Savannah morning news. [volume] (Savannah) 1868-1887, 1886-09-06
BOY SPECTATORS.
"A School for Gambling in the Pro-
duCe Exchange.

"A School for Gambling in the Pro-
duce Exchange.
NEW YORK, Sept. 5.--The Produce Ex-
change has what may be termed a school
for gambling, which is. from the nature
of the case, more or less OF school for
scandal. The failure OF Harrison P.
Grover is an interesting commentary on
speculation at the Produce Exchange,
and illustrates the poisonous effects upon
some natures of constantly inhallng an
atmosphere of speculation. Grover Is
about 80 years Of age, eccentric, of small
stature, yet something of an athlete,
priding himself on his sparring, rowin :
and fencing. He was about the smallest
member OF the exchange, vet a verita bic
little fighting cock. He was very shrewd.
and kept himself well Informed on
the outlook for speculation, and yet
he was tripped up at last, after hav-
ING made considerable money. He is a
nephew Of Mrs. J. s. Il. Stranaham, a
wealthy lady of Brooklyn, who lent bin
$1,000 last winter, when he was In diff
cultles. He began his career in the office
OF &, r. Hickox as the clerk who had
charge of his transactions in the wheat
pit" He succeeded for time so well
tn at he employed brokers 10 execute his
orders, paying, in comparatively short
time, nearly $25. 900 In commissions. He
complained that the brokers to whom he
gave considerable business sold him out
without waiting an instant. When the
end came he said: 81 have tried to resist
the temptation to speculate and cannot,
shall leave vt once and go on a farm in
California" 1t would be well for others
to do likewise"
In the old Produce Exchange building
there was room in which some fifty bows
OF from IL to 20 years OF age, connected
| with various houses, met to clear grain
contracts or ring" them out. They knew
as much about the mOdus operandi Of
speculation as their employers, and soon
put the fact to proof. IL was not long be-
fore the boys began TO hold calls twice a
day. the same az their employers. They
traded only in l00-bushel lots; they set
tied the differences, rang out their con
tracts, traded "belween calls" by going
around to one another's offices, and in
most respects indeed closely initiated
their employers. The one startling inno-
walton was that they required no
margin; thew were still so
I.yOung that they relied on the
honor OF TIE trader. Yet singular to say
none OF the boys ever ''laid down" on their
contracts, and there was ouly one serious
failure. This was when one OF them an
nounced his inability TO meet his liabill-
lies OF s3j. He was not sold out under
the rule, but pariah or leper was rot
moro desplsed or Stunned than this youth
lul bankrupt was ever after. The boys all
carried notebooks in which to lot their
transactions, just like their employers.
One OF them carelessly left bis book on a
desk IN bis Office one day and his EN-.
poyer happened to see it.. lis
revelations were astounding. Here was
broker in emoryo who made the eyes OF
mis- "boss" start out like those OF a choked
toad. That ended the boys call. The
alarm was sounded, and under severe
penalties the juvenile option business
was suppressed. When the rev ex-
change was opened, however, some OF the
boys who had grown up began to specu-
late in The ring, while others devoted their
spare time To the bucket shops, the estab-
lishments which, by a curious farce, are
allowed to do business when the horse or
card gambling resorts are raided by the
police.
This trading by clerks is really preiu-
dlcial TO the interests Of the employers.
clerk having large buying order to
execute Will buy on his own account be-
fore he executes his employers order, or
be Will sell IN contrary circumstance
lie can sell short for himself and then
beat down the market with selling orders
from bis house, and thus pocket an as
sured proht, or he can buy on his own ac-
count and then advance the price in buy
ing for his employer. Brokers do this
themselves in some cases and think IL il
all right, and some OF them even give their
clerks permission 10 speculate in the
ring, but, as rule, they are opposed to
H. They are hoodwinked nv their clerks,