The herald. [microfilm reel] (Los Angeles [Calif.]) 1893-1900, 1898-06-15
ne IS ALONE TO BLAME
FINANCIERS COMING TO RESCUE
OF THE PLUNoER
ARMOUR BUYS THE GRAIN
Little Sympathy Expressed for the
Young Spectator Abroad-His
New York Property Attached
Associated Press Special Wire

Associated Press Special Wire
CHICAGO, June 14.-Joseph Letter,
speaking of the collapse of his wheat deal.
says:
at is a case where the tail has begun to
wag the dog. This statement has its illus
tration in the fact that futures began
breaking faster than cash wheat declined.
Logically, the conditions should have been
exactly the reverse. For several days. in
fact, 1 may say for some weeks, cash wheat
has been slow sale, especially in the North
west and around milling centers generally.
To a certain extent this has been offset
by fair degree of activity at the sea-
board in response to an inquiry from the
other side, but the local markets have
been decidedly inclined to drag. There has
been a steady marketing of cash wheat,
but I cannot say as to the quantities in
which 1t has gone into home consumption,
or abroad for foreign use.
IT see no objection to stating that all
my holdings Of futures have been dis
posed of. A good deal of gossip has come
to me on the general subject of alleged
treacherous conduct on the part of North
western grain interests in which I have
always heretofore considered friendly TO
me in personal business way, but have
nothing whatever to say on this subject
II. in the history of the deal, there have
been events to which the public is entitled,
1t is more than likely that the facts will
come out in good time, but not from me.
i have no complaints to make or charges
to prefer against those with whim have
been doing business. 1t is a source Of con-
siderable satisfaction to me that my af-
fairs, for the moment more or less tangled,
are in a fair way Of settlement with
out the Intervention of a trustee, or with
out invoking the machinery of the court,
as would be necessary in the case of an
assignment.
:, 1.-The Chicago trade will all be taken
care of-in fact, I may say it has already
been protected, for am even on the mar
.ket so far as September contracts are con-
.cerned. The cash wheat business will be
transacted through Alex Geddes for the
benaft Of banks which have an interest in
1t and which will act in concert. The June
wheat representing the cash wheat in
this market will be carried by Armour &
Co.
1.-The treatment I have received at the
hands of Mr.. Armour is in the highest de-
gree considerable and complimentary. Moth
ing could have exceeded Mr.. Armour's gen.
crosby In his offers of financial help, which
was to an extent covering any possible
requirement on my part 1t is particular
ly gratifying to be the recipient of this
kind of treatment at this particular time,
establishing as it does. the fact that the
business and personal relations between
Mr.. Armour and myself are not so strained
as they have been represented to be-"
Mr.. P. D. Armour, himself one of the
central figures in the Letter deal which has
been going on for many months, did not
take particularly gloomy view of the sit
uation. He said:
"Most of the wheat at the banks is mar
gined at so cents a bushel. confidently
believe the market will react, possibly be-
fore the end of the week. Wheat has got
down to point where it is worth the mon
ey, regardless Of speculation. The arrange
ment which understand has been perfect
ed provides for the protection of all par
ties in interest. Letters cash wheat in
all positions between the Northwest and
Europe ought to be handled so that the
banks will not have to take loss.
"In one sense there is not much local
end to the story. The local stock of wheat
is small and in relieving Mr.. Letter of his
June and local cash wheat we took only
$40 900 bushels.
IT do not believe any of the people locally
who had acted for Mr.. Letter were hurt
and the feeling of the trade seems to be
most kindly toward him. When he decided
to carry his June wheat we offered to help
him in any way we could. I regret that
the deal has turned out as it has. but be-
lieve the worst of it is known and the mar
ket will promptly react"
Letter Funds Attached
NEW YORK. June 14.-Justice Daily Of
the supreme court has issued an attach
ment against the property of Jos. Letter,
the wheat Spectator Of Chicago, for $685.
s25, in favor of Otto E. Loehrke, William
p. Callahan and William Knight, grain
dealers, for money advanced. The attach
ment was levied upon funds belonging to
Letter and deposited in the Chase National
bank, the Hanover bank and other finan-
cial concerns in the city. The plaintiffs,
who comprise the firm of Otto E. Loehrke
& Co., assert that they advanced, at the
special instance and request of Letter. in
various sums, $780,, 1926 since February. 1888.
which he promised to pay on demand.
They allege that he his refused to paw the
amounts so advanced to him. The attach
ment was issued on the ground that Letter
is nonresident.
Will Be No Assignment
CHICAGO, June Alt was stated by
friends of Mr.. Jos. Letter that an attach
ment issued against him in New York will,
rot effect the situation and will not force
an assignment. The appeal to the court in
New York was evidently anticipated as n
representative creditor was here and to,d
Mr.. Letter that he was "going to do some
thing" Mr.. Letter told him to go ahead
and do 1t.
Gets Little Pity
LONDON, June 1.-THE coIlanse ~ tho
Letter wheat corner has caused a manic IN
the Liverpool market. In London The new.
Of the collapse was received with eouani,n-
ity. The consensus Of opinion of a number
Of operators on Mark Lane is that the Eng
lish market will gain steadiness now that
the plunger operating without regard To
market presidents is shaken out.
It Is asserted on Mark Lane that the COL
lapse was due to Messrs. Armour and Pills.
bury. The newspapers generally rejoice at