The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1890-09-11
BIG TRADERS FAIL.
Sawyer, Wallace & Co., . Weli-Kn0wn
Commission Firm, Go Under with Lia-
bilities Of About o.. 1000. 900.

sawyer, Wallace & Co., . welI-Known
Commission Firm, Go Under with LA
bilities Of About S2.OOO.OOO.
New YORK, Sept 5.-Samuel A. Saw
yer, Daniel L. Wallace and Thomas
Miller, comprising the firm of Sawyer,
Wallace & Co., exporters of breadstuffs
and cottons and dealers in leaf tobacco
at IS Broadway, caused great surprise
in business circles Thursday by making
an assignment to Marshal Ayres- The
firm did large export trade in grain
and did a very large business in cotton
and coffee options, principally for Euro
pean account, and were the leading
commission merchants in this city in
heavy leaf tobacco, which they sold to
manufacturers and importers.
1t is an absolute and irretrievable COL
lapse, and the large capital of the con-
Germ IL completely wiped out. 1t is i'm
possible as yet to ascertain the extent
of the firms liabilities, but they are
roughly estimated by members of the
house to be upward of S2,0OO,0o
The present firm commenced business
on September 1, 1874, at A. Broad street,
succeeding the firm Of the same name
established in 1858, and taking in az
partner Mr.. Miller, who had been
for many years cashier of the
old firm. In October, 1883. the
firm opened branch and ware
house in Louisville. John Wallace,
who is nephew of David L. Wallace.
and who had been acting as book-keeper
for the firm. took charge. The estab-
lishment at Louisville had always been
considered a valuable acquisition by
Sawyer, Wallace & Co. The firm at one
time, besides being exporters of bread
stuffs and cotton and dealers in leaf to-
bacco, exported fine petroleum. They
were interested in the firm of Lom bard,
Ayres & Co., and disposed of their sur
plus product. They sold out their in
terest in Lombard, Ayres & Co. some
years ago.
The firm of Sawyer, Wallace & Co.
was estimated to be worth between
81, $50, 600 and $500, 900 above all liza
bilities They were prompt in paying
for local purchases and responded
promptly also when called upon
to margin their contracts. Mr..
Wallace attended to the leaf
tobacco branch of the business, Mr..
Sawyer looked after the export trade
and Mr.. Miller to the finances. A short
time ago Mr.. Miller made statement
to the effect that the firm were worth
more than 81, 500, 900, and that their liza
bilities were merely nominal and that
they did commission business only.
When the announcement of the firms
failure was made rumor gained circu-
lation to the effect that the firm were
speculating largely of late in cotton
and that the market had gone against
them. 1t was also said that the
firm had been speculating in grain
and lost heavily. 1t is believed
that the firm have pretty we'll
protected their interests in this coun-
try, and that their chief losses, which
they think may reach nearly 81, 500, 600,
will be in London and mainly on their
pork dealings. The elder Mr.. Sawyer
has just returned from Europe and is
not positive as to the exact situation Of
his concerns affairs there.
Houses on Wall street say the cause
of the failure was the result of the ef-
forts made by the firm to squelch COM
petition in the commission business by
doing their commission business with
European spectators without margin
and a small commission. In the pork deal
last January the firm are said to have
sustained loss of 81 1000, 900 on this ac-
count The claims for these losses
against European spectators are among
the nominal assets. 1t is estimated that
the sum total of nominal assets will
cluded the $1,000, 900 lost in the pork
deal
In 1882 the firm made an attempt to
corner corn in the New York market,
but made a failure of it. The firm
have undoubtedly immense holdings of
merchandise in the various products in
which they dealt. both in an export and
import way. 1t will, however, take
some time to realize on these holdings,
and the general opinion is that the as
signment'was made to limit the loss on
speculative options.
THE PoTTEH-LovELL FAILURE.
BosroN, Sept. Sit is now currently
reported that the total liabilities Of the
Potter-Lovell Company will aggregate
IS, OOO, 900. The charge that the COM
pany did not comply with the law in
making statement of its condition at
the proper time has, it is claimed, been
placed in the hands of the Attorney
General