New-York tribune., 1884-02-17
THE JANUARY CORN "DEAL.'
HISTORY OF IT'S RISE AND FALL.
MANIPULATIoNs OF MORGAN, MARsroS co. END
ING IN SUIT
lBY TELEGRAPH TO THE TRrBUNE.l

BY TELEGRAPH TO THE TRTBUNEl
| CHICAGO, Feb 16.-A month and half ago
there great corner" predicted at this MARKET
| 1t was the January deal Rumor had 1t that "Jack"
Sturges manipulating IT, and that the orders Wcrc
sent Henry Clewss office. The richest men, II was
said when the manipulation at It's height and when
prices were booming, were behind it Jack" sturges
was the cynOsure of the crowd at the Windsor each night
for month. Wonderful tales came from New-f0rk OF
the success with which he had caught on and OF the
"high rollers" he had captured All these
things were believed, when standing
at AZ cents for January. rose past the
fifty cents approached sixty AMI even passed on It's
way toward seventy. II great shock when one day
January broke and the pit became denorazcd
The crowd was filed with wonder when
few days later the price for the Jan
uary option broke all to pieces and 1t
became apparent that the January clique had ihed'
and its corn thrown overheard
Since collapse the January dea" has been both at
New York and Chicago uppermost topic for gossip III
was rumOred that the NewYoikers who were interested
i'll the deal were charging fraud upon their Chicago
agents Jack" sturges suddenly lost his place at New
York. and both at Clews's and at Schwartz IL Dupees
Here it apparent that the feeling against him was
bitter II said that great speculative scandal Is Ind
away somewhere the books containing the history
of this "coer" II is said that this scandal Is
likely to be aired in the New-York and Illinois
courts
HOW THE DEAL" WAS MANAGED.
The true story is like this:
Henry Cews & Co. at the head OF the jan
uary deal" although possibly that firm had some
slight connection with it, The house through which the
manipulation was managed was Morgan, MarstOn " Co..
a grain firm in Broad-st The "deal" was begun In the
latter part Of November by the middle OF December
Messrs. Schwartz Dupee had on their books
100000 bushels of corn bought for the New
York firm. IL all down TO the credit OF
the New-York firm In December January corn was ad-
vlnced "a cents But then the trouble OF the Clique
began The receipts became large and the quality OF the
corn was exceptional 1t became apparent that the manpu-
lators were staggering under their loaI and instead
OF running corn were being by it. About Janury TO-
Schwartz d Dupee telcgraphed to Morgan, Marston
& Co. that their margins getting low and that
unless they made a remittance the grain would he sold
The New Workers. it is claimed at this end, sent no
money Then the whole batch Of con 5000 900 bushels
was sold ana the sale telegraphed.
OFFERS MADE AND REFUSED.
Word came back that the sale would be accepted,
that margins not exhausted on large share OF
the and that the customers would hold the Chicago
firm responsible The next day. 30 runs the story Messrs
Schwartz & Dupee telegraphed the New-Iork nrm
that although corn was q cent higher they would
renstatc the dc; If margins would be advanced No
answer was v0uchsafed. The offer repeated later
hen good deal cheaper but no attention was
paid TO it. Last week Lawyer Tewksbury was in New
York and was approached by Morgan, MarstOn and
retainer IN the SUIT against Mess ScnWIIE
& Dupee for very large sum OF money Tewks0ury
tecgr.phed his partner, Mr.. Monroe, concerning the
case and answered not 10 take the case Mr. Monroe
had been retained 10 brng sut against NC NG"
FOR sum reaching nearly $loOOOO ON Iuesday tne
papers were sent TO IeNKsDuIy ana sll Is likely 10
A man speaking for the Chicago brokers says that
having great lot of customers upon their
books who were unlike each other IN aDlhty
Among others who held corn Charles Woerishoher,
who bought million bushels IN ponse to mes
sp4V &
bushels OF the grain bought the price could be put TO
sold and Wocrishoer was out" along with the rest
For ten days every man who has come back frQm the
quarter of wall and Broad ss. where the gram houses
stand, reported There's going 10 be great time about
that January corn deal One New 1rker IL quoted as
fore get through"
now THE TROUBLE AROSE.
The Chicago men say that the trouble arose from the
fact That tc Chicago rm knew no one In the deal" but
Morgan, Marston Go: and that all the money sent
The liability Of fSchwaltz Dupee TO these will depend
upon the wording Of the notice which Morsan Marston
t6e trades made through Mes rs. Schwartz ~
Dupee aud had this authority, then 1t is
Of money 1t is said that the suffers from the deal"
charge that when schTarz < DHpee teegraPhed taat
number of bushels the Chicago firm sold the gram "hch
Charles Schwartz denied altogether that there was
any trouble growing out OF the January deal
Tewksbury, his partner in New York in connection
with the matter ana 4ad no the R9Pgs 6nc, wd op6
n b. Ream, the largest holders OF wheat IN this
market large share OF their holdings this forenoon
Murry Nelson a. Co. sold upward OF 100000 bushels
for May.
CONDITION OF HE MARKETS.
Nav wheat on the tonight sold at 81 Ola, just
about the closing price OF twenty-fOur hours ago.
At one time to-day II sold at 81 024. The drop
and the general belief that his principals
were the two biggest longs" in tue market. The for
egn markets were reported dull St. Louis on the other
hand was strong. Tie receipts were small aud the
shipments for once although small were
larger than receipts 1t hard tonight what
the prospect wheat Monday is" Al day
until after the regular close the range was considerably
higher than on Friday, but on the other hand the
feeling tonight is weaker than 1t was Inst night.
Corn was dull but strong II closed 4 cent under last
night because the sudden slump in wheat after II
O'clock but the conditions all encouraging to the
"bulls."
There were only 1920 cars received and of these only