pacific at Gl, or about :
per cent. above the market. ln some 10
stances where Mr.. keene refused to accept
the stock he sent written notices 10 the
holders of the privileges to sell the stock
for his account and he would do the best
he could to settle the account.
Wher the fact tha; Mr, keenc had laid
down on lis privileges was thoroughly
established the put and call brokers made
things lively at their headquarters in New
street. some Of them held large lines of
keero's paper and all appeared anxious 70
"a g 81 off, 3 q iytl "a
dealing firm OF Mchelot \ Co.., was said
TO hold privileges on at least fifty thousand
shares OF stock, aud Francis Barrett, who
tried to put the Erie stock in
the morning and whose son had
been Of late the principal dealer in
keenc's papers, was also said TO hold
| a considerable amount. The privileges
were rapidly offered down 70 -, then to
| so and finally 90 per cent. of their cost
price And yet no considerable transac
tions were made. The bowling group
simply succeeded in marking down the
price. While the excitement was at its
height an agile and vigorous young man
jumped into the crowd. shouting that he
would bet 800 even that Mr.. Keene
would pay 100 cents on the dollar. He
was one of Mr.. keeno's following aud his
otter was greeted with cheers and jeers.
:" don't want your money yelled
Broker Secley, but I'll bet you 300 to
$50 that he dS't." More bowling
Another curbstoue operator offered to
take the first mentioned bet il be could
put up kecne's papers against the sl0O in
cash.
Later in the day it was announced on
the authority Of Nroome, who had just
come from kCenc's office, that that opera.
toy Was willing TO buy up his privileges at
the amounts hs had received for them.
He had received such an offer himself but
had declined it. still later it was said by
broker connected with Keeue's office
that he would buy up all the papers he
had written during the last three days,
paying cash or profits il any existed.
4 report that he made privileges as late
| as Wednesday morning was emphatically
denied by attaches Of his office 1t is said
that the last he made were written on
| Tuesday for about 5000 shares The
story that he had made them later may
| have arisen from the fact that an operator
| bought one on a considerable number OF
shares in the morning for 81, 7j0. The mum
Der or amount Of privileges of Mr.. Keene
outstanding car be only estimated. It i,
| said that ne does not know himself
Brokers who have dealt in them estimate
the amount az being upon from $50, 900 Z
upward OF 800 600 shares. Many OF them
are short time papers and good many
especially tho calls, are not likely to DO o
| any YAluo.