The evening world., 1894-09-19
WHY Mr.. MORRIS QUIT
Whlskey Trust People Used His
Name Without Authority.
Told Sage and Others He Would
lndorse Notes for Loans.
His Resignation May BE Followed b,
that of President Greenhut.

The latest development in the affairs
OF the Whiskey Trust is the resignation
OF Nelson Morris from the directory, and
his declaration that he is sick and tired
OF the whole thing and wants nothing
more to do with 1t. His retirement, 1t
is stated, is the forerunner of other
designations, including that of President
Greenhut. and probable change of
policy in the management Of the affairs
of the Trust
With Mr.. Morris's retirement some of
the inside history OF the recent attempt
to raise S5OO0OO0 has become known.
Mr.. Morris is the largest capitalist con-
nected with the Trust, and in the judg-
| ment Of Russell Sage and other shrewd
financiers his Endorsement was the one
OF value on paper OF any considerable
amount. Mr.. Sage thought well enough
Of Mr.. Morris to let the Whiskey Trust
have half or three-quarters OF a million
| dollars II Mr.. Morris would put his
name to the note.
When the bankers and trust companies
were being solicited by the Trust people
few weeks ago to lend the Trust few
millions. 1t was represented. so the
bankers say. that Nelson Morris would
indorse all the paper. 1t was upon this
assertion that Uncle Russell Sage and
some of the bankers in this city agreed
to let the Whiskey men have sums rang
ing from one to to ten hundred thousand
dollars.
During all this bargaining nothing
! was heard direct from Mr.. Morris, but
the men with money to lend took 1t for
granted that the millionaire cattleman's
associates spoke by the card.
Mr.. Morris will not talk about the mat
ter at ALL but from an intimate friend it
! is learned that the former knew moth
Ing whatever OF the representations made
by the Trust people that he would in
dorse the loan. His little girl was near
Morris spent all his time at her bedside
Il his summer home at Spring Lake.
which II was reported that the loan had
been all arranged for, and that Russell
Sage was to furnish half a million of
the amount IT., REQUIRED, Mr.; Norris
| expected to be the indorser on the paper
for the loan. The next morning he took
the first train to New York. and. after
learning the situation. he went directly
to Russell Sage and told the latter that
no one had authority to say that he
would indorse any paper of the Distil.
|
that. he. would not guarantee the pay
ment of one dollar of the loan.
simultaneously. with this. declaration
az loan OF half ' million e dollars n' va On
ished for, he said that without Mr..
Morris's guarantee of the loan he would
not let the Whiskey people have a cent.
Trust people got wind OF Mr. Morris s
GRAND to the city. and rushed up to Mr..
Sage's office TO- smooth matters over,
a nice family, row took place. the details
| Of which would make interesting reading
From Mr.. Sage's office Nelson Morris
started on round of the banks where
by the Trust and in a short time the
bankers knew that Mr. Morris would
have absolutely nothing to do with the
loan, and the prospects of the Trust
obtaining the latter were as doubtful as
ever. The Trust stock, which, on the re-
ports that Morris would indorse the
cessfully negotiated. had risen to around
%, broke. and kept going down until yes
terday, when 1t sold at 8. the lowest
price ever quoted for 1t on the Exchange
ket was " IL.
1t is generally supposed in Wall street
that Morris was short OF n good lot OF the
stock on the way down, and got out with
little oil, no loss. 1t Is understood that
he holds about $4,000 of the 1900, 900
worth of bonds which were sold last
their friends. President Greenhut is re-
ported to be heavy loser in the decline
OF the last few days.
Just what situation. the Trust will find
| itself In in the near future is a question
| among Wall street men, as all sorts of
predictions are freely made. and the only
support which the stock Of the concern
have good money tied up In 1t.
|
| II you wish any boarders for the Win