Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1901-08-02
PHILLIPS INTERVIEWED.
Says He Is solvent-Was swamped
With Orders and Lost Marqins.

Says He ls Solvent-Was Swamped
With Orders and Lost Margins.
Chicago, ILL.,, Aug. 2.-George H. Phil
lips was running in and out of his office
all day long yesterday evidently in
high state of excitement. When asked
10 explain the recent turn in the affairs
Of his firm he said:
Business? Well, you never heard of
such business in your life. We have
been easily doing far more than any
other firm on the floor and our commits
sions alone have averaged over $4,000 a
day for some time.
We were simply swamped and over
whelmed. and found ourselves where we.
had to get large number of new and
untried clerks to take care of matters
and pass judgment on things that were.
q bit ahead of them. That is the cause
of the whole thing. Our margin clerks,
already rushed to death, We're compelled
tic help the booiskeepers catch up with
the demand of the board of trade for d
statement of the May deal, and had to
decide. off-hand, questions of margin
that have resulted in our customers get
ting the best OF us to the tune of nearly
a quarter Of million dollars. The May
corn deal clerks also made bad blum
Ger by emitting to take into considera-
ton charges of cents a bushel against
nearly 10000 600 bushels Of cash grain.
paying out in this way about 100000 too
much. In addition 10 this hasty book
ping has muddled our ledgers so
badly that large amounts are entered
fap-hazard both on the debit and credit
sides.
"In addition to these things, 1t is true
as has been stated, that certain clerks
have been specializing on their own ac-
count"
The corn king" was asked how this
could possibly affect the books OF the
firm.
He replied that board Of trade opera
tors would understand what was meant
il laymen would not. anyway" he
added. its the truth"
He would not enter any further into
this phase of the question, except to say
that all shortages in the direction indi-
Gated had been already covered, and
that none of the employees of the firm
had been discharged for using money
not belonging to them.
81 want to state" he continued, that
the impression that the demand of the
board of trade that I render an account
OF the May deal has had anything to do
with present conditions is totally incor-
rect. We were given until today to
make this statement, but found, owing
to the refusal Of Slaughter and of Bos-
ton parties to account for certain corn
transactions, that this was impossible.
We have, therefore, obtained an etxen-
| sion of time for two weeks and have
| things in such shape that on the morn
ing Of Aug. 10 we will be able to turn In
complete report.
1 Very few people realize the enor-
nous task this demand has made for
us, and how greatly 1t has tied up the
efficiency of our working force"
Phillips asserts that there was really
no necessity for him to take his present
I course, and that he only did 1t in order
10 protect his customers and to straight.
en- out the tangle in the books before II
got altogether beyond his control. He IL
eager to impress on all who talk to him
the belief that he In perfectly solvent
that all margins are covered and tina,
the banks honor all his paper.
I'm as straight as a string; I've new.
er tried to do anybody any harm, and
every one Of my customers will ge,
every cent that's coming to him."
This was the burden Of his statements
4 all day. and he displayed several tele
i grams from country clients expressing
faith in him and in his future opera.
j tons.
j Concerning the probability OF the nrn
withdrawing from business altogether
he had not much to say, but would no,
1 deny that such action might be TAKEN.
Il President ]. r. Collins, of the firm. hal
been in Chicago for three days, coming
I from his home in Morris, Ill, to try hi
\ hand at Strengthening out the tangle. HI
was porting over the books all day yes'
sterday. but confessed late in the after