The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1901-06-29
FORCED TO THE WALL
Brokerage Firm Of Henry Marquand &
Co. Failed.
RESULT OF BANK FAILURE.
Brokers Were Dependent on the Old
Seventh National.
CAUSED BUT LITTLE EXCITEMENT.
No Statement of the Firms Condition
Was Made.
THE SUSPENSION WAS ANTICIPATED
assignment Was Made to Frank Sullivan
Smith, Who Is Now In Charge
of the Affairs.
Brokers Were Dependent on the Old
Seventh National.
CAUSED BUT LITTLE EXCITEMENT.
No Statement of the Firms Condition
Was Made.
HE SUSPENSION WAS ANTICIPATED
assignment Was Made to Frank Sullivan
Smith, Who Is Now In Charge
of the Affairs.

New York, June % The failure Of the
firm of Henry Maruuand & Co., bankers
aud brokers. the name Of which has been
connected with dbc embarrassment Of the
Seventh National hank, WAS announced on
Ire stock exchange today. The tirm made
an assignment 70 Frank Sullivan Smith.
The assignment was without preferences.
No statement Of assets or liabilities was
made with the assignment.
Tho failure was without appreciable ef-
feet ON the stock market Frank sullivan
smith tho assignee. reached the ofnce OF
the firm shortly after 10 O'Clock and as-
sumcd charge lie conferred with the
members OF tho firm and began sys-
tomato investigation of It's books.
FRANK Il. Poor, partner IN tie house OF
Marquaud & Co., sald that MIR. Smith was
in charge and that ne could say nothing
about THE AFFAIRS OF the firm The formal
suspension Of The urn created scarcely
rippic OF excitement II had been anucipat-
ed for tae essentials attendant upon the
closing Of the bank had let in strong light
upon the affairs Of the Arm
During the FIRST Afteen minutes of trad
ing on the stock exchange the following
transactions were made to the account of
the suspended bnnk
Five hundred shares of Pennsylvania, 500
sharee OF Bergen County Gus, 900 shares
American Car and Foundry aud 100 shares
each Of la Clede Gas preferred, Atcntsnh
preferred and Missouri, hansas ana IeSAs
preferred. Seven Thousand collars, par
value OF Missouri Pacific 1s ot i9lF and
1000 iron Mountain 3 per cent bonds We're
also dealt In for thor account.
At 1890 Manager noherer IF the clearing
house said that all cf the banks hni
eleared as usual and that no further Dim
! Guilty was anticipated 10 banking circles;
Inquiry al the local otncS OF the lltts,
| burg Shawmut and Northern railroad
/ brought out an insurance hat there VOLTA
| be no disastrous consequences as tar rs
| the railroad ie concerned.
/ "But did not Marguand \ Co nnanee rae
"oh yes" was The reply OF the official,
| 'but they pave the bonds ana we nave
III lie added that Marquapd & Co, had
merely handled the bonds but ala NOT con
Harry W Tart Of the law arm Of strong
! q Cadnwalador, attorneys for the assignee,
made the FIRST statement IN pehali OF tna
suspended house ile sa'd' ~. ,,, e,nrss
| on the liabilities and assets OF Marqu9pu
| q co. We have as yet bad 10 time 70
| several days before . clear tdea VIII ne
/ ohtainahie. Much depends Oh the disposal
Of the securities nnd ,pArueniarly inc m
! eral view at this time, gives very "a
vorabe Impression, bnt naturally, me
great question a aa 10 collateral held nv
! The house on It's outstanding loans. l be-
! lleye the creditors Of the hrm will fare
very well unless there is slaughter OF
| the firms securities. I can not say AZ TINS
| time anything as to tho resumption OF ina
| arm. That win depend upon the develop
ments OF the next few days We viii pre-
pare careful statement AS 70 the anairs
| OF the firm. but ! belicye 1t VIII take q
| couple OF days TO do IT.
| The arm Of Henry Aarquand & Co. con-
sisted Of Henry Marquand, who is the son
| Of Henry g. Marquand, and Frank =.
Poor, son Of the former president Of tho
| Park National bank, The admitted embai-
rassment OF the firm In connection with
the Seventh National bank failure resulted
In the wholesale calling In Of stocks loaned
to them for delivery and they were
obliged to buy heavily In the open market
to cover. Al the same time the actions
OF the clearing house committee and the
comptroller Of the currency put official dig.
approval on securities IN which the hrni
had large investments and which figured rs
part OF the collateral on the loan OF 81 ,6V,
600 from the Seventh National bank and
which caused the suspension OF the bank.
The failure was expected an day yes
terday and causedn surprise. Yesterday
late rally in the market was attributed
10 buying for their account to cover short
| contracts,