The sun. [volume] (New York [N.Y.]) 1833-1916, 1892-12-30
A PARTNER BROKE THE FIRM
WirLIND 7RiSK e CO.. SrOCK BRO
ktRS, FORCED no SUSPEND.
Theodore baldwin,, One Of the Firm, Had
Opcneh Accounts with Fictitious CUSTOM
~rs aud Enlarged Genuine Accounts to
Get Nancy 10 he a rrl In IgIs Spccuin t,Ous

Theodore BnitA In, One Of the Firm. Had
Opcneh Accounts with Fictitious I'u.ton,-
~rs aud Enlarged Genuine Accounts to
Get Nancy TO he Used In 1IIs spccnintions
Reports current for several days in Wall
street wore confirmed yesterday when letter
was received at the stock Exchange from
Waylaud TrasH 4 Co, stock brokers at IL
Will street. announcing their suspension.
The firm had no contacts PENDING on the tx
Change. these having been closed quietly tho
day before. number Of persons called at
the firms Offices Immediately to inquire about
the suspension. lut all were ask cd to wait un-
til the firm could tlud out lust how II stood.
Reporters were referred TO Simon II. Stern.
the counsel OF the firm.
Mr. Stern snd that the trouble was due to
the spscnlatons OF Theodore Baldwin, one OF
the members Of the firm. The firm was organ
lied on May ]. 1881. Mr. Trask. who had been
the stock Exchange representative OF A. NJ.
kidder Co.. became the senior partner. MIR.
Baldwin had been in the employ OF T. q
Benedict Go. Less than two years ago AL
fred y. Rankin was admitted to partnership.
While the firm never was among the first in
Wall street. 1t nevertheless had very good
standing. Mr.. Trask was ono OF tho most
popular members Of the stock Exchange. and
was III all the fun making on the Exchange.
Those who knew him Intimately referred to
him Familiarity as the "Barnegut Light"
which was presumably jocular reference to
the color OF his hair. lie transacted all tho
stock Exchange business Of his firm. while
baldwin had charge VI tho loans aud books
and liankin attended to customers,
r About week ago the banks with which the
collateral on their loans to the firm. Mr. Trask
was greatly surprised, and asked Mr.. Baldwin
priseL TOO. aud said there must be . mistake
som.where lie said lie would look into the
MN on o Mss mot w ca. ao%
his house. In BROOKLYN to look at the books Az
It was legal holiday. no one else was present.
disturbed: He soon learned enough TO UNDER
stand that baldwin had been disposing OF the
nrms money SAID Ids4 Mr. stern E's ope ans
iie opened accounts in tho firm, s books with
fictitious customers. and also Increased the
10 se"ae IN vase Hseu lie
Iat dealt IN ~ Kinds q stocks. He gave his or
pesfns Hey We're o ss 'f begun aan
his about fGnS y.ass and his
remained at wi lis " oics until oeicck for tie
tic ta nsfs in WhsI the s irm aars %sd Ss
come involved by baldwin, lie did not know
baldwin. Who e confessed o., f sI' the whole thing
when confronted hy his partner on TUESDAY:
was also ut the once Yesterday. He is q lat
man. with black hair and q short black NOUS
tache. He was assisting the expert account
ants in the preparation OF Il statement OF The
firms affairs He appeared very nour hnlant.
He told the reporter that he was married and
lived in Clinton avenue. Brooklyn. For in.
the reporter to Mr.. stern. The latter said that
the question of prosecuting Baldwin had not
yet been considered. Mr.. l.ankin was not at
the Office. IL knew nothing of the trouble un-
til Mr. Stern in formed him Oh Wednesday.
Mr.. Stern said II would he impossible to tell
Just what the firms liabilities are until tho
accountants finished their work. but he
thought IT, would he about SlJnUu0. There
are no preferred creditors.
Il saw Iunther o: the customers to day.
he said. and ! believe the matter can 10 adj
lusted 30 that the firm can resume. Mr.. Trask
Ia 40 popular and SO much sympathy has been
expressed for him that | believe he will come
out ali right. One man offered him SlUOUuU.
and altogether offers Of money amounting to
oyer quarter o! million have been madr.
10 has refused +" accept any until he can tell
of accepting any money unless it was enough
to put lin on his feet. We ought TO know to.
morrow I,ISt how the firm stands"
NJ. l. Rut2ky member Of the Cons olidated
Exchange. suspenHe'. yesterday. He was short
OF iEdustrial' stocks and long OF Northern
Pacific preferred. One thousand two hundred
shares of stocks were sold for his account. but
lie remained $1,000 short