New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-06-14
LETTER DEAL COLLAPSES.
.o,Nc srECULATOR SAID TO BE $780,
900 SHORT
HIS FATHER REFUSED TO SUSTAIN HIM
AND THEN THERE WAS A CRAsH-RE-
~
vARKABLE DECLINE IN WHEAT.
fnr TELEGRAPH TO THE TnIBuNE.l

fny TELEGRAPH TO THE TRIBuNEl
,.,,.so June l3.--Young Letter Is broke"
meeting on Saturday at the Auditorium
..I when certain bankers and others from
.,,.,eapolis and Duluth were clamorin3 for more
ooev the elder Leitcr-L. T. Leiter-tod every
-. MAINLY that he had gone as far as he would
that he would lend his son no more money.
There is an explanation of this decision on the
=, the millionaire He Loyalty supported his
I'M 10 the last day of May. lie exacted a
s,.,se from the young man that he would ex-
20 his operations no further but would devote
~ his energies to liquidation. 1t developed
thin the last few days that this pledge had
", haen kept The breach came on Saturday.
vas known early this morning in certain
-.,orters that young Letter was In straits for
orev People could hardly believe that 1t
.,ous because every one assumed that the
,s,ber was still furnishing funds. An enormous
.su,ng started. however in the pit by Letter
,rokers Within hour at least S'O0O.oOo
hrehels Of September and July wheat were sold
-. through Councilman, Lester. Evcringham,
r.ckson Brothers and host of lesser brokers.
The June price dropped 10 cents. selling as low
&C e. cents after having sold at 81 40 less than
three weeks ago July dropped IL cents selling
q, * cents. compared with SO cents on Satur-
aay night The September break was not so
seyere-4ss cents BY noon It was rumored
everywhere that young Letter would make an
assignment
WORSE IN TIE NORTHWEST.
The break IN prices In the Northwest was twice
az much as here-Minneapolis off over Y cents;
r,uluth off as much. The trade knew that there
WAS something impending, but would not be-
ueye that Letters money had given out BY IL
o'clock people close to Letter admitted that he
hANn ~
that he would make an assignment before the
day was over.
Joseph Letter and his father were In consuta-
uon at the Illinois Trust and Savings Bank all
6av Letter the elder. refused to discuss the
matter IN any phase. exhibiting the strain he
was under but not uttering a word
Young Letter admitted about noon that the
load had become too heavy fo- him. He ex-
plained that his father had withdrawn his sup
port and that liquidation had become necessary
Orders had been given at the opening 10 let go
all his holdings Of futures everywhere His
e.sn wheat holdings would be put IN the hands
~ trustees He had been advised not - make
any assignment
When later In the day II became known from
. rood source that some wise provision couid De
made 70 take care Of Letters vast cash interests
N. market became steadier July wheat wnich
had
,.r,ber which sold as low as 69A cents, closed
at II These, however. are pitiful hgures COM
nared with the prices Of less than three weeks
80 and n,tiful even compared with the prices
Of few days ago
THE YOUNG MANS RECKLESSNESS
Letter is victim of that weakness well known
70 the community Of MISUNDERSTANDING 10
sppreciate quantities. To him 3O.Ooo'ooo bushels
hss heen the same as 100000 bushels. He has
trown no limit. There have been times when
bis line has been 80. 900. 900 bushels. He had
naner proft at one time Of S4,5OO.O0o To-nigh'
ne practically owes 100000 more than ne can
nay It Is a strange outcome FOR man WIN
began over year ago to buy wheat IN the
Cos. and who carried the price UP 10 over
81 IS a bushel 10 "go broke" now simply from
in the burden of his cash remnant
Letters interest here has been pretty well
Inundated 1t was not supposed that ne had 30
much September bought as II developed to-uaS
that he owned-from 100000 to S'OOo.VVV ousn-
els-but It has been known all along that ne hao
an enormous interest left In the Nor'h"eS'
whore Il was taken for granted he had Pilsbury
and Peavey for partners. on SATURDAY 'nei'
was talk that somebody In the Northwest was
ealing Letter out. 1t looks now. though, as II
# mad not been a matter Of bad faith up there
hut exhaustion Of young Letters supply of cash.
The Minneapolis and Duluth people evioehuy
knew there was trouble on Saturday. for almost
a dozen Of them were down here on sunday.
The big losses will be made in the two North
western cities. It is not believed there VIII Dc
any failures here There is practically no cash
wheat left here--less than million oushes'
Letter has cash wheat everywhere between mere
and Europe He has millions Of wheat IN the
Northwest he has wheat at Buffalo, New orK
AID Liverpool. and he has feet Aden Win
wheat on the ocean
ALL DEPENDS ON THE FATHER
The outcome all depends upon the attitude
the elder Letter takes. The latter Is an enor-