Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-09-10
STOCK BROKERS' FAILURE
No New Developments in the Silsby
Affair,
Startling Charges I'm the Willard
COllnpse-The Losers In
This City.

rassment which affected quite a large num-
ber of local spectators in stocks and
grains, and the positive failure of ]. r.
Willard Company of New York, who
carried on a branch Office here at 13f3 F
street, had the effect Of closing up nearly
all the other bucket shops in Washington,
and today McKeldin & Company, on F
street near 7th, and ]. H. Crane & Com
pany, the new firm occupying the offices In
the Corcoran building until recently used
by P. J. Hodgins & Company, were about
the only ones transacting business Siisby
& Company continue to take orders on the
daily settlement of accounts basis, which
they inaugurated yesterday Immediately
after the announcement was made that
there would be no delay in the settlement
of former accounts. The market was
strong in every stock, and grain and pro-
visions were also strong. There was little
speculation. At Silsby & Companys II
was not known when Mr.. George w. Silsby,
the actual proprietor, would return from
New York, and neither was it possible to
ascertain when the checks that the nrm
had announced would be given in payment
of old accounts yesterday would be Issued.
Everything, apparently, seemed to depend
upon the result of Mr.. Silsby's visit to New
York.
There was a continued hopeful feeling
apparent among the regular customers OF
the firm, who expressed much confidence
that Mr.. Silsby would manage to make al
fairs come out straight. But others who
are not regular patrons OF the place, ana
who had money in the hands of the firm
before payments were suspended, did not
Ike the arrangement proposed In the notlce
posted in the office yesterday, nor the
declaration of Mr.. Klausman. the manager
of the office at present, published in The
Star yesterday, that the liabilities of the
concern were only minor consideration.
The transfer of the furniture contained IN
the office by Mr.. Silsby to Mr.. Klausman on
a bill of sale of 500 Is understood to have
been made for the purpose OF preventing
attachment of the property by Duny
& Co., and was not taken as an indication
of an early settlement of accounts by the
parties in question. 1t could not be ascer-
tanned what part or rather what percentage
of the amount of the checks which are
promised to be given in settlement Of the
old accounts may be used In the payment
of remargins on new accounts. 1t was
said that many of those who have unpaid
accounts have not got the cash necessary
to open a new account, and that conse-
quently the checks, If given to them at
once, with the understanding that they
were to be cashed by putting up remargins
on deals, would be virtually useless unless
to open new accounts. 1t is said that the
firm whose failure Is alleged to have caused
the embarrassment of Silsby & Co. was the
firm Of E. B. Cuthbert & Co.. that recently
failed in New York.
A well known Washington man. who has
been speculating for a number of years
with both good and bad luck and who
managed to get on the right side of the
$4,000 in his favor at Silsby & Company's
He is probably the highest creditor, but
there are many other substantial sums
due to other patrons Of the firm.
The willard Failure.
The developments in the case Of the fail
ure Of ]. r. Willard & Co. since its an
nouncement yesterday have been little
short of startling. 1t turns out that ]. X.
Willard had entered into an agreement
with the Dwigginses to allow the use Of
his name in the title of the firm for a
period of two years. This contract expired
on September last, and on that day Mr..
Willard formally informed the secretary
of the consolidated exchange of New York
that the firm of ]. r. Willard & Co. no
longer existed. The announcement of the
failure followed Immediately upon this.
Willard is in Chicago and the Dwiggins
Brothers are abroad. One Of the heaviest
creditors of the defunct firm is William
H. Osterhout of Ridge, Pa, who figures
his loss at 100000. He deposited 1000
shares United States Leather stock pre-
ferred with the firm, and later he says
that Ezra Dwiggins admitted that he had
hypothecated it. Osterhout says when he
threatened to bring suit against the firm
for misuse of private property that Dwig-
gins told him that he had better look out
or he wouldn't get any of 1t. It was pub
licly asserted in New York yesterday and
last night that the Dwiggins Brothers had
sent a large amount Of money comprising
the visible assets of the firm away from
New York city, some reports stating that
1t was taken to Europe while others were
to the effect that it had been taken to New
Jersey. 1t was said on the streets Of Wash
ington today that the heaviest loser in
Washington by the failure of the firm was
"Plunger" White, who is said to be in
voived to the extent Of about s., 500.