Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1896-08-05
THE MOORE FAILURE
COLLAPSE OF GREATEST sPEcULA-
TION CHICAGO EVER KNEW.
CLOSE OF Tue STOCK EXCHANGE.
IL Is Believed Now That This Will
lie for a Few Days Oniy--Intercsts
of Moore Brothers Cared For.

| Chicago has eliminated In the taliure OF
the people who were behind the deal
The Chicago Stock Exchange adjourned !
at 10 o'clock this morning for an indefinite
period. This action was decided upon
at a meeting held last night, at which
were representative bank presidents,
members of the Stock Exchange Com
mittee. and number of prominent capi-
tallsts. This meeting was assembled In
| formally, after an announcement which
was made late in the afternoon by James
H. Moore that his margin calls could be
no longer met. That announcement was
made to a few Of the men most heavily
| interested and it was thought best to call
| a meeting to discuss the situation. Those
| who assembled discussed the best means
of restoring confidence after the shock
which would be given to speculative cir
cles by the announcement of the failure.
1t was the general opinion that it would
be the wisest possible move to close the
Stock Exchange for period. II
is thought that the adjournment will
last but a few days. and that matters
within that time can be Strengthened
out in a way that will make the losses as
| easy as possible 10 De Dorne.
All. those present at the meeting last
evening felt that should the Exchange
open as usual this morning the bears
would make slaughtering Of values
which would cause great and In large
| measure, unnecessary loss. They be-
lieved that the closing of the Exchange
and the prevention of the making Of
| speculative quotations for securities
would enable brokers having open trades
| ..,I Q he ofs infa ha
liquidated in a large measure without
the sharp decline that would surely fol-
low trading and an open market
FIGURE OF FAILURE.
1t Is not at present possible to make
\ any estimate of how large the figure
of the failure is or what the ramifica-
tions OF the collapse may be. The
Moores have unquestlonably purchased
an enormous line of both New YORK
Biscuit and Diamond Match stocks. The
high price at which Diamond Match has
been selling makes the sum involved In
handling IL extremely large. The capital
stock of the Diamond Match Company is
tl1 10000, and OF the New York Biscuit
Company 100000. and it is estimated
that the Moores have purchased most or
the capital stock OF the Diamond Com
pany, and their purchases of New York
Biscuit stock perhaps bear as large a
proportion to the total.
William III. Moore, the senior member
OF the firm, is at present in the East
James H. Moore who has been the i'm
mediate active manager of the specula-
tive campaign. Is In Chicago, but last
| night declared that he was not yet In
position to make any statement as to the
amount involved William II. Moore Is
the first vice-president OF the Diamond
Match Company, and president OF the
New York Biscuit Company. James ii.
Moore is ths second vice-president Of
both.
ON CHANGE THIS MORNING.
CHICAGO, ILL, August AT the
usual hour of opening the Stock Ex-
change was filed with members, but no
business was being transacted. Groups
were gathered discussing the turn OF af-
fairs, and every one seemed waiting for
some announcement more definite than
the notice posted on the doors which
reads: Exchange adjourned. subject to
action OF Governing Committee. j. A
wilkins Secretary"
A gentleman close to the spectators
explains their failure in this way: James
II. Moore and William ". Moore owned.
all told, $4,000 worth OF Diamond
Match stock. A portion of this was
owned In fee before the speculative era
in the stock began. Much, however was
| bought at prices TdHBlHS DttWccn LOU anu
30 The Moore holdings were a majority
of the total issued. 1t so happened,
however that the balance Of the stock
was held by a great many stockholders.
Soon after the stock began its wonderful
aerial flight, these minority stockholders
began unloading, and in each case the
persons who bought were James Moore
and mis- brother. Most OF these pur-
ohases were not cash purchases. but on
| RI In fxt
Margins OF per cent. were given, and in
this way at least $4,000 worth of stock
was bought. Two banks in Connecticut
one in Bridgeport, and another in Hart
ford-were holders of the stock, as trus-
tees.
AS the stock fuctuated In value and the
time-limlt for purchase account expired,
more margins had to be deposited. In
this way not less than co per cent. or the
par value OF the stock was paid. All
this the Moores paid without fiinching.
but In the long run the stock became,
. Notwithstanding its extraordinary in
trinsic value. frightfully heavy load
to carry. AZ last the two brokers were
substantially the only props to the big
enterprise. The result was inevitable,
and the crash followed. And thus 1t hap
pens that to-day, while the Moores. the
financial genii Of this colossal enter
prise. are losers TO the tune of S.000O0O
or 5000. 900. the numerous minority stock
; holders are winners, for they have been
the beneiciaries Of the margins paid, and
, their stock is still theirs, although held
, in trust.
TO AID THE MOORES.
!, The Governing Committee of the Stock
Exchange is appointing subcommittee
to confer with bankers and capitalists
with the object of forming pool TO
take care of the Moore Brothers holdings
: of Diamond Match and New York Bis
, cult stock Local bankers and members
Of the Stock Exchange say that every
thing possible will be done to prevent =
slump In stocks
II Is stated that tho banks have decided
to accept the stock OF the Diamond Match
Company owned by Moore Brothers At
10.
Probably the heaviest losers In the col
lapse. next to Moore Brothers them
, selves. are the brokers who have been
! doing business for them on change. Very
3 few indeed. are the brokers who did not
: do business in that line.
Speaking OF the collapse. John J. Nit
cheIl president Of the Illinois Trust
and Savings Bank. said: "The banks
: VIII not lose for they had anticipated
: lust such a crash as happened. That the
! specuIatlon in the stock could not last
| eVeryDOdy KNEW. n pdhiC III tiit BUM
was bound to result. For some time the
Chicago banks had decided not 10 loan
: any more money on Diamond Match stock
than they had already loaned-say 100.
. This collapse will clear the atmosphere,
and / do not anticipate any serious re-
suits outside Of the parties directly con-
cerned."
A committee OF five members OF the
Governing Committee OF the Stock TX
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