The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1892-06-01
THE CORN CLIQUE RUINED

CHICAGO, May 3l.-The elimination of
the corner in May corn today resulted in
an extraordinary scene on the floor Of the
board of trade. A dollar bus el was the
price demanded by the clique that had Sc
cured control of all the supplies available
in This market. The crowd of traders in
the corn pit occupied every inch of room
aud far exceeded the wheat crowd in di-
mensons, to say nothing OF lung power
No such amount Of trading at 81 bushel
for corn is remem bered in the history of
the trade in Chicago, The people who
were selling dollar corn to the clique bro
kers demanded the names Of the purchas-
ers, and in every instance Coster g. Mar
tin was given.
The receipts of corn here today included
about 400 900 bushels of contract corn,
which either went to satisfy the short in
terest or at 81 a bushel was loaded on the
manipulators of the corner. One trader
got in four trains of corn, and elaborate
arrangements were made to rush it it
larriylng at the last momenO into the
lelevators and to issue receipts in time for
delivery at the close of the days trading
THE elevators throughout the city were re-
iported to be working at full speed. The
appeals committee was said to be out on
the tracks in the rain reinspecting the
corn and changing some. The scram bling
was not alone with tie inspectors and
brokers, but also by those charged to get
the receipts into the registers office and
then to get the receipts delivered by 80
O'Clock .. m. Fast horses were used be-
tween the outlying elevators, and III some
instances special engines.
la the midst OF the excitement the sit u
alton suddenly changed. Within less
than two minutes the price dropped 5
cents bushel. The fall was from 81, the
price fixed by the clique, and which they
had given the tip they would settle at
with any and everybody. The amount
that WAS crowded upon the clique aJ that
price had proved too much for their re-
sources however, and they were beaten at
their own game. The collapse came
shortly before noon. a check in payment
1or corn was offered on the Wear Com
mission company. The demand that it be
certified was not acceded to promptly. In-
stantly the market was deluged with of
fers of corn and the clique was swamped.
The refusal to certify to the checks of
CoSter d Martin Mt one of the banks was
quickly followed by the announcement Of
their failure. and ali firms having con-
tracts with them made haste to close out
the trades in the open pit.
A bedlam of excitement followed The
shorts who had fifteen minutes before been
itrem bling at the unprecedented settling
figures asked By the clique, now danced
about in giee. and practically made their
own prices. Covering however, raised tue
quotation cents 90 IS cents.) There were
rumors OF other failures besides that of
iCoster & Martin, but none were posted
1t Is definitely known that in addition
10 the capital required to carry through
their deal up TO today, they needed this
morning half "a million dollars or upwards
ito stand up under the uueNceptioDaIly
large amount OF corn that was hurried
into the city IN one way or another almost
at the last minute. They did not have the
ready cash 10 do it, aud down they went.
ruined in two minutes.
At the office of Coster g. Martin no
replies were at first maize to inQulrers as
10 the collapse In the pit. The refusal of
the banks 10 certify TO checks was never
theless promptly set down by the trade AS
lrreiutable evidence that the firm WAS
hopelessly broken financially. Yet, at the
Office of the involved firm no confirmation
or denial could be elected.
Gossip was current that, assuming
CoSter n Martin To be totally unable to
make good their contracts, the loss to the
trade would be exceedingly heavy-the
lowest estimate on today's trades alone
being SS0OOOO One estimate WAS that
nearly one million bushels of Nav corn
was sold To Coster & Martin at 81. The
high settling price fixed by the clique
proved the rope with which
they themselves were hanged, So mucb
corn was rendered 10 them at the extra
ordinary fancy price that they had put up
Tor their supposed victims that the mAuip-
uIators were crushed beneath the i'm
mense mass in twinkling, snd long be-
fore the hour when they bad hoped to
hear the clang of the big bell In the board
OF trade tower that would be the kue!i
or their opponents. the formal announce
ment OF Coster & Martins suspension was
issued from the seCretary's Office. few
mlhu'es before the huge gong wSs ruug
10 c.ose the session and end th, bic deal