The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1890-12-10
4 PHILADELPHIA CRASH.
The Old Banking House of
Barker Bros. & Go. Fails
The Firms Liabilities Estimated
at $5,000,000.

| A tremendous sensation was created at
noon few days ago in Philadelphia, Penn,
when the failure of the old banking house Of
Barker Brothers G. Co. was announced on
the Stock Exchange. The firm is ifty-eight
years old and the third greatest banking
house in Philadelphia.
Excepting the first recsivership OF the
Philadelphia and Reading Railroad Com.
pany no event in financial circles Of that
city since the historical failure OF jay Cooke
has created more widespread interest and
greater excitement.
The formal announcement of the suspen-
sion Of Barker Brothers g. Co. by President
| Adams, Of tho Stock Exchange, from the
rostrum about noon created q veritable SEN
sation. Brokers fairly held their breath
with amazsment, but as the firm did not do
a speculative business, and had no outstand-
ing contracts Of any Importance on the Ex-
change, the failure had only an Indirect
effect on the general stock list.
The moment the announcement Of the
failure was made there was rush to find out
what it all meant. The office Of the firm at
Fourth and Chestnut streets was beseiged by
a continuous stream Of people in search OF
details respecting the cause and extent of
the misfortune. Shortly before two o'clock
the doors were closed and watchman was
stationed in the entrance with orders to ad-
nit no one unless with the consent Of one of
the firm. Friends and customers OF the firm
eocked to the office, anxious for information
about the failure.
Wharton Barker. the principal member OF
| the firm was absent, and Abraham Barker,
bis father, had little to say. The clerks were
basy at their desks and the throng OF anxious
callers received little information. Abraham
Barker, the venerable founder OF the bank,
seemed overwhelmed by the catastrophe
the best known flnanciers in the country and
was formerly President of the Stock E1-
change.
announcement was simple and was couched
In this language: This assignment is un-
avoidable. We hoped to be able to avert it,
but It was impossible. People who owed us
money; and upon whom oa We WE SE Se-
pscfasSd pscfsS tSat Sd tSs tbsy pay Would DO So but
they failed to meet their engagements and
now we have failed to meet ours. That is all
that can be said now. or course the con-
dition of the money market has much to DO
with the trouble. The step was necessary
for the protection Of our customers"
The frm has not yet prepared any state
ment Of the liabilities and assets. The laoni, III
ties are variously estimated from soVVooo99
TO SIS. 600, 900. Wharton Barker has assured
some Of his friends that their assets exceed
their liabilities by over 1000, 0Oo.
The failure has been caused largely by
various unprofitable railroad Investments:
Barker Brothers &c Co. were identified
with a number Of railroad schemes which
prudent fnanciers and capitalists avoided,
and when the money strngency came
they found it impossible to realize upon
them. Among the railroad securities Win
which Barker Brothers &c Co. were Identified
in recent years vera the Ohio and Northwes-
tern. Oregon Pacific, San Antonio and Aran-
sas Pass, and Charleston, Cincinnati and Chi
capo. or 'Three C's," as it is familiarly
termed on the 'street."
The Ohio and Northwester Railroad broke
down some time ago, and its bonds, which
Barker Brothers 6 Co. purchased and
large block of which is now held by proml'
nent financial institution, are selling far De-
low par.
road went into the hands Of a receiver on
July IA, It had heavy floating debt and
holders of S13, ,0OO, 900 Of the bonds applied
for the appointment of a receiver. Inc
Board of Directors Of the company declared
that the bondholders would get their money
and advised them not to sell out.
The Charleston, Cincinnati and Ch!caSSc
|
Barkers were interested. They advanced
large sums to the company, and it is prob
able that some Of this money has not bsen
paid. ,
The members of the firm of Barker
Brothers & CO. are Abraham Barker and
bis son Wharton Barker. The firm was
established in 1912, Abraham and his
brother Andrew being the partners. Mhar- M
ton Barker, Abraham's sou, was admitted,
and the firm name has been retained ever
since then. Twelve years ago there was
sensation mads in the financial world by the
announcement that the Russian Government
had selected the Barkers as their financial
agents.
There were both money and fame for the
Barkers in this transaction, and the Russian
Government decorated Wharton Barker with
the title Of Knight of st. Stanislaus.
Wharton Barker was the leader in the re.
cent independent movement which resulted
in the defeat Of Delamater for Governor.
he has long had political ambitions.